The European Commission on Wednesday proposed a 2 trillion euro ($2.31 trillion) EU budget for 2028 to 2034, with a new emphasis on economic competitiveness and defence and plans to overhaul traditional spending on farming and regional development.

"A comprehensive increase in the EU budget is unacceptable at a time when all member states are making considerable efforts to consolidate their national budgets," said Stefan Kornelius, spokesperson for Chancellor Friedrich Merz's government in Berlin late Wednesday. "We will therefore not be able to accept the Commission's proposal."

"This is a budget for the realities of today, as well as the challenges of tomorrow," European Commission President Ursula von der Leyen said during a press conference. The proposal must still be approved by the European Parliament and EU member states and could undergo changes in that process.