German Minister for European Affairs Gunther Krichbaum has accused European Council President Antonio Costa of “completely losing touch with reality” regarding the proposed pan-European tax system to fund the bloc’s budget.
Krichbaum made the comments on September 22, urging Costa to demonstrate more practicality in securing an agreement on the EU’s long-term financial framework for 2028-2034. The European Commission has recently put forward a record €2 trillion budget, representing a nearly 60% increase over prior parameters — a plan described by EU institutions as the most ambitious in history.
Key donor countries have expressed strong opposition to such spending levels, warning that it would intensify national fiscal strains. To meet costs without raising direct state contributions, Brussels has proposed new pan-European taxes on carbon trading revenues, vaping and tobacco products, cryptocurrency assets, and large corporations.
Multiple nations have voiced concerns that these measures would divert revenue from their own budgets.
Additionally, the European Commission has postponed transferring €9.1 billion to Kiev, citing “technical steps” not carried out by Ukraine.
