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The Guardian - UK
The Guardian - UK
World
Lili Bayer

Brussels admonishes France over deficit as election nears – as it happened

Emmanuel Macron pictured at an event on Tuesday.
Emmanuel Macron pictured at an event on Tuesday to commemorate a speech by Charles de Gaulle in 1940 widely seen as sparking the start of the French Resistance. Photograph: Lemouton/Bestimage/SIPA/REX/Shutterstock

Summary of the day

  • Brussels admonished France over its budget deficit, as the country prepares for a high-stakes election later this month.

  • Seven European countries, including France, do not fulfil the EU’s deficit criteria, the European Commission said.

  • The French far-right National Rally’s Jordan Bardella said he wants “Ukraine to have at disposal the ammunition and equipment it needs to hold the front” but also said that “I don’t plan to send, especially, long-range missiles or other weapons that will allow Ukraine to strike the Russian territory.”

  • Politicians across the political spectrum in France spoke out against anti-Semitism after authorities charged two 13-year-old boys with the gang rape of a 12-year-old Jewish girl.

  • Police in New Caledonia arrested protest leader Christian Tein at the headquarters of the biggest pro-independence political party, the Caledonian Union, the party said.

  • Manfred Weber, a German politician and influential political figure in Brussels, was re-elected as leader of the European parliament’s biggest group, the centre-right European People’s party (EPP).

  • The Greens group in the European parliament elected Bas Eickhout and Terry Reintke as co-presidents.

  • The EPP group nominated Roberta Metsola for another term as president of the parliament.

Centre-right group nominates Metsola for second term as European parliament president

The European People’s party group in the European parliament has nominated Roberta Metsola, a Maltese politician, for another term as president of the parliament.

Bernard Guetta, a French member of the European parliament from the Renaissance list, has published an essay entitled “France is not dead yet.”

We do not know, but on both the left and the right, this dissolution has reopened the field of possibilities at a time when the humiliating defeat of the presidential camp in the European elections had added to the unpopularity of Emmanuel Macron, who had already been governing for two years without a parliamentary majority.

France was condemned to a mortifying stalemate that would lead to further gains for the far right, but this dramatic turn of events turned the tables and forced everyone to make immediate and radical changes.

More than politics, it is prestidigitation, but there was probably nothing better to do and… who knows?

French politicians across the political spectrum have spoken out after two 13-year-old boys were charged with with the gang rape of a 12-year-old Jewish girl.

The attack is suspected to have been motivated by anti-Semitism.

“Horror has no limits,” wrote Nicole Belloubet, the French education minister.

“Rape, anti-Semitism: everything is abominable in this crime committed in Courbevoie against a 12-year-old girl,” she said.

Emmanuel Macron, the French president, told government ministers that a “scourge of anti-Semitism” threatens French schools, a source close to him told AFP.

Seán Kelly will serve as the head of the Fine Gael delegation in the European parliament.

Emmanuel Macron, the French president, has asked France’s education minister to organise one hour in schools this week on the fight against racism and anti-Semitism, BFMTV reports.

And here’s the centre-right European People’s party leadership in the European parliament for the next term.

Here’s more from Reuters on what the far-right National Rally’s Jordan Bardella told reporters today about his views on Ukraine:

“I wish for Ukraine to have at disposal the ammunition and equipment it needs to hold the front, but my red line will not change, which is sending equipment that could have consequences of escalation in eastern Europe,” Bardella said.

“And so I don’t plan to send, especially, long-range missiles or other weapons that will allow Ukraine to strike the Russian territory. My position has not changed and will not change - it’s about support for Ukraine and avoiding all risks of escalation in the region. And I think the risk of escalation is of course real.”

“I don’t plan to put into question the commitments made by France on the international level, because there’s a stake regarding credibility towards our European partners as well as towards our NATO allies,” he added.

Updated

Manfred Weber re-elected to lead centre-right group in European parliament

Manfred Weber, a German politician and influential political figure in Brussels, has been re-elected as leader of the European parliament’s biggest group, the centre-right European People’s party.

What has the European Commission concluded today?

On France, the Commission said:

The government deficit has been above 3% of GDP since 2020; it decreased from 6.6% of GDP in 2021 to 4.8% of GDP in 2022, before increasing to 5.5% in 2023. It is projected to decline to 5.3% in 2024 and 5.0% of GDP in 2025.

