By Desmond Hinton-Beales - 20th April 2011
The draft budget adopted today focuses on the EU and its citizens
Janusz Lewandowski
Substantial cuts would benefit richer member states only in the short term, but in the long term they would harm the European economy as a whole
Göran Färm MEP
Last year we saw a 2.9 per cent increase in the EU budget. That was already too high. Yet another inflation-busting rise is outrageous
Martin Callanan MEP
Next year's budget again hopes to be realistic about the current economic realities, but also ambitious in achieving the goals the EU has set itself with the Europe 2020 strategy
Marian-Jean Marinescu MEP
The European commission has proposed a 4.9 per cent increase to the 2012 EU budget despite protests from national governments pursuing austerity programmes.
The commissions' proposal, presented on Wednesday, would raise the EU budget by €6.2bn to €132.7bn for 2012, two percentage points above inflation.
European financial programming and budget commissioner Janusz Lewandowski described next year's EU budget as "a delicate balancing act combining austerity and growth boosting measures for 500 million Europeans".
"The draft budget adopted today focuses on the EU and its citizens," said Lewandowski, adding that the commission has proposed cuts in many areas of administration as well as going to "great lengths" to identify areas of the budget with poor performance.
Defending the increase in the EU budget during times of austerity, the Polish commissioner said, "We cannot punish our citizens, companies, local and regional authorities who have a right to get their bills paid.
"The main reason for the increase is that we must pay the bills coming from projects from across Europe. Stopping such projects half-way through would be detrimental to whole communities."
Responding to the proposals, parliament's Socialist group called for an anti-crisis budget which would promote investment growth and job creation.
S&D budget spokesman Göran Färm said, "There is a strong temptation in some EU capitals to cut EU spending because of the need to cut national deficits. This approach is counterproductive.
"The EU budget is an important tool for European solidarity. Substantial cuts would benefit richer member states only in the short term, but in the long term they would harm the European economy as a whole."
Italian S&D deputy Francesca Balzani also criticised the commission's approach, saying that an EU budget that promotes growth and investment is the "only way for the EU to back member states in achieving the key objective of the EU 2020 strategy to promote jobs and high quality employment for all Europeans".
Speaking for the ECR group, Martin Callanan said the commission should be more respectful of member states' attempts to reduce their national debt.
"Last year we saw a 2.9 per cent increase in the EU budget. That was already too high. Yet another inflation-busting rise is outrageous," he said
"There are no end of places where the EU can cut fat. The EU needs to do less, do it better, and cost less. Every other public sector organisation is tightening its belt and the EU must do the same. Conservative MEPs will not accept an increase in the EU's budget."
However, EPP group vice-president in charge of the budget Marian-Jean Marinescu welcomed the "emphasis on growth and cohesion in the draft 2012 EU budget".
"Next year's budget again hopes to be realistic about the current economic realities, but also ambitious in achieving the goals the EU has set itself with the Europe 2020 strategy," he said.
