Today the Commission adopted an Action Plan to support the recovery and transformation of the media and audiovisual sector. These sectors, particularly hit by the coronavirus crisis, are essential for democracy, Europe’s cultural diversity and digital autonomy. The Action Plan focuses on three areas of activity and 10 concrete actions, to help the media sector recover from the crisis by facilitating and broadening access to finance, transform by stimulating investments to embrace the twin digital and green transitions while ensuring the sector’s future resilience and empower European citizens and companies.
Recover
Under the Recovery and Resilience Facility, each National Recovery and Resilience Plan will earmark a minimum level of 20% of expenditure for digital. Measures to boost the production and distribution of digital content, such as digital media, will count towards this target. In addition, the Action Plan aims to:

1) Facilitate access to EU support via a dedicated tool for media companies to find all relevant EU funding opportunities for them. This will offer guidance on how to apply for relevant EU support, in the context of the 2021-2027 Multiannual Financial Framework, but also through national recovery and resilience plans;

2) Boost investment in the audiovisual industry via a new initiative MEDIA INVEST whose target is to leverage investments of €400 million over a 7-year period;

3) Launch a “NEWS” initiative to bundle actions and support for the news media sector. The initiative includes a pilot NEWS invest project with foundations and other private partners, access to loans to be backed by the InvestEU guarantee, grants, and a European News Media Forum with the sector. Particular attention will be paid to local media.

Transform
The Action Plan seeks to support the green and digital transformation of the sector:

4) Encourage European media data spaces for data sharing and innovation;

5) Foster a European Virtual and Augmented Reality industrial coalition to help EU media benefit from these immersive technologies and Launch a VR Media Lab on projects for new ways of storytelling and interacting;

6) Facilitate discussions and actions for the industry to become climate neutral by 2050.

Enable and Empower
Finally, citizens and companies are at the centre of the efforts outlined in the Action Plan to enable and empower Europeans. Actions include:

7) Launch a dialogue with the AV industry to improve access to and availability of audiovisual content across the EU, to help the industry scale up and reach new audiences and consumers to enjoy a wide diversity of content;

8) Foster European media talents including by promoting diversity before and behind the camera, and by scouting and supporting media startups;

9) Empower citizens including by strengthening media literacy and supporting the creation of independent alternative news aggregation;

10) Strengthen cooperation among regulators within the European Regulators Group for Audiovisual Media Services (ERGA) to ensure the proper functioning of the EU media market.

