MFF © European Commission 11 Het Meerjarig Financieel Kader Een budget voor Europa 2020

MFF © European Commission 2 MFK I. Het oorspronkelijke voorstel van de COM II. De huidige stand van zaken III. Van speciaal belang voor onderwijs/onderzoek

MFF © European Commission 3 Uitdagingen Lisbon Treaty : more responsibilities Connect Europe better Social, economic disparities Unstable neighborhood Austerity climate Financial crisis interventions Response to natural disasters Ensure synergies to prove EU Value- added Meer EUROPA voor evenveel GELD! Antwoorden European logic fully geared to Europe 2020 strategy Modernised budget - output oriented, simplification, conditionality, leveraging investment Limited in size, but redesigned - savings in some areas - more to areas that matter - multi-purpose expenditure Budgetary rigour, administrative limits New legitimacy of traditional policies EU Budget = beleid in getallen

MFF © European Commission 4 Connecting Europe Facility Innovative financial instruments Key changes in research, cohesion, agriculture and external action Administrative rigour Simplification New Own resources Simplified system of corrections Meer moderne begroting

MFF © European Commission 5 1.Totaal volume 2.Uitgaven - overzicht 3.[Eigen middelen en correcties] I. Voorstel COM: overzicht

MFF © European Commission 6 Vastleggingen versus betalingskredieten Commitments € 1025 Billion 1,05% BNI Payments€ 972 Billion 1,00% of GNI MFF + Outside MFF € 1083 Billion 1,11 % Of GNI

MFF © European Commission 7 Buiten het Meerjaren Financieel Kader

MFF © European Commission 8 1.Totaal volume 2.Overzicht uitgavenzijde 3.[Eigen middelen en correcties] Overzicht voorstelling

MFF © European Commission 9 Ambitieus, maar realistisch…

MFF © European Commission 10 Beduidende herverdeling in sleutelsectoren beleid

MFF © European Commission 11 Ontwikkeling GLB en Cohesie in

MFF © European Commission 12 Niewe architectuur cohesiebeleid Three categories of regions –Less developed regions (GDP per capita < 75%) –Transition regions (GDP per capita between 75% and 90%) –More developed regions (GDP per capita > 90%) –Cohesion Fund for Member States with GNI per capita <90% Territorial cooperation (3 strands: CBC, transnational, interregional) Cohesie

MFF © European Commission 13 Common strategic framework for all structural funds Investment partnership contracts with Member States Stronger conditionality The biggest spending area by 2020 Concentration on poorer and weakest regions Thematic concentration Transition regions Cohesion policy

MFF © European Commission 14 Declining share in the EU budget until 2020 Greening of CAP - direct aid 30 % linked to environment measures Progressive convergence towards EU average: – Close 33% of the gap with 90% of EU average – Financed by all Member States above the average Market measures: Emergency Mechanism European Globalisation Fund to help farmers adapt to globalisation Landbouw

MFF © European Commission 15 Budget under restraint – Staff reduction up to 5% – Efficiency gains (increase working hours to 40 a week) – Reviewing certain benefits in line with similar trends in Member States Administrative expenditure discipline for all EU institutions * Excluding Pensions and European Schools Administratieve uitgaven

MFF © European Commission 16 1.Totaalvolume 2.Uitgavenzijde 3.[Eigen middelen en correcties] Overzicht presentatie

MFF © European Commission 17 Manier van werken: 1.Raadswerkgroep SA en FOP; bilaterales met kabinet Van Rompuy 2. Coreper – RAZ – Europese Raad - Trilaterales II. Huidige situatie

MFF © European Commission Stavaza 1 november 2012: naar Europese Raad op 22-23/11 * Kloof tussen netto-betalers (DU, NL, FI, …) en netto-ontvangers (nieuwe lidstaten, lidstaten in serieuze fin.-econ. Problemen) * BE: in tussenpositie … * Cyprioten zetten cijfers in “onderhandelingsdoos” MFK II. Huidige situatie (b)

