On 10 November 2020, the Council and the European Parliament reached a political agreement on the NEXT LONG-TERM EU budget (MFF Multiannual Financial Framework). The agreement was reached after intensive consultations with Parliament and the Commission, which had been ongoing since the end of August. This agreement complements the €1,824.3 billion financial package negotiated in July by EU Heads of State and Government, which combines the next MFF (€1,074.3 billion) and the temporary recovery instrument “Next Generation EU” (€750 billion at 2018 prices). * Scope of the 2021-2027 long-term budget and the EU`s next generation, in line with the July 2020 European Council compromise. However, the European Council agreement of 21 July 2020 is only an intermediate step. This political compromise must then be transposed into European law during difficult trilogue negotiations between the German Presidency of the Council, the Commission and the European Parliament`s negotiators. By its resolution of 23 July 2020, the European Parliament had very quickly set its objectives for these negotiations. In this resolution, MEPs first criticised the principle of cuts to European health, research and education programmes, reiterated their call for a binding mid-term review of the MFF and called for their participation in the implementation and monitoring of the new Reconstruction and Resilience Facility. But in particular, the ambivalent reformulation of the conditionality of the rule of law was not acceptable to MEPs. The EP very quickly formulated its main demands for the negotiations with the Council on the concrete basic acts. However, the political agreement reached between the negotiating groups on 22 November 2020 did not receive the agreement of all Member States in the Council.
The Hungarian and Polish authorities vetoed the MFF and NGEU agreement because they rejected the rule of law mechanism, which is part of the whole package. Commission proposal for the revised multiannual financial framework 2014-2020 and 2021-2027 and decision on own resources + sectoral legislation On 10 November 2020, the European Parliament and the Member States of the European Union reached a historic agreement within the Council on the next long-term budget and NextGenerationEU, the temporary recovery instrument. . . .