Latest stories - Economy, finance, tax and competition

Antitrust: Commission welcomes General Court judgment in MasterCard case

24/05/2012  -  Economy, finance, tax and competition

The European Commission welcomes today's judgment by the General Court dismissing an action brought by MasterCard against a Commission decision of 2007 prohibiting MasterCard's cross-border inter-bank fees.

• The General Court confirms the Commission’s decision prohibiting the multilateral interchange fees applied by MasterCard
• Full judgement from the General Court

Parliament adopts ambitious approach on financial transaction tax

23/05/2012  -  Economy, finance, tax and competition

The proposed financial transaction tax should be better designed to capture more traders and make evasion unprofitable, said the European Parliament. The opinion also says the tax should go ahead even if only some Member States opt for it.  |VIDEO|

• Commissioner Šemeta welcomes European Parliament's strong support for the Financial Transactions Tax
• The legislative procedure step by step
• More on taxation of the financial sector

Infrastructure project bonds: MEPs secure deal with member states on pilot scheme

22/05/2012  -  Economy, finance, tax and competition / Institutional affairs

The EU will set aside €230 million in guarantees to support the issuance of "project bonds" for EU infrastructure projects under a deal concluded by MEPs and EU governments in Strasbourg. The deal will pilot test this innovative plan to attract private investment in transport, energy and information technology network projects.

• Statement by Vice-President Olli Rehn following the political agreement on the EU-EIB Project Bonds Initiative
• Questions and answers on A pilot for Europe 2020 Project Bond Initiative
• More information on the pilot phase of the Europe 2020 Project Bond Initiative

Combine austerity with measures to boost growth, say Eurobarometer respondents

22/05/2012  -  Economy, finance, tax and competition / Statistics

Almost half of the Europeans surveyed think that combining public spending cuts with measures to boost economic growth is the best way to end the current economic crisis, says the latest European Parliament Eurobarometer poll.

• Eurobarometer survey – The crisis and the economic governance in Europe
• Analytical summary
• More on EU economic governance
• Special coverage – Europe 2020 – Europe's growth strategy

Taxation trends in the European Union – Further increase in VAT rates in 2012

21/05/2012  -  Economy, finance, tax and competition / Statistics

Corporate and top personal income tax rates inch up after long decline. The average standard VAT rate in the EU27 has risen strongly since 2008. In 2012, the standard VAT rate varies from 15.0% in Luxembourg and 17.0% in Cyprus to 27.0% in Hungary and 25.0% in Denmark and Sweden.  |VIDEO|

• DOCUMENT. Report on Taxation trends in the EU
• PRESENTATION. 2012 edition of the ‘Taxation Trends’ report
• More on Taxation trends in the EU – 2012 edition
• General information on EU taxation

April 2012 – Euro area annual inflation down to 2.6%, EU down to 2.7%

16/05/2012  -  Economy, finance, tax and competition / Statistics

Euro area annual inflation was 2.6% in April 2012, down from 2.7% in March. A year earlier the rate was 2.8%. Monthly inflation was 0.5% in April 2012. EU annual inflation was 2.7% in April 2012, down from 2.9% in March. A year earlier the rate was 3.3%. Monthly inflation was 0.5% in April 2012.

• Inflation rates – detailed figures
• More on Harmonized Indices of Consumer Prices (HICP)

Making European banks more solid

15/05/2012  -  Economy, finance, tax and competition

The EU is set to make its banking sector more resilient to financial shocks, as stricter capital requirements for banks and investment firms were given political approval by the Economic and Financial Affairs Council.  |PHOTOS|VIDEO|

• DOCUMENT. Bank capital rules: General approach agreed ahead of talks with Parliament
• EU rules on capital requirements for credit institutions and investment firms
• Main results of the Economic and Financial Affairs Council
• More press releases from the Economic and financial affairs council

Euro area: fiscal consolidation and growth-oriented policies are not in contradiction

14/05/2012  -  Economy, finance, tax and competition

At their meeting the Eurogroup (the finance ministers of the member states whose currency is the euro) discussed the economic situation and outlook as well as the fiscal strategy for the euro countries.  |PHOTOS|VIDEO|

