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Cyprus Hands EU Council Presidency to Ireland After Six Months of Budget and Middle East Focus

Politics · 2026
Photo · Pierre Lefevre for European Pulse
By Pierre Lefevre Politics Correspondent Jun 26, 2026 3 min read

Nicosia has passed the baton to Dublin. After six months at the helm of the Council of the European Union, Cyprus formally handed over the presidency to Ireland on 1 July. The handover marks a shift in priorities as the bloc grapples with internal budget battles and external crises.

Cyprus's defining moments

Cyprus took office in January amid a volatile geopolitical landscape. The war in Gaza and escalating tensions in the Middle East dominated foreign policy discussions. Cypriot diplomats worked to maintain EU unity on calls for a ceasefire and humanitarian access, while also pushing for a renewed focus on the bloc's eastern neighbourhood. The presidency advanced accession talks for Ukraine and Moldova, a key priority for Brussels.

On the internal front, the Cypriot presidency shepherded the early stages of negotiations for the EU's next long-term budget, the Multiannual Financial Framework (MFF) for 2028–2034. The proposed €2 trillion package has already sparked clashes between frugal northern states and cohesion advocates from the south and east. EU leaders aim for a draft deal by October, but divisions remain deep.

Cyprus also faced criticism from environmental groups for not prioritising the Green Deal. Spain warned that the budget talks risk diluting key environmental funds, a concern that Ireland will inherit.

Ireland's agenda

Ireland takes over with a reputation as a pragmatic bridge-builder. Dublin has signalled it will focus on three pillars: digital regulation, climate resilience, and social inclusion. As home to many of the world's largest tech companies, Ireland is expected to push for the finalisation of the AI Act and the Digital Services Act implementation.

On climate, Ireland will oversee the final stages of the 'Fit for 55' package, aiming to cut emissions 55% by 2030. The Irish presidency also plans to launch a 'European Social Dialogue' initiative to address rising inequality and housing costs across the continent.

Foreign policy will remain a challenge. The Strait of Hormuz reopened amid confusion over an Iran–Ireland deal, highlighting Dublin's delicate balancing act between neutrality and EU solidarity. The Irish government has also pledged to maintain pressure on Russia over its war in Ukraine.

As the baton passes from Nicosia to Dublin, the EU faces a summer of intense negotiations. The Cypriot presidency delivered steady management; the Irish one will need to show it can deliver results.

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