The EU must spend more on defence in its next budget, for 2028-2034, because of Russia, EU budget commissioner Piotr Serafin said in Sofia today. Farming and cohesion remain a priority, he added.
The European Commission proposes a budget of 1.02% of the EU's gross national income. Leaders will discuss it at meetings in November and December, and Serafin expects them to agree its main terms by the end of the year.
Serafin opened a forum called "The next multiannual financial framework: priorities and principles" at the Sofia Balkan Palace hotel. It is part of his two-day visit to Bulgaria. The European Commission Representation in Bulgaria, the Polish embassy in Sofia and the Sofia office of the European Council on Foreign Relations organised the event. His brief also covers the fight against fraud and public administration.
"We are drawing up a budget for a world that does not exist yet," Serafin said. Nobody knows what the next seven years will bring, he said, but decisions on joint projects, security, competitiveness, regions and farmers must be made now. He said the aim is to set clear priorities and leave enough room to adapt if things change. If that is done right, the EU will have stability and predictability, he said.
The war in Europe and an aggressive, ruthless neighbour in Russia mean the EU must invest more in defence, the commissioner said. He called this essential for peace in the EU and for security on its borders.
A competitive, innovative economy needs investment and scale that no single country can provide alone, he said. The goals of the common agricultural policy remain relevant, he said, because it is decisive for food security when sovereignty is under threat and dependencies are exploited. "Can you even imagine a Europe that depends on food supplies from hostile powers?" Serafin asked.
The logic behind cohesion is even more relevant, he added. Competitiveness, completing the single market and the digital race need the potential of all regions and groups, including those that lag behind. Both policies must be modernised so that every euro has the greatest effect.
EU countries disagree. The main question appears to be what to cut, not what to do together, Serafin said. A smaller budget does not necessarily save taxpayers money, he said, because investment in competitiveness, connectivity and security will still be needed. If less is done jointly, each country will have to carry more alone, and some projects may not happen at all.
The commissioner said a euro spent jointly at EU level brings more benefit than a euro spent separately in 27 different ways. Without shared resources there can be no shared projects, so he argued the EU needs more, not less. The Commission's proposal is for the EU to do more with a smaller share of its total wealth.
The Commission had set aside reserves in the budget for unforeseen events, but some of them have already been dropped in the talks. Giving them up is a political choice by member states, Serafin said. But then they should not expect an emergency EU response to natural disasters or a crisis in farming, he said.
If countries want to spend together, they must also find a joint way to pay for it. The issue is hotly debated in Bulgaria and other countries. If the budget is to pay for joint projects, cohesion and farm policy, compromises will be needed.
Taxpayers have a right to proper and transparent spending, and every country must fight corruption and enforce its laws, the commissioner stressed. In the talks, he pointed to two things: the greatest effect from every euro, and not a single euro in the wrong hands.
The previous budget was adopted in 2020 and came to 1.13% of the EU's gross national income. A further €700bn was added to it under NextGenerationEU.