Costa begins EU budget tour with Slovakia’s Fico, one of Brussels’ most difficult partners

European Council President António Costa launched his high-stakes “tour des capitales” on Tuesday in Bratislava – deliberately starting with Slovak Prime Minister Robert Fico, widely regarded as one of the European Union’s most difficult and unpredictable partners.

Costa launches “tour des capitales” to unlock EU’s next long-term budget

The meeting marks the opening move in Costa’s effort to unlock agreement on the EU’s next long-term budget (Multiannual Financial Framework 2028–2034), a package worth around €2 trillion. Costa has made securing a political deal by the end of 2026 his top priority for the year, warning that failure would paralyse EU financing for farmers, regions, students, research and more.

By choosing Fico first, Costa confronts head-on one of the toughest voices in the “Friends of Cohesion” camp. Slovakia is a net beneficiary that depends heavily on traditional EU funds. Fico immediately set firm red lines: subsidies for regions and farmers must be preserved, and any drastic cuts are unacceptable.

Fico’s non-negotiable demands

Under the Commission’s proposed National and Regional Partnership Plan, Slovakia would receive a guaranteed €19.9 billion allocation for 2028–2034 to support poorer regions and direct payments to farmers. Fico insisted this envelope must remain substantial and even argued for extra resources for eastern member states that border Ukraine.

He also rejected excessive centralisation. The planned EU-wide Competitiveness Fund, which would distribute money competitively without national quotas, risks channelling funds only to the richest western states, Fico warned. He demanded geographical balancing so poorer regions and small businesses can still access support.

On other issues the two leaders found limited common ground. Both want a deal by year’s end and support enlargement and greater competitiveness. But Fico diverged sharply on China (favouring “friendly competition” rather than barriers), Ukraine’s EU path (no political shortcuts that would let Kyiv overtake Western Balkan candidates), and energy prices (blaming the Emissions Trading System and the German power exchange).

Two opposing camps

The budget battle pits:

Frugal states (Netherlands, Austria, Sweden, Denmark, Finland and others) — seeking a smaller overall budget, strict discipline and a shift toward defence, innovation and strategic autonomy.
Friends of Cohesion (Slovakia, Poland, Hungary, Czechia, Greece, Portugal, Spain and allies) — determined to protect agriculture and regional development funding.

Costa’s decision to open with Fico signals he is testing the hardest positions early. After Bratislava he continues to the Baltic states (Estonia, Latvia, Lithuania), where security concerns dominate, and later to Prague. Sweden is postponed because of its September elections. The “frugals,” led by German Chancellor Friedrich Merz, are already organising their own coordination and pressing for deep cuts – Sweden has even floated a 20% reduction.

The cost of failure

Costa and the Irish Council presidency are pushing for a political agreement by December 2026. History shows MFF talks usually take 18–24 months or longer. If negotiations slip into 2027 – an election year in several key countries – positions are likely to harden further. Unanimity is required. Without a deal, a provisional regime would kick in: only routine spending and direct farm payments would continue, while new cohesion programmes, infrastructure and long-term research would freeze – with immediate consequences for millions of Europeans.

By starting his tour with one of Brussels’ most difficult partners, Costa is under no illusions about the scale of the challenge. The coming weeks will show whether Fico’s hard line can be softened — or whether the first stop has already set the tone for a protracted and bruising negotiation.

The article in Slovak by EUalive’s partner EUbrief can be found here.

Caption: Slovak Prime Minister Robert Fico (R) and President of the European Council Antonio Costa (L) attend a press conference following their meeting in Bratislava, Slovakia, 25 August 2026. Antonio Costa is on an annual round of visits to European Union capitals. EPA/JAKUB GAVLAK