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Von der Leyen announces €50 million for New European Bauhaus Academy, Circular Economy Act

Environment, Energy, & Infrastructure · Environment · Speech · 2026-06-09

European Commission President Ursula von der Leyen, speaking at the New European Bauhaus Festival on 9 June 2026, announced an additional €50 million over the next two years for the New European Bauhaus Academy and confirmed that the Commission will adopt a Circular Economy Act later this year. The speech, delivered at the festival opening, also launched a new Catalogue on New European Bauhaus blueprints for housing and highlighted the first international Academy hub in Ukraine, launched last month.

Von der Leyen framed the New European Bauhaus as a response to geopolitical shocks, climate change, and democratic challenges, arguing that Europe must build differently — more sustainably, resiliently, and connectedly. She described the initiative, now six years old, as a movement encompassing over 700 projects and more than 2,000 organisations. The speech contained several concrete proposals: the €50 million top-up for the Academy, the planned Circular Economy Act, and the new blueprints catalogue. These represent a shift toward embedding circularity and sustainability into EU industrial and housing policy.

The Circular Economy Act, von der Leyen said, will create a single European market for high-quality recycled materials, aiming to reduce waste and import dependence. She cited the built environment's contribution to 35% of Europe's waste and 12% of national emissions as justification. The additional Academy funding will go toward skills, research, start-ups, and SMEs. The blueprints catalogue is intended as a practical tool for architects, real estate companies, and local authorities to accelerate affordable, sustainable housing.

On foreign policy, von der Leyen emphasised support for Ukraine, noting the launch of the first international New European Bauhaus Academy hub there last month. She pledged that the initiative would stand by Ukraine throughout its reconstruction, turning 'rubble into recovery' — a conciliatory and supportive stance.

The speech also celebrated the movement's participatory ethos, with von der Leyen noting that the New European Bauhaus Prizes this year included an EU-wide competition to design an official trophy, with ten finalists present.

Stakeholder impacts: EU businesses in construction and materials sectors face new compliance and investment requirements under the Circular Economy Act, but also gain access to a harmonised market for recycled materials, potentially boosting competitiveness. EU consumers may benefit from more affordable, sustainable housing if the blueprints and Academy funding translate into scaled-up projects. National and local authorities gain new tools and funding for housing and skills, but may face administrative burdens in accessing them. Ukrainian reconstruction efforts receive a concrete EU-backed framework, though delivery depends on war conditions and local capacity.

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