Germany and other major contributors to the European Union budget are challenging a proposed compromise on the bloc’s next spending plan, while the European Commission and some lawmakers warn that deeper cuts could weaken investment in strategic priorities.
Ireland, which holds the rotating EU Council presidency, has proposed reducing the 2028–2034 budget by €141 billion, bringing it to €1.622 trillion in 2025 prices. Berlin and its allies argue that the revised figure remains too high.
The disagreement concerns both affordability and the distribution of spending. German Chancellor Friedrich Merz has called for adjustments across the budget, while Finnish Prime Minister Petteri Orpo warned that defence, research and new technologies would bear disproportionate reductions under the compromise.
The proposal would cut competitiveness funding by 13% and global cooperation funding by 17%, compared with a 3% reduction for agriculture and cohesion policies. Countries supporting those traditional programmes are resisting substantial cuts to them.
The Commission and some European Parliament members have raised concerns that the compromise would leave the EU with a less ambitious and less flexible budget. The dispute reflects competing demands to contain national contributions, preserve established support programmes and fund emerging security and economic needs.
EU leaders are expected to discuss the proposal in Brussels on October 15–16. Agreement requires the support of all 27 member states, making further negotiations necessary before the spending framework can be finalized.
