CAP funds under pressure in EU’s budget talks

There’s only €329.3 billion for the Common Agricultural Policy on the table today as heads of state meet to negotiate the EU’s long-delayed 2021-2027 budget talks.
CAP funds under pressure in EU’s budget talks

EU Council President Charles Michel: Faces a tough task to get budget progress in talks that start tomorrow.
EU Council President Charles Michel: Faces a tough task to get budget progress in talks that start tomorrow.

There’s only €329.3 billion for the Common Agricultural Policy on the table tomorrow as heads of state meet to negotiate the EU’s long-delayed 2021-2027 budget talks.

This compares with an estimated €382.5bn that the EU-27 spent on CAP, under the seven-year current budget.

There are many contentious issues for member states in the budget negotiations. And even if they agree, the European Parliament’s consent will also be required to pass a budget, and its President, David Sassoli, has warned they are unhappy with the budget proposals.

Opposition to proposed cuts on agriculture spending is likely to be led by France’s Emmanuel Macron.

However, the new budget has to accommodate the departure of the UK from the EU, while keeping traditional EU policies properly funded, and finding money also for new policy priorities.

Meanwhile, net contributing member states oppose an increase of the budget.

The net contributors are not willing to go beyond 1% of the EU’s gross national income; the 2018 European Commission proposed a budget worth 1.11%; the European Parliament proposed 1.3%, and the council president Charles Michel has proposed 1.074% of GNI.

The Michel proposal would increase funding for less developed regions (GDP per capita less than 75% of the EU average) but more developed regions (GDP per capita above 100% of the average) would lose €7 billion.

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