Brussels Edition: The Big Back-to-Work Test

Follow Us Get the newsletter Welcome to the Brussels Edition, Bloomberg's daily briefing on what matters most in the heart of the European Union. Millions of Europeans from Portugal, Italy and even here in Belgium are reluctantly returning to work today, as the continent takes a few more timid steps toward easing confinement measures. The impact of the lockdowns will be apparent again on Wednesday, when the EU Commission publishes its official forecast on the depth of recession. What we are not going to see this week is the Commission's much-anticipated proposal for an economic recovery fund, as a plan that bridges entrenched divisions between member states has yet to be completed. With most expecting an underwhelming proposal based on the lowest common denominator, it's up to the European Central Bank to save the day again. — Nikos Chrysoloras and Viktoria Dendrinou What's Happening Virus Update | Deaths from the coronavirus declined in Spain and Germany, while anger is brewing among Italian businesses that aren't allowed to reopen today. The U.K. government will warn there won't be a return to normal anytime soon. Here's the latest. Vaccine Donations | The EU Commission will host a virtual pledging conference today with a target of 7.5 billion euros for the development and manufacture of a coronavirus vaccine. The effort's backers, including the WHO, France and Germany, have stressed it should be available to everyone. German Ruling | Investors in Italian bonds seem to find themselves facing a new risk every week.This time it's a German court ruling that could determine the level of support Italy's debt markets can draw from the ECB's quantitative-easing program, James Hirai explains. Lufthansa Lifeline | After weeks of wrangling, Lufthansa expects to reach a deal with the German government on an aid package "soon." The German carrier is in an intense and constructive exchange with government representatives, according to a letter to employees. Here's the latest on the $85 billion in global airline bailouts so far. Tech Taxes | Countries staring at gaping budget shortfalls because of the pandemic are looking for any form of commerce and consumption they can tax. Digital revenue is becoming a likely target, as stay-at-home policies have boosted internet companies like Facebook, Apple and Netflix. In Case You Missed It Brexit Pressure | Crucial decisions about the U.K.'s future relationship with the EU are set to be crammed into a dramatic final few weeks of the year, Ian Wishart reports. Little meaningful progress is expected on the most important disagreements over the next couple of months. Customs Chaos | Meanwhile, the U.K. risks failing to recruit the 50,000 customs agents the logistics industry says are required before Britain's final parting with the EU. The coronavirus has hampered efforts to train staff to handle the extra paperwork firms will need to complete after the U.K. exits the EU's customs union. French Opinions | Emmanuel Macron's administration has been criticized for its shifting messages on who should wear masks and get tested. But it's not all bad news: only 20% of the French see far-right leader Marine Le Pen handling the crisis better and Macron's popularity has improved. Betting Crisis | Denied their usual fodder by the lockdowns -- from football action in Spain's La Liga to the U.K.'s Grand National horse race --European betting firms are searching for ways to prop up revenue. With many already highly indebted, they are turning to the lesser-known thrills of Nicaraguan football, Ukrainian table tennis and Chinese baseball. Chart of the Day The euro-area economy could shrink as much as 12% this year and fail to return to its pre-coronavirus size until the end of 2022, according to the ECB. The report is the latest to show how early predictions of a strong rebound in the second half of the year have given way to uncertainty. Today's Agenda All times CET. 10 a.m. European Parliament hearing with Andrea Ammon, Director of the European Centre for Disease Prevention and Control, to update on the COVID-19 situation 2 p.m. EU antitrust chief Vestager speaks to European lawmakers about Europe's aid response to the virus crisis at the European Parliament internal market committee 3 p.m. European Commission launches global pledging event to raise at least 7.5 billion euros for coronavirus response ECB survey of professional forecasters and euro-area manufacturing PMI readings due Like the Brussels Edition? Don't keep it to yourself. Colleagues and friends can sign up here. We also publish the Brexit Bulletin, a daily briefing on the latest on the U.K.'s departure from the EU.  For even more: Subscribe to Bloomberg All Access for full global news coverage and two in-depth daily newsletters, The Bloomberg Open and The Bloomberg Close. 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