The revised Multiannual Financial Framework (MFF) is a crucial step for Europe’s defence, resilience, and strategic autonomy. This proposal is a necessary and timely response to a rapidly deteriorating security environment.
The world around us is changing rapidly. From the ongoing Russian aggression against Ukraine to the growing global competition in defence and space capabilities, Europe must respond with ambition, unity, and determination.
The reinforcement of the MFF sends a clear signal: the European Union is taking action to protect its citizens, defend its borders, and invest in the technologies and infrastructure that will define Europe’s role in the world.
Andrius Kubilius, Commissioner for Defence and Space, said: “The proposed new long-term EU budget is historic and extremely ambitious, being around 64% higher than the current one. Such an ambitious increase is due in particular to the current complex geopolitical situation. With this new long-term budget, the European Union is sending a clear strategic signal: defence is our top priority. Defence and space spending will increase five-fold to EUR 131 billion. This is the biggest growth line in the whole budget. Such spending would allow the European Union to create real and significant added value by helping Member States to strengthen their own defence capabilities and those of Europe as a whole in the most effective way.”
On Defence and Space Programmes and Initiatives
The new MFF provides for targeted increases in funding for European defence and space capabilities, both essential pillars of our strategic sovereignty.
Europe is facing unprecedented security threats, which demands a bold and coordinated European response. The revised MFF rises to this challenge by laying the foundation for a true European Defence Union.
After years of underinvestment, the time has come to boost EU defence readiness with higher and more strategic spending. The Commission is calling on Member States to spend European — to spend better, together and to invest in our own industrial base, in support of the EUs freedom of action, security, jobs, and innovation.
Building on the Joint White Paper for European Defence Readiness 2030, the Commission is giving new impetus to joint defence capability development and related industrial cooperation. The proposed European Competitiveness Fund will significantly increase investment in the European defence industry, supporting it throughout the full innovation cycle — from R&D to prototyping, production, procurement, and maintenance.
Through a mix of grants, equity instruments, debt-financing, and joint procurement tools, the MFF will support Europes defence sector in innovating rapidly, scaling up production, and attracting private investment. Start-ups and SMEs will gain better access to financing, contributing their agility to a more responsive and competitive industrial ecosystem.
We will also intensify our incentives for collaborative procurement of strategic capabilities and promote Defence Projects of Common European Interest, ensuring that taxpayer money delivers interoperability, scale, and security of supply.
At the same time, we are investing to enhance EU military mobility — ensuring troops and equipment can move swiftly and effectively across the Union. This includes modernising transport infrastructure under the Connecting Europe Facility, particularly in areas vital to our Eastern flank and NATO reinforcement strategies.
Member States and regions will have the possibility to support on a voluntary basis and according to the regional needs and priorities, defence-related projects in their national and regional partnership plans.
Finally, the MFF reaffirms our unwavering support for Ukraine, including by aiding the development of Ukraines own defence industry. European security depends on Ukraines ability to resist and rebuild.
This budget is not just a financial package — it is a strategic reset. It sends a clear signal: Europe is ready to defend itself, to innovate together, and to act as one.
The proposal also recognizes the significant role that space plays in addressing these challenges.
Europes leadership in space is a strategic necessity as space technology, data and services are critical for the achievement of EU priorities and its security. Therefore, the new MFF reinforces our commitment to EU successful flagship programmes such as Galileo, Copernicus and IRIS². These initiatives are vital to ensure our autonomy in space-based navigation, Earth observation, and secure communications.
At the same time, the European Competitiveness Fund introduces new initiatives that address our strategic autonomy needs: Earth Observation Governmental Service to enhance situational awareness for security and defence users, Access to Space ensuring European preference and competition among European players, Space Commercialisation and Space Economy building on the successful CASSINI initiative, and Technological Sovereignty, Research and Innovation to reduce critical dependencies on non-Union technologies and focus on dual-use technologies that benefit both civil and defence applications.
The EU rises to address critical challenges
This new Multiannual Financial Framework is not just about numbers — it is about Europe rising to meet the challenges of our time with unity and ambition. Defence and space are no longer optional areas of cooperation; they are central to our strategic future.
I invite the Members of the European Parliament and the Council to support this ambitious proposal.
Looking forward to working closely with Member States, industry, and citizens to translate this renewed investment into concrete action. Together we will build a Europe that is safer and more resilient.