Tentative deal reached on EU’s budget

Tentative agreement was reached yesterday evening on the EU's seven-year budget, with Tánaiste Eamon Gilmore and the European Parliament's chief negotiator Alain Lamassoure agreeing on a joint text.

The agreement between the two lead negotiators on the Multi annual Financial Framework (MFF) must now gain the support of member states at next week's General Affairs Council meeting in Luxembourg as well as MEPs at the European Parliament's plenary session in Strasbourg early next month.

In a sign of continuing resistance among some MEPs towards the package, Bulgarian MEP Ivailo Kalfin said the agreed package was “far from” the parliament’s original position. The key issue for the successful passage of the deal will be whether Alain Lamassoure can gain the support of the European People’s Party (EPP) and Social and Democratic (S&D) political groups, the largest in the parliament.

Complex task
Speaking yesterday evening in Brussels, Tánaiste Eamon Gilmore said that reaching this point of agreement was "very significant". "I think it is very good day for Europe. Agreeing a budget, either at a national level or at an international level, is always very difficult. This one is particularly complex," Mr Gilmore said.

The package addresses all four of the issues identified by the European Parliament, the Tánaiste added. This includes provisions on greater flexibility, a commitment to examine the issue of an “own resources” income stream for the European Union’s budget on a six-monthly basis, and a commitment to increase the transparency of the budget. The agreed package also proposes a compulsory review of the budget in 2016 to take account of the views of the new European Parliament that will be in situ after 2014. Under the agreed package, the European Commission will be obliged to present a review of the budget by the end of 2016, taking account of the economic situation and economic forecasts for Europe at that time.

Key priority
The Tánaiste will now present the agreed package to EU ministers at next week's meeting of the General Affairs Council in Luxembourg. Asked if he was confident of securing the support of member states, Mr Gilmore said: "I know that the member states are interested to ensure that there is a MFF. The idea of having a seven-year budget is important for member states to do the planning that is necessary."

Securing agreement on the EU’s budget has been a key priority of the Irish presidency of the European Council, which is now entering its final 10 days.