This Media and Audiovisual Action Plan goes hand in hand with the European Democracy Action Plan, which aims at strengthening media freedom and pluralism across Europe, with a focus on the protection of journalists. This Action plan is also fully aligned with the Commission’s upcoming proposals on the Digital Services Act and Digital Markets Act, which will aim at modernising the legal framework applicable to digital services in the EU.
Member of the College said
Executive Vice-President for A Europe Fit for the Digital Age, Margrethe Vestager said: “We are committed to help the media sector weather the current storm and challenges brought by the crisis, and to take full advantage of the opportunities offered by the digital transformation in both the short-term and long-term.”
Vice-President for Values and Transparency, Věra Jourová, added: “Media are not only an economic sector, they are a pillar of our democracy. This is why this plan is so important. It builds on our greatest assets, Europe’s diversity and talent, and has at its heart the protection of freedom of expression and artistic freedom. We rely on Member States to do their part and use the tools at their disposal to support the sector, while fully respecting its independence and media pluralism.”
Commissioner for Internal Market Thierry Breton added: “The media and audio-visual industry are severely affected by the crisis we are going through. There is urgency to act now. This industrial plan will be our roadmap for media recovery, transformation and strengthening its resilience. It will give the industry the means to contribute and benefit from the digital and green transitions.”
Next steps
As time is of the essence for the EU media sector, most of the actions outlined in the Action Plan will be launched already in the first months of 2021. Consultations with stakeholders will be carried out to best implement the actions on the ground.
Background
Longstanding issues, particularly its market fragmentation, have weakened the European audiovisual and media sector vis-à-vis their global competitors. These weaknesses have been exacerbated by the coronavirus crisis, with falling advertising revenues, the collapse of cinemas (with losses estimated at €100,000 per screen per month during lockdown), and production on ‘standby’. This situation, in a moment when online non-EU platforms are gaining large market shares, may jeopardise the strategic autonomy of the EU media and audiovisual sector. As regards news media, falling revenues (advertising revenues dropped between 30% and 80%) and online disinformation coupled with the emergence of ‘news deserts’ in certain parts of Europe are particularly worrisome. In general, there is also a limited uptake of digital technologies by the sector.
The Commission put forward a series of measures to support the economy during the crisis and has called on Member States to make the most of them to support media sector. A temporary state aid framework has been put in place rapidly and extended and additional cohesion funding has been made available through REACT-EU, where the culture sector has been recognised as a priority. The temporary Support to mitigate Unemployment Risks in an Emergency (SURE) is also an important instrument available for Member States to fight the negative economic and social consequences of the coronavirus outbreak.
In parallel, the Commission has adapted existing tools, for example the existing guarantee facility for SMEs in the cultural and creative sectors, including media, to allow for more flexibility in repayments of loans and to facilitate lending by giving more security to the financial institutions.
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The COVID-19 crisis has compounded the challenges facing retirement savings and old-age pension arrangements and added new ones, according to a new OECD report.
The OECD Pensions Outlook 2020 says that population ageing, low growth, low returns and low interest rates were already weighing heavily on funded and pay-as-you-go pension plans, defined benefit and defined contribution schemes, as well as private and public retirement provisions before the outbreak of the pandemic. The shocks from the global health and economic crisis will likely keep economic growth, interest rates and returns low long into the future, putting many people at risk of not being able to save enough for retirement.
Governments have taken a range of swift measures to improve the sustainability and resilience of pension arrangements in response to COVID-19. These include extending job-retention schemes and unemployment benefits that allow workers to keep accruing retirement benefit entitlements, or providing flexibility around pension plans
“Countries need to strike a balance between the short-term income support provided by measures like granting people access to their retirement savings before they reach retirement age, and the potential negative effect of such measures on future retirement incomes,” said OECD Secretary-General Angel Gurría. “Allowing access to retirement savings should be a measure of last resort, and based on hardship circumstances rather than being granted widely and unconditionally.”
“The COVID-19 crisis has also underlined the importance of having long-term savings for emergencies,” he added. “Introducing long-term savings arrangements that combine a savings account earmarked for retirement and a savings account for emergencies could make retirement savings more resilient.”
The report recommends that policy makers:

Ensure people continue saving for retirement and avoid selling assets and materialising losses when markets suffer sharp declines.
Adopt a framework to assess retirement income adequacy and conduct assessments regularly, identifying groups at risk and responding to their specific adequacy shortfalls.
Consider targeted measures to make sure that workers in non-standard forms of work – part-time and temporary employees, self-employed workers and informal workers – have the opportunity to save for retirement.
Address the potential negative consequences of frequent switching of investment strategies on future retirement income and the stability of financial markets.
Have in place a regulatory framework that ensures that risk sharing arrangements are sustainable and promote fairness among participants, allowing all to enjoy the benefits of risk sharing in terms of risk mitigation and higher expected retirement income.
Ensure communication about investment strategies, their associated risks, rewards and costs, is consistent and standardised, adapted to the target audience, and avoids jargon and complex metrics.

Contact:

Spencer Wilson of the OECD’s Media Office | spencer.wilson@oecd.org

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December 03, 2020 |
Tax revenues fell across the OECD for the first time in a decade during 2019, but a much larger decrease is expected in 2020 as the COVID-19 pandemic drives down economic activity and consumption tax revenues, according to new OECD research published today.
The 2020 edition of the OECD’s annual Revenue Statistics publication shows that the average tax-to-GDP ratio has fallen to 33.8% in 2019, a decrease of 0.1 percentage points since 2018. This was due to decreases in 15 OECD countries that were larger, on average, than the increases in the 20 remaining countries for which 2019 data were available.

