The European Parliament's Committee on Budgets on Monday 22 June once again called on the EU Council to put in place new own resources for the EU budget, in particular to reimburse the European Recovery Plan. MEPs fear a compromise at EU leaders’ level that would further reduce the EU’s Multiannual Financial Framework (MFF) for 2021-2027 (see EUROPE 12510/1).
The Committee on Budgets took stock of negotiations on the next MFF, own resources and the European Recovery Plan. EU leaders hope to reach an agreement in July on the Recovery Plan and the next MFF.
MEPs called on EU heads of state and government to agree quickly on the MFF, Recovery Plans and the EU’s own resources.
Pierre Larrouturou (S&D, France) said that creating new own resources such as financial transaction tax or taxes on large companies would bring in “120 billion euros each year”. The tax on plastics is a good idea, but it would only bring in 5 billion euros, as much as the digital tax, Mr Larrouturou said.
“We are waiting for the political decision of the European Council”, said MFF rapporteur Jan Olbrycht (EPP, Poland).
Margarida Marques (S&D, Portugal) also called for a political agreement in the EU Council on own resources.
José Manuel Fernandes (EPP, Portugal) said that for the 2014-2020 period, the tax on plastics would pay for the interest rates of the Recovery Plan. But new own resources will be needed after 2028 that “must not penalise citizens” by reducing the MFF, he said.
Valérie Hayer (Renew Europe, France) recalled that Parliament wants a “basket of own resources”, with implementation from 2021. How can this joint loan be repaid without own resources, she argued? She cited a tax on digital giants, a contribution from companies that “practice tax optimisation” or a carbon inclusion mechanism at the EU’s borders.
Revision of the current MFF. The Committee on Budgets also considered a draft report by Mr Olbrycht and Mrs Marques approving the proposal amending the MFF 2014-2020. This text raises the ceilings in order to mobilise in 2020 an envelope of 11.5 billion euros to combat the effects of the pandemic. It is a ‘transitional solution’ until the adoption of the EU recovery plan (Next Generation EU), which should come into force from 1 January 2021. (Original version in French by Lionel Changeur)