EU announces plans to boost spending in Greece, Italy and Spain

The European Commission proposed on Tuesday increased spending of EU money on Italy and other southern member states hit by the economic and migrant crises, while reducing funds for regions in the bloc's former communist eastern countries.

The proposal on the 2021-2027 budget, which details plans announced a month ago, comes as Italy is facing the prospect of snap elections after the summer, which polls show could further strengthen eurosceptic parties.

The budget, the first after Britain voted to leave the bloc, would increase to 1.1 trillion euros from 1 trillion euros in the current seven-year period. A third of spending would be allocated to the "cohesion policy" which helps reduce the gap between rich and poor regions of the bloc.

The commission proposed a new methodology to distribute funds that takes into account unemployment levels and the reception...