The European Commission is set to invest over €7.3 billion through its Horizon Europe work programme for 2025, with a strong emphasis on enhancing energy efficiency in buildings and promoting sustainable urban development. A significant portion of this funding will support the New European Bauhaus (NEB) initiative, which aims to create more sustainable, inclusive, and aesthetically pleasing living spaces across Europe. 

With a dedicated budget of €118.4 million for 2025, the NEB Facility will finance demonstrator projects that showcase innovative design and regenerative practices in local environments. This initiative aligns with the EU's broader climate goals, directing 35% of Horizon Europe funding towards climate action, including energy-efficient building solutions.

The programme also seeks to simplify application processes, making it easier for researchers and innovators to propose projects that enhance energy efficiency and sustainability. By fostering collaboration and providing targeted support, the Commission aims to position Europe as a leader in green building practices and energy-efficient technologies, ultimately contributing to the EU's ambition of becoming the world's first climate-neutral continent by 2050.