Stefan Löfven said on Monday the expenditure ceiling of one per cent GDP should remain once Britain exits the bloc, meaning the budget would be reduced by around 15 per cent.
This would reduced the burden of the hit to Europe's finances to member states that net contribute to the block. The PM said: “We need a modern and efficient EU budget in the future.
“Where the money goes to the right things and where there are consequences for not taking responsibilities and following the EU’s decisions.”
Mr Löfven said when Britain leaves the EU, the bloc would lose one of its major contributors and it would have a large impact on future budgets.
SVT • GETTY
Stefan Löfven urged the EU to reduce the budget after Brexit
Adding members contribution to the bloc should be assessed when discussion potential EU support, the PM said: “The negotiations will be very difficult.”
Finance Minister Magdalena Andersson joined the PM and suggested areas such as agricultural and regional aid should be less of a priority for Brussels.
The cabinet minister added the funds should be allocated to focus the European Union member’s “common problems and challenges” such as migration.
Ms Andersson added it is reasonable for Sweden to have a discount on the EU contribution in the future.
She said: “It is important that the budget is reduced when the British leave the union. It is not reasonable that we, like other member states, should pay more.”
We need a modern and efficient EU budget in the future
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The Swedish Government has waded into the Brexit debate insisting the UK will not be able to only 'pay for the goodies' without sharing the burden of its policies.
Ann Linde, Sweden’s EU affairs and trade minister urged the UK to be more flexible amid a new debt crisis engulfing the member states.
She told Bloomberg: “They have been really tough on the UK side.
“That’s a position they have chosen, but it doesn’t make it easier to have constructive discussions when the point is to reach an agreement.”
Ms Linde also insisted the UK should not get a better deal outside the bloc, than inside the union.
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Continued cooperation with the EU to tackle terrorism and international crime.
“There’s no doubt about that,” she said. “They shouldn’t get as good conditions when they’re on the outside as when they’re on the inside.
“The EU will never accept that they only pay for the goodies, but avoid things where we have a shared responsibility.”
During a Social Democrats (SD) Party congress in February Mr Löfven hinted the liberal country was ready to crack down on freedom of movement.
A number of proposals to change Sweden’s immigration policy were presented during the congress, as SD vowed it would set out the same demands to migrants as they do to other job seekers.
Mr Löfven said: “We should have the same demands to newcomers, as we do to other job seekers.
“We have amended the policy and the course remains steadfast. But we do face major challenges and what concerns be the most is the increasing inequality.
Taking a clear swipe at EU leaders, Mr Löfven said the Government party was looking into ways the country would implement measures to control the number of people coming into Sweden to secure the future of the welfare state.
“Labour immigration should be restricted,” he said. “Simple jobs should go to people who live in Sweden. It is absurd that we have labour immigration for [cleaning] jobs.”