New European Competitiveness Fund under discussion

The European Union is preparing a new funding framework for research, innovation and competitiveness, due to come into effect from 2028. At the heart of this proposal is the European Competitiveness Fund (ECF), which aims to bring research closer to the market and ensure greater continuity between knowledge generation, innovation and its application.

As part of the proposal for the next Multiannual Financial Framework 2028–2034, the EIF sets out four priority areas for investment: clean transition and industrial decarbonisation; health, biotechnology, agriculture and the bioeconomy; digital leadership; and resilience, security, defence and space.

The new model also seeks to simplify access to European funding and create investment pathways that support projects from the research stage through to phases closer to the market, with a particular focus on SMEs, start-ups and scale-ups.

The FEC is expected to operate in conjunction with the future Horizon Europe programme, whilst the two programmes will remain distinct instruments. Whilst Horizon Europe will continue to focus on collaborative research and innovation, the FEC will play a role more geared towards the commercialisation of results, the development of strategic technologies and bringing them closer to the market.

For research centres such as CEOS.PP, this development could open up new opportunities for funding and collaboration, whilst also prioritising the exploitation of research results and their alignment with the needs of organisations and society.

The proposal is still under negotiation. On 16 June, the Council of the European Union approved a Partial General Approach, and negotiations with the European Parliament and the European Commission are now set to follow. The final budget for the ERC will be determined within the framework of the next Multiannual Financial Framework.