Germany demands $450 billion cut to 'unaffordable' EU budget, document shows

Germany is pushing for a massive €400 billion cut to the European Commission's proposed €2 trillion budget for 2028-2034, deeming it "unaffordable." As the EU's largest net contributor, Berlin warns that an agreement is currently impossible due to...

Agencies

Germany demands $450 billion cut to 'unaffordable' EU budget, document shows

Germany ​is demanding a €400 billion ($456 ​billion) cut to the European ​Commission's proposed budget of €2 trillion for 2028-2034, warning that the current plans are "unaffordable," according to an ‌internal government document ⁠seen ⁠by Reuters on Tuesday.

Because the EU budget, called Multiannual Financial Framework, requires unanimity among all 27 member states, Germany's sharp opposition signals a tough battle ahead, with Berlin warning in the document that "as ⁠it stands, ‌an agreement is impossible."

As the ​EU's ​largest net contributor, Germany is ⁠alarmed by the proposed scale of the ​next seven-year budget, which is ​a significant increase from the €1.3 trillion budget for 2021-2027.


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Berlin argues that even with its proposed €400 billion trim, the budget would still be 27% larger than ‌the current one, pushing Germany's annual contribution to over €50 billion.

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Chancellor Friedrich ​Merz has ​urged ⁠member states to seal a deal this year to ensure planning certainty before the budget takes ​effect in January 2028, especially with major elections looming in France, Poland and Italy in 2027.

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