Members of the European Parliament are calling for a significant increase in the European Union’s long-term budget, arguing that more funding is essential to meet growing
demands in defence, competitiveness and climate action—while still protecting traditional pillars like agriculture and regional support.
In a vote on Wednesday, Parliament’s Budgets Committee endorsed its negotiating stance for the EU’s next multiannual financial framework (MFF) covering 2028–2034. MEPs are proposing that the budget should reach 1.27% of the EU’s gross national income (GNI), marking roughly a 10% increase compared to the proposal put forward by the European Commission in mid-2025.
Crucially, lawmakers insist that repayments linked to the EU’s pandemic recovery instrument, NextGenerationEU, should be kept outside the main budget limits, so they do not squeeze funding for core programmes.
Balancing new priorities with traditional policies
MEPs argue that the proposed increase represents the minimum needed to respond to mounting challenges—from geopolitical tensions and economic pressures to climate change and biodiversity loss. While they support boosting investment in defence, innovation and digital transformation, they stress that long-standing policies must not be weakened.
Funding for agriculture, fisheries and regional development—particularly under the Common Agricultural Policy and cohesion funds—should remain protected and clearly defined. Lawmakers also want stronger involvement of local and regional authorities in managing EU funds.
At the same time, Parliament backs increased investment in flagship programmes such as Horizon Europe, Erasmus+ and infrastructure initiatives, viewing them as critical for Europe’s long-term competitiveness.
Concerns over transparency and governance
Despite broadly supporting the structure proposed by the Commission, MEPs have raised red flags about governance changes. They oppose any shift toward a more “nationalised” budget system, warning that a country-by-country approach could weaken shared EU policies and reduce transparency.
Lawmakers also caution that increasing flexibility in how funds are spent must not come at the cost of democratic oversight. Without clear accountability, they argue, public trust in EU institutions could erode.
New revenue streams on the table
To finance the expanded budget and repay recovery debt, Parliament is again pushing for new EU-level revenue sources. These “own resources” could include levies on digital services, online gambling, carbon-intensive imports, or even crypto-asset gains.
MEPs estimate such measures should generate around €60 billion annually and insist that governments must agree on them alongside the new budget framework.
What happens next
The full Parliament is expected to vote on the proposal later this month. If approved, negotiations with EU member states will begin once the Council agrees on its own position. Because the long-term budget requires Parliament’s consent, national governments are likely to face pressure to incorporate many of the lawmakers’ demands.