However, many net contributors — those who pay in more than they get out — want their bills cut. Others, including those who stand to gain most from the funding, want to see spending increased.
“Our six countries alone finance almost 40% of all Member States’ contributions. While net contributors as a whole are in the minority, they shoulder around three-quarters of the total financing burden,” the letter reads. A 60% nominal increase in the size of the budget compared to the current one, they argue, is “simply not realistic.”
In a bid to lessen the financial pressure on national capitals, the Commission wants to create new powers to raise revenue directly through bloc-wide taxes (known as own resources), with e-cigarettes, vapes and cryptocurrency transactions all being considered. That, however, has not satisfied more frugal nations.
“The EU budget is ultimately paid for by European citizens. That remains true whatever financing mechanism or own resources we invent,” the letter cautions.
The Irish presidency is due to present a new negobox — a detailed breakdown of the proposed budget with fresh figures — in the coming days. Leaders will then hold talks over its content at a two-day summit in Brussels from Oct. 15.
Negotiators are eager to get a deal by the end of the year to ensure the budget is in place when the current one expires, and to prevent discussions being roiled by national elections in France, Poland and other countries.