Germany, Denmark, the Netherlands, Austria, Finland and Sweden are forming a common negotiating position to seek cuts of several hundred billion euros to the European Commission’s nearly €2 trillion Multiannual Financial Framework for 2028-2034. Chancellor Friedrich Merz said the Commission’s proposal would increase the EU’s long-term budget by up to 60%, which he called unaffordable amid fiscal consolidation across member states. The six net contributors, which together finance roughly 40% of the EU budget, want reductions across all spending areas while preserving or increasing funding for defense, competitiveness, migration and sovereignty. The coalition also opposes new common EU borrowing and the proposed addition of 2,500 institutional positions. EU governments are aiming for a unanimous compromise by the end of 2026, potentially before the presidential election in France, but the negotiations are considered highly ambitious because member states remain far apart.