Advancing Future-Oriented Public Spending in the EU

With negotiations on the next Multiannual Financial Framework (MFF) now underway, the question of how to align public spending with Europe’s long-term priorities is firmly in the spotlight. As Commission President von der Leyen stated in July 2025, the new EU budget must be “larger, smarter and sharper”, tailored for a world where “crises are no longer the exception but the norm”.

At the same time, the EU has overhauled its fiscal rules — particularly the Stability and Growth Pact — to safeguard debt sustainability while creating greater room for growth-oriented, future-focused investment. This reform complements the strategic orientation of the EU budget. Together, these two pillars seek to ensure that Europe remains fiscally responsible and is better prepared for future challenges.

Against this backdrop, our Lunch Debate takes a close look at how national budgets in key EU Member States are evolving in response to long-term challenges and EU strategic objectives. At our Lunch Debate, we will present a policy paper, comparing the future orientation of the budgets of all 27 MS. Latest research from ZEW identifies the characteristics of fiscal frameworks that foster resilience over time and introduces a new metric — the “Future Quota” — to assess in which areas  public spending can most effectively prepare the EU and its Member States for the future.

In our Lunch Debate, we will shed light on questions such as: What is the connection between future-oriented budgeting and fiscal sustainability? Based on initial observations, how well do the reformed fiscal rules support long-term, growth-friendly investments? Which national budget strategies best promote resilience and future-readiness?

This project is made possible with the kind support of the Strube Foundation.