In short
- The future Common Agricultural Policy (CAP) is at risk of a substantial reduction in its EU added value and societal legitimacy compared to today
- Three adjustments in the CAP proposals along the spectrum between “flexibility” and “commonality” would increase the CAP’s EU added value
- Adjustments are essential because, under the current proposal, the minimum budget required for area-based income support alone would make up over half of the CAP budget in more than a third of Member States
This policy brief produced jointly by Agora Agriculture, the Institute for European Environmental Policy (IEEP) and the Clingendael Institute finds that the Commission’s proposal for the post-2027 Common Agricultural Policy (CAP) risks substantially reducing the policy’s EU added value. This brief outlines three adjustments that apply “flexibility” and “commonality” in a way to strengthen the CAP’s EU added value.
The future Common Agricultural Policy is at risk of a substantial reduction in its EU added value and thus of its societal legitimacy compared to today. While the Commission’s proposal gives Member States more flexibility in how they allocate CAP funds, it discourages spending on environment, climate and animal welfare – areas with high EU added value. At the same time, it establishes common spending requirements for interventions that contribute far less to shared EU objectives.
This policy brief outlines three adjustments that apply “flexibility” and “commonality” and would create more room, stronger incentives, and greater certainty for spending on environmental, climate, and animal welfare objectives:
- Remove the minimum spending requirement for area-based income support and reduce the number of mandatory interventions, giving Member States more flexibility to direct CAP funding towards environmental priorities;
- Lower national co-financing rates for environmental spending, making it more attractive and affordable for Member States without restricting their choice of measures;
- Ringfence a minimum share of the CAP budget for environmental, climate and animal welfare objectives, ensuring that all Member States contribute to shared EU priorities.
Without these adjustments, income support alone could make up over half the CAP budget in one third of the Member States. Additionally, maintaining the same level of environmental spending would, on average, require almost double the current national expenditure. Against this backdrop, the described adjustments would strengthen the CAP’s EU added value while easing pressure on national budgets.
About the author:
Dr. Pieter Zwaan is Senior Research Fellow on EU Agricultural Policy at EU & Global Affairs Unit. He is also appointed as an Assistant Professor / Senior Lecturer in Public Administration at the Institute for Management Research of Radboud University in Nijmegen.