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                                                                                         WORLD NEWS Saturday 22 February 2020
            EU ends testy budget summit without deal, much work ahead



            By  LORNE  COOK  and  RAF  "It's a very difficult negotia-  gions would disappear and
            CASERT                       tion,  especially  after  Brexit  five countries that currently
            Associated Press             and the gap (of) between  receive rebates — a return
            BRUSSELS (AP) — European  60 and 75 billion euros," said  on  their  funds  because
            Union  leaders  broke  up  a  Michel.                     they contribute more than
            marathon  budget  summit  The  so-called  "Frugal  Four"  they receive — would lose
            without  a  deal  Friday  and  of  Austria,  Denmark,  the  that money, and their con-
            their  positions  were  still  so  Netherlands  and  Sweden,  tributions would "skyrocket,"
            far  apart  that  they  could  and  a  few  others,  believe  EU officials say.
            not  even  decide  when  to  the EU's 2021-2027 budget,  It's not just about this lengthy
            meet again on the divisive  which is meant to fund am-    summit. The whole budget
            issue.                       bitious climate change and  process  was  launched  al-
            After  28  hours  of  talks  the  digital  economy  policies,  most  two  years  ago  and
            leaders  could  not  find  a  should  amount  to  1%  of  the EU's executive commis-
            compromise,  with  a  half  the 27-nation trading bloc's  sion  had  insisted  it  be  fin-  Dutch Prime Minister Mark Rutte speaks during a media con-
            dozen  wealthy  member  gross national income.            ished last fall, as the current   ference at the end of an EU summit in Brussels, Friday, Feb. 21,
            states  insisting  they  would  On  the  other  hand,  many  budget  period  expires  this   2020.
            not  stump  up  more  funds  of  the  poorer  member  December.                                                                 Associated Press
            for  the  bloc's  next  long-  states  and  the  European  Broadly  speaking,  the  "Fru-
            term  spending  package,  Parliament wanted to stick  gal  Four"  with  the  backing  to  prove  that  Europe  can  by  the  commission,  and
            worth  around  one  trillion  with a bigger budget of 1.3  of  Germany  are  lined  up  still  forge  ahead  toward  the EU's executive arm has
            euros ($1.1 trillion).       percent.                     against the "Friends of Co-  brighter horizons, but Brexit  raked  in  plenty  of  those
            "The  differences  were  sim-  "I  can  understand  that  hesion,"  a  group  of  mainly  has left them with a sizable  from  antitrust  cases  involv-
            ply  too  big,"  said  German  when  you're  a  prime  min-  central  and  eastern  Euro-  budget  hole  —  about  75  ing tech firms and others in
            Chancellor Angela Merkel.  ister  in  a  country  that  has  pean nations who want to  billion  euros  ($81  billion)  recent years.
            "There  is  still  a  lot  of  work  poor  regions,  infrastruc-  see  the  continued  flow  of  over seven years.  So  no  country  even  pays
            ahead of us."                tures, I can understand that  "cohesion funds" — money  In  the  great  scheme  of  1% of its own gross national
            What's  at  stake  is  whether  ... but when it comes to the  earmarked  to  help  devel-  things  this  is  not  a  huge  income, and the debate is
            leaders  are  ready  to  put  percentage,  I  stand  firm,"  op poorer regions.        amount  of  money  for  the  over some 0.3 percentage
            their  money  where  their  Danish Prime Minister Mette  "If we want to find an agree-  world's   biggest   trading  points.
            mouths are when it comes  Frederiksen told reporters in  ment, I think everybody has  bloc. Even if a trillion euros  But  it's  not  just  about  con-
            to  European  policy  ambi-  Brussels.                    to be flexible. It cannot be  sounds like a lot, it actually  vincing  reluctant  member
            tions.  At  the  same  time,  Dutch  Prime  Minister  Mark  the way that one, or some,  amounts to about 1% of the  countries to stump up funds.
            amid     poor    economic  Rutte  said:  "There  is  a  way  countries  try  to  dictate  gross  national  income  of  The  European  Parliament
            growth, they cannot afford  to get out of this. But not to-  the  outcome,"  said  Finnish  the 27 nations combined.  must  also  ratify  any  final
            to  give  the  impression  to  night."                    Prime Minister Sanna Marin.  The  budget  is  also  made  budget agreement and for
            their home audiences that   The tussle over the seven-    With Britain gone from their  up of customs revenue and  the moment EU lawmakers
            they are splashing out tax-  year  budget  is  almost  a  ranks,  the  leaders  want  income  from  fines  levied  are far from happy.q
            payers' cash.                tradition  in  the  EU,  with
            "As  my  grandmother  said,  long  meetings  par  for  the
            to  succeed  you  have  to  course.
            try,"  EU  Council  President  "In  the  past  it  was  always
            Charles Michel said. It was  such.  We  needed  two  or
            not clear yet exactly when  three summits. I am hopeful
            a new summit would be set.  to get a new breakthrough
            "The work is going to have to  next  time,"  said  Austrian
            continue  in  coming  weeks  Chancellor Sebastian Kurz.
            and  months,"  said  French  It  is  an  issue  though  that
            President  Emmanuel  Ma-     cannot be pushed forward
            cron.  "There  have  been  forever.    Unlike   national
            some  improvements  but  budgets,  the  EU's  spend-
            they're not good enough."    ing  plan  cannot  be  tem-
            Beyond  the  problems  of  porarily  rolled  over  based
            reconciling rich and poorer  on  the  terms  of  the  previ-
            member states, the depar-    ous  seven-year  package.
            ture of Britain at the begin-  The  budget's  legal  basis
            ning  of  the  month,  which  would  evaporate  without
            was  a  high  contributor  to  an agreement.
            the  EU  coffers,  also  made  From  next  year,  funds  to
            things tougher.              help  poorer  European  re-
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