EU capitals weaken end-of-year deadline for budget deal
Draft Council conclusions show reluctance to commit to an end-of-year deadline, citing leverage concerns and upcoming elections.
Quick Look
European governments have weakened a draft commitment to secure the EU's seven-year budget deal by the end of the year, as nations like Italy and France fear losing negotiation leverage amid upcoming elections.
AI-generated summary
Why It Matters
EU leaders are negotiating the bloc's next seven-year budget cycle starting in 2028, facing proposed cuts of €159 billion from an Irish proposal.
BRUSSELS — European governments have watered down a commitment to secure a deal over the bloc’s next seven-year budget by the end of the year, according to draft Council conclusions seen by POLITICO.
European Council President António Costa is pushing leaders to finalize negotiations during a summit in December — before elections in France, Italy and Poland in 2027 threaten to derail the talks.
But governments are unwilling to commit to the end-of-year deadline, fearing that time pressure will undermine their leverage in the negotiations.
Leaders are gathering in Brussels on Thursday and Friday to react for the first time to an Irish budget proposal that envisages €159 billion cuts. They will also discuss energy prices, enlargement, Ukraine and migration.
Several countries, including Italy and France, urged Costa’s team to drop a reference to “reaching a final agreement by the end of the year” from the Council conclusions, two EU diplomats who were briefed on the discussions told POLITICO on condition of anonymity.
During a parliamentary speech Wednesday, Italian Prime Minister Giorgia Meloni said that “we will not sign an agreement that is not beneficial to us just to meet a deadline,” adding “we will sign an agreement only when it is right for Italy.”
There are also lingering concerns that Spain’s snap elections on Nov. 29 could work against the end-of-year deadline.
The new draft conclusions from Tuesday evening merely call for a “timely agreement,” adding that reaching a deal by the end of the year would allow EU funding to start flowing when the next budget takes effect in 2028. This is the same wording used in the Council conclusions from last June.
In another significant addition, EU leaders condemned U.S. President Donald Trump’s decision to lift sanctions on Russian diesel in the conclusions.
They also expressed “regret” towards U.S sanctions against the International Criminal Court and pledged to engage with Washington to reverse these measures.
What to Watch
AI outlook — possibilities, not facts
EU leaders will discuss the budget proposal during the Brussels summit on Thursday and Friday.
Very likely · Within days
Open Questions
- Will EU leaders manage to reach a budget agreement before 2027?
- How will the EU address US sanctions policies regarding the ICC?
