It is now widely acknowledged that there is enormous potential to reap environmental, social and economic dividends through improving the energy efficiency of Europe's 160 million buildings. And yet actual investments in energy efficiency measures remain very small in comparison to this potential. To achieve the EU objective of a 20 percent improvement in energy efficiency by 2020 (from 1990 levels), the European Investment Bank estimates that EUR 85 billion per year is needed, with EUR 60 billion per year required for buildings alone. The forthcoming EU budget for 2014-20, currently being negotiated, has a vital role to play here, for both Europe's more developed and less developed countries.