ECOFIN: Main results of the Council

22 January 2013

The Council looked at the Presidency work programme, adopted a decision on the FTT through enhanced cooperation, and discussed i.a. the Commission's annual growth survey.

Presidency Work Programme

The Council took note of the presentation by the Irish presidency of a work programme on economic and financial matters for the duration of its term of office, which runs from January to July 2013 (5148/13). The Council held an exchange of views.

The programme sets out the following objectives:

• Enhanced economic governance and policy coordination: Concluding negotiations with the European Parliament on the "two-pack" (economic governance) and, once this has been adopted, working towards the successful implementation of the two instruments. Managing the third European Semester process and, in line with the December European Council, working towards a stronger and more effective economic and monetary union.
• Strengthening financial regulation and supervision: Priority will be given to legislation to achieve a banking union, especially proposals on banking supervision, bank resolution and recovery and deposit insurance to protect consumers. The aim is to reach an early agreement with the European Parliament on the single supervisory mechanism and on the Capital Requirements Directive and Regulation (CRD IV package).
• Economic and monetary union: Contributing constructively towards the objective of creating a stronger and more effective EMU that can aid confidence and support economic recovery and employment growth across Europe.
• Taxation: Progress on the financial transaction tax, discussions on the common consolidated corporate tax base, the savings directive and associated negotiating mandates with third countries.
• External dimension: Representing the EU at the G20.

Financial Transaction Tax (FTT)

The Council adopted a decision authorising 11 Member States to proceed with the introduction of a financial transaction tax (FTT) through enhanced cooperation. The Commission will now draw up a proposal defining the substance of the enhanced cooperation. Its adoption will require the unanimous agreement of participating Member States.

European Semester - Annual Growth Survey

The Council discussed the Commission's annual growth survey, on the basis of an issues note prepared by the Presidency. It concluded that the five priorities identified in the 2012 survey remain valid for 2013: pursuing differentiated growth-friendly fiscal consolidation; restoring normal lending to the economy; promoting growth and competitiveness; tackling unemployment and the social consequences of the crisis; and modernising public administration.

Draft conclusions will be prepared in the light of the Council's discussions, for adoption at its meeting on 12 February. In March, the European Council will provide guidance on the next step in the European Semester process, namely the preparation by Member States of their national reform programmes and stability and convergence programmes.

Other Business

The Council was informed by the presidency on progress made on three key legislative dossiers for which negotiations are ongoing with the European Parliament.

• Bank supervision: Following an agreement in the Council on 13 December, trilogues were held with the parliament on 18 December and on 8, 9 and 16 January.
• Capital requirements directive: Trilogues were held on 10 and 15 January. The next round of negotiations is scheduled for 30 January.
• Economic governance (Two-Pack): The aim is to close the dossier in the coming weeks.

Economic and Financial Affairs - Financial assistance to Ireland

The Council adopted a decision modifying the conditions underpinning financial assistance to Ireland (decision 2011/77/EU), following a review of implementation by the "troika" (Commission, IMF and European Central Bank).

Council rules of procedure - Weighting of votes - Institutional affairs

On 14 January, the Council amended its rules of procedure by updating a table of population figures for the EU Member States for 2013 for the purposes of qualified majority decision-making in the Council (18130/12).

The Council's rules of procedure provide that when a decision is to be taken by qualified majority, and if a member of the Council so requests, it shall be verified that the Member States constituting the qualified majority represent at least 62 per cent of the total population of the EU. To that end, EU population figures are updated annually in line with figures provided by Eurostat. A qualified majority in the Council is set at 255 votes out of a total of 345 and a majority of the 27 Member States.

Full results

© European Council