Latvian Prime Minister resigns amid coalition collapse
Latvian Prime Minister Evika Silina resigned following the collapse of her coalition government, which was triggered by the withdrawal of her coalition partners in response to her handling of incidents involving stray Ukrainian drones. The political crisis escalated after two drones crashed in eastern Latvia, leading to the resignation of Defense Minister Andris Spruds, who was criticized for his response. This incident marked the second occurrence of Ukrainian drones straying into Latvian airspace this year.
Merz opposes EU joint borrowing amid budget reforms
German Chancellor Friedrich Merz has pledged to oppose any future joint EU borrowing while advocating for a revamped budget system that prioritizes defense and competitiveness. Speaking in Aachen, he emphasized the need for member states to make difficult budget choices, particularly as Germany embarks on a €780bn debt-funded rearmament initiative. Merz's stance sets the stage for a potential conflict with France over the EU's budget negotiations for 2028-2034, as France pushes for increased spending and new joint borrowing.
Sánchez's Socialists Face Critical Election in Andalusia
Spanish Prime Minister Pedro Sánchez's Socialists face a critical electoral test in Andalusia, where they risk recording their worst-ever result in the region's 109-seat parliament. The election, taking place on Sunday, follows a series of electoral losses for Sánchez's party and comes as the conservative Partido Popular (PP), led by Juan Manuel Moreno, aims to retain its absolute majority amid rising influence from the far-right Vox party. María Jesús Montero, the Socialists' candidate and former finance minister, has been criticized for her tax policies, while Moreno has framed the election as a choice between 'harmony or discord'.
UK-EU deal to cut food checks and costs
Environment Secretary Emma Reynolds announced a new UK-EU food and drink deal aimed at eliminating most checks on goods moving from Great Britain to Northern Ireland, which is expected to save businesses millions in certification costs. The agreement, part of the legislative framework introduced by the European Partnership Bill, will remove the need for Export Health Certificates for many food products and is projected to boost UK GDP by up to £5.1 billion annually. Reynolds emphasized that the changes will streamline trade, reduce costs, and enhance availability for consumers in Northern Ireland.
