Members' Research Service By / October 10, 2018

Digital Europe programme: Funding digital transformation beyond 2020 [EU Legislation in Progress][Policy Podcast]

In the framework of the next long-term EU budget for 2021-2027, the Commission is proposing a new, €9.2 billion programme to build up digital capacity and infrastructure and support a digital single market.

© vectorfusionart / Fotolia

Written by Marcin Szczepanski (3rd edition, updated on 26.5.2021).

Composite image of european union flag
© vectorfusionart / Fotolia

The Digital Europe Programme is a new financial support tool for the 2021-2027 period, aimed at bolstering the digital transformation of society, the economy and public administrations in the EU. With a financial envelope of €7.6 billion (in current prices), a figure 17.5 % lower than the initial Commission proposal, it will build up digital capacity and infrastructure and support a digital single market. The programme will operate mainly through coordinated and strategic co-investments with the Member States in the areas of high-performance computing and data processing, artificial intelligence in the public and private sectors, cybersecurity and trust, advanced digital skills and deployment, best use of digital capacities and interoperability.

On 11 May 2021, the regulation establishing the programme entered into force, with retroactive application from 1 January 2021. The programme, dedicated to supporting the digitalisation of Europe and achieving digital sovereignty, is the first-ever such financial instrument at the EU level. Furthermore, in the context of recovery from the pandemic, Member States must allocate at least 20 % of the recovery funds to projects that digitalise their economies and societies.


Proposal for a regulation of the European Parliament and of the Council establishing the Digital Europe programme for the period 2021-2027
Committee responsible: Industry, Research and Energy (ITRE) COM(2018) 434
Rapporteur: Flego Valter (Renew, Croatia) 2018/0227 (COD)
Shadow rapporteurs: Pilar del Castillo Vera (EPP, Spain)
Carlos Zorrinho (S&D, Portugal)
Robert Ross (ECR, Netherlands)
Elena Kontoura (The Left, Greece)
Damian Boeselager (Greens/EFA, Germany)
Ordinary legislative procedure (COD) (Parliament and Council on equal footing – formerly ‘co-decision’)
Next steps expected: Regulation EU 2021/694
OJ L 166, 11.5.2021, pp. 1-34

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Figure 1 – Estimated breakdown of Digital Europe funding in current prices
Estimated breakdown of Digital Europe funding in current prices

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