Charles Michel seeks EU budget compromise

Charles Michel seeks EU budget compromise
Credit: Belga

European Council president, Charles Michel, presented his proposal for the 2021-2027 budget to the Union on Friday. 

It’s equivalent to 1.074% of the EU’s Gross national income (GNI), which is a lot less than the Commission and Parliament proposed but similar to what the Council’s Finnish presidency put forward (1.07% of the GNI) last year, which was however rejected. 

Charles Michel’s long-term budget proposition would allow the EU to commit to spending up to 1,094,827 million euros. 

The European Commission put forward its initial proposition in May 2018, which included a budget of 1,135 million euros of investment commitments.

This amounts to 1.114% of the 27 EU members GNI, with a drop in the amount allocated to the CAP (Common Agricultural Policy) so new policies can be created.

The margin for manoeuvre is small due to the gap left by the UK’s departure, as it was a big contributor to the budget. The European Parliament wants to increase it to 1.3% of the GNI. 

Among the countries that want to drastically limit national contributions are the Netherlands, Sweden, Austria and Denmark, who want the EU to spend no more than 1% of the 27’s GNI. 

The new European Council president increased the number of bilateral agreements with the 27 member states to try and find a solution to the persistent deadlock over the 2021-2027 budget. The budget would fix the limits for the EU’s spending over the next seven years and the budget per area of action.  

There will be an extraordinary summit in Brussels on Thursday, which will be attended by the EU member state’s head of state and government. It is hoped they can finally agree on a communal position on this delicate subject. 

The Brussels Times

Latest News

Copyright © 2021 The Brussels Times. All Rights Reserved.