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EU budget 2021-2027 and recovery plan

An infographic illustrating the overall EU budget for 2021-2027, including the Next Generation EU recovery package. It includes a breakdown of the main areas of EU spending.

EU expenditure 2021-2027

Total: €1 824.3 billion

The EU's 7-year budget - Multiannual financial framework (MFF): €1 074.3 billion

Next Generation EU (NGEU): €750 billion
COVID-19 recovery package front-loaded over the first years.

  • €390 billion grants
  • €360 billion loans

Capital raised on the financial markets.

Breakdown of EU spending 2021-2027

€ billion, 2018 prices

Single market, innovation and digital: 143.4 (10.6 Next Generation EU)

Includes:

  • Horizon Europe
  • InvestEU fund

Cohesion, resilience and values: 1099.7 (721.9 Next Generation EU)

Includes:

  • Cohesion policy funds
  • Recovery and Resilience Facility
  • Union civil protection mechanism - RescEU
  • Health programme

Natural resources and environment: 373.9 (17.5 Next Generation EU)

Includes:

  • Common Agricultural Policy
  • Just Transition Fund

Migration and border management: 22.7

Includes:

  • Asylum and Migration Fund
  • Integrated Border Management Fund

Security and defence: 13.2

Includes:

  • European Defence Fund
  • Internal Security Fund


Neighbourhood and the world: 98.4

Includes:

  • Neighbourhood, Development & International Cooperation Instrument (NDICI)
  • Humanitarian Aid Instrument

European public administration: 73.1

 

Increasing investment in the climate and digital transitions

Climate mainstreaming: target of 30% of overall spending across programmes.

Digital mainstreaming: spending in digital transformation across programmes.

Budget increases for:

  • Digital Europe programme
  • Connecting Europe Facility (digital strand)

Brexit Adjustment Reserve

€5 billion to support the member states and economic sectors that are worst affected by Brexit.

New own resources

Four-phase approach:

  1. Non-recycled plastic packaging waste based contribution – 1 January 2021
  2. Carbon border and digital levy adjustment mechanism – to be introduced by 1 January 2023
  3. EU Emissions Trading System based own resource (possible extension to aviation and maritime)
  4. Working on introducing other new own resources

The proceeds of the new own resources introduced after 2021 will be used for early repayment of Next Generation EU borrowing.

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