There will be a €94 billion Brexit-related hole in the EU budget for 2021-27 if business continues as before and the United Kingdom does not contribute. The authors show that freezing agriculture and cohesion spending in real terms would fill the hole, but new priorities would then need to be funded by an increase in the percent of GNI contribution.
Which should be the priorities for the Multiannual Fiscal Framework post 2020?
On February 23, EU members began negotiations on the bloc's multiannual financial framework for 2021-2027. But, with all countries focusing on net balances – how much they receive minus how much they pay – will the composition of spending bear any relation to the EU’s stated priorities?
As the debate on the EU 2021-2027 Multiannual Financial Framework gains momentum, we look at the major budget items and their effectiveness. The challenge for the future budget is to design spending programmes that are more efficient, effective and fair.