This paper assesses how the eu budget is going to be shaped over the next decade in view of meeting the challenge of growth. Firstly, the paper briefly recalls the main features of the European Union’s public finances. Secondly, it highlights the main European Commission’s proposals for “Building our Common future” and how that translates into the budgetary architecture for the period 2007-2013, focusing on the expenditure side of the EU budget. It finally provides some reasons why those proposals not only do not coincide with the recommendations made by the group of distinguished
economists who produced the Sapir report, but may even risk further departing from them at the end of the decision-making process.