EU‑wide Taxes to Shield German Taxpayers, Costa Says

European Council President António Costa announced that new EU‑wide taxes could reduce the amount German taxpayers send to Brussels. With the informal deadline for the 2028‑2034 budget only four months away, Costa and German Chancellor Friedrich Merz urged the creation of new own resources to protect national budgets. They criticised the Commission’s near‑€2 trillion proposal, calling for cuts of “several hundreds of billions.” Costa noted that EU‑wide taxes are needed to fund common policy areas such as defense and competitiveness, but only two levies have been agreed so far: the Carbon Border Adjustment Mechanism and a tax on uncollected electronic waste, together expected to raise about €20 billion a year—far below the €66 billion per year originally proposed. The announcement follows a far‑right landslide for Alternative for Germany in Saxony‑Anhalt, which could harden Merz’s stance in negotiations.