Macron and Merz hold keys to an EU budget deal

Live updates

1. 1h ago

   EU budget showdown slips to November

   European Union leaders clashed over a trillion-euro budget plan during an inconclusive summit, pushing formal decisions to November. French President Emmanuel Macron warned peers that the bloc must finalize the spending package before the end of the year, while the EU's Irish presidency proposed an 8 percent cut to the 2028 through 2034 budget plan. Frugal member states are attempting to slash resources, and Cyprus suggested shortening the budget timeline to three or four years. Sweden intends to reject the Irish presidency's proposal.

   Why it matters

   The European Union faces a high-stakes budget battle as leaders grapple with competing demands for a larger financial framework versus substantial spending cuts. Divisions over the trillion-euro plan threaten to derail the timeline for an agreement before an uncertain election year. While French President Emmanuel Macron and German Federal Chancellor Merz hold key leadership roles to broker a deal, internal political weaknesses complicate their ability to secure consensus.

   What is confirmed

   • EU leaders clashed over a trillion-euro budget during an inconclusive summit.
   • French President Emmanuel Macron warned leaders that they need a budget deal before the end of the year.
   • The EU's Irish presidency wants an 8 percent cut to the proposed 2028-2034 budget plan.
   • Budget talks slipped to November as leaders pushed back on the major budget proposal.

   Still unconfirmed

   • Sweden plans to reject the Irish EU presidency proposal on the 2028-2034 budget plan.
   • The Cyprus president suggested shortening the EU budget to three or four years.

   What to watch next

   • The November EU budget showdown and subsequent negotiations.
   • Formal responses from member states regarding the Irish presidency's proposed 8 percent cut.
   Sources used for this update (28)

   1. www.deutschland.de — Federal Chancellor Merz calls for peace negotiations for Ukraine
   2. www.yahoo.com — Yahoo
   3. Reuters — EU's Irish presidency wants 8% cut to proposed 2028-2034 budget plan
   4. www.france24.com — France 24 - International breaking news, top stories and...
   5. Foreign Policy — Can Brussels Budget Like a Superpower?
   6. politico.eu — Macron and Merz hold keys to an EU budget deal — but may be too weak to use them
   7. Yahoo — Top EU lawmaker urges budget deal before uncertain election year
   8. Bruegel — The Irish ‘box’: the worst possible compromise for the EU budget
   9. Yahoo — EU leaders head for showdown over bloc budget
   10. CDC Gaming — Common tax on igaming omitted from first draft EU Budget 2028
   11. www.theguardian.com — AI godfather Geoffrey Hinton: ‘We’re creating alien beings. I’m willing to be selfish and choose humans’ | Donald Trump
   12. U.S. News & World Report — Sweden to Reject Irish EU Presidency Proposal on 2028-2034 Budget Plan
   confidence 90%