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Germany’s Merz says EU budget needs cut of ‘several hundred billion’ euros

Chancellor also argues it is “unacceptable” for European institutions to add 2,500 new jobs.

  • Hans von der Burchard, Gregorio Sorgi
  • July 28, 2026
  • 0 Comments

Asked by POLITICO whether this proposed cut was identical to the €400 billion in budget reductions that a German document suggested at the end of last month, Merz declined to go into detail, referring to ongoing negotiations.

Merz also lashed out at a Commission plan to increase the number of EU staffers, a move that Brussels says is necessary to deal with the increased work load caused by the current geopolitical crises.

“It is unacceptable that 2,500 new positions are now to be created for the European institutions. We will not accept that,” the chancellor said, arguing that Germany was reducing its government staff by 8 percent by 2029.

Under its presidency of the Council of the European Union, Ireland will have to put forward a new budget proposal before a summit of EU leaders in October.

Martin will face the herculean task of squaring Merz’s push for cuts with conflicting pressure from countries supporting a bigger budget, such as Italy, Spain and Poland.  

At the press conference, the Irish leader was reticent in response to the German demands, only saying he would “listen carefully to the chancellor what is important for him and for Germany.”

Martin added: “I believe, if we all approach the task in the right spirit, agreement should be possible by the end of the year.“

This post was originally published on this site.