17.05.2018

At the beginning of May, the European Commission presented its proposal for the next EU budget , for the period 2021-2027 , in which it proposes cutting agricultural funds from the CAP and cohesion by 5% and 7%, respectively. Despite this, both policies remain pillars of the European budget and account for around 65% of it, compared to 73% under the current framework.

The second largest funding allocation is Natural Resources and Environment, with €378.92 billion (29.6%), the bulk of which will be allocated to the Common Agricultural Policy (CAP) : €365 billion for direct payments and rural development measures. The European Regional Development and Cohesion Fund will have a budget of €273 billion.

Regarding the second pillar of the CAP , rural development, Brussels has proposed cutting EU co-financing for rural development programs by 10%, and Hogan has encouraged countries to cover this gap with national funds so that rural development programs are not reduced. "If Member States decide to plug this gap in rural development, it would mean no cuts," the EC states, later specifying, as an example, that this would amount to approximately 180 million euros annually in the case of Spain.

Regarding the first pillar of the CAP, the EU Agriculture Minister has guaranteed that direct payments will not fall by more than 3.9% in any Member State.

Brussels also recommends increasing funding for "new and urgent priorities," including funds dedicated to research and innovation, youth, the digital economy, border management, security, and defense .

In general terms, the main proposals put forward by the European Commission for this upcoming programming period are: increased co-financing, the importance of climate change, aid redistribution, a crisis reserve, and greater flexibility for Member States.