The European Union’s diplomatic service will reduce staffing at around 10 foreign delegations and cut approximately 100 local employees over the next two years, in a strategic overhaul driven by budget cuts and shifting priorities.

According to internal plans seen by Politico and confirmed by two EU officials, the Vice-President of the European Commission Kaja Kallas has received approval to move forward with the shakeup of the European External Action Service (EEAS).

Delegations in countries deemed lower priority – such as Belarus and Lesotho – will be reduced to essential personnel, typically an ambassador and one or two aides. Local staff will be phased out; in some cases, staff will work remotely, effectively closing its physical offices.

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The EEAS will formally retain its present 144 locations, but resources will be reallocated toward countries key to the EU’s strategic interests, particularly those involved in enforcing sanctions against Russia or expanding defense cooperation.

According to Politico, the move marks a shift away from the EEAS’s traditional focus on development aid and economic partnerships. The bloc’s priorities are changing, one official said, adding that the goal is to follow strategic interests more directly.

Initial costs of the overhaul are projected at €20 million ($22.5 million), with expected savings of €9 million ($10.1 million) annually thereafter. The staff cuts are expected to take place in two phases, in 2026 and 2027.

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EU Prepares 21st Russia Sanctions Package, Targeting Oil Revenues and Shadow Fleet

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Though this version of the plan is milder than a previously proposed downsizing that would cost up to 800 jobs, further reductions may emerge during negotiations over the EU’s long-term budget, the Multiannual Financial Framework, according to the report.

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