Unlike previous budget processes, the European Union now faces extraordinary challenges. There is war on the continent, the EU is under pressure from increasing competition from the US and China, and internally the Union is experiencing tensions between Member States over foreign policy, while several countries are also facing attacks on fundamental democratic principles.

EU President Ursula von der Leyen had already emphasised, in connection with the appointment of the new European Commission, that the EU’s budget must be simplified and focused on major strategic objectives, while administrative burdens should be widely reduced. This will mean major restructuring of the budget and renewed debate on, for example, agricultural subsidies. At the same time, von der Leyen indicated that an expansion of the budget could be considered in order to allow sufficient investment in security and increased competitiveness.

In the cultural sector, significant efforts had been made in the run-up to the publication of the proposal to safeguard and strengthen culture’s place in the budget. Rumours circulating ahead of the release suggested that several funds and programmes currently financing cultural activities would be merged into larger schemes, in which culture might not be prioritised to the same extent as before.

On 16 July 2025, the European Commission presented its proposal for the next Multiannual Financial Framework (MFF) for the period 2028–2034.

The total EU spending planned is €1984.6 billion, which is about 1.26% of the EU’s Gross National Income (GNI). By comparison, the current MFF stands at €1211 billion euros, or 1.13% of GNI. There have been different opinions on this: some voices argued the budget needed to grow to properly fund key priorities like security and climate action. More frugal member states think that the EU should focus on prioritising spending areas without expanding the total budget. 

For the cultural sector, the proposal is initially positive. Overall, it provides the sector with more funding to work with across all three relevant programmes: Creative Europe, Horizon Europe, and Erasmus+.

Creative Europe will be merged with the Citizens, Equality, Rights and Values (CERV) programme and its budget doubled (from €0.8 to €1.8 billion). The Erasmus+ budget will increase by 50% to nearly €41 billion in total, while Horizon Europe is proposed to be doubled to €175 billion.

However, it will be crucial for the cultural sector to ensure that the announced simplifications in application procedures and award criteria do not expose the sector to unfair competition from areas that previously had their own dedicated funds and programmes, but which will now have to “share” with the cultural sector.

This is just the Commission’s first proposal: the total amount of EU spending is likely to change as negotiations unfold between the European Parliament and the Council of the European Union. Many Members of the European Parliament have already voiced criticism for budget cuts for agriculture and regional funding and for centralising regional funding in national plans. 

Based on a proposal by the Commission, the MFF is adopted by unanimity by the 27 EU member states in the Council (through a regulation), after obtaining the consent of the European Parliament.

Here’s a tentative timeline of what happens next: 

  • Autumn 2025: The European Parliament and Council provide the initial response to the Commission’s proposal.  Parliament adopts its first reading position (a resolution). The Council can either accept it or propose amendments. If the Council amends Parliament’s position, the file returns to Parliament for a second reading. At that stage, Parliament can approve, reject, or suggest further changes. These negotiations will take place throughout 2026-2027.
  • To watch out for: the Danish presidency will present the negotiating toolbox in December 2025. It’s a draft framework of the Council of the EU that outlines the overall MFF structure, proposed figures for budget headings, and issues where compromises need to be found. This document serves as a basis for negotiations and can be updated several times to reflect progress and sticking points among member states.
  • Negotiations are expected to conclude by the end of 2027. 

 AEC actions

  • Prior to the presentation of the MFF proposal AEC has been actively participating in several campaigns advocating for a strong position of the Cultural and Creative Sector and Industries in the budget.
  • Shortly after the presentation, AEC published a statement on the MFF proposal  commenting in more detail on the different programmes, see here.
  • As part of the Artistic Research Alliance AEC has published a statement on the MFF proposal commenting on the Horizon Europe programme, see here.
  • Together with its members AEC will continue to advocate for a robust and inclusive MFF that ensures ambitious support for Erasmus+, Horizon Europe, and Creative Europe. These programmes must remain accessible, adequately funded, and tailored to the realities of our sector. Only then can they empower the next generation of music creators, performers, educators, and researchers to contribute to a more innovative, connected, and culturally vibrant Europe.