The Irish EU presidency has proposed an 8% cut to the European Commission’s budget plan for 2028 to 2034, reducing it to €1.6 trillion ($1.79 trillion). This proposal has faced criticism from more frugal member states, which believe the reduction is insufficient. Despite the cut, the proposal still represents a 30% increase from the current budget period of 2021 to 2027, which is crucial for funding the EU’s main policies.
The EU Commission emphasizes the need for increased spending on defense and competitiveness, while some member states prefer to maintain funding for agriculture and regional development. The Irish government notes that their proposal offers savings of €141 billion and seeks to address the conflicting demands of member states. It involves a 3% cut in regional development, agriculture, and fisheries spending, along with a 13% reduction in competitiveness and security budgets.
The proposal includes new financing options from customs duties and CO2 emissions permits. While Sweden and the Netherlands criticize the proposal as unaffordable, the European Parliament is advocating for a 10% increase in the original budget. EU leaders will discuss this proposal in Brussels on October 15 to 16, and agreement from all 27 member states is necessary for the budget to be finalized.
With information from Reuters
