Divisive EU Summit

Growing economic uncertainty might not be enough to force EU leaders to show solidarity when they start their two-day Spring Summit on Thursday. The summit traditionally focuses on economic matters and agenda is said to be full of divisive issues:

• The European Commission's plans for complete 'unbundling' in the energy sector, a proposal strongly opposed by Germany and France, who have submitted an alternative plan for discussion.
• The national allocations of climate change targets proposed by the Commission in January, where most member states are seeking to get exemptions citing vital national interests.
• The lack of transparency of the economically important yet politically dubious Sovereign Wealth Funds, with Germany agitating for regulations, while the United Kingdom prefers a more lax approach by means of a voluntary code of conduct.
• Other issues that will be discussed, even though they might not officially feature on the agenda, are tax evasion and tax fraud, with Germany again leading the camp of those in favour of more integration and regulation, which has already met fierce opposition from Luxembourg. The small country is the main beneficiary of the status quo.  Finally, France is likely to questions yet again the role of the European Central Bank in providing financial and economic stability.

Given the importance of some of these issues, member states are likely to find some superficial agreement, which will then get unstuck once it comes to negotiating the details.