Parliament Demands 10% EU Budget Increase to €2 Trillion, New Taxes for 2028-2034

The European Parliament adopted its position on the next Multiannual Financial Framework (MFF) for 2028-2034, demanding a 10% increase to €2 trillion in current prices, up from the Commission’s proposed €1.8 trillion. The vote was 370 in favour, 201 against, and 84 abstentions out of 655 total votes.

Co-authored by Carla Tavares (Socialists & Democrats) and Siegfried Mureșan (European People’s Party), the position seeks increased spending and a more predictable financing plan. Parliament demands an additional €103 billion for agriculture, cohesion, and social policy, totaling €997 billion. They also want €70 billion more for competitiveness, bringing funds to €660 billion, including €200 billion for research and innovation, and €24 billion extra for external action, increasing it to €239 billion.

A key demand is to exclude EU pandemic recovery fund debt servicing costs from the long-term budget. Instead, MEPs propose new revenue streams, such as a digital tax on large tech companies, an online gambling levy, and a capital gains tax on crypto assets, to finance both spending and debt repayment. Parliament also backed distinct budget lines for agriculture, cohesion, social policy, health, and environmental programs.

This vote sets Parliament's negotiation stance with national governments in the Council of the EU and the European Commission, aiming to finalize the budget by year-end.