19 July 2024
On Thursday 18 July, the European Parliament confirmed Ursula von der Leyen's nomination for another five years as European Commission president. Von der Leyen (EPP, DE) won 401 votes in a secret ballot, with 284 votes in opposition, 15 abstentions, and seven votes declared invalid (361 votes of support were needed).
Von der Leyen was supported by the three centre groups (the European People’s Party, the Socialists & Democrats, and Renew) and the Greens, who decided to support her after she presented her political guidelines. On the other hand, the European Conservatives and Reformists (ECR), including Italian Prime Minister Giorgia Meloni’s party, Brothers of Italy, voted against von der Leyen.
Now that von der Leyen has the support of both the European Council and the European Parliament, she will begin to assemble her new European Commission. Similarly, as in 2019, she will ask national leaders to send two potential candidates for commissioners: a man and a woman. The only exception is when the incumbent commissioner stays. Von der Leyen will interview the candidates as of mid-August, after which the European Parliament (in committees) will grill them. There is now hope that the new European Commission will be in a position to take office on 1 November.
Contact: Maxime Staelens
Ahead of the vote, Ursula von der Leyen published her political guidelines and proposed policy priorities for the next five years, striking a balance appealing to conservatives, socialists, liberals and environmentalists.
Balancing concerns about the economy with implementing the EU Green Deal, European Commission President Ursula von der Leyen presented her candidacy as a beacon of stability amid a world of uncertainty and polarisation. She pledged a pragmatic implementation of the EU Green Deal and the launch of new strategies such as a Clean Industrial Deal and a European Prosperity Plan.
In both her address at the European Parliament and the political guidelines, von der Leyen stressed competitiveness as her first policy priority in her speech, symbolising its importance during a potential second term, and calling for the new Commission to be an ‘investment Commission’. Initiatives are expected on issues such as revising state aid rules (especially in some sectors such as housing), creating a European Competitiveness Fund, mobilising public and private investments via a European Savings and Investments Union, and reviewing the Public Procurement Directive.
At the same time, von der Leyen pledged to continue implementing the EU Green Deal through expected proposals for an ambitious 2040 climate target (90%), a water resilience strategy, a climate adaptation plan, and a circular economy act.
Finally, Ursula von der Leyen also highlighted some upcoming proposals to strengthen the EU social model, including references to a quality jobs roadmap (to be developed together with the social partners), a proposal for a right to disconnect, as well as an EU Anti-Poverty Strategy, EU Affordable Housing Plan, an Action Plan on the Implementation of the European Pillar of Social Rights, and initiatives to bring to life Enrico Letta’s “freedom to stay” and address skills and labour gaps.
She also promised to propose new portfolios within the College of Commissioners, including for defence, housing, fisheries, and the Mediterranean region, and a vice presidency in charge of coordinating efforts to cut administrative burdens.
Contact: Maxime Staelens
On Tuesday 16 July, the Hungarian Presidency of the Council of the EU organised its first meeting of the Economic and Financial Affairs Council. On this occasion, the Hungarian presidency presented its priorities and work programme in economic and financial affairs, particularly in economic policy, annual budget, financial services, taxation, and customs issues, focusing on improving the European economy's competitiveness. They intend to focus their efforts on areas where EU action has added value and can effectively contribute to macroeconomic stability and prosperity in a geopolitically uncertain environment.
In this context, ECOFIN Ministers took stock of implementing the Recovery and Resilience Facility (RRF). They adopted an implementing decision approving Germany’s modified recovery and resilience plan, including a new REPowerEU chapter. The Council also approved updated plans submitted by Greece, Cyprus, Poland and Finland. Ministers were informed about the economic and budgetary situation in Ukraine, including the implementation of the Ukraine Facility and the state of progress on the implementation of the G7 agreement on an additional loan of 50 billion US dollars to Ukraine to be serviced and repaid by future flows of extraordinary revenues stemming from the immobilisation of Russian sovereign assets.
Taking work forward on the European Semester, the Council approved country-specific recommendations on each member state's economic, social, employment, structural and budgetary policies. The Council also approved the conclusions on the 2024 in-depth reviews under the macroeconomic imbalance procedure. Finally, The Commission presented its proposals for Council decisions on opening an excessive deficit procedure for seven member states: Belgium, France, Italy, Hungary, Malta, Poland and Slovakia.
Contact: Guillaume Afellat
On 16 July, 21 governments called the European Commission to stress the importance of boosting European water security and building resilience within the European Union. The letter asks to place the severe impacts of droughts and floods caused by climate change on top of the EU preparedness agenda and take concrete actions calling for an EU water resilience plan.
Furthermore, according to the ministers, the EU must see the water issue as an overlapping problem beyond the environmental level, pointing out the water needs of people, ecosystems, agriculture, energy, and industry. Also, ministers asked the EU to adapt its policy activities to existing water resources, ensuring efficiency in supply and demand, promoting environmental protection, and ensuring that resilience is achieved fairly and equitably.
The letter was published one week after the informal meeting of Environment Ministers, which was held on 11-12 July at Várkert Bazaar in Budapest. The discussions also focused on resilient water management, amongst other issues, such as preparations for the upcoming COP29 in Brazil. They looked at creating cross-sectoral conditions for adaptative and resilient water management.
These messages were also echoed in the speech of newly re-elected President Ursula Von der Leyen on Thursday, 18 July, in which she announced the need to establish a Water Resilience Strategy in her political guidelines.
Contact: Henriette Gleau
On Monday, Elisa Ferreira, EU Commissioner for Cohesion, argued that ‘cohesion policy is more relevant than ever’ and that the EU ‘will not be able to win the global competition against China and the United States without mobilising the strength of every region’. She made the comments at an event on cohesion and structural funds in response to German Finance Minister Christian Lindner, who argued that too much money is spent on cohesion policy and that many regions do not have the capacity to use the money that they receive effectively.
Ferreira’s comments align with many of the arguments made by SGI Europe in its contributions to the Letta Report and its Opinion on Competitiveness. The EU should fully utilise the efficiency and resilience of local and regional economies. Well-organised local economies are in the best position to use investments efficiently and in a manner which contributes not only to overall economic growth but also to the creation of local economic opportunities and social cohesion. To ensure that all regions contribute to and benefit from the single market, the EU should invest in local SGIs and infrastructures, which create economic opportunities in all EU territories.
Ursula Von Der Leyen’s Political Guidelines, published on Thursday, state that regions will remain at the heart of the Commission’s work and that the EU ‘need[s] a strengthened cohesion and growth policy’. This policy will be designed in partnership with national, regional and local authorities. At the same time, the Commission intends to work with trade unions and employers to create a Pact for European Social Dialogue.
Contact: Ruben Sansom
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