• Remarks of European Commission Vice-President Rehn at the Eurogroup press conference of 14 May 2012

Spring forecast 2012-13: towards a slow recovery    

11/05/2012  -  Economy, finance, tax and competition

While uncertainty about economic and financial prospects remains high, strong policy actions and major advancements in the EU institutional framework have brought about an easing of financial market tensions in the beginning of 2012 and a tentative stabilisation of confidence, expected to further strengthen over the forecast period.  |VIDEO|

• DOCUMENT. European Economic Forecast – Spring 2012
• More information on the Spring forecast

Statement from EFSF regarding next disbursement to Greece

09/05/2012  -  Economy, finance, tax and competition

The Board has confirmed the release of the outstanding amount of €5.2bn from the first instalment of €39.4bn by the end of June. An amount of €4.2bn will be disbursed on 10 May.

• The European Financial Stability Facility - Frequently asked questions
• The Greek loan facility

Commission launches major initiative to modernise state aid control

08/05/2012  -  Economy, finance, tax and competition

In the broader context of the EU's agenda to foster growth, state aid policy should focus on facilitating well-designed aid targeted at market failures and objectives of common European interest.  |VIDEO|PHOTOS|

• Commissioner Almunia’s statement
• DOCUMENT. Communication on State aid modernisation
• More on competition policy

Putting our houses in order: how the EU bids to create a more stable mortgage market    

07/05/2012  -  Economy, finance, tax and competition

The Parliament's economic and monetary affairs committee is scheduled to vote on a proposal that aims to make the market more stable in the second week of May.

• More on mortgage credit
• Credit agreements: residential property - legislative procedure and related documents

European central bank keeps interest rates unchanged

03/05/2012  -  Economy, finance, tax and competition

The Governing Council of the ECB decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 1.00%, 1.75% and 0.25% respectively.

• Introductory statement to the press conference by Mario Draghi, President of the ECB
• More on monetary policy

Main results of the Economic and Financial Affairs Council

03/05/2012  -  Economy, finance, tax and competition

The Council examined proposals to amend the EU's rules on capital requirements for banks and investment firms, the so-called "CRD 4" package, with a view to starting negotiations with the European Parliament aimed at adoption of the texts at first reading.  |PHOTOS|VIDEO|

• Commissioner Barnier's statement
• More information on capital requirement rules

April 2012: Business and consumer surveys

26/04/2012  -  Business / Economy, finance, tax and competition

The Economic Sentiment Indicator remained stable in April in the EU at 93.2. In the euro area it decreased significantly by 1.7 points (to 92.8). The Business Climate Indicator (BCI) for the euro area decreased by 0.24 points to -0.52.

• Economic sentiment flat in the EU and down in the euro area
• Business Climate Indicator continued to decrease in April
• BCI – Detailed figures
• BCS – Detailed figures

Post-crisis policy measures in the financial sector give way to longer-term growth goals Commission report finds

26/04/2012  -  Economy, finance, tax and competition

"We all know that 2011 was a difficult year for Europe," said Internal Market and Services Commissioner Michel Barnier. "The report's careful analysis of past and current challenges is a solid basis for continuing our reform programme and shaping future policies."

• Joint Conference on Financial integration and stability: towards a more resilient single EU financial market
• DOCUMENT. The EFSIR report by the European Commission
• Setback for financial integration in 2011 (ECB)
• DOCUMENT. Financial integration in Europe by the ECB

Draft Budget 2013: Investing in growth and jobs    

25/04/2012  -  Economy, finance, tax and competition / Institutional affairs

The EU's draft budget for 2013, presented by the Commission, reflects the European Council's statements that growth and employment in the EU can only be achieved by combining fiscal consolidation and investment into future growth.  |VIDEO|

• More on the budgetary system
• Frequently asked questions
• Budget/MFF: Reply of President Barroso to a question from a journalist
• Members of EP Budgets Committee react to EU budget plans for 2013

State aid: Commission adopts de minimis Regulation for services of general economic interest (SGEI)

25/04/2012  -  Economy, finance, tax and competition

The European Commission has adopted a Regulation that exempts from EU state aid rules aid of up to € 500 000 per company over a three-year period that is granted as compensation for the provision of services of general economic interest (SGEI).

