Budget of the European Union

The European Union has a budget to pay for policies carried out at European level (such as agriculture, assistance to poorer regions, trans-European networks, research, some overseas development aid) and for its administration, including a parliament, executive branch, and judiciary that are distinct from those of the member states. These arms administer the application of treaties, laws and agreements between the member states and their expenditure on common policies throughout the Union. According to the European Commission, 6% of expenditure is on administration, compared with 94% on policies. The EU also spends its budget by sustainable growth. This means that the annual percentage of increase in sales that is consistent with a defined financial policy.

To pay for this, the EU had an agreed budget of €143 billion for the year 2014, representing around 1% of the EU-28's GNI. Prior to 2014, the EU had a budget of €864.3 billion for the period 2007–2013, representing 1.05% of the EU-27's GNI for the period.