Graph courtesy of the OECD.
The COVID-19 crisis is likely to significantly hit tax revenues in 2020, particularly from consumption taxes, due to the sharp fall in economic activity and consumption following lockdowns and the forced closure of many businesses. Drawing on the lessons from the global financial crisis of 2008, new analysis in Revenue Statistics shows that increases in government consumption and in households’ consumption of essential goods will exacerbate this fall in the short- to medium-term.
“Since the global financial crisis of 2008, we have seen a consistent trend of increasing tax revenues in the OECD, which have decreased slightly in 2019 for the first time,” said Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration. “We expect to see much sharper decreases next year when the impact of COVID-19 starts to become more apparent. At some point, when the health crisis has passed and the economic recovery is underway, governments will need to reconsider whether their tax systems are up to the challenges of the post-pandemic environment.”
Revenue Statistics confirms the longstanding diversity in tax-to-GDP ratios among OECD countries, which remained the case in 2019, ranging from 16.5% in Mexico to 46.3% in Denmark. The largest fall was seen in Hungary (1.7 percentage point), partially due to a decrease in corporate income taxes following the removal of the compulsory tax advance supplement on business taxes. Other large decreases were seen in Iceland (1.1 p.p.), Belgium and Sweden (both 1.0 p.p.). Only one increase of over one percentage point was seen, in Denmark (2.0 p.p.), which overtook France as the country with the highest tax-to-GDP ratio.
The data show that corporate income taxes in the OECD have continued to increase, from 9.2% of total tax revenues on average in 2014 to 10.0% in 2018. However, this is still lower than the peak recorded share of corporate income taxes at 11.5% of total tax revenues in 2007 and are expected to fall again as a result of the current crisis. In 2018, average revenues from taxes on goods and services declined in OECD countries: although revenues from VAT remained steady at 20.4% of total tax revenues, excise tax revenues fell by 0.4 percentage points to 7.2%.
Consumption Tax Trends highlights that standard VAT rates remained stable between 2017 and 2020, at a record high of 19.3% on average. Only one country increased its standard VAT rate (Japan, from 8% to 10%) in 2019, and no reductions were recorded until the COVID-19 outbreak in early 2020, when Germany and Ireland temporarily reduced their standard VAT rate as part of their economic stimulus packages (from 19% to 16 % and from 23% to 21%, respectively). Many countries have also introduced a range of VAT measures to support businesses and the healthcare sector during the crisis, as detailed in a special section of Consumption Tax Trends.

Graph courtesy of the OECD.
With VAT rates at an all-time high, governments may need to explore base broadening options to restore VAT revenues after the crisis, according to the report. The surge in e-commerce following the COVID-19 outbreak has emphasised the importance of reform to ensure that VAT is properly applied to digital trade.
All OECD countries with a VAT have now implemented or committed to the OECD standards for collecting VAT on online sales of services and digital products. Many OECD countries are further expanding these e-commerce VAT regimes to include online sales of small parcels that are often imported from abroad by foreign electronic marketplaces and other digital vendors.

To access the Revenue Statistics report, data, overview and country notes, go to http://oe.cd/revenue-statistics.
To access the report on Consumption Tax Trends, visit https://www.oecd.org/tax/consumption-tax-trends-19990979.htm.

Contacts

Lawrence Speer, Press Officer | Lawrence.Speer@oecd.org

Pascal Saint-Amans in the OECD Centre for Tax Policy and Administration | pascal.saint-amans@oecd.org

David Bradbury in the OECD Centre for Tax Policy and Administration | David.Bradbury@oecd.org

