Mid-term revision of the Multiannual Financial Framework 2021–2027

Summary:

Communication adopted by the European Commission on 20 June 2023, reviewing the Multiannual Financial Framework (MFF) for the period between 2021 and 2027 in light of the latest and emerging challenges.

Further information:

The European Union (EU) experienced a number of unprecedented challenges since 2020. The Multiannual Financial Framework (MFF) for the period 2021-2027 alongside the NextGenerationEU addressed the COVID-19 (coronavirus) pandemic and its aftermath. Russia's invasion of Ukraine introduced additional challenges, including energy and food crises. Migration picked up after the pandemic. Increasing geopolitical instability unfolded, natural disasters unfolded amidst wider climate change repercussions. A steep increase in inflation was witnessed by the EU and other major economies. Within its limits, the EU budget responded to it drawing from its limited built-in flexibilities. Addressing the crises pushed the resources to the point of exhaustion.

This Communication proposes a way forward to provide the most essential funding to be able to deliver on the EU's shared priorities and needs. It provides the context for a legislative package comprising:

• Council Regulation amending Regulation (EU, Euratom) 2020/2093 laying down the multiannual financial framework for the years 2021 to 2027;
• Regulation establishing the Strategic Technologies for Europe Platform (STEP);
• Regulation on establishing the Ukraine Facility.

• Primary Source

Commentary and Analysis

Politico, 19/06/2023: EU budget top-up for Ukraine is a hard sell https://www.politico.eu/article/brussels-budget-eu-commission-covid-inlfation-to-ask-a-top-up-for-eu-coffers-but-its-a-hard-sell/

Institute for European Environmental Policy (IEEP): Publications, 22/06/2023: Mid-way point: to what extent is the EU budget supporting the transition to resilient and sustainable agriculture? https://ieep.eu/publications/mid-way-point-to-what-extent-is-the-eu-budget-supporting-the-transition-to-resilient-and-sustainable-agriculture/

European Council on Refugees and Exiles (ECRE): News, 23/06/2023: Revision of the EU Budget: The Commission Asks Member States to Pledge Additional Money for Ukraine and Migration https://ecre.org/revision-of-the-eu-budget-the-commission-asks-member-states-to-pledge-additional-money-for-ukraine-and-migration/

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News

Politico, 20/06/2023: Commission asks for €66B EU budget top-up https://www.politico.eu/article/commission-asks-for-e66b-top-up-for-eu-budget/

EurActiv: Special Reports, 20/06/2023: EU mid-term budget review: How much and where to spend it https://www.euractiv.com/section/economy-jobs/special_report/eu-mid-term-budget-review-how-much-and-where-to-spend-it/

EUObserver, 20/06/2023: EU Commission asks for €65.8bn to top up strained budget https://euobserver.com/eu-political/157168

Euronews, 21/06/2023: Brussels asks EU countries for more money for Ukraine and to plug budget gaps https://www.euronews.com/my-europe/2023/06/20/brussels-asks-eu-countries-for-more-money-for-ukraine-and-to-plug-budget-gaps

Reuters, 23/06/2023: Austria says no to European Commission's call for EU budget top-up https://www.reuters.com/world/europe/austria-says-no-european-commissions-call-eu-budget-top-up-2023-06-23/

The Brussels Times, 20/06/2023: European Commission earmarks €50 billion for Ukraine in adjusted budget proposal https://www.brusselstimes.com/563448/european-commission-earmarks-e50-billion-for-ukraine-in-adjusted-budget-proposal

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Official

European Commission: EU Budget: 2021-2027 long-term EU budget & NextGenerationEU https://commission.europa.eu/strategy-and-policy/eu-budget/long-term-eu-budget/2021-2027_en

European Commission: Press Release, 20/06/2023: EU budget: Commission proposes to reinforce long-term EU budget to face most urgent challenges https://ec.europa.eu/commission/presscorner/detail/en/ip_23_3345

European Commission: Questions and Answers: Commission proposes to reinforce long-term EU budget to face most urgent challenges (20 June 2023) https://ec.europa.eu/commission/presscorner/detail/en/qanda_23_3346

European Commission: Remarks by Commissioner Hahn at the press conference on the review of the Multiannual Financial Framework (20 June 2023) https://ec.europa.eu/commission/presscorner/detail/en/speech_23_3397

Renew Europe EP Group: Newsroom, 20/06/2023: Proposed EU budget is 'fit for 2021', regrets Renew Europe https://www.reneweuropegroup.eu/news/2023-06-20/proposed-eu-budget-is-fit-for-2021-regrets-renew-europe

S&D EP Group: Newsroom, 20/06/2023: S&Ds push for a bigger and better EU long-term budget until 2027 https://www.socialistsanddemocrats.eu/newsroom/sds-push-bigger-and-better-eu-long-term-budget-until-2027

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