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Towards the end of 2024, the European Commission President Ursula von der Leyen was re-appointed to serve a second five-year term. On 10 September 2025, the Commission President delivered the first State of the Union speech of her second term. This blog looks at what has happened during the first twelve months of the second term and Ursula von der Leyen’s vision as set out in the State of the Union.
The second term – what’s happened so far?
As part of her campaign for re-appointment Ursula von der Leyen presented her Political Guidelines 2024-2029 to the European Parliament. Titled Europe’s Choice, these guidelines presented a number of priorities under the following overarching themes:
A new plan for Europe’s sustainable prosperity and competitiveness.
A new era for European Defence and Security.
Supporting people, strengthening our societies and our social model.
Sustaining our quality of life: food security, water and nature.
Protecting our democracy, upholding our values.
A global Europe: Leveraging our power and partnerships.
Delivering together and preparing our Union for the future.
The introduction to Europe’s Choice referenced the concerns that many EU citizens expressed during the European Parliament elections held in June 2024 and the political challenges this presents:
“From the record number of first-time voters to those who have voted in every European election, people expressed hopes and aspirations for a healthier and more prosperous future. But they also pointed to the fact that we are in an era of anxiety and uncertainty. Europeans have real doubts and concerns about the instabilities and insecurities we face – from the cost of living, housing and doing business to the way issues such as migration are handled. From our security at home to the wars in Ukraine and the Middle East. They also worry that Europe is often not fast enough; that it can be either too distant or too burdensome.
All of these expectations and concerns are real, legitimate and must be responded to. For that reason, I believe it is essential that the democratic centre in Europe holds. But if that centre is to hold it must live up to the scale of the concerns and the challenges that people face in their lives. Failure to do so would fuel resentment and polarisation and leave a fertile ground for those who peddle simplistic solutions but in reality want to destabilise our societies.
This is the backdrop to what is an era of profound change – for our society and our security, our planet and our economy. The speed of change can be destabilising and, for some, can lead to a sense of loss for the world as it used to be and a worry for the world as it will be.”
The European Commission Work Programme for 2025 sought to begin to put the legislative and policy frameworks in place to tackle the challenges set by EU citizens and meet the overarching themes set out in Europe’s Choice. The Work Programme focused on three issues:
Boosting competitiveness,
enhancing security, and
bolstering economic resilience.
The 2025 State of the Union
The State of the Union speech on 10 September 2025, provided the Commission President with an opportunity to review the progress the Commission has made over the last twelve months and look ahead to the rest of the current Commission’s term (through to the end of 2029).
Ahead of her speech, The Commission President published From promise to progress: first year in office which set out the Commission’s view of year one. It began by summarising the main challenges the von der Leyen Commission has sought to address including the increasingly conflictual world and new geopolitical reality leading to economic and security challenges whilst people in Europe “want action to address inflation, the cost of living, energy prices, the housing crisis and the growing impact of extreme weather events”.
From promise to progress then set out several initiatives under the following headings:
A competitive and prosperous Union
A secure Union ready to defend itself
A reliable global partner
A democratic Europe with a budget fit for the future
The President’s speech continued to focus on the same challenges identified by the European Commission at the start of President von der Leyen’s second term whilst unveiling a series of initiatives to address these challenges.
President von der Leyen’s speech
The State of the Union speech followed the shooting down of Russian drones in Polish airspace the previous night. Around half of President von der Leyen’s speech focused on international issues, beginning with expressing continued support for Ukraine. The President told the European Parliament that:
“This war needs to end with a just and lasting peace for Ukraine.
Because Ukraine’s freedom is Europe’s freedom.
The images in Alaska were not easy to digest.
But just a few days later, Europe’s Leaders came to Washington to support President Zelenskyy and secure commitments.
Real progress has been made since then.
Just last week 26 countries in the Coalition of the Willing said they were ready to be part of a reassurance force in Ukraine or participate financially – in the context of a ceasefire.
We will continue to support all diplomatic efforts to end this war.
But we have all seen what Russia means by “diplomacy”.
Putin refuses to meet President Zelenskyy.
Last week, Russia launched the largest number of drones and ballistic missiles in a single attack.
Yesterday, there was a missile attack on a village in Donetsk, targeting people waiting to pick-up their pensions.
More than 20 were killed.
And just today we have seen a reckless and unprecedented violation of Poland’s and Europe’s air space by more than 10 Russian drones.
