Leaked memo indicates “unanimous” EFSI support by officials

An internal document sent to EU finance ministers last week says that the European Commission has the backing of member state officials for the European Fund for Strategic Investments (EFSI).

The memo was obtained by The Bureau of Investigative Journalism and was sent by the Commission to politicians ahead of the Economic and Financial Affairs Council meeting that takes place today in Brussels. The document says that there is “unanimous support” from EU national officials for cutting €2.7bn from Horizon 2020 to help fund EFSI. Finance ministers will discuss the proposed Investment Plan for Europe, as well as the G20 meeting that took place in Istanbul earlier this month.

The memo indicates that there will also be substantial cuts to some existing EU budgets in order to finance EFSI. As part of the plan, €8bn will also be drawn from the current budget of the Connecting Europe Facility. According to Commission documents, the budget of the European Institute of Innovation and Technology will be cut by €350m, whilst the European Research Council budget will be reduced by €221.2m. Cuts will also be made from the other objectives of Horizon 2020.

EFSI was unveiled by Commission President Jean-Claude Juncker during a speech to MEPs in Strasbourg in November last year. European research organisations and scientists, though generally welcoming the investment package, have warned against reducing the budget of Horizon 2020. MEPs are currently debating the legislation in the European Parliament.