How the EU is spending its budget in 2015

The European Union (EU) budget contributes to implementing EU policies in a wide range of fields, such as economic growth, new infrastructures (roads, railways and airports), cleaner environment and more secure external borders. The EU budget also contributes to offering humanitarian assistance all over the world and increases studying opportunities for young people.

ACT

Definitive adoption (EU, Euratom) 2015/339 of the European Union’s general budget for the financial year 2015

SUMMARY

WHAT IS THE MAIN OBJECTIVE OF THE EU BUDGET?

The European Union (EU) budget contributes to implementing EU policies in a wide range of fields, such as economic growth, new infrastructures (roads, railways and airports), cleaner environment and more secure external borders. The EU budget also contributes to offering humanitarian assistance all over the world and increases studying opportunities for young people.

In order to finance projects in such areas, the EU budget is defined on the basis of a multiannual financial framework (MFF) covering a 7 year period. The 2014 budget was the first budget of the 2014-2020 MFF. The 2015 budget continues the activities carried out in this context but with new priorities.

KEY PRIORITIES

The most important priorities of the 2015 budget are to:

• work towards boosting jobs, growth and investment;
• develop a connected digital single market;
• create a resilient Energy Union with a forward-looking climate change policy;
• strengthen the EU’s industrial base and its single market;
• support the Economic and Monetary Union (EMU);
• create a new policy on migration and security;
• enforce the EU’s role as a global actor.

All projects implemented in EU countries using EU funds must offer an added value compared to national actions in the field.

Amounts per policy and heading

The MFF lays down maximum amounts (ceilings) for each category of expenditure (headings for a clearly determined period of time and generally several years). Those headings are defined for groups of EU activities in broad categories of expenditure.

The 2015 budget totals an amount of about € 145.3 billion in commitment appropriations*.

This budget covers the following areas with specific amounts per heading (hereafter in commitments*, at current prices).

• 1.
  Smart and inclusive growth: € 66.782 billion, including:

  • 1a: competitiveness for growth and jobs: € 17.552 billion;
  • 1b: economic, social and territorial cohesion: € 49.230 billion;

• 2.

  Sustainable growth: natural resources: € 58.809 billion (of which market-related expenditure and direct payments to farmers is € 43.456 billion);

• 3.

  Security and citizenship: € 2.147 billion;

• 4.

  Global Europe: € 8.408 billion;

• 5.

  Administration: € 8.660 billion.

What is the money spent on?

• Growth and jobs: this heading includes policies to combat unemployment and boost the EU labour market with actions in the field of research (Horizon 2020 programme) and mobility of young people (Erasmus+). It also comprises large infrastructure projects like Galileo or Copernicus.
• Solidarity between EU regions, mostly financed through the European Regional Development Fund and the Cohesion Fund for strengthening economic and social cohesion within the EU and reducing development disparities between EU regions. Another part of this heading focuses on the connecting Europe facility.
• Agriculture and rural development mainly through the European Agricultural Fund for Rural Development for agri-environmental measures and modernisation of agricultural assets and the European Agricultural Guarantee Fund including expenditure for payments to EU farmers. The LIFE programme for environment and climate change is also included in this heading.
• Security and citizenship including the EU Justice Programme and the Asylum, Migration and Integration Fund to help refugees in the EU. Other policies like citizenship with the Europe for citizens programme and culture (creative Europe) are included in this heading.
• EU as a global partner to promote economic cooperation throughout the world with programmes such as pre-accession assistance, the Neighbourhood Instrument and the EU Co-operation Instrument for Development and offer humanitarian aid to people in urgent situations.
• Administration, mostly EU institutions’ expenditure.

WHEN IS THE 2015 EU BUDGET IMPLEMENTED?

From 1.1.2015 to 31.12.2015.

KEY TERMS

* Commitment appropriations/Commitments: a figure in a given budget year that includes money pledged to EU programmes covering several years, but not necessarily paid in that budget year.

For more information, see:

• the EU budget on the European Commission website;
• the budget glossary.

last update 17.07.2015