The CPMR firmly regrets the Finnish Presidency proposal to reduce the overall level of the EU budget for the 2021 – 2027 period based on Member State contributions fixed at 1.07% of their Gross National Income (GNI). It restates its unreserved support to the European Parliament position: an ambitious European Union should be supported by an ambitious budget based on EU Member States contributions fixed at 1.3% GNI and new own resources.

The revised version of the next Multiannual Financial Framework Negotiating Box circulated by the Finnish Presidency ahead of the European Council (12-13th December) introduces financial amounts for key EU policies for the very first time, a mere 18 months following the publication of the European Commission proposal.

“The Finnish Presidency proposal suggests cuts to many of the key EU policies delivered on the ground by regional authorities. It is unrealistic and literally impossible to achieve an ambitious Union that strives for more with such a weak budget” said CPMR President Vasco Cordeiro.

The CPMR is particularly concerned about the proposed reduction to the Connecting Europe Facility (CEF); such a reduction of this Transport pillar makes it impossible to fulfil the CEF missions and achieve the TEN-T in due time. The proposed 18% for the CEF will make it impossible for the EU to reach its ambition to connect and integrate the Union and all its Regions.

The CPMR also regrets the overall reduction of Cohesion Policy budget, harming one of the main pillars of the European project, and calls on EU leaders to protect it during the upcoming negotiations.

Eleni Marianou, Secretary General of the CPMR said “Sadly, we are facing a compromise Negotiating Box that is aimed at achieving a broad consensus across Member States, instead of targeting the support of an ambitious European project”.

The CPMR General Secretariat went through the latest version of the Negotiation Box, providing a first analysis on its content and major changes, including a thorough breakdown of the budget allocation compared to the EC proposal. You can consult this analysis here.

Further to this first analysis, the CPMR presents a unique representation of the cuts proposed by the Finnish presidency for Cohesion Policy 2021-2027 per Member State. Running the CPMR in-house statistical model with the information and data from the revised version of the MFF negotiating box enabled us to go further and explore two important aspects:

  • The scale of the proposed cuts relating to Cohesion Policy allocations at Member State level compared to the 2014 – 2020 period
  • The changes introduced in the December version of the negotiating box to limit or reduce Member States’ allocations for Cohesion Policy for 2021-2027

The note argues that the only way forward to reach the EU’s many ambitions – such as the European Green Deal – is to equip the European Union with an ambitious EU budget including a significant investment arm, with a strong Cohesion Policy at its heart. This is why the CPMR believes that the overall level of the EU budget for 2021-2027 needs to be increased to at least Member States contribution fixed at 1.3% GNI and new own resources, as supported by the European Parliament, the Committee of the Regions and the CPMR.

Read this analysis here.