• DOCUMENT. De minimis Regulation for services of general economic interest (SGEI)
• More on Services of general economic interest

Growth for Greece: Commission points the way to unlock growth and create jobs

18/04/2012  -  Economy, finance, tax and competition / Employment and social rights

In a new Communication the Commission highlights the steps that need to be taken during 2012, as part of the programme and explains the huge range of support measures that it can mobilise to help Greece begin to generate new economic dynamism, job creation and social cohesion.  |VIDEO|

• Frequently asked questions
• DOCUMENT. Communication: Growth for Greece
• EU assistance for small enterprises in Greece
• The Task Force for Greece
• Economic situation in Greece

From austerity to growth: MEPs debate about the way out of the economic crisis

18/04/2012  -  Economy, finance, tax and competition

Once more a debate with Commission president José Manuel Barroso was dominated by talk about the pressing need for measures to promote growth and cut disastrous levels of unemployment in the crisis-stricken euro zone countries.

• Statement by President Barroso

Euro area annual inflation stable at 2.7% - EU stable at 2.9%

17/04/2012  -  Economy, finance, tax and competition / Statistics

Euro area annual inflation was 2.7% in March 2012, unchanged compared with February. A year earlier the rate was 2.7%. Monthly inflation was 1.3% in March 2012. EU annual inflation was 2.9% in March 2012, unchanged compared with February. A year earlier the rate was 3.1%. Monthly inflation was 1.1% in March 2012.

• Inflation rates – detailed figures
• More on Harmonized Indices of Consumer Prices (HICP)

Anti-Money Laundering: creating a modern EU framework capable of responding to new threats

11/04/2012  -  Economy, finance, tax and competition

Without effective rules to combat money laundering and terrorist financing, the soundness, integrity and stability of the financial system could be seriously compromised. In light of the recent adoption of revised international standards and of the Commission's own review process, a report on the application of the Third Anti-Money Laundering Directive was adopted by the Commission today.

• Frequently asked questions
• DOCUMENT. Report on the application of the Third Anti Money Laundering Directive
• More on financial crime
• Third anti-Money Laundering Directive

Commission to examine tax measures for cross-border workers    

02/04/2012  -  Economy, finance, tax and competition / Employment and social rights

Member States' tax provisions are to be scrutinised to ensure that they do not discriminate against cross-border workers, in a targeted initiative launched by the Commission. It is estimated that more than 1.2 million people work cross-border in the EU.  |VIDEO|

• Working in another EU country
• More information on taxation and the customs union

March 2012: Business and consumer surveys

29/03/2012  -  Business / Economy, finance, tax and competition

The Economic Sentiment Indicator decreased by 0.8 points in the EU and by a marginal 0.1 points in the euro area, to 93.2 and 94.4, respectively. The Business Climate Indicator for the euro area decreased by 0.14 points to -0.30.

• Economic sentiment weakens in the EU but remains broadly stable in the euro area
• Business Climate Indicator decreased in March
• BCI – Detailed figures
• BCS – Detailed figures

Clamping down on the derivatives trade    

29/03/2012  -  Economy, finance, tax and competition

Legislation to make trade over-the-counter (OTC) derivatives safer and more transparent was adopted by Parliament. Derivatives' trading is widely believed to have contributed to the global financial crisis.  |VIDEO|

• Regulation on Over-the-Counter Derivatives and Market infrastructures – Frequently Asked Questions
• Statement by Commissioner Michel Barnier
• More information on derivatives

State aid: overview of decisions and on-going in-depth investigations in the context of the financial crisis

27/03/2012  -  Economy, finance, tax and competition

In 2008/2009, the Commission adopted a temporary State aid framework to enable Member States to deal with financial problems in systemic banks, as well as support access to finance for real economy firms.

