European Parliament halts negotiations with member states on the Union’s budget

The European Parliament announced that it has suspended negotiations with member states on the European Union’s budget for the coming years for the period 2021-2027, which could cause the 750 billion euros’ economic recovery plan it supports to be postponed.

“The members of the European Parliament will return to the negotiating table when the Council (which represents the member states) shows a real desire to reach an agreement,” he said in a statement Thursday night.

A spokesman for the German Presidency of the European Union expressed his regret that “this opportunity was missed”.

In July, the heads of state and government of the European Union approved a budget of 1074 billion euros over seven years. Parliament is calling for a much larger budget dedicated to the European Union’s “fifteen major programs”, but the decision on this issue will take several years.

On Thursday, members of the European Parliament rejected in a message a consensus proposal by the German presidency to increase about 9 billion euros.

“I am disappointed,” the parliamentary negotiator, Jan van Overtveldt, wrote in a statement saying that the new settlement does not contain “anything new”.

After it was extremely difficult to reach agreement among member states on this budget, the German presidency of the European Union has so far refused to increase its total size.

The so-called “thrifty” countries (the Netherlands, Denmark, Sweden, Austria, and Finland) are categorically opposed to any additional increases.

Another issue that is at issue in the negotiations between Parliament and the Council is the creation of stricter rules to reduce or suspend payments of European funds in the event of a violation of the rule of law.

Last week, member states agreed to such a proposal, the first of its kind in the European Union, despite being opposed by several countries.

The majority of European Parliament members are calling for a tougher mechanism against the countries concerned, such as Poland or Hungary.