In a resolution on the conclusions of the extraordinary
European Council meeting of 17-21 July 2020, adopted by 465
votes against 150, with 67 abstentions, MEPs pay tribute to
the victims of the coronavirus and to all the workers who
have been fighting the pandemic. They underline that
“people in the EU have a collective duty of solidarity.”
Positive step for recovery, inadequate in the long
term
In the text, which serves as a mandate for the upcoming
negotiations on the future EU financing and recovery,
Parliament welcomes EU leaders’ acceptance of the recovery
fund as proposed by Parliament in May, calling it a
“historic move for the EU”. MEPs deplore however the
“massive cuts to the grant components” and call for full
democratic involvement of Parliament in the recovery
instrument which “does not give a formal role to elected
Members of the European Parliament”.
As for the long-term EU budget, they disapprove of the cuts
made to future-oriented programmes and consider that they
will “undermine the foundations of a sustainable and
resilient recovery.” Flagship EU programmes for climate
protection, digital transition, health, youth, culture,
research or border management “are at risk of an immediate
drop in funding from 2020 to 2021", and that as of 2024,
the “EU budget as a whole will be below 2020 levels,
jeopardising the EU’s commitments and priorities.”
Parliament cannot accept a bad agreement
Parliament thus does not accept the European Council’s
political agreement on the 2021-2027 MFF as it stands and
“will not rubber-stamp a fait accompli”. MEPs are
“prepared to withhold their consent” for the long-term EU
budget, the Multiannual Financial Framework (MFF) until a
satisfactory agreement is reached in the upcoming
negotiations between Parliament and the Council, preferably
by the end of October at the latest for a smooth start of
the EU programmes from 2021.
In the case however that a new MFF would not be adopted on
time, MEPs recall that Article 312(4) of the
TFEU provides for the temporary extension of the
ceiling of the last year of the present MFF (2020), and
that this would be fully compatible with the recovery plan
and the adoption of the new MFF programmes.
Rule of Law
Parliament “strongly regrets” that the European Council
significantly weakened the efforts of the Commission and
Parliament to uphold the rule of law, fundamental rights
and democracy in the framework of the MFF and the recovery
plan, recalling that the Rule of Law Regulation will be
co-decided by Parliament.
New sources of EU revenue and repayment of EU-debt
MEPs reiterate that Parliament will not give its consent
for the MFF without an agreement on the reform of the EU’s
own resources system, including the introduction of a
basket of new own resources by the end of the 2021-2027 MFF
which is necessary to cover at least the costs related to
the recovery plan.
They believe that the EU Heads of State and Government have
failed to tackle the issue of the recovery instrument
repayment plan and recall that without further cuts to key
programmes or increasing the Member States’ contributions
to the EU budget, new own resources is the only acceptable
option to Parliament.
Mid-term revision indispensable
Parliament demands that a legally binding MFF mid-term
revision enters into force by the end of 2024 at the latest
and stresses that this revision must include the ceilings
for the 2025-2027 period, the introduction of additional
own resources and the implementation of the climate and
biodiversity targets.
