17 countries join forces to oppose EU budget cuts

Seventeen EU nations have jointly expressed concern over proposed budget cuts to agriculture and regional support in the upcoming seven-year financial framework, challenging Germany's stance in the negotiations. The letter, signed by Italy, Spain, Poland and other member states, urges the Irish presidency to protect nearly €900 billion of spending in the draft budget, set to be unveiled next week.

This move puts Germany and six allied countries in a tense standoff, with the latter advocating for reductions of several hundred billion euros across all areas. The signatories, including Bulgaria, Croatia, Cyprus, Czechia, Estonia, Greece, Hungary, Portugal, Romania, Slovakia, Slovenia and Spain, argue that preserving funding for the Cohesion Policy and the Common Agricultural Policy (CAP) is crucial.

Italian Prime Minister Giorgia Meloni and Romanian President Nicușor Dan spearheaded the initiative, planning an informal meeting of their countries during the upcoming European Council on October 15 and 16. The Multiannual Financial Framework (MFF) finances various EU programs, from farmers' subsidies to development aid, and is a contentious issue in Brussels.

In 2025, the European Commission proposed a budget of nearly €2 trillion for 2028-2034, reallocating hundreds of billions from agriculture and regional support to new priorities like defense and competitiveness. The "Friends of Cohesion" group warned that further cuts to these areas would weaken the budget and threaten public support for the European project.

Ireland's negotiating document, or negobox, will guide discussions among the 27 leaders during the October summit. Governments are racing to finalize an agreement before national elections in France, Poland and Italy could disrupt the talks. A key sticking point is the introduction of new EU-wide taxes, known as own resources, estimated to generate €66 billion annually.

The Commission proposed five new levies, but several governments oppose them, fearing disproportionate impacts. The 17 countries in the letter emphasized that any new own resources should be "genuine, fair, simple and non-regressive." They also reiterated calls to postpone repayments of post-Covid debt, estimated at €25 billion per year, and to refrain from budget cuts for wealthier countries, known as rebates.