The Romanian S&D MEP forged a compromise for a just and inclusive budget focused on citizens, strategic priorities, support for Ukraine and Moldova and EU’s technological and industrial base

The European Parliament approved on Wednesday, 13 March, in plenary in Strasbourg, the budget priorities for 2025 comprised in the report of MEP Victor Negrescu, the European Parliament’s chief negotiator for the EU budget 2025, giving the Romanian MEP the mandate to negotiate with Member States the first post-election budget of the Union after this year’s elections.

The resolution adopted with 380 votes in favour of out 582 MEPs present reflects the European Parliament’s budget priorities that include increased support for the green and digital transition, competitiveness and ensuring prosperity, inclusion, and security across the EU.

“We have managed, after long discussions with my colleagues and the shadow rapporteurs, to produce a concise document that sets out a complete vision for the future EU budget and gives a clear direction for the negotiations that will take place between our institutions. Our institution can once again be united in saying that we must allocate adequate financial resources for the priorities expressed by EU citizens, for the development of our businesses, for a fair Europe that leaves no one behind“, said Victor Negrescu, speaking in Romanian, English and French in the Strasbourg hemicycle.

The mandate obtained in plenary comes after Romania’s representative in the EP secured the support of the European Parliament’s Committee on Budgets in early March.

Outlining the European Parliament’s objectives for the negotiations with the EU Council, Victor Negrescu advanced three key directions: more efficient use of funds, securing resources for strategic priorities and new objectives and preserving democratic control over the EU budget, with a strong role for the European Parliament.

First EU annual budget after elections and revision of the Multiannual Financial Framework

The EU budget for 2025 will be the first annual budget to fully benefit from the reinforcements decided in the MFF review, but it will also be the first financial exercise in which difficult choices will have to be made on how to cover the costs of repaying the debt incurred under the NextGenerationEU loan scheme.

In this context, Victor Negrescu and other MEPs say in the paper that “in times of geopolitical and institutional change, financial pressures, climate change and societal challenges, a reliable, robust, flexible and investment-oriented EU budget remains essential for the implementation of the Union’s policies and essential to respond to people’s growing needs”.

MEPs call for people-centred budget, financing strategic priorities and boosting the role of cohesion policy. Victor Negrescu: We need to make it happen!

EP priorities include a people-centred EU budget that is fair, just, and inclusive, promoting initiatives ranging from improving public health to promoting social inclusion and educational opportunities through programmes such as Erasmus+ and the European Solidarity Corps.

“We need to make it happen! We can ensure adequate financial support for Erasmus students while investing in our economy”, the EP chief-negotiator, Victor Negrescu, emphasized.

Also highlighting the strategic role of the budget, MEPs call for increased investment in key programmes such as Horizon Europe and InvestEU, together with the STEP regulation, to strengthen the EU’s technological and industrial base. The voted document foresees a budget to support the European Green Deal, digital infrastructure improvements and the EU’s climate neutrality targets, focusing on investments in renewable energy, energy efficiency and sustainable technologies.

Special attention is also paid to boosting the implementation of EU programmes, with a focus on improving the translation of EU programmes into concrete actions, highlighting the role of cohesion policy in promoting sustainable growth and reducing regional disparities.

“We need to make full use of the unused funds from the previous financial period and allocate them to the beneficiaries and countries that managed to have a high absorption rate”, said Negrescu.

A budget to support Ukraine and the Republic of Moldova. Victor Negrescu: We didn’t start the war, but if we don’t help Ukraine and Moldova, our lives will be threatened by Russia’s barbaric attitude

The EP proposals negotiated by Victor Negrescu also articulate the need for a forward-looking budget that adapts to the global landscape, with a focus on comprehensive migration and asylum policies and strengthening the EU’s security and defence capabilities, particularly in support of Ukraine in the context of ongoing conflicts.

“The situation of the European Union, and therefore our budget, is of course influenced by the conflicts in our neighbourhood. We did not start the war in Ukraine, but if we do not help Ukraine and the Republic of Moldova, our lives will be forever changed and threatened by the barbaric attitude of the rulers in Moscow. We are helping Moldovans and Ukrainians to save lives, but we are also helping them to save our lives. We must therefore continue to show Moldova, Ukraine, Georgia and the countries of the Western Balkans that we are there to help them become members of the European Union. The situation in the Middle East is equally complicated and there are no easy solutions. What is clear is that our report has tried to address all the concerns in a consensual way to show that the European Union is present, but without turning this report into a foreign policy debate”, said the Romanian MEP.

What’s next?

After the vote in the European Parliament plenary, the European Commission is expected to present its proposal for the 2025 budget before summer 2024. Next year’s budget must be agreed between the Council and Parliament by the end of this year.

The Council of the European Union has already set out its guidelines for the 2025 budget, considering that it should be realistic, in line with real needs, ensure prudent budgeting and leave sufficient margins within the Multiannual Financial Framework (MFF) ceilings to cope with unforeseen circumstances and address the Union’s challenges.

As for the budgetary guidelines adopted under the guidance of chief negotiator Victor Negrescu, they are the first document Parliament has produced during the annual budgetary procedure. It sets out the line Parliament expects the Commission to follow when it draws up its budget proposal. More than 90% of the EU budget goes to citizens, regions, cities, farmers, and businesses.