EU budget: how much is too much?
The negotiations on the EU budget for the years 2028 to 2034 are entering a critical phase. The Commission had presented a draft budget of about two trillion euros which has immediately come under fire from the net contributors – Germany, the Netherlands, Sweden and Austria. The Irish EU presidency has now proposed a new budget for around 160 billion euros less as a compromise.
A tragic farce
The Commission's draft budget is already a joke, rants Corriere della Sera:
“We are facing unprecedented changes in Europe: the technological revolution, war on our doorstep, hybrid threats from Russia, the US's about-turn, and the need for sustainable social and economic models. But instead of recognising these problems and seeking a timely response, EU leaders are staging a tragic farce. ... When she presented the draft budget, von der Leyen described it as 'the most ambitious ever proposed'. These words were perhaps a little too grandiose for a budget of 2 trillion euros spread over seven years, which amounts to a mere 1.26 percent of the Union's combined GDP.”
Activate Europe's survival instinct
Elena Leontjeva of the Lithuanian Free Market Institute think tank argues in Delfi that a smaller EU budget could be more effective:
“Investment can be subsidised. But if projects have to struggle their way through a labyrinth of approvals, votes and regulations, we are giving with one hand and holding back with the other. ... Budget cuts would therefore force Europe to finally do what it has been talking about for so long. Once clear financial limits are in place, unnecessary procedures will have to be abolished and the remaining ones simplified. Spending cuts would force us to finally act more wisely and economically – and also activate Europe's 'survival instinct'.”
This could come back to haunt us
The EU should not cut back on funding for humanitarian aid, argues Jutarnji list:
“The Irish EU Presidency has proposed significant cutbacks in funding for Global Europe – money allocated to international development and humanitarian aid, the Neighbourhood Policy, the Mediterranean region and enlargement. ... Diplomats warn that this would open the door for China and Russia to expand their influence in developing countries relatively cheaply. Countries without EU support will find it harder to tackle poverty or address humanitarian issues, which in turn will create potential migration challenges also for the EU.”
Ireland trying its hand at bridge building
Latvijas Avīze describes the difficulties that EU member states face:
“Ireland, which currently holds the EU Council presidency, is attempting to bridge the divide between the two blocs while at the same time cutting the budget to the extent demanded by the 'frugal' states, without touching the funds for the Cohesion Fund, regional development and agriculture. ... Furthermore, the governments of the EU member states are keen to reach an agreement before the 2027 elections in France, Poland and Italy. ... To meet the demands of the frugal member states, they will likely seek to make cutbacks in programmes such as 'Global Europe' and the European Competitiveness Fund.”