European Parliament Seeks 10 Percent Increase for 2028-2034 Budget

The European Parliament voted in Strasbourg on April 28, 2026, to adopt a position on the Multiannual Financial Framework (MFF) for 2028-2034 that seeks a 10 percent increase over the European Commission's initial proposal. Backed by 370 lawmakers, the plan would bring the total budget to approximately €2.01 trillion in current prices. The additional funds are intended to support defense, energy independence, competitiveness, agriculture, and the repayment of NextGenerationEU recovery fund loans.

To finance this expansion, the Parliament and Commission have proposed several new revenue streams. These include a Carbon Border Adjustment Mechanism levy, a uniform tobacco duty, and taxes on non-recycled electronic waste, as well as digital taxation on large corporations, online gambling, and cryptocurrency transactions.

The proposal has created immediate friction with member states. German Chancellor Friedrich Merz and Dutch Prime Minister Rob Jetten rejected the scale of the increase, citing high national debt and the need for a more realistic spending framework. Despite this opposition, Parliament lead negotiator Siegfried Mureşan argues that the bloc cannot afford to reduce spending if it intends to close scientific and technological gaps with the United States and China. The proposal now moves to the European Council for further negotiations.