EU Member States and European Parliament reach deal on long-term budget
Tuesday, 10 November 2020
The European Parliament and negotiators of EU Member States have reached an agreement on the new long-term European budget for 2021-2027 on Tuesday.
The agreement follows “ten weeks of intense negotiations,” the Parliament said in a press release.
“In the compromise, Parliament obtained €16 billion on top of the package agreed by heads of state or government at their summit in July,” the European Parliament announced, clarifying that €15 billion would “reinforce flagship programmes to protect citizens from the Covid-19 pandemic, provide opportunities to the next generation, and preserve European values.”
The other €1 billion “will increase flexibility to address future needs and crises.” The extra money will be generated from fines for companies who do not comply with EU rules, and means that “in real terms, the European Parliament (…) triples the envelope for EU4Health,” the EU’s response to Covid-19, and “ensures the equivalent of an additional year of financing for Erasmus+ and ensures that research funding keeps increasing.”
European Commission President Ursula von der Leyen commented on the agreement, saying that “I welcome today’s agreement on our Recovery Plan and the next Multiannual Financial Framework. We now need to move forward with finalising the agreement on the next long-term budget and NextGenerationEU by the end of the year.”
“Help is needed for citizens and business badly hit by the coronavirus crisis. Our recovery plan will help us turn the challenge of the pandemic into an opportunity for a recovery led by the green and digital transition,” she added.