Massive Budget Boost Proposed for Defence and Space Commissioner Andrius Kubilius, marking one year as the first EU Commissioner for Defence and Space, presented an ambitious vision at the COMPET Council on December 9, 2025. He proposed a fivefold increase of the combined Defence and Space budget to 131 billion euros within the next EU Multiannual Financial Framework (MFF). This move signifies a clear policy orientation towards increasing EU financial powers to strengthen integration of defence and space capabilities under one strategic umbrella.
Concrete Measures and Institutional Focus Kubilius outlined concrete legislative intentions including a forthcoming action plan for the European Space Shield—a key flagship project intended to protect space assets crucial for European defence. In addition, an EU regulation focused on governance of space systems, enhancing the authority of EUSPA, is planned. These initiatives aim at consolidating EU-level coordination to foster economies of scale and enhance strategic autonomy, particularly via dual-use space technologies.
Balancing Innovation and Risk From industry dialogues, Kubilius acknowledged calls for simplified funding and procurement processes and more EU support to encourage risk-taking in research and development. This responds directly to business sectors in the space industry facing investment obstacles, indicating a move towards deregulation coupled with significant EU coordination.
Stakeholder Impact and Policy Implications The proposed budget increase and continued emphasis on public flagship programs would notably impact EU regulatory bodies by increasing their supervisory and funding responsibilities. National authorities might face new coordination roles, while space and defence industries could see amplified investment opportunities but also increased compliance demands. Consumers and civil users stand to benefit from improved space infrastructure and services like Galileo and Copernicus but may bear indirect costs through fiscal reallocation.
In essence, Kubilius' speech reflects a strategic shift to deepen EU integration and regulation in defence and space, balancing innovation incentives with strengthened supervision to boost Europe’s competitiveness and autonomy in a rapidly evolving sector.
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