It also said:

Government debt decreased from 113.0% of GDP at the end of 2021 to 111.9% at the end of 2022 and further to 110.6% at the end of 2023. It is projected to increase to 112.4% and to 113.8% at the end of 2024 and 2025, respectively.

The Commission also said:

According to the Commission’s forecast, the government deficits in Belgium, Estonia, France, Italy, Hungary, Malta, Poland, and Slovakia are projected to exceed 3% of GDP in 2025. Therefore, the deficits in excess of the reference value are assessed to be not temporary for Belgium, Estonia, France, Italy, Hungary, Malta, Poland, and Slovakia.

Differently, the government deficits in Czechia, Spain, Slovenia and Finland are presently projected not to exceed the reference value in 2025, and therefore the excess deficits are assessed as temporary.

What is the EU’s deficit and debt criteria?

Here’s a quick explainer from the European Commission:

The deficit criterion is fulfilled if the general government deficit for the previous year (2023) and planned deficit for the current year (2024) do not exceed 3% of GDP. If either does, the Commission examines whether the deficit ratio has declined substantially and continuously and comes close to the reference value. It also examines whether the deficit in excess over the reference value is exceptional and temporary, and remains close to the reference value.

Relevant factors are to be considered by the Commission and the Council in the steps leading to the decision on the existence of an excessive deficit, if either i) the government debt does not exceed 60% of GDP, or ii) if the debt exceeds 60% of GDP, but the deficit is close to 3% of GDP and the excess over it is temporary.

According to the Treaty, the debt criterion is fulfilled if the general government gross debt does not exceed 60% of GDP, unless the ratio is sufficiently diminishing and approaching the reference value at a satisfactory pace.

The far-right National Rally’s Jordan Bardella said today that France’s role is to enable Ukraine to ensure its defence and to consolidate the security architecture in eastern Europe.

Greens elect Eickhout and Reintke as co-presidents of parliament group

The Greens group in the European parliament elected Bas Eickhout and Terry Reintke as co-presidents today.

“European citizens expect European solutions from us and many challenges lie ahead,” Reintke said. “The first is to secure a reliable and democratic majority in the European Parliament for the upcoming five years. That must not include the far-right.”

New Caledonia pro-independence protest leader arrested

Police in New Caledonia arrested protest leader Christian Tein at the headquarters of the biggest pro-independence political party, the Caledonian Union, the party said, Reuters reported.

Local media reported eight people were arrested.

Reforms allowing more French residents to vote in the French Pacific territory sparked violent protests last month. With elections coming up in France, however, the Emmanuel Macron said last week that he had suspended the reform.

Brussels admonishes France over deficit as election nears

Seven European countries, including France, do not fulfil the EU’s deficit criteria, the European Commission said today.

The move, which triggers a process which could lead to fines, comes as France heads into a high-stakes legislative election later this month.

In a statement, the Commission said:

The Commission prepared a Report under Article 126(3) of the Treaty on the Functioning of the EU (TFEU) for 12 Member States to assess their compliance with the deficit criterion of the Treaty: Belgium, Czechia, Estonia, Spain, France, Italy, Hungary, Malta, Poland, Slovenia, Slovakia and Finland. In this assessment, the Commission takes into account relevant factors brought forward by Member States in case their public debt-to-GDP ratio is below 60% of GDP or their deficit is assessed as being ‘close’ to the 3% reference value and ‘temporary’.

In light of the assessment contained in the report, the opening of a deficit-based excessive deficit procedure is warranted for seven Member States: Belgium, France, Italy, Hungary, Malta, Poland and Slovakia.

The Report under Article 126(3) is only the first step into opening the excessive deficit procedures. In light of this assessment, and after considering the opinion of the Economic and Financial Committee, the Commission intends to propose to the Council to open deficit-based excessive deficit procedures for these Member States in July 2024.

As part of the Autumn European Semester Package, to ensure consistency with the adjustment path set out in the medium-term plans, the Commission will propose to the Council recommendations to put an end to the excessive deficit situation.

Welcome to the blog

Good morning and welcome back to the blog.

Send thoughts and tips to lili.bayer@theguardian.com.

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