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Joint communication to the European Parliament, the European Council and the Council | December 02, 2020 |
1.      Introduction
The relationship between the European Union and the United States is unique and built on shared history, shared values and shared interests. The transatlantic partnership was born of a promise of collective peace, progress and prosperity. After the Second World War, the Marshall Plan helped rebuild Europe’s communities and economies. The North Atlantic Treaty Organisation (NATO) ensured our collective security. Together, Europe and the US helped design and build the multilateral rules-based system to tackle global challenges. For people on both sides of the Atlantic, transatlantic ties are a vital element in our societies, identities, economies and personal lives.
Today, our combined global power and influence remains unrivalled. We are home to nearly a billion people and are the two largest blocs of advanced democracies. We account for about a third of the world’s GDP and trade, and 60% of foreign direct investment. The density and openness of transatlantic trade and investment creates millions of jobs and shapes large parts of the global economy. We have the reach to set regulations and standards that are replicated across the world. We are the primary drivers of innovation and the world’s research powerhouses, developing technology from 5G to vaccines.
This combined power and influence is indispensable to anchor global cooperation in the 21st century – whether it be on health, security, climate, trade and technology, or on the multilateral rules-based order. Our joint commitment is essential in a world where authoritarian powers seek to subvert democracies, aggressive actors try to destabilise regions and institutions, and closed economies exploit the openness our own societies depend on.
Just as this need for cooperation has become all the more important, so has the transatlantic partnership become in need of maintenance and renewal. In recent years, our relationship was tested by geopolitical power shifts, bilateral tensions and retreats to unilateral policies.
With a change of administration in the US, a more assertive Europe and the need to design a post-corona world, we have a once-in-a-generation opportunity to design a new transatlantic agenda for global cooperation – based on our common values, interests and global influence. This should be the linchpin of a new global alliance of like-minded partners. This comes at a time when there is a commonality of outlook and priorities on domestic and international agendas between the incoming US administration and the European Union.
As we set about defining this new agenda, we should not embark on a nostalgic search for the global order of past decades or the transatlantic partnership of past generations. The US and the EU have changed, as have power dynamics and geopolitical and technological realities.
We should also not fall into the trap of false debates that seek to oppose a stronger Europe and a stronger transatlantic partnership. A united, capable and self-reliant EU is good for Europe, good for the transatlantic partnership and good for the multilateral system – they are mutually reinforcing not mutually exclusive.
It is in this spirit that the EU is putting forward a proposal for a new, forward-looking transatlantic agenda for global cooperation, centred on areas where our interests converge, our collective leverage can best be used and where global leadership is required.
The guiding principles of a new transatlantic agenda

The transatlantic partnership should work to advance global common goods, providing a solid base for stronger multilateral action and institutions. It will support all like-minded partners to join.
The EU and the US should pursue common interests and leverage our collective strength to deliver results on our strategic

We should always look for solutions that respect our common values of fairness, openness and competition – including where there are bilateral

Access FULL Joint communication to the European Parliament, the European Council and the Council: A new EU-US agenda for global change
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November 26, 2020 |
Governments should continue providing support to the philanthropic sector while taking steps to safeguard tax systems and ensure that the activities of philanthropic organisations continue to align with the public interest, according to a new report from the OECD.
Taxation and Philanthropy reviews the tax treatment of philanthropic entities and charitable donations in 40 countries worldwide. The report points out the significant impact of philanthropy – the non-profit sector represents as much as 5% of GDP in many countries – as well as the wide range of potential tax policy options countries can consider to improve the effectiveness of tax concessions for philanthropy.
Produced in collaboration with the University of Geneva’s Centre for Philanthropy, Taxation and Philanthropy is the most exhaustive review of the tax treatment of the philanthropic sector undertaken to date. It details the various types of favourable tax treatment countries provide to encourage philanthropy, both to donors as well as the philanthropic entities themselves, and assesses how tax incentives are and can be used to increase philanthropic activity in areas prioritised by government to raise overall social welfare.
The report, which will be presented during a virtual conference hosted by the University of Geneva, highlights broad support amongst countries for the provision of tax support for philanthropy, while drawing attention to emerging concerns in some countries that current practices could give a small number of wealthy donors disproportionate influence over how public resources are allocated. This concern is highlighted by the rise in the number of very large private philanthropic foundations established by ultra-high-net-worth individuals, who are able to channel substantial resources into the priorities of their choice, while significantly minimising their tax liabilities. While risks of abuse should be addressed, this concern should not overshadow the overwhemingly positive spillovers of philanthropy in general, according to the report.
“Philanthropy plays an important role in most countries, providing private support to a range of activities for the public good, and this is especially evident in the current context of the COVID-19 crisis,” said Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration. “Looking ahead, governments need to strike the right balance between safeguarding tax systems while continuing to provide support to the sector.”
The report underlines important considerations for policy makers as they seek to strike this appropriate balance. The report discusses a range of tax policy options, suggesting that policy makers:

Reassess the activities eligible for tax support, and ensure that favourable treatment is limited to those areas consistent with underlying policy goals.
Consider providing tax credits rather than deductions, and fiscal caps, to ensure that tax support does not disproportionately benefit higher income taxpayers.
Reassess the extent of tax exemptions for commercial income of philanthropic entities, to minimise the risk of putting for-profit businesses at a competitive disadvantage.
Reduce the complexity of tax laws that disproportionately affect low-income donors and smaller philanthropic entities.
Improve oversight and boost transparency, to safeguard public trust in the sector and ensure that tax concessions used to boost philanthropy are not abused through tax avoidance and evasion schemes.
Reassess restrictions currently imposed on cross-border philanthropic activity.

