High Level Group on Own Resources releases independent report

CEPS, in the collaboration with LSE Enterprise, Université de Pau and Deloitte, has completed an independent report for the High-Level Group on Own Resources, led by Mario Monti, and entitled "Potential and Limitations of Reforming the Financing of the EU Budget". This report presents an analysis of the underlying debates on the budget resources and expenditure and places the analysis in a modern context, questioning not only how the budget is financed, but what it finances and what it should finance. It demonstrates that the widespread obsession with the net balance is out of line with the present budget actions and the financial flows they generate. A modern EU budget capable of responding to present and future challenges cannot be developed without a new approach to negotiating the budget. As long as member states focus on the narrow flows of euros to and from their treasuries, the EU budget cannot become an efficient investment vehicle or respond to the common security and environmental challenges facing Europe. The report outlines a strategy to more closely link resources to expenditure reforms in a realistic fashion.

The report can be downloaded from the European Commission website:

http://ec.europa.eu/budget/mff/hlgor/highlights/highlight_en.cfm?id=21