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Europe Daily Bulletin No. 13901
IRISH PRESIDENCY OF THE COUNCIL OF THE EUROPEAN UNION / Budget

All Member States will have to make difficult compromises on post-2027 EU budget, warns Micheál Martin

Irish Prime Minister (Taoiseach) Micheál Martin said, on Thursday 2 July during a meeting in Cork with European journalists, including Agence Europe, that all EU Member States would have to make major compromises in the negotiations on the 2028-2034 Multiannual Financial Framework, as positions remain far apart.

We know that it will not be easy (to reach an agreement on the MFF by the end of the year). Difficult decisions and compromises will have to be made by all Member States, otherwise there will be no budget”, the Taoiseach explained, recalling that “the budget means reconciling the irreconcilable”.

While being aware that Member States’ priorities and constraints differ, “we must collectively bridge the gap between what we expect from the EU budget and the funding we are prepared to provide”, Mr Martin stressed. At national level, Ireland is a net contributor country and the second country in terms of contribution per capita.

I think everyone understands the advantage, above all, of a strong European budget that can meet citizens’ needs and strengthen the credibility of the European Union”, the Minister for European Affairs, Thomas Byrne, had sought to reassure journalists in Dublin the previous day.

Chairing the ‘General Affairs’ Council at which the MFF was being discussed (see EUROPE 13900/4), Mr Byrne had acknowledged that there was “clearly a gap” between the ‘frugals’ and the ‘Friends of Cohesion’. “That gap must be bridged. I suppose that is our task for the coming months. Our plan would be to begin fairly intensive discussions between the two sides”, he added. The minister considered that the Presidency should therefore determine the absolute red lines in order to be able to draw up a new Negotiating Box with figures (‘nego box’) to be presented to the leaders.

Irish Finance Minister Simon Harris explained on Thursday morning in Dublin that Ireland would present this new ‘nego box’ “at the end of September - beginning of October”, with a view to the European Council of 15 October. The President of the European Council, António Costa, will then take over, according to Simon Harris. 

Asked about own resources, Mr Byrne announced that an analysis was under way within the Commission. The President of the European Council has asked the Irish Presidency to work on these resources. According to Mr Byrne, who believes that own resources must come in addition to national contributions, it will be necessary to determine which options will make it possible to raise funds and which will be acceptable to all Member States. So far, each new own resource proposed has met with detractors. “These are therefore major questions to which we will have to find answers throughout the summer”, he said. According to Simon Harris, own resources that can be operational as early as 2028 and the start of the new Multiannual Financial Framework will also have to be found. 

This will be a very tough negotiation, it’s going to be very difficult and challenging given the diametrically opposing positions of some Member States and some of the larger Member States on the question of whether the budget should be higher or whether different instruments should be backed up as well”, the Irish Prime Minister warned. (Original version in French by Camille-Cerise Gessant)

Contents

IRISH PRESIDENCY OF THE COUNCIL OF THE EUROPEAN UNION
SECTORAL POLICIES
ECONOMY - FINANCE - BUSINESS
EXTERNAL ACTION
FUNDAMENTAL RIGHTS - SOCIETAL ISSUES
COURT OF JUSTICE OF THE EU
NEWS BRIEFS