Austria threatens to block approval of the EU's future budget for 2028–2034

Austria is threatening to block the European Union’s budget for the 2028–2034 period if spending is not reduced. Chancellor Christian Stocker told the German daily Die Welt that Vienna would not approve the plan if “a red line” were crossed, without specifying the limits in question, arguing that they are part of the negotiating strategy.

This is the first explicit veto threat issued by a leader of a member state during the negotiations. The EU’s multiannual budget must be approved unanimously by all 27 member states, while net contributor countries, including Austria and Germany, are calling for spending cuts.

Austria, part of the group of “frugal” states, is seeking cuts of several billion euros compared with the European Commission’s proposal, worth nearly €2 trillion. A recent compromise rejected by the frugal states provided for a budget of €1.83 trillion, €160 billion below the initial proposal.

Negotiations are complicated by opposition from the 17 states in the “Friends of Cohesion” group, which oppose the cuts and are calling for funding for the common agricultural policy and cohesion policy to be maintained. The EU is seeking to reach an agreement by the end of this year.