EU budget 2028-2034 faces new cuts from Cyprus presidency

The 27 EU member states are reviewing a revised multi‑annual financial framework for 2028‑2034. While the proposal keeps the European Commission’s cuts to the Common Agricultural Policy and Cohesion Policy, the Cyprus‑held council presidency adds further reductions to the new European Competitiveness Fund, the Security‑Defence‑Space policy and the Global Europe external action mechanism.

The Cyprus draft trims the competitiveness fund from €398 billion to €383 billion, cuts the security, defence and space allocation by about €5 billion to €111 billion, and lowers the Global Europe budget to €182.6 billion, amounting to an overall reduction of roughly 2 %. Member states are split between "frugal" countries urging a tighter budget and those pressing for higher spending on agriculture and cohesion. Negotiations are set to begin at the European summit in Brussels on 18‑19 June, with a goal to finalize the framework by year‑end to avoid institutional paralysis ahead of upcoming national elections, including France’s presidential vote.