Photo : Spain’s Minister for Foreign Affairs, Jose Manuel Albares, British Foreign Secretary David Lammy, an
12 June 2025, Thursday | NIAS Europe Daily Brief #1156
By Lekshmi MK, Merin Treesa Alex, & Vaihali Chittrothu
REGIONAL
EU-UK sign a political agreement on Gibraltar in Brussels
On 11 June, the EU, the UK, Spain, and Gibraltar finalised a political agreement in Brussels. The agreement focuses on the future management of Gibraltar’s land border and its integration with EU systems. Spain’s Minister for Foreign Affairs, Jose Manuel Albares, British Foreign Secretary David Lammy, and Chief Minister of Gibraltar Fabian Picardo agreed to remove all physical border barriers between Gibraltar and Spain, enabling the free movement of people and goods at land. A dual border control system was established, mirroring the Eurostar St Pancras model, with Spanish Schengen checks and Gibraltar-UK checks. The checks would be conducted at the port and airport. They secure the UK’s military sovereignty and operational autonomy in Gibraltar, assuring that strategic defence facilities would remain under British control. The agreement includes provisions for enhanced cooperation on visas, residence permits, labour rights, police, judicial collaboration, environmental, and anti-money laundering measures. The pact aimed to resolve the final major Brexit-related issue, providing legal clarity and economic certainty for Gibraltar’s 34,000 residents and the approximately 15,000 daily cross-border workers. It remained subject to legal formalisation, translation, and ratification by the parliaments of the UK, EU, Spain, and Gibraltar. (Alice Tidey, "Historic milestone': EU and UK strike political agreement on Gibraltar," Euronews, 11 June 2025)
POLAND
Prime Minister Tusk wins the confidence votes in the parliament
On 11 June, Poland’s Prime Minister Donald Tusk withstood a vote of confidence in the parliament with 243 MPs voting in support. The decision for the vote came after the close ally of Tusk, Warsaw Mayor Rafal Trzaskowski, lost the presidential runoff to conservative Karol Nawrocki, who was backed by US President Donald Trump. The elected candidate would replace President Andrzej Duda, a fellow Law and Justice Party conservative. Tusk counted on Trzaskowski’s victory, which would help break the institutional deadlock that was caused by Duda’s veto. He urged the MPs to support moving forward to build a better Poland. Tusk faces criticism from his coalition partners, especially over Trzaskowski’s defeat, and has difficulties in fulfilling the key campaign pledges like abortion law reform and legalising same sex marriage. He said that the narrow defeat reveals a strong support for the coalition’s vision. There are questions raised over the coalition’s ability to survive the next elections in 2027 amid a strong rise of the far right. Even after this, Tusk remains defiant and promises to reshuffle the cabinet in July and also appoint the government spokesperson to present a “unified message.” The media speculates that this may be his political twilight. (Gavin Blackburn, Poland's PM Donald Tusk survives parliamentary confidence vote,” Euronews, 11 June 2025)
ROMANIA
Greenpeace under trial by the state-owned Romgaz
On 10 June, the state-owned company, Romgaz, filed a lawsuit against NGO Greenpeace Romania, calling for its disbandment. A Romanian political scientist said that the trial is a part of the ongoing trend, where several environmental and human rights NGOs face several conflicts following sudden inspections, the public raises issues of their legitimacy, and many more. Romgaz is the largest natural gas producer and supplier in Romania, and the lawsuit is backed by the Energy Ministry. Romgaz and the Austrian company OMV plan to extract natural gas from the Neptun Deep gas field. This project aims to extract natural gas from the Black Sea, and it is to begin in 2027. Environmentalists are deeply concerned that this would affect the EU’s climate targets. The Greenpeace Romania even expressed their concern that they have to think twice before suing Romgaz. Minister of Energy of Romania, Sebastian Burduja, accuses Greenpeace of fraudulent activities. He said this project aims to make Romania a truly energy-independent country. (Astrid Benölken and Tobias Zuttmann, “Greenpeace in court: Romania aims at environmental NGOs,” Euronews, 10 June 2025)
SWITZERLAND
Senate approves the changes in the arms export
On 11 June, the Swiss Senate approved the changes on the arms exports easier to 25 Western countries. Applications from the 25 countries would receive prior authorization, also they can re-export Swiss equipment without permission. The list includes 17 EU members along with the US, Canada, Australia, Japan, New Zealand, and Argentina. This move aims to support Switzerland’s defence industry, which is facing issues due to the current tight restrictions. This follows the 2022 corrective initiative that prohibits arms exports to countries involved in armed conflicts or human rights abuses. The new re-export rule would not apply to existing agreements, and Ukraine is also excluded. The right-wing senators want this flexible measure included in the law and not just as a temporary exemption. This decision was opposed by the left-wing senators, who said it would undermine neutrality and lead to Swiss weapons being part of global conflicts. The proposal is to be moved to the House of Representatives for further discussions. (“Swiss Senate wants to make arms exports and re-exports easier,” Swissinfo, 11 June 2025)
