Job creation is at the heart of new plans for a multi-annual European Union (EU) budget that has been unveiled.

According to the fiscal proposals for 2014 to 2020 from the European Commission, spending is intended to provide "true added value", strengthen internal markets and improve conditions for young people in the region.

Overall expenditure during the period in question is expected to be €1,025 billion, or 1.05 per cent of total EU gross national income, in commitments, while payments are anticipated to total €972.2 billion.

In a statement accompanying the plans, president of the EU executive Jose Manuel Barroso stated: "In the current times of fiscal austerity all across the EU, the Commission has presented an ambitious but realistic proposal."

A new €40 billion fund is proposed called the Connecting Europe Facility to increase the value generated by infrastructure schemes such as those in the transport, ICT and energy sectors, in addition to education and training programs for young people in a bid to increase the numbers in work.

A recent report from the European Commission warned that recovery across the EU labor market is uneven, although overall job opportunities are being created.

Posted by Alex Donnell