The delicate exercise of the European Budget

(Version Francaise)

The adoption last year of a European budget was not an easy task, the member states, following the lead trio M-C-S (Merkel-Cameron-Sarkozy), refused any significan increase. Since austerity was on the menu un member states, the union too would have to tight its belt. Who cares if the EU budget is just a fraction of the member states’, it does not matter than a euro spent at the european level is worth more than a euro spent at the national level (according to Mr Barroso) [*]; and no matter that 94% of this money gets back quasi-directly to the citizens [*]. The budget was finally accepted, unwillingly by the Parliament, with just a 2.9% increase [*].

If you’re a fan of budget negotiations, don’t worry, it’s starting again. The Commission just presented its budget draft for 2012, with a 4.9% increase in spending and +3.7% in engagement – and a freeze of administrative spending. A budget turned towards citizens, aimed at stimulating growth and taking into account the ambient austerity, according to the Commission [*].

The council will give its opinion (that we imagine to be fairly negative) on this draft  in June, then the Parliament after the summer recess. Like last year, we can expect an opposition between the two institutions.

We can note that, at the beginning of April, the American Congress almost shutdown the US government, due to a failure to find an deal on the budget, agreement has been reached just hours before the dealdline. Will the EU manage to put all the european institutions to an halt ? The 2012 budget will certainly be the best opportunity to try.

In the following months, I’ll try to follow up on the budget topic by exploring changes between 2011 and 2012 and the positions of the institutions.


4 Comments on “The delicate exercise of the European Budget”

  1. […] can cover the details of EU budget negotiations, something EU Weekly, a French-English blog, announced to do over the months to come. Greg, we’ll hold you accountable on this announcement! Who if […]

  2. […] 2012 EU Budget, the European Parliament just put its cards on the table. We remember that in April, the Commission presented its propositions: a 5% increase of the budget in respect to last year, but with a freeze in administrative […]

  3. Terrific says:

    Great go through as I had been uncertain where to start and just discovered my answer 🙂

  4. […] pretty much restored the budget proposed at the beginning of the year by the Commission and which was rather cut by the Council. The proposed budget increases by about 5% compare to last […]

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