EU Insight, 19 April 2024

Brussels, 19 April 2024

EU LEADERS DISCUSS A NEW EU COMPETITIVENESS DEAL AND THE SINGLE MARKET

EU leaders gathered in Brussels for a European Council Summit with a focus on the EU’s competitiveness and the future of the Single Market, in the context of Enrico Letta’s report on the latter topic. Providing a holistic view of the functioning of the Single Market, the former Italian Prime Minister’s report urges further integration of financial, energy and telecommunications markets. In relation, EU leaders called for a policy shift in those areas that would translate into a new European competitiveness deal with a clear investment strategy at its core. The Summit also covered discussions on Ukraine, the Middle East and Turkey, notably resulting in a push for further restrictive measures against Iran.

COMMISSION ENDORSES UKRAINE PLAN AND PAVES THE WAY FOR €50 BILLION IN SUPPORT

The European Commission endorsed a reform, recovery and reconstruction plan submitted by Ukraine, clearing the path for up to €50 billion in EU support under the Ukraine Facility. The so-called Ukraine Plan commits the country to a comprehensive reform and investment strategy until 2028, targeting 15 areas including energy, agriculture, transport, the green and digital transition, as well as state-owned enterprises, and public finances. Overall, the Ukraine Facility aims to continue supporting Ukraine through Russia’s war of aggression, while facilitating the country’s alignment with EU accession criteria. Further EU support for Ukraine comes with the allocation of €10 million to fund displaced Ukrainian researchers under the Horizon Europe programme.

DIALOGUE OPENED ON POST-BREXIT EU-UK YOUTH MOBILITY

The Commission proposed initiating negotiations with the United Kingdom to develop an agreement to enhance youth mobility. As such, the proposal aims to ease study, work, and residency conditions for young EU and UK citizens. Brexit has curtailed mobility between the EU and UK, limiting opportunities for young people to engage in cultural, educational, and professional exchanges, as for example the EU’s Erasmus+ programme seeks to foster. Thus, the Commission aims to remove Brexit-imposed barriers to mobility, granting young people the right to travel between the EU and UK more freely and grant residency rights for up to four years in the host country.

EU INSTITUTIONS RENEW COMMITMENT TO A SOCIAL EUROPE

The Belgian presidency of the Council organized a high-level conference on the European Pillar of Social Rights, an initiative which is in its implementation phase. The Conference brought together key stakeholders including EU institutions, social partners, and civil society aiming to reaffirm the EU’s commitment to strengthening European’s social rights. Discussions centred on initiatives to bolster social policies, focusing on equal opportunities, fair working conditions, and social protection. Key outcomes include the signing of a declaration on the future of the pillar, as well as agreements to propose new actions for employment, skills, and poverty reduction, while reinforcing governance mechanisms.

EUROPEAN DEFFENSE AND SECURITY SUMMIT CALLS FOR A UNIFIED AND INNOVATIVE EU

This week, Brussels hosted the 7th European Defence & Security Summit, bringing together stakeholders from EU institutions, national governments, NATO, industry, and academia. The Summit centred on the role European industry may play in safeguarding the EU’s security and addressing present and future security challenges. Commission President Ursula von der Leyen leaned on Iran’s recent attack on Israel to warn against potential escalation of ongoing conflicts, and thus stressed the urgency to bolster Europe’s defence capabilities. She further underlined the importance of fostering innovation in the Union to ensure that Europe regains an edge in advanced security and defence technologies.

COMING UP NEXT WEEK

• 22 April: Foreign Affairs Council. On the Agenda: Russia’s invasion of Ukraine, Conflict in the Middle East, Sudan.
• 22-25: Plenary Session in Strasbourg. On the Agenda: EU’s economic governance framework, Net Zero Industry Act, and the European Health Data Space.
• 23 April: College of Commissioners. On the Agenda: Commission Recommendation on integrated child protection systems
• 23-24 April: Informal meeting of health ministers. On the Agenda: health workforce, pharmaceutical legislation, and the European Beating Cancer Plan.

Karl Isaksson, Managing Partner Brussels, Kreab

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Kreab • Tel: +32 2 737 6900 • karl.isaksson@kreab.com • www.kreab.com/brussels • X: @KreabEU  •  LinkedIn: Kreab Worldwide