EU leaders have urged faster progress on measures to boost competitiveness, tackle high energy prices and prepare for a larger Union, in conclusions agreed by the European Council.
The Council reviewed work on the ‘One Europe, One Market’ agenda and welcomed progress already made, while calling for further advances on both ambition and timelines, it informed in a statement on Friday.
It highlighted negotiations it wants to see moved forward in 2026, including a “28th regime” for company law — a proposed optional EU-wide set of company rules to reduce fragmentation between national systems — along with the Industrial Accelerator Act and a European grids package.
The leaders also called for deepening the Single Market by removing remaining barriers such as fragmented labelling and packaging rules and “territorial supply constraints”, and for reducing administrative burdens.
On energy, the organisation said it discussed the impact of the current geopolitical context on supply chains, energy security and fuel prices, including effects on citizens — “in particular the most vulnerable” — as well as industry and the wider economy.
Short-term measures on energy prices
The European Council said the current situation required a coordinated European response of targeted and temporary measures, taking account of different national circumstances while safeguarding the Single Market.
It welcomed a European Commission proposal to postpone certain obligations under the Methane Regulation, and said the Commission intended to prolong the temporary state aid framework for the most exposed industrial sectors, develop a short-term framework to optimise the capacity and efficiency of EU refineries, and take initiatives to bundle energy demand on a voluntary basis.
EU leaders also called for faster work on changes to the Market Stability Reserve — a mechanism designed to stabilise the EU’s carbon market — “with a view to moderating excessive price volatility.”
The conclusions also asked the Commission to update its assessment of the impacts of ETS2, a planned extension of the EU’s emissions trading system to sectors including buildings and road transport.
On EU finances, the European Council said it discussed key elements for a compromise on the next Multiannual Financial Framework — the EU’s long-term budget — and invited its President to take negotiations forward with the aim of reaching agreement before the end of 2026.
An agreement by then would allow legislation to be adopted in 2027 and help ensure EU funding reaches beneficiaries without interruption in January 2028.
On enlargement, EU leaders said the accession process remained merit-based and that each candidate country advances according to its individual progress.
The European Council welcomed ongoing work on drafting Montenegro’s accession treaty and noted the Irish Council Presidency’s intention to work towards provisional closure of remaining negotiating chapters, subject to Montenegro implementing corresponding reforms.
