In a landmark move to strengthen its military capabilities, the European Union on Tuesday approved a €150 billion loan programme aimed at rearming the continent and reducing dependency on external powers. Known as the SAFE (Support to Ammunition and Future Equipment) scheme, the initiative is backed by the EU’s central budget and was proposed in March by the European Commission as part of a broader push for European strategic autonomy.
The decision was finalized at a meeting of EU ministers in Brussels, where 26 out of 27 member states voted in favour of the proposal. Only one country abstained. The programme reflects growing anxiety within Europe over Russia’s continued aggression in Ukraine, and increasing doubts about the future reliability of US military support, especially in light of shifting American political dynamics.
Negotiations over the scheme had been tense, particularly around eligibility and sourcing rules. Ultimately, the approved version allows for up to 35% of procurement to come from outside the EU, including from Ukraine. However, the scheme emphasizes a “European preference”, ensuring the majority of funds support domestic arms manufacturers.
French Europe Minister Benjamin Haddad called SAFE “a major step forward,” saying it strengthens Europe’s defence industry and reduces dependence on non-European suppliers. “We are asserting a clear principle of investing in our own security,” he said, though he stressed that this is “just one step” toward greater military readiness.
SAFE is part of a larger defence package that includes potential reforms to the EU’s fiscal rules, which could enable up to €800 billion in defence-related investment over the coming years. The move also comes shortly after the EU and UK agreed on a new defence cooperation framework in a post-Brexit reset. However, the UK will still need to negotiate a separate agreement to gain full access to SAFE funds for its defence industry.
The approval of SAFE marks a turning point in the EU’s defence posture, signalling a collective shift towards more independent and long-term military planning, driven by the lessons of war in Ukraine and evolving global alliances.