Costa Calls for New Revenue to Fund EU Budget

European Council President António Costa has urged member states to soften their positions and agree on new sources of revenue for the EU’s next seven-year budget.

Costa hopes to narrow down the options acceptable to EU governments at a summit on 15 October. The European Commission last year proposed five new levies targeting carbon imports, emissions, non-collected electronic waste, corporate profits and tobacco products, according to Politico.

The measures are expected to raise €66bn ($77bn) a year but most have met resistance from member state governments, which must unanimously approve each new levy. Luxembourg has already rejected the proposed tobacco levy, arguing that it would disproportionately affect the country.

Costa warned that without new revenue, the EU would face two alternatives: scale back its ambitions on security, defense, competitiveness, cohesion and agriculture, or increase member states’ contributions.

European affairs ministers are due to discuss the proposed levies in Brussels on 22 September.

(mja)