EU to spend €135.5 billion in 2014 or 6.5% less than this year

From left to right: Algimantas Rimkunas, Lithuanian Deputy Minister for Finance representing the Council Presidency, Alain Lamassoure, Member of the European Parliament Chair of Budgets Committee, Janusz Lewandowski, Member of the European Commission, responsible for budget. (Council of the European Union, 11/11/2013).

From left to right: Algimantas Rimkunas, Lithuanian Deputy Minister for Finance representing the Council Presidency, Alain Lamassoure, Member of the European Parliament Chair of Budgets Committee, Janusz Lewandowski, Member of the European Commission, responsible for budget. (Council of the European Union, 11/11/2013).

The European Parliament might not get it all from the Council but it managed to bring the 2014 EU budget payments limit at €135.5 billion or €500 million more than the initial Council’s position. Commitments were set at €142.6bn that is in line with the Commission’s budget proposal. The initial Council’s position was to restrict payments to €135bn and commitments to €142.23bn. In short, the Council represented by the 28 member states more or less lost both fights, with the Parliament and the Commission.

The European Parliament was looking to increase payments by €1.3bn and commitments by €855 million, as compared to the Council’s position. Understandably, next year’s EU budget as agreed on the early hours of Tuesday is lower by 6.5% for payments and by 6.2% for commitments, compared to the EU budget for 2013. MEP Anne Jensen (ALDE, DK), who is steering the 2014 budget through Parliament, labelled the outcome as “an austerity budget” given that it is more than 6% down on this year. However, given the austere ideology that reigns all over the EU, this is a victory of the Parliament.

Conciliation Committee

After the Conciliation Committee was concluded, the MEPs said that they “ensured that victims of catastrophic flooding and drought in 2013 will be compensated, and that its priorities for 2014 in areas such as employment, research and innovation, border management and humanitarian aid are also taken on board”.

The Conciliation Committee is made up by the 28 representatives of the member states and 28 European legislators. Earlier on Tuesday, before the Conciliation Committee met, the ECOFIN-Budget council was convened to formulate the 28 member states’ position on 2014 EU budget. The agreement was struck later on the day in the Committee.

At this point it must be noted that in the EU budget commitments are legal promises to spend money on certain projects, which may be paid out over several financial years. Payments are the actual amounts to be paid in any given year. Usually payments are lower than commitments. This practice though, creates problems in the long run. Those differences accumulate as the years pass and a time comes when the beneficiaries of EU money may wait for a long time to get paid. It was like that this year.

Unpaid bills

Earlier this year, the Commission estimated it would run short of €11.2bn to pay its outstanding obligations during 2013 also including unpaid bills of 2012. By July 2013 the member states, that is the Council, agreed to pay only €7.3bn of the above amount. Legislators expressed their anger over this, because they sensed that the Council wanted to cover the gap of €3.9bn from the already slashed 2014 allocations. Last month the Council was forced to approve the rest of the outstanding payments amounting to €3.9bn.

The Council is expected to formally approve the agreed budget on 19 November and the European Parliament’s approval should follow on 20 November.

Advertising

Advertising

Advertising

Advertising

Advertising

Advertising

Advertising

Advertising

Advertising

the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

EU and China to do more in common if the global scene gets worse

Companies can help build a more inclusive world. Here’s how

EU-Singapore free trade deal gets green light in Trade Committee

UN calls for support to implement Central Africa’s newly minted peace agreement

Why tourism policy needs to use more imagination

More women and girls needed in the sciences to solve world’s biggest challenges

Crime and drugs in West and Central Africa: Security Council highlights ‘new alarming trends’

The Oslo model: how to prepare your city for the electric-vehicle surge

Managers’ pay under fire

South Asia can become an innovation hub. Here’s how

‘I don’t like to give up’: veteran UN envoy reveals how two decades of quiet diplomacy gave birth to North Macedonia

How populist and xenophobic movements in the EU tear apart European businesses and startups

Investment, not debt, can kick-start an entrepreneurial Europe

Human Rights: breaches in Cambodia, Uganda and Myanmar

‘No-deal’ Brexit: European Commission takes stock of preparations ahead of the June European Council (Article 50)

Draghi: Germany has to spend if Eurozone is to exit recession

How has tech been used for good in civil society? We asked the experts

It’s EU vs. Google for real: the time is now, the case is open

Yemen: Major UN aid boost for ‘up to 14 million’ as country risks becoming a land of ‘living ghosts’

COP25: MEPs push for CO2 neutrality by 2050

Climate change: Direct and indirect impacts on health

There are more than 1 billion guns in the world and this is who owns them

Erasmus+ will finance existing UK-EU mobility in the event of no-deal Brexit

A Sting Exclusive: “Digital iron curtain makes no sense in 5G era”, by China’s Ambassador to EU Mr. Zhang Ming

3 steps to making multistakeholder partnerships a powerful force

MEPs urge the EU to lead the way to net-zero emissions by 2050

UN food relief agency airlifts aid to DR Congo province hit by Ebola outbreak

35th ACP-EU Assembly: migration and demographics will dominate the debate

COP21 Paris agreement: a non legally-binding climate pact won’t stop effectively global warming while EU’s Cañete throws hardest part to next Commission

We are on the edge of a new ‘cyber’ space age. This is how we make it a success

Overseas investment falling, developing countries largely unscathed: UN trade agency

At least 2.5 million migrants were smuggled in 2016, first UN global study shows

UN chief calls for ‘far greater support’ for Cyclone Idai response

EU’s Mogherini visits Turkey “to step up engagement” and highlight interests

World’s Press Calls on the United Kingdom to Address Press Freedom Concerns

New phenomena in the EU labour market

Is the West gradually losing Africa?

Global Citizen – Volunteer Internships

The West – the EU and the US – is writing off Turkey’s Erdogan

How to harness data to tackle rare diseases

Ship Recycling is the Commission’s Titanic

How cities can become more resilient to climate change

Historic first, as Tolstoy’s War and Peace lands in Geneva, to mark international centenary

EU’s tougher privacy rules: WhatsApp and Facebook set to be soon aligned with telcos

Polluted lungs: health in the center of environment discussion

OECD tells Eurozone to prepare its banks for a tsunami coming from developing countries

EU-Russia summit in the shadows of Kiev’s fumes

Promoting gender equality a ‘crucial contribution’ in effort to restore, protect our planet’s oceans

GSMA Mobile 360 Series –Digital Societies, in association with The European Sting

The three biggest challenges for India’s future

This start-up is making a palm oil alternative from used coffee grounds

Progress in medical research: leading or lagging behind?

Risks rising in corporate debt market

DR Congo elections: ‘Excessive use of force’ in campaign must be avoided, says Bachelet

European Commission calls on national political parties to join efforts to ensure free and fair elections in Europe

More than nine in ten children exposed to deadly air pollution

MEPs call for decisive action to fight inequalities in the EU

‘Refrain from violence’ UN chief urges, as presidential election result is announced in DR Congo

Here’s why infrastructure will make or break our response to climate change

This is what great leadership looks like in the digital age

More Stings?

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s