MFF © European Commission II. Huidige situatie (c) Grote spanningen rond: Algemeen volume begroting: miljard euro? (Voorstel CY: op dit ogenblik in totaal: - 50 miljard: “tussensituatie naar extra bezuinigingen”; wellicht naar – 50 tot – 75 miljard euro Geld voor cohesie: transitieregio’s, competiviteitsregio’s, macro- economische conditionaliteit? Allocatiecriteria competregio’s … Geld voor GLB: daling pijler 1 (art. 53)? Convergentie tussen oude en nieuwere LS: snelheid? Pijler 2 voor wie? Vergroening … Food for deprived (2 miljard) naar ESF Connecting Europe Facility: - 30 % t.a.v. voorstel COM voor Transport, - 23 % Energie, - 24 % ICT 19

MFF © European Commission 20 II. Huidige situatie (d) Rubriek 1 a: Competiviteit: - 11 % (SIC); maar toch nog 61,3 % t.a.v. vorige periode Wat met ITER, GMES: in 1 a zonder compensatie? 1b: (Cohesie): - 4 % - vooral meest ontwikkelde - en transitieregio’s

MFF © European Commission III. Belangrijk voor hoger onderwijs a) Horizon 2020: onderzoeksprogramma b) Erasmus for All 21

MFF © European Commission Proposal for the EU Framework Programme for Research and Innovation ( ) DG Research & Innovation, European Commission

MFF © European Commission Impact of R&D on economic recovery

MFF © European Commission Context Economic context: Priority for growth enhancing measures within smart fiscal consolidation R&I essential for competitiveness and creating and retaining high value jobs and industries Policy context: R&I central to Europe 2020 strategy and to realise EU goals in areas such as energy, environment, transport, security International context: EU falling behind other regions in R&D (e.g. US, Japan) and losing ground to emerging countries (e.g. China, India)

MFF © European Commission Added value of R&I spending at EU level Cross-border pooling of resources achieves critical mass and diffusion of knowledge EU level competition increases levels of R&I excellence and international attractiveness for global talent Cross-border training and career development enhances Europe’s research and innovation capacities EU projects provide knowledge to address pan-European policy challenges and advance Single Market Partnerships with Member States increases efficiency and effectiveness of public spending (e.g. removes duplications) Risk sharing with private sector, leverages additional private R&I investments

MFF © European Commission Some examples: EU collaborative research on 3G mobile phone standards, led to €250 billion market revenues for EU companies. EU Risk Sharing Finance Facility has leveraged investments in R&D (EIB, private sector) worth 30 times EU contribution. European Research Council grants are attracting leading researchers from US (in some fields more than half of grant holders have doctorates/ post docs in US) Evaluations show every €1 of EU R&D spending leads to an increase in industry added value of €7-14.

MFF © European Commission Horizon 2020: general objective General objective: building an economy based on knowledge and innovation; supporting Europe 2020 and European Research Area. Proposed budget : € billion (constant 2011 prices) – Also €1.665 billion Euratom ; €0.729 provisioned for Performance indicators: Europe 2020 R&D target (3% of GDP, currently 2.01%); Europe 2020 innovation indicator

MFF © European Commission European Research Council Frontier research by the best individual teams Future and Emerging Technologies Collaborative research to open new fields of innovation Marie Curie actions Opportunities for training and career development Research infrastructures (including e-infrastructure) Ensuring access to world-class facilities Horizon 2020: specific objectives (1) Priority 1 – Excellent Science

MFF © European Commission Leadership in enabling & industrial technologies ( ICT, nanotech, materials, biotech, manufacturing, space) Access to risk finance Leveraging private finance and venture capital Innovation in SMEs Fostering all forms of innovation in all types of SMEs 619 Horizon 2020: specific objectives (2) Priority 2 – Industrial Leadership

MFF © European Commission Health, demographic change and wellbeing8 033 Food security, sustainable agriculture, marine and maritime research & the bioeconomy Secure, clean and efficient energy*5 782 Smart, green and integrated transport6 802 Climate action, resource efficiency and raw materials3 160 Inclusive, innovative and secure societies3 819 *Additional €1 788m for nuclear safety and security from the Euratom Treaty activities ( ). Does not include ITER. Priority 3 – Societal Challenges Horizon 2020: specific objectives (3)