THE UK
Chancellor of Exchequer announces major funding boosts amid budget squeezes
On 12 June, Chancellor of the Exchequer Rachel Reeves announced an additional EUR 29 billion per year for the National Health Service (NHS) in England as part of the Spending Review published on 11 June. She pledged long-term funding of EUR 39 billion over ten years for social and affordable housing, while day-to-day Home Office budgets were slashed by 1.7 per cent, with police funding increased by 2.3 per cent. The NHS received a three per cent annual increase in operational funding, and defence spending rose from 2.3 per cent to 2.6 per cent of national income by 2027. Meanwhile, key departments including the Foreign Office –6.9 per cent a year, in transport, – 5 per cent a year, and Environment, 2.7 per cent, were subjected to tighter budgets. Additional commitments include EUR 280 million for border security, EUR seven billion to build new prison places, a EUR three bus fare cap extension, and EUR two billion for AI projects, plus EUR 750 million for supercomputers. Reeves insisted the review is a move to “renew Britain,” though opposition figures warned of future tax rises and constrained public services. (Kate Whannel, "Reeves boosts NHS and housing as some budgets squeezed," BBC, 12 June 2025)
Ban on bottom trawling to protect Marine Protected Areas
On 11 June, the UK announced that it aims to ban bottom trawling in 42 more Marine Protected Areas (MPAs) to protect marine life. Previously, it had 4 MPAs that completely banned bottom trawling, but now it had to extend them after consulting with marine and fisheries stakeholders. This process starts on 09 June and will take place till 01 September. The government would be able to protect the class, soft corals, and langoustines if measures are implemented. The CEO of Surfers Against Sewage, Hugo Tagholm, said that these proposals would be a golden opportunity to safeguard these vital marine sanctuaries from damaging practices. The CEO of Blue Marine Foundation, Clare Brook, announced that these proposals are highly encouraging and very welcome, and so if they are delivered the England's offshore MPAs would be protected. (Lottie Limb, “‘A golden opportunity’: UK unveils plan to ban bottom trawling in more marine protected areas,” Euronews, 11 June 2025)
Northern Ireland leaders call for an end to anti-Romanian riots
On 11 June, leaders in Northern Ireland condemned the riots, describing them as “racially motivated” and urging calm and unity. The unrest erupted in Ballymena on the evening of 09 June. This comes after a teenage girl was allegedly assaulted by two 14‑year‑old boys who spoke through a Romanian interpreter in court. Over two nights of rioting, masked youths threw petrol bombs, bricks, fireworks, and masonry at police and homes, causing widespread damage and fear across multiple towns. The violence spread to Larne, Belfast, Lisburn, Coleraine, Newtownabbey, and Carrickfergus, with a centre in Larne. Police used water cannons, plastic baton rounds, and riot gear, while requesting reinforcements from England and Wales. 32 officers were injured, and at least six were arrested. Residents from an ethnic minority posted national identity signs on their homes to avoid being targeted. Political figures, including Prime Minister Keir Starmer, Minister of Justice of Northern Ireland, Naomi Long, First Minister of Northern Ireland, Michelle O’Neill, and ministers from Sinn Féin and Democratic Union Party, joined the condemnation and demanded an immediate halt to the racist attacks. (Richard Connor, "Northern Ireland leaders urge end to anti-Romanian riots," DW, 11 June 2025; Catherine Doyle & Richard Morgan, "Fire at leisure centre as Northern Ireland violence erupts for third night," BBC, 11 June 2025)
REGIONAL
ECA calls out member countries for the lack of funds to prevent wildfires
On 11 June, the European Court of Auditors (ECA) released a report, where an analysis of how some EU members would fund to prevention of wildfires. The ECA states that the data used was outdated and acknowledges the significant investments in tackling wildfires. On the positive, the funds spent on it had increased were not utilised in the necessary areas that require them. For example, Greece has a list of forest fire-prone areas that are 40 years old. Portugal has not updated a forest fire area into a partially flooded area just because a dam was built several years ago. Auditors were unable to calculate the amount spent on the prevention of forest fires only because the member states didn't differentiate the amount spent on different natural disasters while reporting to the EU.
