Massive EU funding cut looms for health NGOs

European health groups could be facing an existential threat as the European Commission plans to cut grants by 50 percent next year, people familiar with the plan are warning.
The EU executive is expected to halve the amount it will provide health non-governmental organizations (NGOs) for running costs such as staff salaries, rent, conferences and travel, according to two people briefed on the plan and a memo circulated among civil society groups and seen by POLITICO.
Currently, the Commission dishes out around €9 million per year to the NGOs. But one NGO staffer with knowledge of the plan said that while the Commission is expected to increase the number of NGOs eligible to receive the cash to 33, the sum itself will be slashed.
That could lead to NGOs needing to cut staff numbers or even having to “close shop,” the person said.
While larger NGOs have several sources of funding, some smaller organizations rely heavily on EU grants.
“This could affect us (if it does, it will in a big way) but could be worse or catastrophic for smaller NGOs,” the second staffer said.
It’s causing “fatigue and frustration” the second staffer said, “and discouragement that this is how the new mandate might start.”
The Commission hasn’t formally told NGOs yet how much they’ll each receive next year, but health policymakers in Brussels are already concerned about how much funding the sector is likely to receive this mandate.
EU leaders decided in February to slash 20 percent of the EU4Health budget — the blockbuster €5.3 billion funding that the executive introduced in 2021 — and reallocate it to support Ukraine.
The European Commission said that preparatory work for the 2025 EU4Health work program “is on-going with a current focus on its strategic orientations and priorities.” It is expected to be adopted under the incoming Commission. “We cannot share further details at this stage.”
This article has been updated with the European Commission’s response.