• fr
  • en

Heads of State agree to shrink EU budget by 3.5%

EU Heads of State have – finally – found an agreement on friday 8th february 2013 on the multi-annual financial framework. The total budget for the period 2014-2020 is evaluated (in constant 2011 prices) to 960 billion euros in commitments, 908 billion euros in payments, corresponding to 1% and 0.95% of GNI respectively, 6% less than the initial European Commission proposal which amounted to 1025 billion euros (1.05% of GNI) and 35 billion euros less than the current Financial Framework, which represents a 3.5% decrease. This agreement represents a significant cut in Member States effort at European level.

1% more for smart growth and cohesion, 11% less for sustainable growth

EU Heads of State have – finally – found an agreement on friday 8th february 2013 on the multi-annual financial framework. The total budget for the period 2014-2020 is evaluated (in constant 2011 prices) to 960 billion euros in commitments, 908 billion euros in payments, corresponding to 1% and 0.95% of GNI respectively, 6% less than the initial European Commission proposal which amounted to 1025 billion euros (1.05% of GNI) and 35 billion euros less than the current Financial Framework, which represents a 3.5% decrease. This agreement represents a significant cut in Member States effort at European level.In detail, the two main budget lines in which we are directly interested “smart and inclusive growth” (research and innovation, support to SMEs and cohesion) and “sustainable growth and natural resources” (CAP, fisheries and LIFE) are decreased by 8 and 3% respectively compared to Commission proposal.Compared to the 2007-2013 budget, budget allocated to smart growth represents however 1% more than today while sustainable growth looses 11.3% of its current allocation.

The budget allocated to competitiveness, comprising inter alia the programme Horizon 2020 (research and innovation) increases by 37% compared to the current period, reflecting the clear orientation towards innovation.

Within smart and inclusive growth, the line “economic, social and territorial cohesion” is decreased by 14% compared to Commission’s proposal and by 8% compared to the current period. Allocations regarding paiements to transition regions are significantly impacted while Less developed regions will benefit from a bigger effort. Allocation to outermost regions and northern sparsely populated areas is however raised by 50% compared to Commission’s proposals, showing the activity and support of concerned member states.

The budget allocated to the Connecting Europe Facility is increased compared to the current period but far less than what the Commission had wished.

The budget allocation for direct payments in the framework of the CAP decreases by 1% compared to commission’s proposal, leading to an overall decrease by 17.5% compared to the current period. Rural development allocation, agreed at 85 billion euros, decreases by 6% compared to Commission proposal and by 11.4% compared to the current 96 billion euros budget. Member States will however have the right to reallocate up to 15% of first pillar funds to the second pillar and vice-versa. For Member States which average hectare payment is below 90% of EU average, it will even be possible to raise this reverse modulation rate by 10%. This means that modulation in countries where direct payments are smaller might cut rural development budget by 25%!

The budget agreement also indicates that capping of direct payments will be put in place by Member States on a voluntary basis. The convergence mechanism of payment levels is also specified.

Budget conclusions also establish maximum co-financing rates for rural development at 75% for less developed regions, OMR and Aegean islands and for regions which GPD/capita is between 75% of EU-25 average and 75% of EU-27 average, 63% for transition regions and 53% for other regions. Besides, measures benefiting to environment and climate adaptation and mitigation will benefit from a 75% co-financing rate and amounts transfered from 1st pillar to 2nd pillar will be used without national co-financing. Further flexibility are foreseen in coherence with rural development regulation.

The negociation also led to the attribution of numerous rebates to several Member States, resulting in an obscure final distribution.

The president of the European Parliament has indicated that he would oppose this agreement, which conditions to not allow proper implementation of the European framework. European Commission leaders have however called upon the Parliament to accept the deal, even if it is way below expectations. The negotiation could go on for several months. During these months, the legislative package will have to be finalise.

