Italy Seeks EU Budget Flexibility

Italy is in talks with the European Commission to use budget flexibility rules to support families facing high energy prices and inflation. Economy Minister Giancarlo Giorgetti said discussions continue ahead of the 2027 budget.

Italy's Finance Minister Giancarlo Giorgetti attends a Eurozone Finance Ministers meeting in Brussels, Belgium, May 4, 2026. REUTERS/Yves Herman

Italy is negotiating with the European Commission to redirect budget leeway toward household energy bills rather than solely funding green transitions. The push tests European fiscal rules as Rome prepares to unveil its multi-year spending plan. Securing Brussels' approval would give Prime Minister Giorgia Meloni fiscal space ahead of national elections scheduled for next year.

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