- Europe needs to raise defence spending, but high debt, welfare costs, and politically difficult tax hikes or cuts make that hard.
- Eurobonds are politically resisted, and conventional growth strategies have mostly failed over the past 15 years.
- Europe’s export-led model is weakening because of US-China rivalry, protectionism, and rising Chinese competition, hurting European firms and trade balances.
- The result is sluggish European growth at exactly the wrong time.
- The proposed “secret weapon” is cutting VAT sharply to stimulate consumer spending and boost growth.
Source: brusselssignal.eu
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Europe"
- NoLo Beverages in Europe: Regulatory and Fiscal Challenges
- Pre-Filled VAT Returns in Europe: Landscape, legal effect, operational maturity and ViDA implications
- Europe’s E-Invoicing Map in October 2026: Who Clears, Who Reports, and What ViDA Changes
- European digital VAT landscape – overview
- Polish VAT on Accounting Services for Foreign Contractors with a Fixed Establishment
