The next EU budget: ensuring national plans deliver for people

Europe’s next long-term budget will shape much more than public spending. It will influence whether people can access support to find work, put food on the table, secure housing, or rebuild their lives after displacement. 

Across Europe, growing numbers of individuals and families are facing financial hardship, housing insecurity, and social exclusion. EU-funded programmes help turn solidarity into practical support, opening pathways towards employment, inclusion, and greater stability, while strengthening social cohesion in communities. 

As negotiations gather momentum on the EU’s the next long-term budget (2028–2034), there is an important opportunity to ensure that this support continues reaching the people who need it most. While greater flexibility for Member States could bring benefits, strong safeguards will be needed to protect investment in social inclusion, poverty reduction and integration. They will also be essential if the EU is to deliver on its commitments to tackle poverty, prevent and combat homelessness, and improve access to affordable housing.

EU funding makes a real difference in people’s lives

For decades, the EU budget has helped people facing poverty, exclusion, discrimination or vulnerability. Through instruments such as the European Social Fund Plus (ESF+) and the Asylum, Migration and Integration Fund (AMIF), millions have accessed employment, training, food assistance, housing support and integration services. 

In Spain, for example, the Spanish Red Cross has managed over €200 million in ESF+ funding since 2021, helping hundreds of thousands of people to access jobs, training and essential services. The impact extends beyond individuals: for every euro invested, nearly three euros are generated through increased employment, greater socio-economic inclusion, and higher tax contributions . 

Flexibility must not come at the expense of inclusion

Under the proposed approach, a large share of funding is expected to be channeled through National and Regional Partnership Plans designed by Member States.

Dedicated instruments and funding allocations that protect social inclusion and integration priorities could be replaced by broader national plans. Without clear earmarking or minimum spending requirements, there is a risk that funding for key social programmes is diluted or redirected elsewhere. This could affect essential services that many people rely on.

A similar concern exists for migration funding. While overall spending is expected to grow, funding is increasingly focused on border management and security. Without dedicated targets for asylum, reception and integration measures, there is no guarantee that support for people seeking protection and rebuilding their lives in Europe receives adequate attention within the future funding framework.

These risks come at a time when rising living costs, housing shortages and gaps in social protection are leaving more people struggling to make ends meet. Poverty is becoming deeper and more complex, underlining the importance of accessible and responsive support systems.

Civil society must remain part of the solution

Civil society organisations play a vital role in reaching people who might otherwise struggle to access support and services. National Red Cross Societies, alongside many other organisations, provide social support in communities, with EU funding acting as a crucial enabler. 

Under the proposed model, however, access to EU funding could become more challenging. More demanding co-financing requirements may create barriers for organisations that are unable to cover a significant share of project costs upfront. This already limits access to EU funding and could become even more difficult under the new approach, particularly for smaller organisations. 

There is also a risk that civil society organisations have fewer opportunities to contribute to the funding decisions at national level, despite the valuable insights they bring from working directly with people whose needs are often least visible in policy discussions.

Meaningful engagement with civil society is crucial to ensure that EU funding remains effective and people-centred.

Keeping people at the heart of the EU budget

The next EU budget can combine greater flexibility with strong social ambitions. To do so, it should include clear safeguards to protect funding for social inclusion, poverty reduction, dignified asylum and reception systems, and integration. This means ensuring that the objectives currently supported through dedicated instruments such as ESF+ and AMIF remain visible and protected in the future funding architecture, while remaining anchored in existing EU commitments, including the European Pillar of Social Rights and the EU's anti-poverty objectives.
 
As negotiations on the next Multi Annual Financial Framework gather pace, the Red Cross EU Office calls on Member States and the European Parliament to preserve sufficient and predictable funding for these priorities and ensure that civil society organisations can continue to contribute their expertise and reach.

It also means providing the resources needed to deliver on Europe's ambition to eradicate poverty by 2050, address the housing crisis and combat homelessness and housing exclusion.

The decisions taken in the coming months will help determine whether the next EU budget continues to strengthen social cohesion, support resilient communities and sustains inclusive systems that people can trust and rely on.