You can read Council agreement here and its summary here.EU Heads of State have – finally – found an agreement on friday 8th february 2013 on the multi-annual financial framework. The total budget for the period 2014-2020 is evaluated (in constant 2011 prices) to 960 billion euros in commitments, 908 billion euros in payments, corresponding to 1% and 0.95% of GNI respectively, 6% less than the initial European Commission proposal which amounted to 1025 billion euros (1.05% of GNI) and 35 billion euros less than the current Financial Framework, which represents a 3.5% decrease. This agreement represents a significant cut in Member States effort at European level.

In detail, the two main budget lines in which we are directly interested “smart and inclusive growth” (research and innovation, support to SMEs and cohesion) and “sustainable growth and natural resources” (CAP, fisheries and LIFE) are decreased by 8 and 3% respectively compared to Commission proposal.Compared to the 2007-2013 budget, budget allocated to smart growth represents however 1% more than today while sustainable growth looses 11.3% of its current allocation.

The budget allocated to competitiveness, comprising inter alia the programme Horizon 2020 (research and innovation) increases by 37% compared to the current period, reflecting the clear orientation towards innovation.

Within smart and inclusive growth, the line “economic, social and territorial cohesion” is decreased by 14% compared to Commission’s proposal and by 8% compared to the current period. Allocations regarding paiements to transition regions are significantly impacted while less developed regions will benefit from a bigger effort. Allocation to outermost regions and northern sparsely populated areas is however raised by 50% compared to Commission’s proposals, showing the activity and support of concerned member states.

The budget allocated to the Connecting Europe Facility is increased compared to the current period but far less than what the Commission had wished.

17% less for direct payments, 11% less for rural development

The budget allocation for direct payments in the framework of the CAP decreases by 1% compared to commission’s proposal, leading to an overall decrease by 17.5% compared to the current period. Rural development allocation, agreed at 85 billion euros, decreases by 6% compared to Commission proposal and by 11.4% compared to the current 96 billion euros budget. Member States will however have the right to reallocate up to 15% of first pillar funds to the second pillar and vice-versa. For Member States which average hectare payment is below 90% of EU average, it will even be possible to raise this reverse modulation rate by 10%. This means that modulation in countries where direct payments are smaller might cut rural development budget by an additional 25%!

The budget agreement also indicates that capping of direct payments will be put in place by Member States on a voluntary basis. The convergence mechanism of payment levels is also specified and the greening principle conforted.

Budget conclusions also establish maximum co-financing rates for rural development at 75% for less developed regions, OMR and Aegean islands and for regions which GPD/capita is between 75% of EU-25 average and 75% of EU-27 average, 63% for transition regions and 53% for other regions. Besides, measures benefiting to environment and climate adaptation and mitigation will benefit from a 75% co-financing rate and amounts transfered from 1st pillar to 2nd pillar will be used without national co-financing. Further flexibility are foreseen in coherence with rural development regulation.

Rebates multiply…

The negociation also led to the attribution of numerous rebates to several Member States, resulting in an obscure final distribution.

The agreement is still uncertain

The president of the European Parliament has indicated that he would oppose this agreement, which conditions to not allow proper implementation of the European framework. European Commission leaders have however called upon the Parliament to accept the deal, even if it is way below expectations. The negotiation could go on for several months. During these months, the legislative package will have to be finalise.

Share
14 February 2013

Euromontana sur Facebook

1 week ago

Euromontana
XII European Mountain Convention | Discover our speakers!Enabling tools workshop ⚙️➡️ A. Lane-Spollen from the #BCONetwork will explain how the 🇪🇺 can support local broadband projects in the mountains 🌐➡️ G. Lentini from Consorzio Poliedra will illustrate the benefits of the project Smart digital transformation of villages in the Alpine Space 🌄📆 25-26-27 Oct 2022📌 Sila Natural Park & Biosphere ReserveFull programme & registration 👇www.emc2022.info/#SmartMountains #IYM2022 Europe in my region Digital EU Schweizerische Arbeitsgemeinschaft für die Berggebiete SAB CIA-Agricoltori Italiani della Calabria ... See MoreSee Less
View on Facebook

