The negotiators of the EU countries and the European Parliament (EP) agree on the EU budget for next year.
However, as long as the argument with Hungary and Poland is not resolved, it will remain in the drawer, and the EU may have to fall back on a stripped-down emergency budget.
Next year’s EU budget focuses on recovering from the corona crisis, greening and digitization. The union has more than 160 billion euros to spend. At the urging of the EP, more money was made for scientific research, student exchange and health care.
But the budget can only come into effect if the blockade on the multi-year budget and the corona recovery fund is lifted, warns Germany, that the EU is chairing these six months.
Otherwise, the EU will have to make do with an emergency budget that only provides for essential expenditure and “we will see a drastic cut in EU spending early next year”.
Hungary and Poland will thwart the multi-annual budget for 2021-2027 and the corona fund as long as it is not abandoned that the Member States can be cut if they violate the rule of law. The European heads of government hope to find a way out at an EU summit next week.