Money coming and going

A new web tool will enable to learn more about the community budget. By logging on the website of the European Parliament (www.europarl.europa.eu) it’s possible to visualize the amount of money invested by Europe in each member state and see how national budget has evolved compared to the EU one. “This application will help media and citizens to understand the budget”, said MEP Alain Lamassoure, Budgets Committee chair, presenting the initiative.A few questions. The initiative lies within the framework of the upcoming debate – the coming week – on the legislative proposals for the new Multiannual Financial Framework (MFF) 2014-2020 by the two authorities for the EU budget, namely the EU Parliament and Council. The Commission (that is due to take the first initiative) has advanced its proposal on June 29; the European Parliament will examine the proposal during the plenary of July 4-7, after the approval of a working paper, at the beginning of June, followed by the talks on the seven-year budget, which the Commission sets at approximately one billion euro (approximately 140 million per year, 1% of Europe’s GDP). In the presentation of the new online tool the European Parliament asked: “Will there be new sources of income for the EU budget? Is the Union, in the midst of an economic crisis, ready to support its ambitious objectives as set out in the EU 2020 strategy? Will there be financial support for the new tasks included in the Lisbon Treaty? And if so, what will happen to the traditional policy areas like agriculture and regional policy?” Thus before addressing the question of the multiannual budget, the intention is to share with the citizens the content of the annual budget with which the EU sustains agriculture across the continent, intervenes to help less developed regions, invests for formation, research, security, culture and for the implementation of numerous proposals. Reckoning Member States’ worth. The website reveals details on how much each Member State has “taken from” or “devolved” to the EU budget. It is stated, for example, that in 2009 (figures refer to 2009 but they haven’t varied greatly since) the EU has spent 979 million in Bulgaria: “Of these, 361 million (37%) were allocated to rural development. However, Bulgaria’s expenses were still below European average (in fact, Member States invest approximately 49% of the funds received by Brussels in the area of agriculture). Furthermore, Bulgaria “is one of the few Countries that in 2009 still received funds from the pre-adhesion tool” amounting to 221 million euro. In the same year the EU spent 13.6 billion in France. “France is by far the main investor in agricultural policies, with 9.57 billion per year, constituting 72% of the overall amount. In Germany the EU has invested 11.7 billion, of which 6.7% (57%) were allocated to rural development, rearing and agriculture (57%), consistent investment has been made also in research and development. Italy received 9.4 billion from the common budget, of which a large proportion was allocated to agriculture (56%) and regional policies (cohesion and structural funds, 26%), further funding was used for the immigration emergency and for the post-earthquake in the Abruzzo region. 2.2 billion were allocated to Hungary, 9.3 to Poland, 1.2 to Slovakia, and 6.3 to the United Kingdom (17% of which were invested in research and development, twice as much as the EU average).Britain’s “discount”. By comparing EU budget contributions, namely, national allocations to the Community budget, interesting data emerges. In fact, “in 2009 Germany contributed with 17.6 billion, and collected further 3.9 billion in agricultural and customs duties on behalf of the EU, of which it has the right to keep 25% for administrative expenses”. Germany is the first “net contributor” of the common budget, as it is the Country that allocates more money than it “brings home” through community funding (other net contributors are the Netherlands, Austria, Denmark, Sweden, France and Italy). Furthermore, Belgium contributed with 3.2 billion (and collected 1.9 billion in customs an agriculture duties); 2,2 billion were allocated by Denmark (over 337 million in customs). Estonia delivered 135 million to Brussels, Spain allocated 10.1 billion (over 1.3% in customs), France contributed 18.8 (more than 1.7 in customs duties, Italy 13.9, Austria 2.1, Slovenia 359 million. “The United Kingdom’s EU contribution for 2009 amounted to 7.9 while it received, on behalf of the Union, 2.9 billions from customs duties”. Notably, the United Kingdom was granted also 5.7 million from rebate, one of the unusual exceptions that weigh on community budget. This is also a “historical” acquisition of the British government at the time of Margaret Thatcher premiership (Fontainebleau agreement, signed in 1984).