Ireland seeks 8% cut to EU’s proposed seven-year budget
EU leaders will discuss the Irish proposal in Brussels on October 15–16
The European Union’s long-term budget has faced a major spending cut push from Ireland.
According to the Irish EU presidency, the EU’s budget for the period 2028 to 2034 should be 8 percent lower than the European Commission’s proposed €2 trillion.
After the reduction, the budget would be €1.6 trillion. But this proposal would be subjected to negotiations among EU countries in the coming months.
This proposal based on reduction still makes a 30 percent increase in the current budget which runs from 2021 to 2027. But some countries are going to oppose this proposal such as Germany that wants fiscal tightening on spending.
"The Negotiating Box provides savings of 8%, or €141 billion, on the Commission's original proposal," said Ireland, current holder of the EU's six-month rotating presidency.
Ireland adjusted the European Commission's original €2 trillion figure to €1.76 trillion at 2025 prices, representing an 8% reduction. Proposed spending cuts include a 3 percent cut in spending on regional development, agriculture, and fisheries compared to Commission figures while 13 percent reduction in spending on competitiveness, prosperity, and security.
According to the Commission, the bloc would likely grapple with new challenges such as spending more money on defence and strengthening Europe in the competitive landscape. On the contrary some countries want to spend more on old policies such as on farming and regional development.
The proposal foresees €55 billion in new financing options derived from sources like customs duties and the sale of CO2 emissions permits to companies.
EU leaders will discuss the Irish proposal in Brussels on October 15–16 as the budget requires unanimous agreement from all 27 member states.
