| Welcome to the Brussels Edition, Bloomberg's daily briefing on what matters most in the heart of the European Union. The battle for Europe's future direction formally begins this week, when the EU Commission unveils its proposal for a jointly-financed response to the coronavirus-induced recession. Battle lines have already been drawn, with a plan that underlines the German government's unwavering commitment to an ever closer union, and a brief paper of objections from a group of rich member states pointing out the potential liabilities. Reading between the lines of the paper from the so-called "frugal four," there are signs that a compromise could emerge. Negotiations for something so big take time and may be acrimonious, but one thing is already clear: the recovery fund is unlikely to be a blank check. —Nikos Chrysoloras What's Happening Tough Choices | Europe's leaders may be more or less united on the need to throw money at battered economies, but they have yet to confront how to pay for it all. That reckoning could force governments into tough choices about where to lay the burden among voters already disillusioned with political establishments. French Style | Many European governments roll their eyes at the drama emanating from Paris, but the compromise proposal on the recovery fund is an indication that France's confrontational stance may be paying off. Over a series of conversations with Bloomberg, Finance Minister Bruno Le Maire explains the thinking behind the government's approach. British Crisis | Boris Johnson is facing a political crisis after the revelation that one of his closest aides broke strict confinement rules. The furor comes at a dangerous time for the U.K. prime minister, with support for his handling of the crisis waning. Poverty Trap | A growing number of Europeans are showing up in bread lines, in a sign that the continent's relatively comprehensive safety nets are fraying or failing to capture new classes of vulnerable people, even with vast new emergency aid programs. With the economy in a deep recession, that raises the specter of an increase in income inequality. Bailout Stalled | Germany's 9 billion-euro bailout of Lufthansa is being slowed by discussions meant to ensure the rescue plan receives swift EU approval once it's finalized. Here's why. In Case You Missed It Ryanair Cuts | Ryanair executives warned employees in Spain that the collapse of air travel had left the discount airline with more than 600 surplus pilots and cabin crew in the country. Europe's largest low-cost airline is clamping down on costs and digging in for a slow recovery. Privacy Fines | Twitter and Facebook's WhatsApp are in the firing line as Europe's leading privacy watchdog for U.S. tech giants edges closer to delivering its first major sanctions under tough data-protection rules. The penalties would also be the first to test the cooperation between all 27 EU data authorities. Lockdown Living | While the U.S. has seen meat shortages as virus outbreaks shuttered slaughterhouses, there's a surplus in Europe, where health and environmental concerns have weighed on demand. Europeans eat less meat, and the glut is growing, Megan Durisin reports. Tourism Decline | Chances are you don't have many summer vacation plans for 2020, and even if you do, they probably won't look anything like past excursions to far-off lands. We take a deep dive into the devastation of the tourism industry and its implications for European economies. Chart of the Day  Using the EU Commission's growth forecast downgrades to identify which economies need the most help, and assuming the new debt is apportioned by economic heft, Bloomberg Economics has an early estimate about the winners and losers from the Franco-German proposal for a 500 billion-euro recovery fund. Today's Agenda All times CET. - 10 a.m. Vera Jourova, a European Commission vice-president in charge of rule of law matters, speaks at a European Parliament committee
- 2 p.m. EU Parliament Civil Liberties Committee to discuss a draft interim report on whether there is a clear risk of a serious breach of the rule of law by Poland
- 3:30 p.m. German lower house of parliament hearing on Constitutional Court's ECB ruling
- 5 p.m. EU antitrust chief Margrethe Vestager speaks at EU Parliament ECON Committee hearing
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. How are we doing? We want to hear what you think about this newsletter. Let our Brussels bureau chief know. | 
Post a Comment