EU countries eye cuts to personnel costs in upcoming long-term budget
Irish presidency of the Council of the EU reports broad support for reducing administrative spending amid wider budget disputes.
Quick Look
- Most EU member states favor cutting administrative personnel costs in the 2028-2034 budget.
- While governments remain divided over total spending and agricultural subsidies, reducing the Commission's proposed staff increase has emerged as a key area of consensus.
AI-generated summary
Why It Matters
The EU is currently negotiating its Multiannual Financial Framework for 2028-2034. Member states are debating the size of the budget and the allocation of funds for administration, agriculture, and regional development.
BRUSSELS — Most EU countries support slashing the bloc’s personnel costs to make savings as part of the next long-term budget, the Irish presidency of the Council of the EU wrote in a document seen by POLITICO.
The EU’s 27 governments are clashing over the size of the common cashpot, with a group of countries led by Germany calling for several hundred billion euros of cuts to a Commission proposal for a €2 trillion Multiannual Financial Framework for 2028-2034. But a rival camp of countries that includes Italy and Poland supports more spending on agriculture and poorer regions.
Despite such disagreements, the running costs of the EU institutions — such as officials’ salaries and building expenses — have emerged as the most likely budget item to face cuts.
The Irish presidency, which is steering the budget talks, wrote that “reductions could be made, with many [countries] questioning the justification of the proposed increase in staff levels” at a time when they’re making domestic personnel cuts.
The Commission proposed hiring an extra 2,500 officials over the next seven years, fueling discontent from nine countries led by Austria.
In the Commission's proposal, which was drawn up in July 2025, administrative costs will be worth €118 billion from 2028 to 2034, which is around 6% of the overall budget.
However, Ireland is facing strong resistance to cutting other areas of the budget. The Irish presidency wrote in the document that most capitals oppose reductions in agricultural spending and regional payouts, which it described as countries' “most important priority.”
Ireland hinted that the overall budget might face cuts as countries opposed increasing their national contributions and challenged new EU-wide taxes to finance the budget.
“These factors point to a need to reflect on our level of ambition for expenditure increases,” the Irish wrote.
During a meeting on Wednesday, Dublin will sound out the EU’s 27 ambassadors on which budget items they want to downsize.
"Are there any other elements in terms of changes to the Negotiating Box [the working document that guides budget talks] that would be helpful in formulating your views regarding the expenditure level?" it wrote.
What to Watch
AI outlook — possibilities, not facts
EU ambassadors will meet to discuss downsizing specific budget items.
Very likely · Within days
Open Questions
- Will the Commission reduce its proposed staff increase?
- How will the final budget be financed given opposition to new taxes?
