European Union News - European Union

The €1.9 billion cuts proposed by the Council in areas that MEPs believe are vital to boost the economy, were refused by the European Parliament in a vote on the budget proposal for 2013. The Council highlights with particular concern that the European Parliament's amendments considerably reduce the margins under the expenditure ceilings of the current multiannual financial framework or even delete it.

The European Commission decided to reduces 2013 draft EU budget by €25.1 million compared with its proposal presented in April 2012. The reason follows the usual autumn update of EU funding needs in agriculture, and reflects the international fisheries negotiations.

The European Council met on 18 October to discuss several aspects of a possible banking union. European leaders agreed that in order to break the vicious circle between banks and sovereigns, the urgent element needed is a Single Supervisory Mechanism, to prevent banking risks and cross-border contagion from emerging.

The European social partners stressed the need for the active involvement of social partners in the implementation of national reform plans and in EU governance as a whole in the Tripartite Social Summit held in Brussels on 18th October ahead of the autumn European Council.

A third general approach, which is a political agreement of the Council pending the adoption of a first-reading position by the European Parliament, was agreed by the Council on the cohesion policy legislative package. The approach is partial since some elements are excluded, in particular the sums to be devoted to cohesion policy and the eligibility of different regions.

Economic and Monetary Affairs Committee approved a resolution which sets out many measures to improve democratic accountability and legitimacy, so as to match transfers of powers to EU level. The resolution particularly places very strong emphasis on the need for an appropriate accountability setup with regard to a host of players.

The Norwegian Nobel Committee has decided on October 12th 2012 to award the Nobel Peace Prize for 2012 to the European Union for its contribution over six decades to the advancement of peace and reconciliation, democracy and human rights in Europe. Innumerate reactions and congratulations for this award came up immediately after the announcement in support of what has been a great project for peace and stability in Europe.

The Internal Market Scoreboard published by the European Commission shows that the number of incorrectly transposed directives directives in average compliance deficit has fallen. However, after the increase recorded in May and November 2011 (1.2%), the European average transposition deficit is now back to 0.9%, i.e. below the target agreed by the European Heads of State and Government in 2007.

Eurostat published a short publication presenting past trends and latest data for each of the headline indicators of the strategy at EU and Member State level. These indicators show progresses but also that there is still work to do to achieving the strategy's goals. The Europe 2020 strategy aims at establishing a smart, sustainable and inclusive economy with high levels of employment, productivity and social cohesion.

Jean-Claude Juncker, President of the Eurogroup announced on 27 September that the Treaty establishing the European Stability Mechanism (ESM Treaty) will enter into force following the deposit by Germany of its instrument of ratification. In addition, the representatives of the parties signed an agreement on the interpretation for the Article 8(5) of the ESM Treaty and the Article 32(5), Article 34 and Article 35(1).

Members of the European Economic and Social Committee (EESC) adopted an opinion on the cost of non-Europe. They stressed that it is important in mapping a way out of the financial crisis, but also because it is crucial to the success of the Europe 2020 strategy and the next Multiannual Financial Framework.