Many political and economic decisions of the European Union are affecting young people's living and learning circumstances in all member countries, though not in the UK after Brexit. Therefore, this chapter outlines the basic components of the European Union and the strategies of the European Commission for improving the living conditions and prospects of young people. Since their attitudes towards the EU and its institutions determine how the younger generation will become active in supporting and criticising its policies, we also look at young people's perception of the EU and the effects of its youth policy, with a focus on the UK and Germany.

The EU provides a single market with a free exchange of goods, services, capital and people. The EU has been a work in progress, without a master plan: From its inauguration as the ‘Economic Community’ in a ‘common market’ 60 years ago with the Treaty of Rome, its members grew from six (France, Germany, Italy, Belgium, the Netherlands and Luxembourg) to 28 states in 2018; the UK (and Ireland and Denmark) joined in 1973. The current European governance system with a multilevel structure was established by the Maastricht (NL) Treaty in 1992. A common currency, the euro, replaced 12 (of 28) national currencies in 2002. The euro is supervised by the European Central Bank, which regulates the monetary policy.

The institutional setting of the EU consists of two legislative bodies: the European Parliament (in Strasbourg, France), representing the member states’ citizens, and the European Council (in Brussels, Belgium) of the heads of state, representing the member states’ governments. The executive agent of the Union is the European Commission, with the EU's most visible politician, its new President Ursula von der Leyen from Germany, which implements policies and ensures compliance with European laws, for example in environmental protection or agricultural issues. Finally, the European Court (in The Hague, the Netherlands) has supremacy over the national laws and decides legal disputes in and between member states.

The integration of 28 countries under the umbrella of an economic, political and cultural union is a delicate project, with ups and downs in the perception and support of the member states’ leaders and citizens.