The European Union’s upcoming budget for the years 2028-34 is expected to undergo significant changes, with a focus on simplification and flexibility. However, concerns have been raised by representatives of Europe’s regions regarding a draft plan by the EU Commission to centralize €1.2 trillion of the budget in the hands of member states. The Commission’s proposed approach involves allocating a single funding pot to each member state, covering around 530 programs, in order to tie EU funding more closely to the implementation of reforms and policy goals. This strategy aims to reduce red tape, simplify the legal framework, and impose stricter conditions on funding to better uphold EU values and protect the bloc’s financial interests.
Marie-Antoinette Maupertuis, a member of the Committee of the Regions, emphasized the importance of maintaining multi-level governance and the principle of subsidiarity in the EU’s budget planning process. She warned against moving away from involving regional and local authorities, stating that it would be a “serious mistake.” Tony Murphy, the president of the European Court of Auditors, expressed reservations about the proposed single-fund approach per country, highlighting the need for further details before making a judgment. However, the EU executive’s director-general for the budget believes that there is an opportunity to create a more flexible, effective, and policy-driven budget for the next cycle. This budget should focus on areas where the EU can bring added value and positive externalities, serving the entire EU.
Negotiations for the next Multiannual Financial Framework are expected to begin in summer 2025, with the European Commission outlining ideas for reshaping the budget after 2027. The leaked draft suggests a significant shift in the allocation of funds, with a focus on linking funding to specific policy objectives and reforms. The goal is to ensure that member states align their spending with EU priorities, such as addressing gender employment gaps or enhancing cross-border cooperation. This approach aims to streamline the budget process, making it more efficient, policy-driven, and aligned with the EU’s overarching goals.
Maupertuis and other stakeholders believe that a paradigm shift is necessary in the EU’s budget planning to improve flexibility and synergy with EU regions. However, they emphasize the need for continued involvement of regional and local authorities in the process to ensure that the budget meets the specific needs of all communities. The discussion between MEPs and regional representatives highlights the importance of maintaining a collaborative approach to budget planning, taking into account the diverse interests and priorities of different regions within the EU.
Overall, the EU’s upcoming budget for the years 2028-34 is expected to undergo significant changes to simplify and streamline the allocation of funds. The proposed single-fund approach aims to tie EU funding more closely to policy goals and reforms, with a focus on efficiency and effectiveness. However, concerns have been raised about the potential impact on regional and local authorities, emphasizing the need for continued involvement in the budget planning process. As negotiations for the next Multiannual Financial Framework approach, it will be essential to strike a balance between centralization and regional diversity to ensure the budget effectively serves the needs of all EU communities.
