ECOFIN: 8 December 2015

George Osborne Excerpts

Tuesday 5th January 2016 Written Statements

[The First Secretary of State and Chancellor of the Exchequer (Mr George Osborne)]

A meeting of the Economic and Financial Affairs Council was held in Brussels on 8 December 2015. Ministers discussed the following items:

Financial transaction tax

The member states that have agreed to participate in the financial transaction tax (FTT) provided an update on their progress. Estonia has stated it will not participate, reducing the number of member states involved to 10. I reiterated that the UK would not participate in the financial transaction tax and that the UK would oppose an FTT with extra-territorial effects that were detrimental to the interests of non-participating member states, including through a renewed legal challenge if necessary.

Common consolidated corporate tax base (CCCTB)

Following a presentation by the presidency on the state of play regarding the CCCTB proposal, the Council held an exchange of views.

Completing the banking union

The Commission gave a presentation on its proposal for a European deposit insurance scheme and its communication “Towards Completion of the Banking Union”. This was followed by an exchange of views.

Current legislative proposals

The presidency updated the Council on the state of play of financial services dossiers.

Implementation of the banking union

The Commission gave an update on several dossiers linked to the banking union: the single resolution fund, the bank recovery and resolution directive and the deposit guarantee scheme directive.

Fight against the financing of terrorism

After taking note of a Commission presentation on the next steps to reinforce the European framework in the fight against terrorism, the Council held an exchange of views.

Future of the code of conduct (business taxation)

The Council adopted conclusions on the future of the code of conduct group on business taxation.

Base erosion and profit shifting (BEPS)

The Council adopted conclusions on base erosion and profit shifting (BEPS) in the EU context.

European semester

The Commission presented its annual growth survey, alert mechanism report and draft Council recommendation on the euro area. This was followed by an exchange of views.

Common position on flexibility in the stability and growth pact (SGP)

The Chair of the Economic and Financial Committee provided a debrief on the common position agreed with regards to flexibility in the SGP for short-term economic conditions, structural reforms and public investments. The Council took note of the agreement.

Statistics: EU statistics and implementation of the European statistics code of practice

The Council adopted conclusions on the annual statistical package following a Commission presentation on the implementation of the European statistics code of best practices.

European Court of Auditors’ annual report on the implantation of the budget for the EU for the financial year 2014.

The European Court of Auditors (ECA) presented its report on the implementation of the 2014 budget followed by an exchange of views by the Council.

[HCWS445]