Policy Update

European Parliament threatens to veto long-term budget cuts in European Council’s July deal

The European Parliament adopted a resolution condemning “unacceptable” budget cuts in the European Council’s deal on the short-term recovery fund ('Next Generation EU') and the next long-term EU budget (the 2021-2027 multiannual financial framework or MFF). Members of the European Parliament (MEPs) say they are prepared to veto the deal if improvements are not made to the proposed MFF. 
While MEPs lauded the “historic” short-term recovery fund to respond to the COVID-19 crisis, they say it should not “jeopardize” the seven-year budget. In addition to pushing back on the cuts agreed by EU leaders to “future-oriented” programs like climate, digital, health, youth, research, and more, MEPs also demanded a clearer plan for more concrete reforms to the EU’s own resources system.
Press release - European Parliament

Resolution - European Parliament