What we know so far about the European Competitiveness Fund
A leaked draft of the European Competitiveness Fund (ECF), expected to be unveiled formally on July 16, outlines how the Commission plans to reshape EU investment in research, innovation, and industrial development. The ECF is one of three central pillars in the next long-term EU budget and will pool funds from 14 existing programmes into four strategic pillars:
Clean transition and industrial decarbonisation
Digital leadership
Health, biotech and bioeconomy
Resilience, defence industry and space
The ECF’s overarching aim is to boost EU productivity, innovation capacity, and strategic autonomy. It includes key safeguards to ensure that European-funded technologies stay within Europe—proposing restrictions on asset transfers, supply chains, and executive control for funded entities.
Other notable elements:
A Stakeholder Board will advise on direction, investment gaps, and emerging priorities, with balanced representation from across sectors and regions.
Important Projects of Common European Interest (IPCEIs) will be eligible for “top-up” support, broadening access for smaller countries and businesses.
SMEs are a stated priority, with sector-specific support and expanded access to finance.
However, the budget breakdown remains vague, and the Commission grants itself the ability to reallocate funds as priorities evolve—prompting concerns about predictability and programme transparency.
This fund will have major implications for EU research, especially with FP10 set to align closely with its structure and goals.
