Fraught EU summit backs Ukraine but divisions are clear

Sunday, December 21, 2025 -In a high-stakes Brussels summit that concluded this week, European Union leaders struck a critical yet imperfect deal to bolster Ukraine’s war effort, approving a €90 billion support package covering military and economic needs for 2026–27. 

The financing, structured as EU-backed loans rather than direct confiscation of frozen Russian assets, was pushed through amid intense behind-the-scenes negotiations that ran well into the night. EU officials have framed this funding as a vital lifeline that keeps Kyiv in the fight against Russia, particularly as U.S. military aid has waned under recent policy shifts.

However, the summit’s outcome also laid bare deep fractures within the bloc. Hungary, backed by Belgium’s legal concerns over asset use, refused to support controversial proposals to tap Russia’s frozen central bank reserves, blocking more ambitious reparations-linked funding mechanisms. 

Several member states remain uneasy with joint EU borrowing that could expose taxpayers to long-term financial burdens, underscoring competing national interests and fiscal philosophies. These divisions extend beyond funding to broader questions of how Europe should prioritize defence, manage relations with the U.S., and balance domestic pressures with strategic commitments.

The urgent message from Brussels was clear: Ukraine’s resilience depends on sustained European backing, but the path forward is fraught with political compromise. With the war still raging and Kyiv’s needs soaring into the hundreds of billions of euros, EU leaders are expected to continue negotiating innovative funding and defence frameworks ahead of future summits. 

The meeting highlighted a defining test for the EU’s global credibility — whether it can turn diplomatic unity into decisive action without allowing internal dissent to weaken its strategic momentum.