Germany and five fiscally hawkish EU members said the European Commission’s
seven‑year €2tn budget proposal must be cut by several hundred billion euros to
reflect ongoing fiscal consolidation. Chancellor MERZ met in Berlin with leaders
of the Netherlands, Denmark, Austria, Finland and Sweden to coordinate positions
and urged “balanced reductions” to the Commission’s plan, which still requires
member‑state approval. EU leaders are aiming to finalise the 2028–34 budget by
year‑end.
