EU budget / Multiannual Financial Framework (MFF)

Europe once set the standards the world followed. Today, others are pushing back, challenging the EU’s regulatory power and exposing its reluctance to act strategically. Our Böll EU Newsletter 11/2025 examines Europe’s shifting role in global power politics, the rise of the green euro, new debates on security and offensive capabilities, fresh insights on the MFF, and our latest work on citizen participation in the EU energy transition.

Germany voted and Europe held its breath. Despite the bleak economic performance and outlook of Germany, the promise of ‘economy-centred election campaigns’ never materialized. Yet the list of economic policy homework for the new government is long and urgent. The possibility to form a two-party government of the Christian conservative CDU/CSU and social democratic SPD now needs to be translated into political action – in both Germany and the EU.

EU Agriculture is in crisis mode. And so is the CAP. For two years in a row, the CAP crisis reserve has been spent to help farmers deal with the adverse consequences of the invasion of Ukraine and climate change. At the same time, EU Member States are asking for reduced environmental obligations in 2024. What happened during this week’s AgriFish EU Council meeting, CAP-wise? ARC2020's Mathieu Willard guides you through the updates.

To avoid further environmental damages due to the use of EU money, the European Commission should suspend funding to the Hungarian government.

Green budgets refer to tools that aim to achieve environmental and climate objectives by analysing the environmental impacts of budgetary and fiscal policy choices. Budgeting can therefore be a tool to mainstream gender equality and environmental objectives at the same time. While taxation can also enhance gender equality and incentivise a green transition, this chapter  focuses on the budget side due to the revenue structure of the European Union (EU), in the context of the European Green Deal, the EU Budget 2021-2027 and the Recovery and Resilience Facility.

The European Commission is currently approving the national recovery and resilience plans that EU Member States have submitted to benefit from EU grants and loans to build back after the crisis. Despite the obligation to consider gender impacts and the fact that women have been particularly impacted by the Covid-19 pandemic, most recovery and resilience plans do not sufficiently do so and fail to link efforts towards a green and gender-just society. The European Green Deal and the EU Digital Agenda are important spending priorities, but the risk of a backlash on gender equality is real if they are pursued in a gender-blind manner.

In an interview, Dr. Franziska Brantner MdB comments on the results of the “Actually European!? Citizen expectations of the next German government’s EU policy” study and makes the case for greater German engagement in the fields of climate protection, tax policy and ensuring the rule of law.

How to meet financial needs that live up to the European Green Deal and support economic recovery? Which mechanisms can bridge new and existing divisions? What should spending priorities be?