Germany's Merz says cuts still needed to EU budget plan

German Chancellor Friedrich Merz said Thursday that more cuts were still needed to the European Union's proposed budget but insisted he wanted a deal by the end of the year. Ireland, which holds the EU's rotating presidency, suggested at the weekend slashing the bloc's next proposed seven-year budget by 141 billion euros, seeking to bridge deep divisions over the spending plans.

It came after Germany, Europe's biggest economy, led a drive for major cutbacks to an earlier proposal by Brussels of nearly two trillion euros. Germany's calls for spending restraint have put it at loggerheads with France which argues the continent needs sufficient means to match growing challenges.

Merz also said he and French President Emmanuel Macron had put forward proposals on trade protection, which would be debated at the summit.