EU budget

The EU budget is organised in 7-year cycles called multi-annual financial frameworks. It defines the EU's long-term spending priorities in line with political priorities agreed by the member states and sets annual maximum amounts to be spent on each priority. The financial framework stretches over several years to ensure sound and responsible financial planning and management. The EU budget stands at about 1% of the 28 EU countries' gross domestic product (GDP) – the total value of all goods and services produced in the EU. By contrast, the budgets of EU countries represent 47% of GDP on average. In fact, the EU budget is smaller than the Austrian or Belgian national budgets. As Commission President Jean-Claude Juncker put it earlier this week, the EU budget costs the European taxpayer one cup of coffee a day.