Results of the General Affairs Council on the MFF
21 May 2013
The General Affairs Council discussed negotiations on the EU's €960 billion multi-annual budget for 2014-2020. (Includes quotes from Tánaiste Eamon Gilmore and Budget Commissioner Lewandowski.)
The Irish presidency informed ministers on the state of play in the discussions with the European Parliament on the EU's multiannual financial framework (MFF) for 2014-2020, on the basis of a note set out in 9486/13. It also asked the Council for guidance on the four issues raised by the Parliament with regard to the next MFF (review, own resources, unity of the budget and flexibility).
The presidency recalled the steps taken so far in discussions with the European Parliament, since the European Council agreement on the MFF in February. The presidency reported that the MFF detailed negotiations with the Parliament started on 13 May with a first formal trilogue. It also reminded ministers of the important step that the Council made towards the Parliament on 14 May with the political agreement on draft amending budget no. 2 for 2013 and the provision of a first tranche of €7.3 billion targeted on boosting economic growth and creating jobs, and the commitment to return to the issue later in the year.
The presidency reiterated its commitment to reach an agreement with the European Parliament by the end of June. In the presidency’s assessment, this objective is still feasible provided that all parties involved were prepared to engage constructively. The presidency stressed that any further delay would be to the detriment of EU citizens who needed predictability.
All Member States supported the presidency's efforts for a timely agreement. Many delegations stressed that the Council's political agreement on draft amending budget 2/2013 this early in the year, and for such a significant figure, constituted an important step and asked the European Parliament to show a similar spirit of compromise. With regard to the four specific issues raised by the European Parliament, delegations reiterated their openness to considering them constructively.
More concretely, delegations were ready to examine a legally binding obligation on the Commission to present a review in 2017, provided that the unanimity requirement for the Council vote on the MFF regulation was respected and pre-allocated envelopes were preserved. On own resources, delegations showed readiness to consider a declaration setting out a political roadmap for work on the future. As far as the unity of the budget is concerned, delegations expressed some openness to having a Commission document annexed to the annual draft budget setting out all expenditures covered by the EU budget. Concerning flexibility, many delegations could consider further discussing the possibility to the carry-over from one year to another of unused margins under the payments ceilings and a frontloading of certain expenditures, such as for the new youth employment initiative.
The presidency confirmed that negotiations with the European Parliament are continuing this week and next, with a further political trilogue scheduled for 28 May. In addition to an agreement on the MFF, the Irish presidency wishes also to reach agreement with the Parliament on the around 70 pieces of sectoral legislation underpinning the EU’s funding programmes. This would allow the new programmes to start on time in January 2014.
Speaking after the meeting, the Tánaiste outlined Irish Presidency plans to intensify discussions with the Parliament on the MFF, including meetings this week in Strasbourg. The Tánaiste will return to Brussels next week for a further political trilogue. Speaking on the prospects for a deal in the talks, the Tánaiste said: “It is in everyone’s interest that we reach agreement on the MFF before the summer. There is nothing extra to be gained by waiting until after the summer to reach this agreement. On the contrary, we cannot afford to in any way call into question the continuity of EU programmes. We need predictability."
The Tánaiste concluded: “The time has come for us to get down to business. We need to get down to the key issues of interest to the European Parliament. It is too late now for new elements to be introduced into the talks. I believe we can still reach political agreement on the MFF by the end of June. But that will require the sincere cooperation of the Parliament. For our part, as Presidency, we will not be found lacking in commitment or determination.”
Press release
Janusz Lewandowski, the Commissioner for Budget and Financial programming said of the MFF in general: "It is in everybody's interest to reach an agreement on the next Multiannual Financial Framework before the end of June.
"Next week's negotiations will be the real test of intentions for everybody involved in the negotiations. Therefore I urge both Council and Parliament to look beyond the purely inter institutional dimension of these negotiations. Millions of beneficiaries of EU funds await an agreement: small and medium enterprises, medical research labs, towns and regions, students, NGOs. Those beneficiaries represent some 95 per cent of the EU budget!
"Let me remind you: Seven years ago, the political agreement on the current MFF was reached in April. This time, we are already end of May and still have no agreement. There is a serious risk that EU funded programmes will be delayed just as Europe badly needs predictable sources of investment guaranteed by the EU budget."
On the flexibility of the EU budget, he said: "We cannot lose a single euro from the EU budget, as for the first time ever the amounts proposed for the next period are lower than for the current period. For the European Commission the ability to carry over unused payments from one year to another is therefore a "conditio sine qua non" in the negotiations because it will allow for a sound management of the EU budget."
Video of press conference
© European Council
