EU budget for 2020: intended increase of at least 20% for climate related expenditure

On 29 June 2011, the European Commission presented its proposal for the Union’s financial framework for 2014-2020.

Among the new elements in the Commission’s proposal are a “Connecting Europe Facility” meant to fund cross-border projects in energy, transport and information technology to strengthen the internal market; significantly more money for Research and Innovation to invest in Europe’s competitiveness; and more funds for youth.

Environmental policy and climate change action priorities will be dealt with as cross-cutting issues and 'mainstreamed' into all the major EU funding instruments, including cohesion, agriculture, maritime and fisheries, research and innovation, as well as into external aid programmes. The Commission intends to increase the proportion of climate related expenditure to at least 20%, with contributions from different policy fields subject to impact assessment evidence. This approach will maximise synergies between environmental policies and other areas and also help to avoid a proliferation of programmes as well as to minimise administrative burden.

Investment in research and innovation in the next seven years will be significantly increased. A common EU strategy called "Horizon 2020" worth 80 billion € is meant to boost Europe's global competitiveness and help create jobs. It will gather all projects in this area to eliminate fragmentation and make sure EU -funded projects better complement and help coordinate national efforts.

All EU Member States need to unanimously approve the budget proposal before entering into force in 2013. Discussions at ministerial level will begin in June next year, followed in December with negotiations with the European Parliament.