V4 Report: Instead of downsizing after Brexit, Brussels seeks additional revenues from nation states

V4 Report:  Instead of downsizing after Brexit, Brussels seeks additional revenues from nation states

V4 Report. EU Future Part I: Instead of downsizing Brussels after the departure of the UK, which is logical given that the EU will be smaller, Juncker and the Eurocrats will seek more tax revenue from the European nation states to replace lost revenues from UK.

Typical thoughts from Brussels, which is always looking to expand their reach and power. However, recent elections in the Czech Republic and Austria point to a Europe that wants less from Brussels.

The bureaucrats of Brussels will not cede their power without a fight. We believe the exact opposite must happen to stop the growth of Brussels. The key to reducing the influence of Brussels is to drastically reduce the revenues sent to the EU by all the nation states. To halt the appetite of Brussels, one must starve it and deny it the source of its nourishment. (Please see the V4 Report’s next two posts in thirty minutes.)

– The EU faces a loss of revenue from Brexit. We view this as a positive opportunity to downsize the EU. The UK is the third biggest net contributor to EU coffers, leaving a deficit in the bloc’s finances when Brexit becomes official.

Unfortunately, instead of dealing with hard realities, Mr Juncker will propose extracting more cash from the European nation states to support the big spending habits of Brussels.

The proposals to raise more money include siphoning off a percentage of corporate tax receipts from the nation states’ own treasuries, the Financial Times reported.

Brussels hopes the charge could bring in up to €140billion over the course of the 2019-2026 budget. What? An extra €140 billion AFTER the EU just got smaller? It’s that easy? Slowly and steadily, the EU moves to federalize Europe.

Another levy could be placed on money countries raise from selling carbon emission permits.

– Mr Juncker warned yesterday: “I think the member states are going to have to rethink things. Some member states don’t want to pay more but they want to do more. Other member states want to receive more.” Yes, the nation states must rethink everything. The V4 Report would recommend a third option: Nation states pay less to Brussels and expect less from the EU.

The idea of giving more money to the EU has provoked opposition from a number of states including Austria, the Netherlands and Sweden. We are not sure of the motives of the Netherlands or Sweden, but we do believe Austria’s Sebastian Kurz grasps reality regarding the future of EU funds…..expect less.

– However, the idealistic European Budget Commissioner Günther Oettinger insisted yesterday they would have no choice but to pay up. No choice? This sounds less about democracy and more about socialism, which is a proven disaster.

Gunther said: “Now, I am no magician, ladies and gentlemen. We will only be able to square the circle with more. We won’t be able to with what we currently have.“

Gunther is no magician, but neither is the EU “Fairy Godmother”, who cannot produce revenue with the waving of her magic wand. Despite Gunther’s unlimited desires, there are limits in life and every business and family must make these same choices and adjustments.

There is another way “to square the circle”. Try doing what voters across Europe are demanding…..take less, spend less and drastically cut the size and scope of the bureaucracy in Brussels.

Return power to the European nation states and its people – the true strength and “heart and soul” of Europe.