The European Commission has presented several documents outlining certain institutional aspects of the EU post-2020. The 2021-2027 EU budget was the subject of a specific communication, attached, the main points of which are summarised below.
- European Digital Transformation, through an increase in current investments in the digital economy to €70 billion to strengthen actions in the areas of data infrastructure quality, connectivity, cybersecurity, supercomputing, next-generation internet, artificial intelligence, robotics, and big data;
- Cohesion Policy, with three hypotheses
- Maintain current investments in European Structural Funds (ERDF, ESF, CF) at €370 billion, while maintaining the current distribution of structural funds and areas of action in European Regions;
- Reduce the Cohesion Policy budget to €275 billion (-25%). This would have a negative impact on the most developed regions, particularly in Austria, Belgium, Denmark, Finland, France, Germany, Ireland, the Netherlands, Sweden, Italy, and Spain
- Reduce the Cohesion Policy budget to €246 billion (-33%), concentrating funds only on Convergence Regions in France, Italy, and Spain
- European Defence Union, which provides for a separate funding mechanism of €10 billion to be invested
- Support youth mobility, with a budget for the post-2020 ERASMUS+ programme of €90 billion
- Support competitiveness through R&I action, by doubling the budget of the 9th framework programme for innovation to €160 billion
- Common Agricultural Policy, by reducing the dedicated budget by a maximum of 30%
- Enhance the use of financial instruments, by strengthening the European Fund for Strategic Investments (EFSI) to generate a leverage effect of €2 trillion
- Establish a reserve of up to €28 billion to finance common priorities (e.g., EFSI, the Facility for Refugees in Turkey, etc.)
- Financial conditionalities in the use of funds, to be made more flexible and consistent with national regulations
While the substantial increase in the budget for the next R&I framework programme and the resources dedicated to European Digitalisation are viewed very positively, the guidelines for the future Cohesion Policy are more concerning.
Click here to view the official press release and access the documents and factsheets presented.
Please note that the Commission has launched a series of public consultations (for info click here) closing on 8 March to define proposals for the post-2020 multiannual financial framework.
