BRUSSELS — New powers proposed for the EU’s border police Frontex to monitor social media pose a threat to free speech, European lawmakers and civil society groups have told POLITICO.

The EU Commission’s proposal Tuesday for a major revamp of the coast and border patrol agency included a broad and explicit mandate to monitor social media for information that aids or encourages illegal border crossings into the European Union.

Social democratic Italian lawmaker Brando Benifei told POLITICO it was “legitimate” for authorities to remove online advertisements for human smuggling: “But a broad social media surveillance mandate goes much further, placing online speech under a border agency’s watch.”

After a 2019 monitoring tender with similar powers was revoked over criticism about privacy violations, Benifei said “the Commission now proposes copying ICE’s invasive online tracking,” referencing the much-criticized surveillance tactics of the U.S. Immigration and Customs Enforcement agency.

Under the EU proposal, Frontex would set up an internal structure to monitor social media and report to the platform in question the content it says is facilitating illegal entry to EU countries. This comes as the Commission is seeking to double the agency’s budget for the next seven years and vastly expand its powers to deport people.

The EU already has several structures that facilitate the exchange of information between civil society, social media platforms and authorities when it comes to disinformation campaigns or illegal content. These include a rapid response system on disinformation campaigns under the Digital Services Act (DSA), the EU’s landmark law regulating digital platforms, as well as a recently established democratic resilience center.

Policing content

Brussels must tread a careful balance not to police individual pieces of content, especially given criticism from civil society activists that it is trying to become the arbiter of truth online. The legality of content is set by countries, which assign their authorities or civil society to monitor the platforms for problematic postings to be flagged to the platforms to be taken down.

Frontex would apply for trusted flagger status under the DSA, which gives priority to the content it flags to social media platforms. Entities that apply for this status have to demonstrate expertise and independence to a national authority, which grants them special status.

“The DSA’s trusted flagger program was never conceived for police forces to circumvent due process when assessing the legality of people’s online expression,” said Jan Penfrat, senior policy advisor at civil society group EDRi.

The Commission’s initial communication suggested Frontex “will be acting” as such an entity, which EU tech chief Henna Virkkunen later clarified meant they would apply for it. That application would have to be reviewed by a national authority to check Frontex’s independence and expertise in that area.

Polish right-wing MEP Piotr Müller told POLITICO that the “mandate must be precise” in focusing on criminal networks. “Frontex should go after smugglers and human traffickers, not police opinions about migration.” Müller is among those that criticize the DSA as policing free speech online.

Executive Vice President Virkkunen announced the news at a meeting Tuesday of signatories of the DSA’s code of conduct on disinformation, some of whom are trusted flaggers. Questions around the implications of the measures for freedom of speech and assembly came up in the closed-door meeting. According to two attendees, Renate Nikolay, deputy director general of DG CONNECT, the Commission’s tech department, tried to assuage the free-speech concerns.

Other lawmakers took a positive, yet reserved, stance towards the changes in Frontex’s mandate. The EU’s migration authorities “need the tools to respond to the changing threats at Europe’s borders, including smugglers using social media to spread lies and promote dangerous crossings,” which can include “better monitoring and information-sharing,” Regina Doherty, a center-right MEP from Ireland told POLITICO.

But “the priority now is to get the detail right so authorities can act quickly within a clear legal framework, and platforms take responsibility for illegal content,” she pointed out.

Austrian center-right MEP Andreas Schwab said that “social media clearly is becoming more and more a concern, but we should not have too many tools – let’s make use of the DSA.”

Another MEP who knows the agency well was more blunt. Fabrice Leggeri, a former director of Frontex who hails from the far-right French National Rally party, said that the new powers amounted to an “attempt to censor freedom of speech in Europe” by Commission President Ursula Von der Leyen.

The Commission didn’t respond to POLITICO’s repeated requests for comment on Frontex’s expertise in this domain.

Max Griera contributed to this report.

LONDON — U.K. Chancellor John Healey has moved to crack down on a loophole exploited by overseas sellers to avoid paying VAT. 

“I will strengthen the requirements for online marketplaces so that sellers cannot avoid paying VAT when they sell online,” Healey said in Wednesday’s budget.

From October 2027, online marketplaces like Amazon, eBay and Temu will be responsible for collecting tax owed by all retailers with an annual turnover of more than £90,000 through a single marketplace.

Previously, these marketplaces only had to collect VAT on behalf of overseas sellers and not domestic ones. Some overseas sellers then exploited this gap to avoid paying the tax by registering as U.K. based companies.

The government plans to reinvest the savings made from this policy into the high street through reductions to business rates.

The government launched an eight-week consultation into extending VAT online marketplace liability in June, after mounting pressure from retailers. 

Amazon estimated that up to £3.2 billion of sales across online retailers in the U.K. are made by sellers avoiding VAT collection — costing the Treasury hundreds of millions each year in lost revenue. 

The move to close the loophole brings Britain closer to approaches adopted in Switzerland. The European Commission is also due to review its marketplace VAT collection rules next year. 

Monica Ariño, director of U.K. public policy at Amazon, said: “This is an important step towards closing a loophole exploited by bad actors and creating a level playing field for the thousands of UK small businesses that sell in our store. We look forward to continuing to work with HM Treasury and HMRC to make the changes effective, practical and fair.”

This story has been updated