Photo : cece.eu
23 January 2024, Tuesday | NIAS Europe Daily Brief #737
BELGIUM
New tax regime to affect expats
On 22 January, Politico reported on the decision by the Belgian Parliament to scrap the special expatriate tax regime, which allowed tax benefits to expatriates working in Belgium since 1983. The new scheme would grant such benefits only to those earning over EUR 75,000 gross income per year, which could only apply to perhaps 10 per cent of expatriates. The new regime was an effort to close a loophole in the tax system that was meant to allow tax benefits to temporary workers from abroad. Expats will now go through the same tax regime as Belgian residents, which has the potential to reduce the attractiveness of the Belgian employment market to foreigners who might now prefer France and the Netherlands. The high taxes on expats would, however, benefit Belgian companies as the previous necessity to hire consultants to calculate differential tax benefits would no longer be needed. (Ketrin Jochecová, “Expats in Belgium face life under new tax regime”, Politico, 22 January 2024)
FRANCE
Farmers' protests the key agenda before EU elections
On 22 January, Politico reported on the continued farmers’ discontent in France, becoming the campaign agenda ahead of the European Parliament elections in June. Gabriel Attal, the French Prime Minister, supported President Macron’s past efforts and tried to understand farmers’ concerns. He promised to give the farmers their fair share and balance their needs with environmental restrictions. Jordan Bardella, a 28-year-old far-right leader and key contender of the campaign under Marine Le Pen’s National Rally, blamed “Macron’s Europe” to be against the agricultural sector and called for a “state of emergency” of the farming sector. The protests that have spread through France, Poland, Germany and Romania over taxes, subsidy cuts and the EU policy of ‘Farm to Fork’ have become a deciding factor ahead of EU elections and governments are trying to battle against the mounting pressure from far-right groups who urge a protectionist policy on farming, threatening Macron’s rural support base. (Victor Goury-Laffont, “Farmers’ protests sweep France, seizing agenda before EU elections,” Politico, 22 January 2024)
GERMANY
Lawmakers consider creating a ‘European army’
On 23 January, Deutsche Welle reported on a proposal that could allow European citizens outside of EU countries to serve in the Bundeswehr, the German Army. Boris Pistorius, the German Defence Minister, first suggested the plan due to severe shortage of personnel in the defence forces. This could allow Europeans in the UK (former EU state) and the neutral state of Switzerland to join the Bundeswehr. Europeans who have spent years in Germany can use the opportunity to speed up their naturalisation process, according to Marie-Agnes Strack-Zimmermann, the chair of the Bundestag’s defence committee. The proposal foresees the creation of a “European army in the long term,” since Germany is cooperating with France and the Netherlands to secure the deal. It could also be extended to potential future members of the EU and even NATO (which will be complicated due to American domestic politics). Pistorius aims to create a war-ready European army within eight years, which Strack-Zimmermann wants done in five, given the creation of bulwarks by Baltic states due to the Russian threat. (Zac Crellin, “Germany weighs allowing foreign citizens into the army,” Deutsche Welle, 23 January 2024)
Germany suggests means to curb drug trafficking
On 22 January, Deutsche Welle reported on the decision by Germany to engage in global cooperation to curb the threats of drug trafficking within Europe. Nancy Faeser, the German Interior Minister, stated that drug smugglers were targeting the German port of Hamburg and other major ports in Belgium, France and the Netherlands and perpetuating a “spiral of violence” against journalists and prosecutors in these countries. Faeser would be visiting South America to extend cooperation with them to prevent smuggling into Europe. She also recommended preventative measures through identification of companies involved in trafficking and threats extended to port workers by cartels. (“Germany calls for more global action against drug smugglers,” Deutsche Welle, 22 January 2024)
Doppelganger murders lookalike to fake her death
On 22 January, Deutsche Welle reported on the Bavarian court dismissal of the plea to delay the trial of a Beautician, who murdered her lookalike, to make it look like it was her death. After contacting the lookalike through Instagram, the accused invited her to Ingolstadt under the promise of a free beauty treatment, where the accused instead took the victim to a wooded area and stabbed her more than 50 times. The reason for the defendant to fake her death is due to disagreements between her family and her former partner. Konrad Kliegal, the presiding judge refused the plea from defence requesting a pause on the trial as new investigation files were submitted to the court. (Richard Connor, “German 'doppelganger' fake death murder trial moves ahead,” Deutsche Welle, 22 January 2024)
