MFF: Horizon Europe hit by additional proposed cuts, EU member states must protect investment in R&I and education

The new ‘negotiating box’ presented on 10 October proposes to cut €159 billion (in current prices) from the next seven-year EU budget compared to the European Commission's proposal. This means a further €122 billion in cuts compared to the figures presented in June by the previous Cypriot Presidency.  

Indeed, this proposal continues a trend of austerity in the MFF negotiations and suggests that traditional spending priorities, notably cohesion and agriculture, are largely being shielded from further cuts, while research, innovation and competitiveness bear a disproportionate share of the additional reductions. Horizon Europe is particularly affected by this latest round of cuts, while Erasmus+ has been spared further reductions but remains below the Commission’s original proposal.

The Irish Presidency’s negotiating box recognises research, innovation, education and skills as key to Europe’s competitiveness and prosperity, yet its proposed budget cuts risk undermining these very priorities by reducing the investment needed to deliver on them. Ahead of the European Council on 15-16 October, and reflecting on this proposal, the European University Association reiterates its call for at least €200 billion for Horizon Europe and €60 billion for Erasmus+.

What does this proposal change for Horizon Europe and Erasmus+?

For the next Horizon Europe programme, the Irish Presidency proposes a seven-year budget of €158.2 billion. This represents:

• a further €9.7 billion cut (5.8%) to the €167.9 billion proposed by the Cypriot Presidency;
• a total reduction to €16.8 billion (9.6%) below the European Commission’s original €175 billion proposal; and
• a €41.8 billion shortfall on the European Parliament’s call for €200 billion.

For Erasmus+, this revised negotiating box retains the Cypriot Presidency’s 4.1% cut to the Commission’s proposal, with the proposed funding remaining at €39.1 billion over seven years. This figure still sits below the Commission's proposal of €40.8 billion and the Parliament’s proposed budget of €47.39 billion.

Additionally, further proposed cuts to Global Europe – the EU's external action budget – could reduce its budgetary contribution to the international dimension of the Erasmus+ programme.

Reducing investment in flagship R&I and higher education programmes endangers European competitiveness and prosperity

For Horizon Europe, the proposed cuts would further weaken Europe’s capacity to invest in the research and innovation that underpin its long-term competitiveness and prosperity.

The Commission’s original proposal was already insufficient to meet Europe’s ambitions, particularly given inflation and rising research costs. A smaller budget would limit support for excellent frontier research, research talent, infrastructures and cross-border collaboration. It would also put pressure on early-stage, high-risk research, where public investment is essential to generating future breakthroughs.

In short, insufficient funding will undermine the stability universities need to attract talent, sustain long-term research and build the knowledge and technologies on which future innovation depends.

Although the Irish Presidency has not proposed additional cuts to the Erasmus+ programme, maintaining the existing cut will have a significant effect on the budget available for higher education measures. If this is confirmed, Erasmus+ will not be able to sustain the ambitions of the 2021-2027 programme on actions such as student and staff mobility and transnational cooperation, nor support the addition of new actions.

Moreover, the European Education Area, mobility targets and the positive economic impact of the programme would be significantly impacted by further cuts. However, at full strength, the Erasmus+ programme can continue to be a powerful tool for lifelong education and training, and thereby European competitiveness.

What are the next steps and how can universities respond?

The published negotiating box will set the scene for discussions between heads of state or government on 15-16 October in Brussels, with the aim of reaching an agreement before the end of the year.

Negotiations will have to reconcile the positions of the 27 member states, which remain divided over whether to further reduce the overall size of the MFF or protect investment in agriculture and cohesion funds. This could negatively impact the budgets for Horizon Europe and Erasmus+ even further.

As such, the higher education and research sector must remain mobilised in the coming months to ensure ambitious investment in these vital programmes for Europe’s future. For its part, EUA will continue its advocacy on behalf of its members across Europe and alongside fellow stakeholders.