MFF © European Commission Horizon 2020: specific objectives (4) European Institute of Innovation & Technology (EIT) Combining research, innovation & training in Knowledge and Innovation Communities * Joint Research Centre (JRC)** Providing a robust, evidence base for EU policies * Second tranche pro rata from Enabling & Industrial Technologies and Societal challenges (subject to review) **Additional €656 m for the JRC to be funded from the Euratom Treaty activities Three priorities also supported by:

MFF © European Commission Major simplification Single framework programme integrating 3 separate instruments (and 8 different specific programmes) Single set of rules covering all R&I funding, aligned with Financial Regulations One project, one funding rate – 100% direct costs*, 20% flat rate for indirect costs Fewer, better targeted, controls & audits Faster time to grant – average time reduced by 100 days Efficient management, including greater use of external management * Lower maximum rate (70%) for closer to market projects. Projects will require co- funding by participants for indirect costs which are typically in the order of 100% of direct costs.

MFF © European Commission Synergies with Cohesion policy Clear division of labour: – Horizon 2020 = excellence through open, EU wide competitions – Cohesion policy = building regional research and innovation capacity Horizon 2020: – Simplification to ensure equal access for all – Targeted measures for less developed regions to improve policy learning, support international networking, and attract talent Cohesion Policy: – Research and innovation as an investment priority – R&I operational programmes conditional on smart specialisation strategy – Inter-regional cooperation to includes cooperation between clusters, researchers and research institutions, based on FP7 ‘Regions of Knowledge’ and ‘Research potential’

MFF © European Commission Synergies with the Competitiveness and SME programme (COSME) Horizon 2020 and COSME are complementary programmes to generate growth and jobs: – Horizon 2020 = innovation driven growth – COSME = support to create favourable business environment and competitiveness Which will be closely coordinated, e.g: – Financial instruments (debt and equity): clear criteria to decide which programme provides EU contribution – SME support: Enterprise Europe Network under COSME, to act as ‘one stop shop’ for EU funding

MFF © European Commission 35 « ERASMUS FOR ALL » A Single Programme for Education, Training, Youth and Sport ( )

MFF © European Commission 36 The context and rationale of the MFF Concentration of efforts on Europe 2020: objectives and strategic priorities Focus on EU added value: pooling of resources; from a culture of entitlement to a culture of results, incentives, partnerships and evaluation of impact Simplification: streamlined legal basis and programmes, simpler rules and innovative financing sources to enhance the leverage of the EU budget

MFF © European Commission 37 The context and rationale of Erasmus for All Key role: to enhance the contribution of education and human capital to sustainable growth. Hence the rationale: ► Concentration of efforts on the education aspects of Europe 2020 through the policy frameworks of ET2020 and the Youth strategy, and through policy development; ► Focus on EU added value through mobility, cooperation and policy reform to promote the modernisation of education systems at all levels and address skills shortages and mismatches; ► Simplification via streamlining of legal bases into a single programme, simpler rules and innovative funding sources.

MFF © European Commission 38 Youth in Action Programme International higher education programmes: Erasmus Mundus, Tempus, Alfa, Edulink, Bilateral Programmes Grundtvig Erasmus Leonardo Comenius Lifelong Learning Programme A single integrated programme Existing programmes A Streamlined architecture Erasmus for All 1. Learning Mobility 3. Policy Support 2. Co-operation projects Specific activities: Jean Monnet Sport

MFF © European Commission 39 Key action 1: Learning mobility of individuals Key action 3: Support for policy reform Key action 2: Co-operation for innovation and good practices 3 Key actions

MFF © European Commission 40 Learning Mobility Modernising education through chances to learn abroad: ► Students: higher education and vocational training ► Masters students: a new loan guarantee mechanism ► Youth: international volunteering and youth exchanges ► Staff: teachers, trainers, school leaders and youth workers ► International dimension: mobility for EU and non-EU beneficiaries

MFF © European Commission 41 Erasmus Master- Loan Guarantee scheme Why? – No support for degree mobility at master level – National grants/loans often not portable – More inclusive access to mobility – Leverage effect of EU budget Who? – Managed by the European Investment Fund (EIF) Eligibility? – Students who wish to study a full Masters degree in another participating country – Average of loans a year How? – EU Budget provides part guarantee against non-repayment – technicalities dealt within the debt platform and in cooperation with EIF, ECFIN and BUDG – In return, banks/student loan agencies must agree to offer favourable terms (interest rates, repayment terms, grace periods etc.)

