Open Europe : Daily Press Summary

[Politics.be]

New Open Europe briefing: Open Europe’s EU war games show that Cameron risks defeat in Europe unless he ups his game;Mats Persson: Jumping from headline to headline is a sure way to end up pleasing no oneOpen Europe has today published a new briefing containing a comprehensive analysis of the first session – the reform and renegotiation scenario – from last week’s simulated UK-EU negotiations. The exercise showed that sweeping EU reform is fully possible. However, bringing the simulation back to reality, Open Europe concludes that David Cameron has fallen behind the curve in Europe, currently suffering from poorly joined up initiatives and short-term thinking. The briefing sets out ten specific lessons that David Cameron can learn when negotiating a new deal with the EU. The Times trails the briefing, noting that Open Europe drew the conclusion “after extensive conversations with Whitehall figures, European partners and conducting a real-time ‘war game’.”

Writing in the Times’ Thunderer column, Open Europe Director Mats Persson argues, “The good news is the appetite for change across Europe is growing. The bad news: Mr Cameron risks wasting the opportunity,” outlining three problems the UK government has to address. He adds, “Mr Cameron should appoint a lead negotiator or an EU reform task force to co-ordinate work across all departments and tour national capitals testing ideas…Jumping from headline to headline may work for domestic issues but on Europe, it’s a sure way to end up pleasing no one.”

On Conservative Home, Paul Goodman argues, “ Persson is not reflexively hostile to the Government, and his account is grimly credible”, concluding that the lack of a strategic vision owes to “a terror at the top of the Government of opening up the question of what and how much any renegotiation will aim to achieve.” Separately, the Telegraph reports that Cameron has told the 1922 Committee of Conservative MPs that he is preparing to use the Parliament Act in order to force the EU Referendum Bill through the House of Lords and into law before the 2015 general election.
Open Europe briefing Open Europe press release Times Times: Persson Conservative Home: Goodman Telegraph

Banking union blueprint agreed by EU finance ministers
EU finance ministers last night agreed a blueprint to create a common bank resolution regime and fund to handle bank failures. The deal sets the position of EU governments as they enter talks with the European Parliament to agree the legislation. The joint fund will be constituted by gradually merging national funds from levies on banks to create a common €55bn pot by 2025. Following German demands, while resolution funds are being built up, national governments will need to put up the money or, if necessary, request a loan from the eurozone’s bailout fund, the ESM. In some cases, the resolution funds could be allowed to raise money on financial markets, but the details of how that would work have yet to be decided.

The release of significant resolution funds will require the authorisation of a complex double majority on the common resolution board’s plenary committee: two-thirds of voting countries contributing at least 50% of the common fund. The rules for cost sharing between the “national compartments” of the single fund are laid out in a separate intergovernmental treaty. The deal also granted the European Council the final say, under simple majority, over whether a bank is wound down or not, based on recommendations from the resolution board and the Commission.
FT FT 2 City AM WSJ Reuters Reuters 2 Telegraph Kathimerini Council of Ministers press release Le Monde La Tribune El Pa�*s Expansión El Mundo Il Sole 24 Ore Times Irish Independent Irish Times: Lynch Irish Times

UK set to reject push for closer EU military integration
David Cameron is set to clash with France and other supporters of greater EU military co-operation at today’s European Council summit with the UK seeking to block or water down proposals on pooling defence procurement and setting up a European defence fund – which could fund interventions such as the current French led effort in the Central African Republic. The UK will also try to prevent the European Commission from acquiring its own drone capability.
FT FT 2 Reuters EUobserver Economist: Charlemagne

Germany to lock horns with European Commission over energy subsidies
German Chancellor Angela Merkel has pledged to defend German industry from an EU probe into state discounts to companies for renewable energy surcharges. “We will make it very clear to the Commission that Germany wants to retain its strong industrial base…Europe is not stronger when German jobs are at risk”, she said. Die Welt cites new German Energy and Economy Minister Sigmar Gabriel (SPD) arguing that the Commission should not meddle in national energy policy.
FT WSJ Reuters Deutschland FAZ FAZ 2 FAZ: Nonnenmacher Süddeutsche Süddeutsche 2 Welt

Irish Europe Minister: It is in our mutual interest to avoid the UK leaving the EU
Irish Europe Minister Paschal Donohoe writes in the Irish Times, “A debate on the role of member states within the EU is needed and welcome. But that discussion should not be excessively focused on the possible role of the UK outside of the Union. work together as equal EU members. We are inside the tent, together. This relationship will change if the UK moves outside the tent. It is in our mutual interest to avoid this.” Mr Donohoe will be one of the speakers at Open Europe’s high-level EU Reform Conference in London on 15-16 January.
Open Europe Events Irish Times: Donohoe

NOS TV reports that a majority in the lower house of the Dutch parliament, including Prime Minister Mark Rutte’s VVD party, is against binding ‘reform contracts’ for eurozone countries. VVD’s EU spokesman, Mark Verheijen, said the budgetary powers of the Dutch parliament are not up for negotiation. However, the Dutch government believes these contracts could be potentially useful.
NOS NRC Rutte letter

Italian Prime Minister Enrico Letta yesterday said that the EU should work to weaken the euro vis-�*-vis the US dollar, calling the current exchange rate “damned” and “unbalanced”.
Reuters Italia FAZ

French MPs will today give their final approval to the national budget for 2014, which envisages €15bn of spending cuts and €3bn of tax hikes. The French government aims to reduce public deficit from 4.1% to 3.6% of GDP, Le Figaro reports.
Le Figaro

The amount of bad loans held by Bank of Cyprus, the island’s largest bank, rose sharply to 48% of total loans in the third quarter of this year, from 36% at the end of the previous three-month period, Kathimerini reports.
Kathimerini

The Greek parliament yesterday voted to halt state funding to the far-right Golden Dawn party, by 241 votes to 26.
FT Kathimerini

The European Commission has proposed a temporary ban on the cloning of animals for food in the EU, but said it will not adopt measures to restrict the sale of meat or milk from cows, sheep or pigs that are the descendants of cloned animals, the Telegraph reports.
Telegraph


Bron: politics.be