Contacts:

Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration | pascal.saint-amans[at]oecd.org

Lawrence Speer in the OECD Media Office | Lawrence.Speer[at]oecd.org

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The European Commission and the High Representative are today putting forward a proposal for a new, forward-looking transatlantic agenda. While the past years have been tested by geopolitical power shifts, bilateral tensions and unilateral tendencies, the victory of President-elect Joe Biden and Vice-President-elect Kamala Harris, combined with a more assertive and capable European Union and a new geopolitical and economic reality, present a once-in-a-generation opportunity to design a new transatlantic agenda for global cooperation based on our common values, interests and global influence.
Ursula von der Leyen, President of the European Commission, said: “We are taking the initiative to design a new transatlantic agenda fit for today’s global landscape. The transatlantic alliance is based on shared values and history, but also interests: building a stronger, more peaceful and more prosperous world. When the transatlantic partnership is strong, the EU and the US are both stronger. It is time to reconnect with a new agenda for transatlantic and global cooperation for the world of today.”
Josep Borrell, EU High Representative/Vice-President, said: “With our concrete proposals for cooperation under the future Biden administration, we are sending strong messages to our US friends and allies. Let’s look forward, not back. Let’s rejuvenate our relationship. Let’s build a partnership that delivers prosperity, stability, peace and security for citizens across our continents and around the world. There’s no time to wait – let’s get to work.”
A principled partnership
The EU’s proposal for a new, forward-looking transatlantic agenda for global cooperation reflects where global leadership is required and is centred on overarching principles: stronger multilateral action and institutions, pursuit of common interests, leveraging collective strength, and finding solutions that respect common values.
The new agenda spans four areas, highlighting first steps for joint action that would act as an initial transatlantic roadmap, to address key challenges and seize opportunities.
Working together for a healthier world: COVID-19 and beyond
The EU wants the US to join its global leadership role in promoting global cooperation in response to the coronavirus, protecting lives and livelihoods, and reopening our economies and societies.
The EU wants to work with the US to ensure funding for the development and equitable global distribution of vaccines, tests and treatments, develop joint preparedness and response capacities, facilitate trade in essential medical goods, and reinforce and reform the World Health Organization.
Working together to protect our planet and prosperity
While the coronavirus pandemic continues to pose significant challenges, climate change and biodiversity loss remain the defining challenges of our time. They require systemic change across our economies and global cooperation across the Atlantic and the world.
The EU is proposing to establish a comprehensive transatlantic green agenda, to coordinate positions and jointly lead efforts for ambitious global agreements, starting with a joint commitment to net-zero emissions by 2050. A joint trade and climate initiative, measures to avoid carbon leakage, a green technology alliance, a global regulatory framework for sustainable finance, joint leadership in the fight against deforestation, and stepping up ocean protection all form part of the EU’s proposals.
Working together on technology, trade and standards
Sharing values of human dignity, individual rights and democratic principles, accounting for about a third of the world’s trade and standards, and facing common challenges makes the EU and US natural partners on trade, technology and digital governance.
The EU wants to work closely with the US to solve bilateral trade irritants through negotiated solutions, to lead reform of the World Trade Organization, and to establish a new EU-US Trade and Technology Council. In addition, the EU is proposing to create a specific dialogue with the US on the responsibility of online platforms and Big Tech, work together on fair taxation and market distortions, and develop a common approach to protecting critical technologies. Artificial Intelligence, data flows, and cooperation on regulation and standards also form part of the EU’s proposals.
Working together towards a safer, more prosperous and more democratic world
The EU and the US share a fundamental interest in strengthening democracy, upholding international law, supporting sustainable development and promoting human rights around the world. A strong EU-US partnership will be crucial to support democratic values, as well as global and regional stability, prosperity, and conflict resolution.
The European Union is proposing to re-establish a closer transatlantic partnership in different geopolitical arenas, working together to enhance coordination, utilise all available tools, and leverage collective influence. As initial steps, the EU will play a full part in the Summit for Democracy proposed by President-elect Biden, and will seek joint commitments with the US to fight the rise of authoritarianism, human rights abuses and corruption. The EU is also looking to coordinate joint EU-US responses to promote regional and global stability, strengthen transatlantic and international security, including through a new EU-US Security and Defence Dialogue, and strengthen the multilateral system.
Next steps
The European Council is invited to endorse this outline and proposed first steps as a roadmap for a new transatlantic agenda for global cooperation, ahead of its launch at an EU-US Summit in the first half of 2021.
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On November 25, 2020, the European Commission approved a sixth contract under the EU Vaccines Strategy, this time with the pharmaceutical company Moderna. The contract provides for the initial purchase of 80 million doses on behalf of all EU Member States, plus an option to request up to a further 80 million doses, to be supplied once a vaccine has proven to be safe and effective against COVID-19.
