Eurozone budget plan still on the table despite ‘very deep split’ among EU members

Proposals for a Eurozone budget are still on the table despite a “very deep split” among member states, the European Commission said today.

After a fiery debate of the European Parliament today economic affairs commissioner Pierre Moscovici said the prospect of a consensus was “bleak” and the window of opportunity for reform was “slowly closing.”

Moscovici said he had no choice but to open the issue up to the Euro Summit on Friday for heads of state to issue a clear mandate on the proposals.

At a euro group meeting last week finance ministers failed to reach an agreement on a proposed eurozone budget put forward by France and Germany.

The two nations want to introduce a euro area budget – within the framework of the existing EU budget – by 2021 to provide stability to the currency zone and absorb sudden economic shocks.

Several member states have criticised the plan, with Dutch finance minister Wopke Hoekstra being particularly vocal.

Moscovici said it was now down to be "decisive" in bringing forward the budget.

He said: “The talks have been particularly complex and we had no choice but to throw the ball into the court of heads of state and governments – we are looking to them for guidance.

“I would urge them to give us a clear and ambitious mandate.”

He added: “The commission is not going to give up on the proposal – it's still on the table.

“We talk about the window of opportunity for reforming the eurozone and I'm afraid to say that window is slowly closing.”

Last week euro group president Mario Centeno said work to implement the proposals could continue if member states issued a mandate.