EU unveiled 2026 plan on 21 October 2025 to boost sovereignty, security, and competitiveness.
The European Commission has presented its 2026 work programme, outlining a series of initiatives aimed at strengthening Europe’s sovereignty, competitiveness, and resilience in the face of geopolitical, economic, and environmental challenges. Titled “Europe’s independence moment,” the programme builds on the commitments set out in President Ursula von der Leyen’s Political Guidelines and the 2025 State of the Union address.
A notable feature of the 2026 programme is the planned withdrawal—within six months—of several tax-related legislative proposals. These include the draft directives on the financial transaction tax, the misuse of shell entities for tax purposes, the debt-equity bias reduction allowance (DEBRA), and transfer pricing. According to the Commission, such proposals are being withdrawn when their adoption is no longer in the general interest due to factors such as limited legislative progress, potential administrative burdens, or misalignment with current EU priorities.
The planned introduction of common transfer pricing rules into EU law could be replaced by a new EU platform designed to provide non-binding, consensus-based guidance on practical transfer pricing issues.
Presenting the work programme, President von der Leyen said the 2026 plan “marks another significant step towards a stronger, more sovereign Europe,” pledging to simplify EU rules, boost competitiveness, and protect citizens while upholding European values.
Simplification and implementation will remain central to the Commission’s agenda in 2026. The accompanying overview report highlights the progress achieved through initiatives such as six omnibus packages and other simplification measures that could save businesses and citizens more than EUR 8.6 billion annually. The Commission also continues to pursue over 1,500 infringement cases to ensure full implementation of EU laws.
Key deliverables for 2026 span several areas:
- Sustainable prosperity and competitiveness: initiatives include an Industrial Accelerator Act, a Critical Raw Materials Centre, and a Circular Economy Act, alongside plans to deepen the Single Market through a European Innovation Act and a new “fifth freedom” for knowledge and innovation.
- Defence and security: the Commission will advance the Readiness 2030 framework, launch a European Drone Defence Initiative, and reinforce border protection and migration management.
- Social and economic inclusion: measures will tackle affordability and living costs, including a Quality Jobs Act and a Fair Labour Mobility Package to improve skills portability and address poverty and housing issues.
- Climate and environment: new proposals such as a Livestock Strategy, a review of unfair trading practices in the food chain, and a European Climate Adaptation Plan will focus on sustainability and resilience.
- Democracy and rule of law: the Commission will enhance safeguards against extremism and disinformation, strengthen consumer protection, and continue promoting equality and inclusion.
- Global engagement: the EU will sustain support for Ukraine and Moldova, reform humanitarian aid, and advance strategies for the Mediterranean, Middle East, and global partnerships.
The 2026 work programme underscores the Commission’s dual focus on strategic autonomy and regulatory simplification—seeking to ensure that EU action remains aligned with citizens’ needs, global realities, and the Union’s long-term priorities.
