In order to respond to climate change and the associated substantial investment needs, the EU has agreed that at least 20 % of its budget for 2014-2020 should be spent on climate-related action. We found that ambitious work was underway and that, overall, progress had been made. However, there is a serious risk that the 20 % target will not be met without more effort. The implementation of the target has led to more, and better-focused, climate action funding in the European Regional Development Fund and the Cohesion Fund. In the European Social Fund, and in the areas of agriculture, rural development and fisheries, however, there has been no significant shift towards climate action.