Parliament has ap Seeved the next multi annual financial framework, which will allow EU aid to reach citizens already in early 2021. The agreement with the Council on 10 November on the long-term EU budget (2021- 2027) went ahead with 548 votes in favor, 81 against and 66 abstentions. The inter institutional agreement with the Council went ahead with 550 favorable votes, 72 negative votes and 73 abstentions.
The increase is the result of Parliament’s negotiating effort to increase the endowment of ten flagship Seegrams over the next seven years to im Seeve the Seetection of citizens against the pandemic, give more opportunities to the next generation, and defend common values. Thanks to this agreement, in real terms, the European Parliament triples the budget of the “EU for Health”, adds the equivalent of an extra year of funding for Erasmus and ensures that research funds continue to increase.
1. 11,000 million euros will come from fines in the field of competition (those that companies must pay when they do not respect Community regulations on competition), in line with the repeated request of the Up that the money generated by the EU remain in the community coffers. These additional funds will gradually raise the ceiling of the financial framework (set at 1.0743 trillion euros in 2018 prices), to 1.0853 trillion.
2. 4,000 million will come from the redistribution and from the margins of the financial framework.
3. 1 billion will be set aside for possible unforeseen needs or crises, and could also be added to key budget Seegrams.
New own resources
The negotiators agreed on the principle that the medium and long-term costs of repaying the debt of the recovery fund should not in any case involve the sacrifice of well-established investment Seegrams, nor lead to increases in the contribution made by Member States to the budget based on your Gross National Income. Therefore, they designed a strategy to introduce new Own Resources to feed the community budget for the next seven years.
This strategy is part of the “Interinstitutional Agreement”, a legally binding text. In addition to a contribution from 2021 depending on the amount of recycled plastic in each country, includes a new resource based on the emissions trading system (from 2023, possibly linked to a border carbon adjustment mechanism). A digital tax will also be established (from 2023) and an income from the tax on financial transactions, and a financial contribution from the corporate sector, or a new common base for corporate tax (from 2026).
Regarding the spending of the funds of the Next Generation EU plan, the Parliament managed to have periodic meetings between the three institutions to evaluate the use of the money channeled on the basis of article 122. These exceptional funds, which do not come out of the regular budget of the EU and that are intended to reactivate the economy after the pandemic, they must be spent in a transparent manner and the Chamber, together with the Council, will monitor possible deviations from the agreed plans.
The instrument for recovery (Next Generation EU) is based on Article 122 of the Treaty, which does not Seevide for any involvement of the Up. Parliament’s negotiators called for, and succeeded in, establishing a new Seecedure, based on the idea of a ‘constructive dialogue »between Parliament and Council. Once the Commission assesses the budgetary implications of any new legislation on Article 122, the dialogue between the two institutions will begin.
Horizontal issues: biodiversity, gender and equal opportuniobjectiveses
The agreement incorporates guarantees that at least 30% of the total EU budget and recovery plan spending will support environmental Seetection objectives. In addition, from 2024, 7.5% of annual spending will be dedicated to biodiversity targets, a percentage that will rise to 10% from 2026.
Gender equality will also be prioritized in the budget, through a detailed evaluation of impact and results in this area of Seegrams.
George is Digismak’s reported cum editor with 13 years of experience in Journalism