The Annual Growth Survey (AGS) takes stock of the economic and social situation in Europe and sets out broad policy priorities for the EU as a whole for the coming year.
The Commission has identified the following priorities:
- Fiscal consolidation should be a growth-friendly mix of expenditure and revenue measures, putting more emphasis on the quality of public expenditure, and the modernisation of administration at all levels. Where greater fiscal room for manoeuvre exists, private investment and consumption should be stimulated, for instance through tax cuts and reductions of social security contributions.
- Longer term investment in education, research, innovation, energy and climate action should be protected and the needs of the most vulnerable in our society should be catered for.
- Tax should be designed to be more growth-friendly, for instance by shifting the tax burden away from labour on to tax bases linked to consumption, property, and combatting pollution.