THE UK
House of Lords called for delay of ratification of UK-Rwanda treaty
On 23 January, BBC reported the House of Lords voted 214 to 17, urging the government to not ratify the treaty until the gaps in Rwanda’s Asylum procedures are completed. Although the vote is a non-binding motion, it represents the extent of opposition Prime Minister Rishi Sunak will face. The motion was proposed by Lord Goldsmith, Labour Party’s former Attorney General highlighted the 10 outstanding issues with Rwanda’s asylum system and reported that “protections promised by Rwanda’s treaty haven’t been introduced yet.” According to the government, the new treaty establishes an appeal body, an independent committee with powers to enforce the treaty and a monitoring committee, which will allow the asylum seekers and their lawyers to file complaints. (Sam Francis & Harry Farley, “Rwanda asylum scheme: Peers vote against approving Rwanda treaty,” BBC, 23 January 2024)
REGIONAL
Von der Leyen drafts election campaign standards for commissioners
On 22 January, Politico reported on the document, dated 21 January, drafted by European Commission president Ursula von der Leyen sets out rules and ethical standards to be followed by commissioners who want to run for European Parliament elections scheduled in June. According to the rules, the commissioners who want to contest as a candidate for European Parliament elections or stand as their party’s lead for becoming European Commissioner President will not be allowed to use the staff, budget and other office resources for their Commission for their campaign purposes. They are also guided to have separate social media accounts to differentiate between their statements made as a European Commissioner and as a candidate. Von der Leyen is yet to confirm if she will be running for a second term, however, the announcement regarding the same is expected next month. This document would be adopted by the College of Commissioners on 24 January. (Barbara Moens, “Don’t give up the day job! Von der Leyen sets out election campaign rules for commissioners (including herself),” Politico, 22 January 2024)
European Commission to adopt an Economic Security Strategy
On 19 January, Politico reported on the European Commission plan to adopt an Economic Security Strategy by 24 January to deal with the economic risks accompanied by the geopolitical tensions between China and the US. Brussels through the new strategy aims to protect and promote domestically developed technology and industry, a common approach for exports and a monitoring of external investments. The entire strategy is mostly non-binding legislation, with three strategic papers and one proposal positioned as guidance for the members. This proposal would increase Brussels' powers as now the Commission would be able to screen external investments made by the bloc members, which was earlier solely limited to the powers of national governments. (Camille Gijs, Pieter Haeck, Kathryn Carlson and Koen Verhelst, “EU warms up for fight over economic security,” Politico, 19 January 2024)
INTERNATIONAL
British Conservatives divided over Trump Support for 2024
On 23 January, Politico reported the clear distinction among Conservatory Party MPs for their support for Trump 2.0, as a strong number of Tory MPs have expressed praise for the former president. Paul Goodman, editor of ConservativeHome along with other Tories, position Trump as ‘pro-Britain’ and given the growing closeness between China, Russia and Iran, they believe the US would attempt to project similar strength. Trump’s support by the ex-Prime Minister Boris Johnson, highlighted how his “presidency can be a big win for the world.” However, other conflicting Tories were amused at British politicians supporting a candidate who has “no respect for rule of law and democratic institutions.” ( Andrew Mcdonald, “Britain’s Conservatives are warming to Donald Trump 2.0,” Politico, 23 January 2024)
The US & the UK launch fresh strikes against Houthis
On 23 January, the BBC reported on the second joint attack by American and British forces against the Houthi rebels in Yemen, hitting eight targets targeting ships in the Red Sea. The US and the UK stated that the attacks were to enable the “free flow of commerce” in the Red Sea, a key global choke point, and to de-escalate the conflict. A joint statement suggested a potential new round of strikes, if necessary, against Houthi targets. David Cameron, the British Foreign Secretary, stated that the UK demands a “permanent, sustainable ceasefire” in Gaza. The strike aimed at “self-defence” from Houthi attacks was conducted with the support of Australia, Bahrain, Canada and the Netherlands. (Ruth Comerford and Frank Gardner, “US and UK launch fresh strikes on Houthis in Yemen,” BBC, 23 January 2024)