• How competition is helping economic recovery
• Special coverage - The financial crisis – Europe’s response

The financial transaction tax will reduce Member States' GNI contributions to the EU budget by 50%

23/03/2012  -  Economy, finance, tax and competition

If adopted as a new own resource of the EU budget the financial transaction tax (FTT) will significantly reduce the contributions of member states to the EU budget.  |VIDEO|PHOTOS|

• Presentation. New Own Resources and Corrections
• DOCUMENT. Proposal for a Council Regulation on the methods and procedure for making available the own resource based on the financial transaction tax
• Financial Framework 2014 – 2020

Consultation launches on tackling double non-taxation

29/02/2012  -  Economy, finance, tax and competition

The Commission is seeking examples of cross-border companies that escape taxes by exploiting mismatches between national tax systems. Anonymous responses will be accepted. The deadline is 30 May.

Regulation adopted on euro credit transfers and direct debits

28/02/2012  -  Economy, finance, tax and competition

It includes common rules and standards for the single euro payments area (SEPA). It also sets 1 February 2014 as the migration deadline for credit transfers and for most direct debit requirements.

Operation Barrel seizes 1.2 million smuggled cigarettes

27/02/2012  -  Economy, finance, tax and competition

The cigarettes were found on freight trains on the EU Eastern border. Twenty-four member countries and four neighboring countries participated in this first joint customs operation targeting rail traffic.

Interim forecast: mild recession with signs of stabilisation

23/02/2012  -  Economy, finance, tax and competition

The EU economy is projected to stagnate in 2012, while the euro area is set to enter into a mild recession. Modest growth is predicted to return in the second half of the year.

Short selling: more transparency and stricter rules

21/02/2012  -  Economy, finance, tax and competition

The Economic and Financial Affairs Council adopted new rules for short selling and certain aspects of credit default swaps.

Eurobonds and shorter-term solutions needed for Eurozone stability

16/02/2012  -  Economy, finance, tax and competition

Eurobonds will be a source of stability for the Eurozone in the medium term, but only when its remaining design issues are resolved, said Parliament in a resolution.

Faster, cheaper and safer cross-border payments

14/02/2012  -  Economy, finance, tax and competition

MEPs approve proposals for a single European payments area that aim to ensure banks compete fairly, eliminate hidden national charges and reduce the cost of EU cross-border bank transfers.

Commission publishes first report on EU’s alert mechanism

14/02/2012  -  Economy, finance, tax and competition

The report identifies 12 EU countries whose macroeconomic situation needs further study. Subsequent in-depth reviews will assess whether or not harmful economic imbalances exist.

Greek debt: negotiations continue

10/02/2012  -  Economy, finance, tax and competition

Euro area finance ministers discussed the conditions that need to be met in order to agree on the new support programme for Greece, which includes EUR 130bn of official financing.

European Foundation Statute to support causes across the EU

08/02/2012  -  Economy, finance, tax and competition

The proposal foresees a statute to reduce costs and simplify cross-border activities for national public benefit purpose foundations through a single European legal form, recognised across the bloc.

European Stability Mechanism treaty signed

03/02/2012  -  Economy, finance, tax and competition

Agreement on the European Stability Mechanism

25/01/2012  -  Economy, finance, tax and competition

Intergovernmental ministerial meetings were held on the new European Stability Mechanism (ESM) - producing a deal on the treaty text - and on the draft fiscal compact treaty.

Alarm bells for talks on closer economic union deal

18/01/2012  -  Economy, finance, tax and competition

Parliament again sounded the alarm about possible pitfalls for the intergovernmental agreement currently being negotiated on closer economic union.

Towards a one stop shop for cross-border VAT compliance

13/01/2012  -  Economy, finance, tax and competition

Common rules are proposed for the one stop shop which will be in place as of 2015. It will first apply to telecommunications, broadcasting and electronic services and could be extended to other sectors in the future.

Growing the EU’s online economy

11/01/2012  -  Economy, finance, tax and competition

Proposals to encourage more online commerce would make it easier to shop on the Internet across the EU – contributing to economic growth and job creation.

Consultation on integrating the EU market for electronic payments

11/01/2012  -  Economy, finance, tax and competition

The consultation examines ways to further integrate the market for secure card, Internet and mobile payments by encouraging innovation and protecting consumers. The consultation ends 11 April.