Ursula von der Leyen has suggested making access to EU subsidies conditional on national economic reforms as a potential way to improve the bloc’s sluggish competitiveness against global rivals.
The European Commission president, who is campaigning for a second five-year term, told the Financial Times she “sees the advantages” in imposing conditions on hundreds of billions worth of cohesion funds and the bloc’s generous Common Agricultural Policy.
The potential change would be a dramatic shift in how the EU doles out its two biggest funding streams, and could ultimately free up space for additional spending on defence and industrial growth amid Russia’s war in Ukraine and a ramping up of subsidies in China and the US.
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