Belgium (Brussels Morning Newspaper) Leading MEPs from the European People’s Party (EPP) Group have expressed their initial reactions and concerns regarding the Budget 2024 proposals announced lately. Commissioner Hahn recently concluded a meeting with the European Parliament’s budget committee to discuss these proposals. The MEPs highlighted the urgent need for a comprehensive review of the EU’s long-term budget, the Multiannual Financial Framework (MFF), and emphasized the importance of securing adequate financing for key priorities and programs.
Siegfried Mureşan MEP, the EP general rapporteur for the EU’s 2024 budget, raised concerns about the insufficient size and flexibility of the current MFF. He pointed out that the 2021-2027 MFF lacks the necessary margins and flexibility to address unforeseen developments. Mureşan stressed the need for a significant revision of the MFF, with a focus on financing traditional Union priorities and providing support for Ukraine, Moldova, and other priorities arising from Russia’s invasion of Ukraine.
Mureşan also highlighted a growing concern within the EU budget related to the repayment of interest rates generated by the NextGenerationEU initiative. Despite the European Parliament’s advice against including these payments in the EU Budget, their costs have increased significantly. Mureşan referred to this situation as a “ticking bomb” that limits allocations to other policy priorities and emphasized the need to allocate EU resources to support farmers, enterprises, students, and researchers rather than paying interest rates.
Furthermore, Mureşan pointed out that certain budget headings, such as Neighbourhood, Security, and the Erasmus Programme for Students, have no room for maneuver or capacity for expansion within the current framework. He expressed concern that the EU is allocating funds for paying interest rates instead of supporting Erasmus students, emphasizing that this does not align with the intended purpose of the EU budget.
Mureşan called upon the European Commission to stand up for a budget that meets the needs of EU citizens and enterprises and to resist pressure from the Council to keep the EU budget at a low level. He urged the European Commission to collaborate with the European Parliament in securing adequate financing for all the Union’s priorities.
Jan Olbrycht MEP, co-rapporteur of the EU Parliament’s report on Upscaling the MFF, welcomed the Commission’s decision to initiate a revision of the MFF later this month. Olbrycht stressed that the long-term budget is no longer suitable for addressing current challenges. He expressed concerns regarding cohesion policy, migration, border management, external action, and new priorities like defense cooperation, emphasizing the need to adapt financial planning to effectively tackle these issues.
Highlighting the need for new direct revenues, José Manuel Fernandes MEP, EPP Group spokesperson on Budgets, argued that the annual budget is already limited with insufficient margins. Fernandes stressed the urgency of finding new own resources, particularly in light of the increased interest rates associated with the repayment of NextGenerationEU debt. Without new own resources, the EU budget would face annual cuts or require substantial member-state contributions.
Fernandes emphasized that new own resources should generate revenue, promote fair competition, and align with the EU’s political priorities, such as addressing climate change. He recognized the challenge of adopting new own resources, as they require a unanimous council decision and ratification by all EU member state parliaments. However, he warned that without new own resources, EU funding programs would be reduced, and citizens would bear the financial burden.
In conclusion, MEPs from the EPP Group called for an urgent and comprehensive revision of the EU’s long-term budget to address funding shortfalls and adequately support the Union’s priorities. They emphasized the need for increased flexibility, reallocation of resources, and the adoption of new own resources to ensure a robust and impactful EU budget beyond 2027.
