Community budget: A lot of criticism of the Leyens’ proposal for trillion budget

There is criticism of different sides of the proposal of EU Commission President Ursula von der Leyen for the next long-term community budget of the European Union. The federal government will not be able to accept the Commission’s proposal, said government spokesman Stefan Kornelius. Even an additional burden for companies provided by the authority does not find any support in Berlin.

Von der Leyen wants two-billion budget

For example, to enable additional investments in safety and defense, the EU Commission wants to increase the budget for the years 2028 to 2034 to around two trillion euros. That is around 700 billion euros more than is currently estimated for the current seven -year budget period. Kornelius announced that a comprehensive growth of the EU budget was not conveyed in times when the member countries endeavor to stabilize their households with considerable efforts.

In the budget, upper limits of the annual expenditure of the EU and its use are determined. As a member state, Germany generally contributes almost a quarter of the funds.

Criticism of possible new stress for companies

An additional levy for large companies towards Brussels intended by the EU Commission to discharge the member states, but not only met with criticism in the federal government.

From the Auto industry association VDA it was already said in advance that companies in Germany and Europe were in an economically extremely difficult situation. “Any tax increase or the introduction of additional taxes therefore prohibit – both at national and European level,” said President Hildegard Müller. A tax, which was levied regardless of the profit, must be classified as particularly harmful to growth – it would weaken the competitiveness of companies in the EU.

The DIHK also said before the commission proposal was submitted that such a measure would be “the completely wrong signal”. It needs tailwind for companies, not additional taxes, according to the managing director Helena Melnikov.

Commission wants staggered company levy

As one of several new sources of income for the EU budget, the Commission proposes a tax for large companies with annual sales of more than 100 million euros. On the basis of their annual net turnover, the companies should make contributions to Brussels: 100,000 euros with a turnover of 100 million euros to 249 million euros, 250,000 euros with sales up to 499 million euros, 500,000 euros with sales of up to 749 million euros and 750,000 euros with sales of 750 million euros.

Furthermore, the Brussels authority provides for a levy on electronic waste not collected for recycling and wants 15 percent of the income from tobacco taxes to flow from the capitals to Brussels. According to the Commission, these and other new own funds are to bring in 58.5 billion euros annually.

“Zero number for nature conservation”

The BUND for the Environment and Nature Conservation Germany (BUND) describes the commission proposal as the “zero number for nature conservation”. There were no tangible commitments to financing, for example to implement the EU Renaturation Act to restore nature, said chairman Olaf Bandt. So it threatens to stall.

With the proposed cuts for climate and nature conservation, people in Europe would be poorly prepared for the tightening crises in the climate and biodiversity- “and in another summer with heat waves, forest fires and floods,” criticizes the environmental organization WWF.

The proposal must now be advised by the EU countries and the European Parliament, long and complicated negotiations are expected.