EU Budget Commissioner-Designate Urges Swift Action on New Own Resources
The European Union is at a crucial juncture, as it urgently needs to expedite discussions surrounding new own resources to adequately support its long-term budget from 2028 to 2034. This sentiment was expressed by Polish Commissioner-designate for Budget, Anti-Fraud, and Public Administration, Piotr Serafin, during his confirmation hearing with Members of the European Parliament (MEPs) on Thursday.
Serafin emphasized the pressing nature of this issue, stating, “Progress on this matter has been insufficient and time is running out. I expect the Council, which represents member states, to resume work on this issue at the beginning of next year at the latest.” The concept of own resources encompasses existing customs duties and contributions based on the value-added tax (VAT) that member states levy. These resources represent one of two primary avenues available to the EU for financing its common budget, with the other being direct contributions from member states. For Serafin, prioritizing new own resources is imperative for the upcoming Commission.
The Commission has projected that the implementation of proposed new own resources, including EU-wide taxes on carbon emissions and taxes on major multinational corporations by 2026, could generate approximately €36 billion starting in 2028. During the hearing, Serafin reiterated his commitment to focusing on these new resources while also striving to convince member states to allocate more funding at the EU level rather than at the national level.
“When it comes to new priorities like defense and competitiveness, it makes financial sense for finance ministers to invest at the EU level instead of the national level,” Serafin explained. “This approach will ultimately be more cost-effective.”
MEPs voiced significant concerns regarding how both new and existing priorities—ranging from agriculture and the green transition to defense and security—will be financed post-2027. Serafin acknowledged that he could not make any definitive commitments regarding the Commission’s future budgetary plans. Although negotiations for the next long-term budget are not scheduled to commence until the summer of 2025, various regions and capitals are urging the Commission to reconsider proposals that would centralize all programs into a single national cash pot for each member state.
For the upcoming five-year term, Serafin articulated a vision for a budget characterized by “fewer, more focused programs” and a “plan for each country that links key reforms with targeted investments where EU intervention is most necessary.” He also advocated for a budget that is “more flexible, impactful, and simpler,” while maintaining ambition in both design and size.
Serafin stressed the need for an EU budget that does not create “a bureaucratic nightmare” for those seeking access to EU funds, stating, “We must maximize every euro in the EU budget.”
In his capacity as anti-fraud commissioner, Serafin intends to enhance collaboration between the European Anti-Fraud Office (OLAF) and the European Public Prosecutor’s Office (EPPO) to expedite the recovery of EU funds. “We must do everything in our power to eliminate fraud and organized crime within the EU,” he asserted, adding that such measures would ensure tax revenues are redirected from fraudsters to effectively address the bloc’s critical challenges.
Additionally, Serafin believes that creating a stronger connection between the rule of law reports and the EU budget will bolster the respect for EU values.
While the Polish commissioner-designate is expected to receive approval from MEPs, the entire new EU Commission will still need to secure a vote of confidence in a plenary session by the end of November before officially commencing its new mandate, which is anticipated to occur in early December.
