Italian PM admits EU countries are spending billions due to rising inflation

Italian Prime Minister George Meloni acknowledged that rising inflation is forcing European governments to spend significantly more than planned, and therefore turn to the European Commission for greater flexibility on the budget deficit.

George Meloni at a press conference in Split after the summit of the nine Mediterranean countries of the EU (MED-9) said:

- Higher inflation is affecting national budgets: today it is much higher than the 1.8% it was planned three years ago, and this, I believe, entails an automatic increase in spending for all EU member states. There are a number of automatic inflation-adjusted adjustments in the Italian legal system, for example with respect to pensions and payments, she told a news conference in Split after a summit of nine EU Mediterranean countries (MED-9).

The Italian prime minister said she would have to spend "billions and billions" not on her own initiative, and that would require greater flexibility on the part of the EU.

The Il Sole 24 Ore newspaper reported that 18 countries were joining Italy's request, and the issue was discussed both in Split and the day before with representatives of other countries, including Germany.

The rise in energy prices led to an increase in inflation, which in September reached Italy’s highest level in three years – 4.2% year on year (compared to 3.3% in August), according to estimates of the national statistical institute Istat. In addition, the Italian government is taking measures to mitigate the rise in fuel prices for consumers by reducing and eliminating excise duties. Slovenian PM says demography is key for EU future