(Alice Tidey, “European Court of Auditors flags inefficiencies in EU wildfire spending ”, Euronews, 11 June 2025)
EU to develop electrolysers for renewable energy, faces competition from China
On 12 June, Deutsche Welle reported on the building of electrolysers that use renewable energy to produce hydrogen and clean fuel for heavy industries like ammonia and steel by engineers at the John Cockerill factory in Belgium. European manufacturers face heavy competition from China, which controls half of the global electrolyser capacity. The EU’s net-zero industry act aims at protecting the market and supporting the local industry, which includes rules to prevent funding from going to the cheapest bids, which are often Chinese. The act aims to diversify the supply chains and strengthen European production. (Anchal Vohra, “Can the EU keep up with China in hydrogen technology?” Deutsche Welle, 12 June 2025)
EU members spark debates on the age limit to access social media
On 11 June, three EU countries- France, Spain, and Greece- launched a debate to propose the idea of “digital majority,” which would set the age limit at which children cannot access social media. The initiative aims to protect minors from harmful, addictive online content that could lead to anxiety and depression, as well as hinder cognitive development. The platforms already have a minimum age requirement of 13, but many children start using them by age seven to eight by faking their age. This move proposes stricter age verification and parental control systems for devices connected to the internet. The Digital Services Act targets illegal content such as hate speech and child exploitation. It has been in effect for two years for big platforms and one year for smaller platforms. The European Commission is working on drafting guidelines and conducting investigations into major platforms like TikTok, Instagram, and Facebook to ensure that minors are protected. (Gregorie Lori, “Debate on minors' access to social media networks begins with three EU countries,” Euronews, 11 June 2025)
Electric Vehicle sales rebound in Europe
On 12 June, DW reported that the electric vehicles (EVs) sales in Europe rebounded strongly, growing approximately 28 per cent in the first three months to around 573,500 units. The revival was primarily fueled by Germany and the launch of more affordable EV models like the Renault 5 and Citroën ë‑C3. Major global automakers such as Volkswagen and BMW recorded significant EV growth, while Renault’s EV sales jumped 88 per cent globally. Conversely, Tesla saw a 37 per cent drop in its European EV sales, which analysts linked to political backlash and increased competition from cheaper models. Despite the rebound, analysts warned that its sustainability remained uncertain due to factors such as reduced government subsidies, geopolitical risks, and softened EU emissions regulations. High battery costs continued to keep EV profit margins below those of internal combustion vehicles, prompting manufacturers like Volkswagen to plan ultra‑affordable models. (Nik Martin, "Electric car sales rebound in Europe, with a catch," DW, 12 June 2025)
INTERNATIONAL
The US and Switzerland agree on allowing the USSEC to have access to Swiss firms
On 11 June, the US and Switzerland reached a new agreement that would allow the US Securities and Exchange Commission to access client information of Swiss firms directly. The agreement came in the middle of regulatory Examinations of at least eight Swiss companies that were conducting business through a US-regulated entity. Both countries are to have a complicated relationship regarding client information; this was because American clients stashed their assets in Swiss accounts to avoid taxes. The SEC said that it didn’t “confirm their existence or non-existence”. Swiss company Vontobel refused to comment. Thus, the announcement was the result of negotiations between Washington and Swiss financial regulators. The decision of the SEC took place after Americans moved their assets to Switzerland due to the uncertainty of the Trump administration. (Mercedes Ruehl and Stefania Palma, “US and Switzerland end stalemate over client information,” Euronews, 11 June 2025)