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Europe Daily Bulletin No. 11973
INSTITUTIONAL / Future of the eu

Mark Rutte considers that Brexit should lead to reduced multiannual financial framework post-2020

In a speech before Bertelsmann Stiftung in Berlin on Friday 2 March, the Dutch Prime Minister, Mark Rutte, shared his vision of the future of the European Union, taking position against increasing the national contributions to the multiannual financial framework (MFF) post-2020.

These statements following the informal summit of 23 February, when most member states said that they were in favour of increasing the MFF after 2020, for instance by increasing the national contributions to plug the budgetary gap left when the United Kingdom leaves the EU and to pay for new political priorities (see EUROPE 11968).

“Let me be very clear. My goal for the multiannual budget is this: no increase in contributions, but better results within a smaller budget”, he said. He called for a decrease in funding allocated to the agriculture and cohesion policies, in order to “fund new priorities”, such as climate change, security, migration and innovation.

He also took a position in favour of conditionality for the payment of European funds, for instance linking them to the implementation of structural reforms and compliance with the rule of law.

On the economic plank, Rutte spoke in favour of the deepening of the Banking Union, but considers that the reduction of banking risks should precede any sharing of the risks, by means of the European deposit insurance system (EDIS), borrowing from the traditional rhetoric of states wishing to whittle these risks down (see EUROPE 11945).

On the economy, he vaunted the merits of structural reforms and compliance with the rules of the Stability and Growth Pact.

The Dutch Prime Minister also took a position in favour of creating a European Monetary Fund (EMF), to replace the current European Stability Mechanism (ESM), in reference to the proposals made by the European Commission on 6 December of last year (see EUROPE 11920). This body, which he considers should remain inter-governmental with decisions made unanimously, should be able to “negotiate, finance and monitor” financial assistance plans covering Eurozone countries.

Rutte also called for more cooperation in the military and migration fields, and for more ambitious environmental targets.  (Original version in French by Lucas Tripoteau)

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