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Stalemate between France and Germany threatens new €2 trillion MFF

Stalemate between France and Germany threatens new €2 trillion MFF

Macron and Merz, trapped by internal crises, risk blocking the future European budget.

The European Union's multiannual budget , worth approximately €2 trillion, is at the center of a growing conflict between the bloc's two most influential heads of state. Ahead of the two-day summit in Brussels, internal tensions in France and Germany are limiting Emmanuel Macron and Friedrich Merz's ability to play their indispensable mediating role.

Domestic political pressure on Emmanuel Macron and Friedrich Merz

The French prime minister is managing a presidential campaign that will culminate next year, while his popularity is under constant attack from Marine Le Pen and Jean-Luc Mélenchon. Both opposition leaders portray any concessions on budget cuts as a betrayal of French taxpayers.

In a statement on the 26th floor of The Hotel in Brussels, Le Pen called the accelerated negotiations an attempt to silence democracy, adding: “This is not serious.”

Risk for the French presidential campaign

Macron, who will step down as president next year, is aware that any compromise on the budget could be used as a political weapon by his opponents.

An agreement perceived as too conciliatory would risk fueling the discourse of Le Pen and Mélenchon, threatening to weaken their electoral support just months before the April presidential election.

Criticism of the German government

For his part, Friedrich Merz is facing a climate of internal distrust following the recent defeats of center-right forces in state elections dominated by the Alternative for Germany (AfD). The chancellor has stated that he prefers no deal to increased money flow to Brussels, fearing that the perception of "European spending" could weaken his domestic support. The pressure is further amplified by industry lobbies like the BDI, which have called for a more ambitious response from the German government.

The Brussels Summit and its implications for the multiannual budget

At the summit, the European Parliament's Co-President for Labour, Siegfried Mureșan, stressed the urgency of adopting the MFF to ensure competitiveness, security, and support for farmers and researchers . His statement—"Persistent delays and divisions in the Council are worrying"—reflects growing unease among member states. Despite the divisions, the budget's fundamental structure remains: larger countries must find a compromise on cuts and new funding sources.

Alternative financing proposals

French Europe Minister Benjamin Haddad proposed expanding the EU's own resources , such as taxes on online gambling, rather than resorting to drastic cuts. Germany, while welcoming the idea of ​​new resources, expressed skepticism about their ability to cover the overall needs. Both nations, however, agree on the need to stabilize national contributions to maintain the balance of the European financial system. The hope is that, at the end of the two-day meeting in Brussels, the leaders will be able to overcome their respective internal contradictions and sign an agreement that will allow the EU to proceed with its €2 trillion budget .

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