Europe stands in full solidarity with Poland.”
The Commission President called for more sanctions against Russia and proposed that Russia should pay for the war with frozen Russian assets being used to finance Ukraine’s war effort.
Moving on to the situation in Gaza, the Commission President said it “has shaken the conscience of the world”. The Commission President added that “what is happening in Gaza is unacceptable”. Identifying that for many actions there was a requirement for unanimous agreement amongst member state governments, President von der Leyen chose to highlight the action the Commission is taking:
“First, the Commission will do all that it can on its own.
We will put our bilateral support to Israel on hold.
We will stop all payments in these areas – without affecting our work with Israeli civil society or Yad Vashem.
Second, we will make two further proposals to the Council.
We will propose sanctions on the extremist ministers and on violent settlers.
And we will also propose a partial suspension of the Association Agreement on trade-related matters.
I am aware it will be difficult to find majorities.
And I know that any action will be too much for some.
Too little for others.
But we must all take our own responsibilities – Parliament, Council and Commission.
Thirdly, we will set up a Palestine Donor Group next month – including a dedicated instrument for Gaza reconstruction.”
President von der Leyen also highlighted the fate of the hostages taken by Hamas on 7 October 2023. She said:
“I am a long-standing friend of the people of Israel.
I know how much the atrocious attacks on 7 October by Hamas terrorists shook the nation to its core.
The hostages have now been held captive by Hamas terrorists for more than 700 days since 7 October.
That is 700 days of pain and suffering.
There can never by any place for Hamas – neither now, nor in the future.
Because they are terrorists who want to destroy Israel.
And they are also inflicting terror on their own people.
Keeping their future hostage.”
Continuing the international theme, President von der Leyen highlighted the importance of the EU’s relationship with the United States citing exports worth over €500 billion of goods to the US from the EU every year which supports “millions of jobs”. The Commission President said that the importance of the US market was why the EU “got the best possible deal out there” adding that whilst the Commission does not believe in tariffs, a trade war with the United States would have led to chaos and weakened Europe at a time when geopolitics mean Europe must be strong in the face of threats such as those from Russia and China. The President also highlighted the importance of the global trading system and the need for the EU to continue to develop trading links such as with Mexico, Mercosur and India whilst working with like-minded countries to reform the global trading system.
On domestic affairs, the Commission President highlighting the geopolitical situation said that Europe needs to “massively invest in digital and clean tech” alongside making further efforts to reduce barriers to the smooth operation of the Single Market and to make doing business easier.
Straying into areas which are arguably for member state governments, the Commission President announced plans for a Quality Jobs Act to “ensure that modern employment keeps pace with the modern economy” and a European Anti-Poverty Strategy to eradicate poverty by 2050. The Commission will also put forward a series of packages on affordability and the cost of living focusing on:
Energy costs including more clean homegrown energy supported by nuclear energy.
Affordable housing set out in a European Affordable Housing Plan.
Cars through a Small Affordable Cars initiative with the aim of developing Europe’s own E-car.
Food to ensure affordable food whilst farmers receive a fair price for their produce and continued food security for Europe.
Finally, President von der Leyen spoke about the importance of protecting freedoms and democracy across Europe. She said this will be done through the introduction of a European Democracy Shield which will address the most severe risks to democracy in the EU and the establishment of a new European Centre for Democratic Resilience which will bring together all the expertise and capacity across Member States and neighbouring countries and increase capacity to monitor and detect information manipulation and disinformation.
Conclusion
The challenges facing the European Union are largely the same as those identified during the first von der Leyen term. The measure of success for the European Commission will be to show progress has been made against each of these challenges when the current College’s term expires at the end of 2029.
The challenges identified in many ways also mirror the priorities articulated by the current UK Government in terms of facing international economic and security challenges and seeking to grow the economy at home. Following on from the summit between the UK Government and the European Commission in May 2024 which saw the two sides agree to cooperate on a security and defence partnership and a Common Understanding on a renewed agenda for European Union-United Kingdom cooperation, it will be interesting to see how the EU and the UK continue to seek to cooperate to face these common challenges over the coming years.
The proposals from the Commission are also interesting from a Scottish Parliament perspective given the Scottish Government’s policy commitment to align with EU law where appropriate. As a result of this commitment, some of the policy and legislative proposals highlighted by President von der Leyen will be considered by the Scottish Government from an alignment perspective.
Iain McIver, SPICe Research