2 weeks ago

Euromontana
Photos du journal🔔 Diventa un progettista esperto per lo sviluppo sostenibile delle aree montane: aperte le iscrizioni al Master di Primo Livello in Project Management per la Montagna! Disponibili 20 borse di studio a copertura totale dei costi - domande di ammissioni entro il 3/10/2022.👉 Leggi il bando di ammissione: bit.ly/3bi3JI7🎓 Corso organizzato dal Polo Unimont dell'Università degli Studi di Milano in collaborazione con il Dipartimento per gli Affari Regionali e le Autonomie della Presidenza del Consiglio dei Ministri.#montagne #sostenibilità #projectmanagement #progettazione #master ... See MoreSee Less
View on Facebook

2 weeks ago

Euromontana
XII European Mountain Convention | Discover our speakers!Smart living workshop 🤝➡️ L. Gascón Herrero from Programas.UE - DPT will tell us how the Diputación de Teruel - DPT supports the digitalisation of Multiservicio Rural to provide better services to citizens thanks to Next Generation EU 📲➡️ D. Inge Bruflot will show how 'Innovangsjon' leads housing and social innovation to revitalise Vang 🏡📆 25-26-27 Oct 2022📌 Sila Natural Park & Biosphere ReserveFull programme & registration 👇www.emc2022.info/#SmartMountains #IYM2022Statsforvalteren i Innlandet Mountain Partnership Cia - Agricoltori Italiani ... See MoreSee Less
View on Facebook

3 weeks ago

Euromontana
📢 Registration is open for Montana174's event! Join us to learn more on◾️ how the 🇪🇺 Cohesion Policy benefits mountain areas◾️ how to receive funding for your community◾️ how to improve the uptake of funds in the mountains📆 20 Sept📌 Brussels & onlineProgramme & registration 👇www.euromontana.org/en/events/final-conference-how-to-foster-the-effective-uptake-of-cohesion-pol...Europe in my region Programas.UE - DPT Europe Direct Isère Savoie ERSAF PINS Skrad RRA Podravje - Maribor European Committee of the Regions EESC - European Economic and Social Committee Uncem ... See MoreSee Less
View on Facebook

Euromontana sur Twitter

Open applications for 2 Thematic Groups! Don't miss the chance to register your interest:

🥕Strengthening the position of farmers in the #OrganicFood Supply Chain by 19/8👉https://t.co/QT6CShTDFq

🌳🐸Landscape Features & #Biodiversity by 6/9👉https://t.co/Mkxgf3hSz7

2

Healthy soils are vital for life on Earth 🪲🍄🐛

They are crucial for our food security, our ecosystems and to help us halt the climate crisis.

#EUHaveYourSay in our new public survey on an 🇪🇺 EU Soil Health Law 👇
https://t.co/CXPEOaABXJ

#EUGreenDeal #EUSoil

"It is imperative to move away from a limited reactive approach of fire suppression to a planned approach of #FirePrevention". This is what the @REA_research states.
➡️ https://t.co/zQW7lEF7Jt
@ctforestal

XII EMC on #SmartMountains | Discover our speakers!

Enabling tools workshop ⚙️
➡️ @Ashya__LS from the #BCONetwork will explain how the 🇪🇺 can support local #broadband projects in the mountains 🌐

Programme & registration👇
https://t.co/oN8sx4WSMG
#IYM2022 #MountainsMatter

Have you heard of Smart Silver Villages in the last @ENRD_CP magazine? 👩‍🦳

Smart Villages can improve the quality of life of #OlderAdults and boost #SMEs in rural areas 📈 Check out the actions linking #SmartVillages and the #SilverEconomy in Slovenia ⤵️
https://t.co/jYAi0SZFLs

Load More...