Press Release: Europe has a new Financial Regulation

The Council adopted the new 'financial bible' for the general budget of the European Communities on 26 June 2002. The Financial Regulation outlines the rules for drawing up and implementing the budget of the European Communities, setting out the basic provisions underlying all EU financial management. The new version of the Regulation, which dates from 1977, was one of the most important and wide-ranging items of legislation of the Prodi Commission. The huge task of reforming, simplifying and reorganising the Financial Regulation has been accomplished in a mere two and a half years. A single legal instrument now sets out all the principles and ground rules governing the establishment and implementation of the budget and financial control.