European Union leaders begin intense budget negotiations for 2028-2034

European Council President António Costa has launched a series of high-level meetings with EU member states to negotiate the bloc's long-term budget for the 2028–2034 period. The proposed package, approaching 2 trillion euros, must address traditional policy areas like agriculture and regional development while incorporating modern priorities such as defense, energy security, migration, and financial support for Ukraine. Costa is scheduled to visit several European capitals, starting in Bratislava and Tallinn, to bridge significant gaps between competing national interests before September 17.

Meanwhile, a coalition of six member states, including Germany, Austria, Denmark, Finland, the Netherlands, and Sweden, has formally opposed the European Commission's current proposal. Representing 40% of the EU's total funding, these countries are demanding a reduction of several hundred billion euros, citing the need for fiscal discipline and a reprioritization of expenditures. German Chancellor Friedrich Merz argued that the current distribution does not align with modern economic realities, signaling a period of difficult negotiations throughout the autumn regarding both the total size of the budget and potential new direct EU revenue sources.