Enda Kenny (Mayo, Fine Gael) | Oireachtas source

I propose to answer Questions Nos. 3 to 16, inclusive, together.

On 29 April, in the course of a visit to Spain, I had a bilateral meeting with the German Minister of Finance, Wolfgang Schäuble. We discussed a range of major EU and Presidency agenda items including the negotiations on the multiannual financial framework, MFF; progress on banking union; the growth and jobs agenda, particularly the European Union's competitiveness; and developments in the euro area. I also updated Minister Schäuble on economic developments in Ireland, progress made during the Irish Presidency and ambitions for the rest of our term.

In relation to unemployment in the European Union, the compact for growth and jobs provides a clear framework for the key actions necessary to return our economies to sustainable growth and job creation. We must ensure that it is implemented. There will be a full review of progress on this vital work at the June meeting of the European Council, one year on from its adoption.

The agenda for the June meeting of the European Council is being prepared in the normal way. President Van Rompuy prepared an annotated draft agenda for consideration by last week's meeting of the General Affairs Council, which was chaired by the Tánaiste. The draft agenda includes conclusion of the European semester process for 2013, with the endorsement of country specific recommendations; assessment of implementation of the compact for growth and jobs; and progress on banking union. The meeting will also consider President Van Rompuy's response to the four questions on economic and monetary union that he was asked to explore by the European Council in December. The meeting will also consider developments in the EU's relations with strategic partners and on enlargement. In due course, President Van Rompuy will circulate draft conclusions for the June European Council, which will be discussed by ambassadors in Brussels and subsequently by Ministers meeting at the June General Affairs Council, which the Tánaiste will again chair. In the usual manner, at each step in the process, Ireland will continue to input its views, as appropriate.

The Tánaiste and I met President Barroso and President Schulz in Brussels on 6 May to discuss the way forward on the MFF. I did not distribute any papers. We agreed to start formal negotiations between the Presidency, the Commission and the Parliament on the MFF, and in parallel to negotiate on the draft amending budget for 2013. This was a problem for the Parliament. An Irish Presidency compromise proposal on the draft amending budget was endorsed by the meeting of the ECOFIN Council earlier this month. The proposal put on the table a first tranche of €7.3 billion out of a total ceiling of €11.2 billion. We agreed that negotiations on the MFF would begin with a trialogue on 13 May to focus on matters of particular concern to the Parliament, as set out in its 13 March resolution on the MFF, namely, flexibility, a review clause, own resources and unity of the budget. It was also agreed not to re-open the figures on administrative expenditure under heading five of the MFF and to speed up negotiations on the staff regulations, which are part of the MFF legislative package. The first trialogue took place on 13 May. A further trialogue, in which the Tánaiste is participating, is taking place today. The Irish Presidency aims to get political agreement on the MFF in June.

I attended the meeting of the European Council which took place in Brussels last Wednesday. As I will be making a statement to the House on this meeting tomorrow, I will merely give a short summary of its proceedings. Discussions at the meeting focused on energy and on tax policy in the context of the EU's efforts to promote growth, jobs and competitiveness. On energy, leaders agreed on a series of guidelines in four fields that should help boost competitiveness and assist us in responding to the challenges of high energy prices and cost. These are urgent completion of a fully functioning and interconnected internal energy market; facilitation of the required investment in modern energy infrastructure; diversification of Europe's supplies; and enhanced energy efficiency. In my intervention, I highlighted potential gains from energy efficiency. Our discussion of tax policy had a particular focus on how to improve the efficiency of tax collection, and how best to tackle tax evasion and fraud. This discussion largely reflected the agenda set by the Minister for Finance, Deputy Noonan, and Commissioner Šemeta in their joint letter on tax issues. There was a strong endorsement of our ambition as Presidency to reach agreement on VAT fraud counter-measures in June. The Council also briefly discussed Syria, reaffirming its commitment to a political solution. It adopted a decision to continue with the situation whereby each member state nominates a Commissioner.

I wrote last week to each of my colleagues in the European Council as we enter the final stages of the Irish Presidency. I thanked them for the excellent level of co-operation which we have received and highlighted a number of areas on which we would appreciate further support over the coming weeks. To this end, I identified a range of files on which we hope to make progress, including measures that will boost employment and assist businesses to grow in the Single Market area, especially the digital single market. I also highlighted the importance of concluding a draft negotiating mandate for the transatlantic trade and investment partnership between the EU and the US.

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