Read full blog here. The fiscal rules reform will play a huge role in determining how the EU tackles some of the monumental challenges Europe faces, such as achieving a just transition to a more sustainable future. However, rather than making social, environmental and climate concerns a clear priority, the European Commission is instead showing a lack of ambition in the proposals to reform the EU fiscal rules.
The Commission’s proposal to prioritise outdated debt and deficit-to-GDP ratios means that avoiding austerity and addressing Europe’s major challenges will be even more difficult. Especially so once the Recovery & Resilience Facility (RRF) funds will run their course in 2026.
To get to the bottom of what these proposals entail, we’ve dived into the details of this long proposal (three legislative documents and one annex) to share what it really means for social Europe.
Need a reminder of everything that’s happened so far before you jump into our analysis? Catch up on our views around the public consultation (our blog), fiscal guidance for 2023 (our blog), initial Commission orientations for (our blog) and Council conclusions (our blog) on the reform.