The contract with Moderna will enlarge the already broad portfolio of vaccines to be produced in Europe, including the contracts signed with AstraZeneca, Sanofi-GSK, Janssen Pharmaceutica NV, BioNTech-Pfizer and the contract approved with CureVac. This diversified vaccines portfolio will ensure Europe is well prepared for vaccination, once the vaccines have been proven to be safe and effective. Member States can also decide to donate the vaccine to lower and middle-income countries or to re-direct it to other European countries.
President of the European Commission, Ursula von der Leyen, said: “I’m very happy to announce today’s agreement with the company Moderna to purchase up to 160 million doses of their future vaccine. This is our sixth contract with a vaccine producer, and we are working on yet another one. We are setting up one of the most comprehensive COVID-19 vaccine portfolios in the world, providing Europeans access to the most promising future vaccines under development so far. A safe and effective vaccine can help us end the pandemic, and return gradually to normal life.”
Stella Kyriakides, Commissioner for Health and Food Safety, said: “Today’s agreement with Moderna is yet another important milestone of our EU Vaccines Strategy. I am happy that we have now concluded six vaccine agreements so far. This is a clear demonstration of the European Health Union in action: a European Union that delivers tangible results for its citizens and a blueprint for our cooperation in the area of health in the future. A safe and effective vaccine is more important than ever in helping to restore normality and overcome this pandemic. No one is safe until everyone is safe.”
Moderna is a U.S. based company pioneering the development of a new class of vaccines based on messenger RNA (mRNA) transported into cells by lipid nanoparticles. The vaccine platform has been developed over the last decade. The basic principle is the use of this molecule as a data carrier, with the help of which the body itself can make proteins and trigger lasting immunity to COVID-19.
The Commission has taken a decision to support this vaccine based on a sound scientific assessment, the technology used, and its production capacity in Europe to supply the whole of the EU.
Background
The European Commission presented on 17 June a European strategy to accelerate the development, manufacturing and deployment of effective and safe vaccines against COVID-19. In return for the right to buy a specified number of vaccine doses in a given timeframe, the Commission finances part of the upfront costs faced by vaccines producers in the form of Advance Purchase Agreements. Funding provided is considered as a down-payment on the vaccines that will actually be purchased by Member States on the basis of the Advance Purchase Agreements.
Since the high cost and high failure rate make investing in a COVID-19 vaccine a high-risk decision for vaccine developers, these agreements will therefore allow investments to be made that otherwise might not happen.
Once vaccines have been proven to be safe and effective and have been granted market authorisation by the European Medicines Agency, they need to be quickly distributed and deployed across Europe. On 15 October, the Commission set out the key steps that Member States need to take to be fully prepared, which includes the development of national vaccination strategies. The Commission is putting in place a common reporting framework and a platform to monitor the effectiveness of national vaccine strategies.
The European Commission is also committed to ensuring that everyone who needs a vaccine gets it, anywhere in the world and not only at home. No one will be safe until everyone is safe. This is why it has raised almost €16 billion since 4 May 2020 under the Coronavirus Global Response, the global action for universal access to tests, treatments and vaccines against coronavirus and for the global recovery and has confirmed its interest to participate in the COVAX Facility for equitable access to affordable COVID-19 vaccines everywhere. As part of a Team Europe effort, the Commission announced is contributing with €400 million in guarantees to support COVAX and its objectives in the context of the Coronavirus Global Response. On 12 November, the European Union announced the contribution of an additional €100 million in grant funding to support the COVAX Facility.
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Speech on 25 November, 2020 in Brussels |
“Check against delivery”
Grazie, Presidente,
Honourable Members,
I come to Parliament today to report on our plans for the next European Council on 10 and 11 December. But before I turn to that, please allow me to update you on two other topics: about Brexit and about the situation we are facing with respect to the Multiannual Financial Framework and NextGenerationEU.
Honourable Members,
These are decisive days for our negotiations with the United Kingdom. But I cannot tell you today, if in the end there will be a deal. There has been genuine progress on a number of important questions: on law enforcement and judicial cooperation; on social security coordination. And also on goods, services and transport we now have the outline of a possible final text. In these areas there are still some important issues to agree, but they should be manageable. However, there are still three issues that can make the difference between a deal and no deal. The crucial topics for the European side are of course questions linked to the level playing field, governance and fisheries. With very little time ahead of us, we will do all in our power to reach an agreement. We are ready to be creative. But we are not ready to put into question the integrity of our Single Market – the main safeguard for European prosperity and wealth. This is why we need to establish robust mechanisms, ensuring that competition is – and remains – free and fair over time. In the discussions about state aid we still have serious issues, for instance when it comes to enforcement. Significant difficulties remain on the question how we can secure – now and over time – our common high standards on labour and social rights, the environment, climate change and tax transparency. We want to know what remedies are available, in case one side deviates in the future. Because trust is good, but law is better. And crucially, in light of recent experience: a strong governance system is essential to ensure that what has been agreed is actually done. Concerning fisheries: No one questions the UK´s sovereignty on its own waters. But we ask for predictability and guarantees for our fishermen and women, who have been sailing in these waters for decades, if not centuries.
