German Chancellor Friedrich Merz convenes leaders from five EU nations in Berlin to advocate for reduced spending in the bloc’s upcoming seven-year budget plan.

Chancellor Friedrich Merz is hosting a high-stakes meeting in Berlin today with leaders from the Netherlands, Denmark, Austria, Finland, and Sweden, collectively known as the ‘frugal five.’ The group, which has earned a reputation for demanding financial restraint in past EU budget discussions, is expected to push back against the European Commission’s proposed €1.8 trillion budget for the 2028-2034 period. Merz has aligned Germany with these nations in a bid to curb ambitious spending plans, signaling a firm stance against increasing financial contributions to Brussels.

The push for fiscal prudence comes as Germany, a major net payer into the EU, faces its own economic challenges, including a new borrowing figure of €180 billion and a state debt ratio of 65%. Despite these domestic hurdles, Berlin appears determined to reinforce its role as a financial watchdog within the bloc. Today’s summit is not intended for binding agreements but rather serves as a demonstration of unity among nations weary of higher EU dues.

Meanwhile, in Münster, senior representatives from Germany’s two main political parties—the conservative CDU/CSU bloc and the center-left SPD—are convening for a separate strategy session. Held in the hometown of Jens Spahn, the recently departed CDU parliamentary leader, the meeting aims to foster bipartisan cooperation amid parliamentary turbulence. Both gatherings underscore the shifting dynamics in Germany’s political and European positioning as leaders strive to balance domestic and regional priorities.