How do you pay for Europe’s big ambitions when many member states are already deep in debt? That question was at the heart of the Maastricht Policy Hackathon on Saturday 26 September. Three teams of young adults came up with an answer: European government bonds from just €5, a European tax on financial transactions, or an additional levy on non-European AI companies.
Young adults aged 18 to 25 travelled to Maastricht from around the world to take part in the hackathon. The idea behind a policy hackathon is simple: in a very short time, teams come up with, develop and present a creative solution to an urgent political problem.
A budget that doesn’t add up
This time, the focus was the EU’s new multiannual budget for 2028–2034. The EU wants to make its economy more sustainable and digital, so that Europe can hold its own in an era of global geopolitical, technological and economic rivalry. These ambitions require major investment.
At the same time, many member states already carry high levels of debt, and the costs of healthcare and social security are set to rise quickly in the coming years as Europe’s population ages. Participants were therefore given a single challenge: “Develop a creative solution to finance Europe’s investment plans and balance the EU budget.”
The teams explored different routes: higher contributions from member states, new European taxes, and ways to encourage banks, citizens and businesses to invest more in the EU.
Three proposals
One team proposed that the EU sell government bonds directly to its citizens, with a minimum investment of €5. Another designed a European tax on financial transactions. The third team focused on artificial intelligence, and that proposal ultimately won over the jury.
The winning idea: a levy on non-European AI
The winning team was made up of Guillaume, Mihail, Karthikeyan, Tinaye and Luca. Their reasoning: artificial intelligence will have a major impact on our economy and on ourselves, yet it is mostly developed outside the EU. To attract more investment into Europe, the EU should levy an additional tax on companies that offer their services in Europe but do not invest in European development and production. The EU could then use the revenue for investment in digitalisation and sustainability.
“Dare to step off the beaten path”
As artificial intelligence students, the team members were stepping into new territory. They enjoyed getting to grips with the subject and learned more about how the EU works and the political challenges Europe is currently facing.
Their message to the politicians now negotiating the multiannual budget? Be creative and dare to step off the beaten path.
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