Honourable Members,
The next days are going to be decisive. The European Union is well prepared for a no-deal-scenario, but of course we prefer to have an agreement. I fully trust the skillful steer of our Chief Negotiator Michel Barnier. But one thing is clear: Whatever the outcome, there has to be – and there will be – a clear difference between being a full member of the Union and being just a valued partner. I am fully aware of the challenges the current situation is creating especially for this Parliament and the ratification procedure. This is why I want to sincerely thank you for your support and understanding. As in the past, we will walk those last miles together.
Honourable Members,
At the same time, the Union is waiting for the green light for our next Multiannual Financial Framework and NextGenerationEU. In May, the Commission presented its NextGenerationEU recovery plan and the multiannual budget. The Heads of State or Government of the 27 Member States negotiated over four long days and nights in July and reached a compromise. You, honourable members, further developed this package. The outcome takes appropriate account of the numerous political concerns that had been voiced. Now, two Member States have raised doubts. The best way forward would be to remove these doubts. In July, all 27 Heads of State or Government agreed on a new conditionality mechanism for breaches of the principle of the rule of law that threaten the EU budget – and only for those breaches. It is appropriate, proportionate and necessary, and it is difficult to imagine anyone in Europe having a problem with that.
Ladies and gentlemen,
For anyone who would nevertheless harbour doubts, there is a clear path: they can go to the European Court of Justice and have the new rules scrutinised down to the last detail. That is the place where we usually thrash out differences of opinion regarding legal texts. And not at the expense of millions of Europeans waiting desperately for our help. We all owe them a prompt reply. To those who, for the good of us all, have had temporarily to close their restaurants and businesses. To those whose very livelihoods are on the line. To those people who fear for their jobs, including in Poland and Hungary.
Honourable Members,
This is especially the case as the pandemic situation remains serious. With nearly 3,000 deaths a day COVID-19 was the number 1 cause of death in the EU last week. Hospitals remain under stress, and in some regions intensive care units are overwhelmed. I know that shop owners, bartenders and waiters in restaurants want an end to restrictions. But we must learn from the summer and not repeat the same mistakes. Relaxing too fast and too much risks a third wave after Christmas. Weeks ago, I said that this Christmas will be different. And yes, it will be quieter. This is also a question of solidarity between Member States. But there is also good news. The European Commission by now has secured contracts with six companies. The first European citizens might already be vaccinated before the end of December. There is finally light at the end of the tunnel. Vaccines are important, but what counts are vaccinations. Member States must get ready now. We are talking about millions of syringes and the cold chain, the organisation of vaccination centres, training of personnel, you name it. In short: Member States have to prepare the logistics for the eventual deployment of hundreds of millions of doses. Because this is our ticket out of this pandemic.
Honourable Members,
Whether COVID-19 or not, there is another crisis that rumbles on: global warming, the crisis of our planet.
Honourable Members,
A growing number of countries have pledged carbon neutrality by 2050. Good news. I firmly believe we all must put a price on carbon. These words could be mine, but they are not. These are remarks made by António Guterres, Secretary-General of the United Nations, at the G20 Summit last weekend. For the first time in four years, the G20 agreed on a clear commitment to fight climate change. Europe has been proudly leading the way. By now, more than half of the G20 members have committed to climate or carbon neutrality around 2050. It demonstrates that being courageous pays off. And it shows that we have chosen the right course when we decided to cut CO2 emissions by 2030 by at least 55%. This should also encourage the Heads of States or Government to confirm this goal at the next European Council. Finally, I would like to address public security in Europe. I am sure that I am speaking on behalf of the whole Union when I say that Europe stands together with the people of France and Austria. Europe is united in the face of terrorist attacks in the hearts of our towns and cities. Europe is ready to act. On 9 December the Commission will present a new European counter-terrorism agenda. With that agenda, we want to strengthen cooperation between security services, give border guards the modern technology they need, step up our efforts to prevent radicalisation and better protect public spaces. But there is only so much we can do, when Member States do not put into practice what they agree upon. For example, the strong rules against money laundering and terrorist financing or against the use of firearms. Implementation is key. I am sure the European Council will be an opportunity to turn to action quickly.
Honourable Members,
From Brexit to the fight against the pandemic, from the budget to the fight against terrorists: it is when we manage to join forces, that we Europeans can achieve most. It is when we negotiate hard and then stick to the compromises found, that we move forward best. This is how we will finally leave the corona world, and continue to build our future.
Lang lebe Europa.
Vive l’Europe.
Long live Europe.
Compliments of the European Commission.
The post Speech by President von der Leyen at the European Parliament Plenary on the preparation of the European Council meeting of 10-11 December first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

