Switzerland ready to ‘perpetuate’ cohesion contribution to EU

© Keystone / Gaetan Bally

Exploratory talks between Bern and Brussels aimed at bringing both sides back together to negotiate future political ties continue to advance slowly. The issue of making the so-called cohesion contribution to Brussels more permanent was raised for the first time during talks on Wednesday.

Swiss State Secretary Livia Leu met Juraj Nociar, the head of the cabinet of European Commission Vice President for International Affairs Maros Sefcovic, in Brussels for the fifth exploratory round of talks to find a way forward after Switzerland rejected an overarching framework agreement to govern long-term ties last year.

The Swiss diplomat described the talks as “substantial” without giving many details. The EU was also guarded, saying the Swiss delegation had clarified certain questions but that the EU Commission needs additional information on other matters.

For the first time, there was talk of a possible consolidation of the Swiss cohesion contribution, said Leu.

“Switzerland is in principle ready to perpetuate its solidarity contribution towards Europe’s cohesion,” said the Swiss official.

Cohesion payments are seen as the entry fee for non-EU members like Switzerland or Norway to take part in the European Single Market. They are aimed at reducing economic and social disparities and to manage migration better in selected EU member states. In July, Bern and Brussels signed a memorandum of understanding for Switzerland to pay a so-called cohesion contribution of CHF1.3 billion ($1.36 billion) to Brussels.

Switzerland’s second such contribution had been withheld in 2019 following a stand-off between Bern and Brussels over future political ties. 

Free movement and abuse of welfare

The free movement of people was also discussed on Wednesday. “We agree on the principle of same salary for the same work in the same place,” said Leu, adding that this principle needs to be “finalised”.

The Swiss diplomat said the main stumbling block for Bern was still abusive use of the welfare system by immigrants, the expulsion of criminal foreigners and the protection of salaries. New technical discussions are planned on these issues.

Leu said further talks are also needed on institutional issues and on the question of state aid.

A sixth round of exploratory talks is timetabled for November 11.

In an interview with the Neue Zürcher Zeitung (NZZ) in early September, Leu said that Switzerland wanted to move forward with negotiations but complained that the EU continues to push back the timetable. In reply, Petros Mavromichalis, the EU ambassador in Bern, said Brussels was not “playing for time”. Rather, it was “waiting for the proposal of credible solutions”.