The exchanges between the Member States on the ‘Competitiveness Fund’ and the ‘horizontal’ elements of the Multiannual Financial Framework 2028-2034 (see EUROPE 13733/12) proved to be “very, very predictable”, according to a diplomatic source at the ‘General Affairs’ Council in Luxembourg on Tuesday 21 October.
The Member States reiterated that the EU Council should have a role in governance (programming, annual budget, comitology). On the ‘horizontal’ aspects, several speakers stressed the need to reduce complexity, which is one of the European Commission’s stated objectives. “We don’t want an additional administrative burden for Member States, resulting from more coordination, more requirements to publish information”, warned Latvia.
The idea of basing the next budget on performance has raised a few doubts in some countries, which find the performance criteria too burdensome.
Unsurprisingly, flexibility was widely supported by the Member States. However, Poland highlighted the risk of reducing predictability too much. Other countries, such as Luxembourg, Ireland and Finland, have also reiterated the need to maintain a balance between flexibility and predictability.
Competitiveness, innovation and defence also received strong support from Member States. The Competitiveness Fund is largely supported by the Member States as well. Even if the allocation of funds is the subject of debate between those - such as Germany, the Netherlands and Sweden - who want to give priority to excellence and merit, and those - such as the Czech Republic, Croatia, Slovakia, Bulgaria and Poland - who are demanding a geographical balance and targeted support for the least developed countries, in other words a North/West and East/South divide.
Positions on the Common Agricultural Policy (CAP) and Cohesion, which will depend on national and regional plans, i.e. Pillar 1 of the MFF, were also discussed. Poland, Ireland, Romania, Hungary, Spain, Portugal and Luxembourg insisted on maintaining funding. Some, like Poland, prefer to preserve the CAP’s two-pillar structure.
The next discussion between ministers on the MFF 2028-2034 will take place at the ‘General Affairs’ Council in November and will be devoted to the National and Regional Partnership Plans (see EUROPE 13732/21). (Original version in French by Florent Servia)