ECB publishes final guide after considering comments from public consultation
Banks to perform self-assessment on ECB expectations in early 2021
ECB to fully review banks’ practices in 2022
Next supervisory stress test in 2022 to also focus on climate-related risks
Separately, new ECB report shows that banks’ climate-related and environmental risk disclosures lag behind significantly

The European Central Bank (ECB) today published its final and amended guide on climate-related and environmental risks following a public consultation. The guide explains how the ECB expects banks to prudently manage and transparently disclose such risks under current prudential rules.
The ECB will now follow up with banks in two concrete steps. In early 2021 it will ask banks to conduct a self-assessment in light of the supervisory expectations outlined in the guide and to draw up action plans on that basis. The ECB will then benchmark the banks’ self-assessments and plans, and challenge them in the supervisory dialogue. In 2022 it will conduct a full supervisory review of banks’ practices and take concrete follow-up measures where needed.
In line with the growing importance of climate change for the economy and increasing evidence of its financial impact on banks, the ECB will conduct its next supervisory stress test in 2022 on climate-related risks. Further details will be provided in the course of 2021.
The ECB today also published a report which finds that banks are lagging behind on their climate-related and environmental risk disclosures. While there has been some improvement since the previous year, banks need to make significant efforts to better support their disclosure statements with relevant quantitative and qualitative information. In the second half of 2021 the ECB intends to identify remaining gaps and discuss them with the banks.
During the consultation, the ECB received more than 50 comments from a broad range of stakeholders, including the banking industry. The ECB’s response can be found in the feedback statement.
The guide will apply immediately.
The guide itself and the comments received together with the feedback statement are available on the ECB’s Banking Supervision website.
Contact:

Uta Harnischfeger | Uta.Harnischfeger[at]ecb.europa.eu

Compliments of the European Central Bank.
The post ECB publishes final guide on climate-related and environmental risks for banks first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.