Today discussions between European heads of State on the European Union’s seven year budget due to come into effect in 2014 broke down at the end of two days of negotiations.
International development agencies have been battling to ensure that as the budget is tightened and reductions are made, overseas development assistance cuts are not disproportionately high in comparison to the rest of the EU multi-annual financial framework (MFF). Over the past months leading up to these negotiations, many organisations, including RESULTS UK, have sought to convince heads of State and relevant Ministers that despite the need for austerity, the budget must not be balanced on the backs of the world’s poorest.
Unfortunately, when the European Council President Herman Van Rompuy presented his updated proposal for the MFF yesterday it was clear that the amount allocated to overseas development assistance was being squeezed in an attempt to appease competing demands – none of which seemed to focus on developing countries. In the new MFF proposal Mr Van Rompuy had identified cuts of at least €81.85bn to the previous Commission proposal of €1 091.55bn – representing a 7.5% cut overall. However the cut to development spending represents a 12.8% reduction – much higher than the overall budgetary reduction.
The last time such negotiations took place was in 2005, to agree the current seven year budget. This time around, as many EU States face heavy austerity measures at home there is strong opposition from some, including the UK to agree anything more than a budgetary freeze at the EU level. In a statement issued by David Cameron he noted that now is not “a time for tinkering” with the multi-annual financial framework, indicating that he wishes to see major cuts to the budget.
The next negotiations between heads of State on the budget will likely take place in January 2013 according to a statement issued by the European Council at the end of today’s negotiations.