MFF © European Commission 42 Cooperation for innovation Modernising education through cooperation: ► Partnerships between education institutions, youth organisations, training institutions and other actors ► Large-scale cooperation between education and business: ‘Knowledge Alliances’ and ‘sector Skills Alliances’ ► Connecting students and staff via web platforms ► Helping modernisation of universities in third countries

MFF © European Commission 43 Support for policy reform Modernising education through policy support: ► Evidence based support for effective education investment ► Development and promotion of EU wide tools to assess and recognise skills ► Peer learning and cross-fertilization between education systems

MFF © European Commission 44 International Dimension Objective (MMF Communication): incorporate all existing international programmes (Erasmus Mundus, Tempus, Alfa, and Edulink) to: (1) put an end to the current fragmentation; (2) enhance the global visibility and impact and (3) increase efficiency. 1. International opening of Erasmus: more mobility of students and staff between EU – non EU in both directions 2. Joint Master courses of high quality offered by consortium of EU/non EU universities to attract the very best students worldwide 3. Specific support with neighbourhood countries: More cooperation between universities for capacity building and more student and staff mobility, in line with development objectives 4.Rest of the world: More cooperation between universities in the EU and rest of the world for capacity building, in line with development objectives

MFF © European Commission 45 Jean Monnet Erasmus for all will Include support for teaching and research on European integration via Jean Monnet activities  We maintain the Institutional support for College of Europe (Bruges and Natolin) and the European Institute of Florence  We open a competitive support to other institutions based on excellence and added value  The Jean Monnet Chair continues to be a key component  We propose the creation of the Jean Monnet Label of Excellence

MFF © European Commission 46 Sport Erasmus for all will Support the European dimension of Sport  Focus on grassroots sport activities (not the top professional level)  Tackle transnational threats to sport (amateur doping, match-fixing, violence, racism, intolerance)  Develop European Cooperation in sport (improving good governance, promoting dual careers for athletes  Social inclusion in sport and health enhancement

MFF © European Commission 47 Budget BUDGET ALLOCATION BY TYPE OF ACTION FOR THE PROGRAMME

MFF © European Commission 48 Budget Indicative allocations expressed in percentage:  25 % for higher education;  17 % for vocational education and training and adult learning (of which 2 % for adult learning);  7 % for schools;  7 % for youth

MFF © European Commission 49 Budget implementation architecture – Learning mobility of HE students in joint/double degree – Cooperation for innovation and good practices: Knowledge alliances, Sector Skills alliances, Capacity building in third countries, IT support platforms – Support to policy reform: Support to open method of coordination, EU transparency tools, Policy dialogue Centralised management by EC : Residual Management by National Agencies: 12,7 billion € (65%) –Learning mobility of individuals (excluding joint/double degree) also for the international dimension –Cooperation for innovation and good practices: Strategic partnerships between education institutions or between youth organisations and/or relevant actors Centralised management by Executive Agency : 6,8 billion € (35%)

MFF © European Commission 50 Management system EC sets management rules MS designates National Agency MS issues ex-ante declaration of assurance on National Agency MS delivers yearly declaration of assurance on National Agency compliance and accounts MS in charge of audits and control of National Agency Good results but heavy and continuous workload on MS Difficult match with timing requirements for Annual Activity Report EC sets management rules MS designates National Agency and independent audit body MS issues ex-ante compliance assurance on National Agency National Agency provides yearly management declaration of assurance with independent audit report MS supervises national system and informs EC High assurance level kept, but with less burden for MS In tune with timing requirements for Annual Activity Report

MFF © European Commission 51 Estimated output figures Up to 5 million people overall will benefit from mobility opportunities during (versus 2.8 million in ) ; Over higher education students and vocational students will spend a part of their education abroad, including about traineeships in companies ; Nearly 1 million teachers, trainers, education staff and youth workers will acquire new teaching and learning methods abroad ; Master students will benefit from the new loan guarantee scheme ; young people will be given the opportunity to volunteer or participate in youth exchanges ; joint degree students (between EU and non-EU universities) ; Over Strategic Partnerships involving institutions / organisations ; 400 Knowledge and Sector skills Alliances involving 4000 education institutions.