Germany's position on the EU's multiannual financial framework (MFF) for 2021-2027 will have to move “if we want to have a good budget”, launched Budget Commissioner Günther Oettinger on Wednesday 9 October. He called on the other ‘net contributors’ to the EU budget, who are advocating a cap on the 2021-2027 budget at 1% of gross national income (GNI), to reach deeper into their pockets, otherwise the EU will not be able to finance the new policies (research, defence, migration, etc.).
Günther Oettinger also announced that he was preparing an emergency proposal in case the United Kingdom did not pay its contribution to the EU 2020 budget (see other news) and gave indications on the future ‘Just Transition Fund’, announced by President-elect Ursula von der Leyen.
In the run-up to the European Council on 17-18 October, the Commission discussed the 2021-2027 MFF in the College of Commissioners on Wednesday and adopted a Communication in which it called on EU leaders to “get results and take action” with a view to an early adoption of the next MFF.
The October European Council will provide leaders with an opportunity to provide guidance on the key parameters of the future framework, including the overall amount of the budget, the balance between policy areas, the future financing of the budget and the conditions attached to its financing, according to the Commission's Communication.
The Commission continues to put pressure on EU heads of state and government to reach a compromise by the end of 2019.
According to a draft of the EU summit conclusions dated Monday 7 October, the Twenty-Eight will call on the Finnish Presidency of the EU Council to submit a negotiation box containing detailed figures for the December European Council.
The Commission's proposal foresees a budget of €1.279 trillion for the 2021-2027 period, corresponding to a contribution of 1.114% of the Twenty-Seven’s gross national income, but several countries do not want to exceed 1% of GNI.
To finance new priorities such as internal security, defence and migration, half of the Commission proposes to make savings in agricultural (-5%) and cohesion (-7%) expenditure and half to ask EU countries for an increase in national contributions. “We will not be able to finance the new programmes if a Member State refuses to reduce CAP or cohesion appropriations”, Mr Oettinger stressed, pointing out in particular that France and Germany (in the government agreement) do not want CAP expenditure to be reduced.
New own resources. In order not to excessively increase national contributions, the Commission proposes to create new own resources, amounting to 10 to 14% of the EU budget's revenue, Mr Oettinger pointed out. The Commission's communication recalls that “many Member States now support the idea of a new own resource based on the quantity of non-recycled plastic packaging waste”. The Commission also recalls that support for a new own resource linked to the EU Emissions Trading Scheme is “gaining ground”. The President-elect of the European Commission also announced that she would propose legislation to extend this system to the maritime sector and eventually reduce the quotas allocated free of charge to airlines.
European Parliament resolution. The European Parliament will adopt on Thursday a draft resolution presented by the EPP, S&D, Renew Europe, Greens/EFA groups calling on the European Council to reach a unanimous agreement quickly. The text defends a forthcoming MFF of €1.324 trillion at 2018 prices, or 1.3% of the Twenty-Seven's Gross National Income (GNI).
In a plenary debate on Wednesday, Manfred Weber (EPP, Germany) called on EU Member States to make progress on the 2021-2027 MFF. He asked them not to discuss the figures but first of all the "political projects to be carried out". Iratxe García Pérez (S&D, Spain) advocated a "solid and ambitious" budget and recalled that Parliament was co-decision maker on the MFF. "We will not accept the MFF if there is no agreement on the reform of the own resources system beforehand", she warned. Dacian Cioloş (Renew Europe, Romania) urged the Twenty-Seven to find the courage to talk about new own resources.
The Finnish Presidency of the Council is preparing a document for the European Council to provide a framework for the debates of European leaders. (Original version in French by Lionel Changeur)