Six European Union (EU) Net-Contributor Nations Call for “Several Hundred Billion” Cuts to the €2 Trillion Multiannual Financial Framework

On August 27, the leaders of Germany, Denmark, the Netherlands, Austria, Finland and Sweden issued a joint statement demanding that the European Commission’s proposed Multiannual Financial Framework (MFF) for 2028-2034—nearly €2 trillion—be trimmed by “several hundred billion euros” in a “balanced manner.” The six countries, which together finance roughly 40 % of the EU budget, argue that the current proposal is “unaffordable” and must be aligned with priorities such as defence, competitiveness, migration and sovereignty.

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The Commission unveiled its long-term budget in July 2025, projecting a near-60 % increase over the current framework. The proposal has split the bloc between “Friends of Cohesion,” who seek to protect agriculture, fisheries and regional funding, and the “frugals” (the six net-contributors), who push for a leaner budget focused on security and economic competitiveness. European Council President António Costa is touring capitals to secure a deal by the end of 2026, a deadline that coincides with national election cycles in several member states.

Euronews

• Draft MFF: ? €2 trillion for 2028-2034 (2025 prices).

Reuters

• German spokesperson Stefan Kornelius (via *Die Zeit*) cites a target of €1.6 trillion, implying a cut of about €400 billion.

EU budget to be cut by hundreds of billions: what to expect for Latvia

• The Dutch government seeks to limit its contribution increase to €1.6 billion below the Commission’s projection.

Euronews

• Sweden proposes capping national contributions at 1 % of GNI, versus the Commission’s 1.26 %.

Euronews

• The six countries together account for ? 40 % of total EU contributions and a large share of aid to Ukraine.

Frugal EU states demand deep cuts to budget plan

German Chancellor Friedrich Merz framed the demand as a call for “realism and reforms,” insisting the EU cannot maintain a “20th-century budget.”

The "frugal" countries in the EU are fighting for budget cuts

Danish Prime Minister Mette Frederiksen highlighted defence, support for Ukraine and border protection as non-negotiable priorities.

Frugal EU states demand deep cuts to budget plan

President Costa has reiterated that a final agreement is needed before the December deadline and before the 2027 election-heavy year.

Frugal EU states demand deep cuts to budget plan

• “We will continue to handle this in the same way as a group. We agreed on this today because we share a common interest in advocating for realism and reforms in these negotiations,” — German Chancellor Friedrich Merz

Euronews

• “We are not stingy, but allocations such as those proposed by the Commission are simply out of step with the times. We want a European budget that is commensurate with our aspirations for a sovereign and strong Europe,” — German Chancellor Friedrich Merz

Euronews

• President Costa will continue his capital-tour, seeking a compromise before the mid-October summit and a final decision by December 2026.

Frugal EU states demand deep cuts to budget plan

• The rotating EU presidency, held by Ireland, must present a fresh compromise ahead of the October summit.

Frugal EU states demand deep cuts to budget plan

• Negotiations are expected to intensify as member states balance national fiscal pressures with the need to fund defence, Ukraine aid and other strategic priorities.

EU budget to be cut by hundreds of billions: what to expect for Latvia