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From · report parliamentary committee draft · 2025-01-29 BUDG-PR-766828 on a revamped long-term budget for the Union in a changing world
To · opinion parliamentary committee · 2025-03-31 ECON-AD-765334 on a revamped long-term budget for the Union in a changing world
+655 added · −86 removed · 2 modified paragraphs

MOTION FOR A EUROPEAN PARLIAMENT RESOLUTION

PA_NonLeg

on a revamped long-term budget for the Union in a changing world

AMENDMENTS

(2024/2051(INI))

The Committee on Economic and Monetary Affairs submits the following to the Committee on Budgets, as the committee responsible :

– having regard to Articles 311, 312, 323 and 324 of the Treaty on the Functioning of the European Union (TFEU),

Amendment 1

– having regard to Council Regulation (EU, Euratom) 2020/2093 of 17 December 2020 laying down the multiannual financial framework for the years 2021 to 2027 and to the joint declarations agreed between Parliament, the Council and the Commission in this context and the related unilateral declarations,

Motion for a resolution

– having regard to Council Decision (EU, Euratom) 2020/2053 of 14 December 2020 on the system of own resources of the European Union and repealing Decision 2014/335/EU, Euratom,

Citation -1 a (new)

– having regard to the amended Commission proposal of 23 June 2023 for a Council decision amending Decision (EU, Euratom) 2020/2053 on the system of own resources of the European Union (COM(2023)0331),

Motion for a resolution

– having regard to the Interinstitutional Agreement of 16 December 2020 between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap towards the introduction of new own resources (the IIA),

Amendment

– having regard to Regulation (EU, Euratom) 2024/2509 of the European Parliament and of the Council of 23 September 2024 on the financial rules applicable to the general budget of the Union (recast) (the Financial Regulation),

– having regard to the Commission communication of 10 February 2025 entitled ‘The Clean Industrial Deal: A joint roadmap for competitiveness and decarbonisation’ (COM(2025)0085),

– having regard to Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 2020 on a general regime of conditionality for the protection of the Union budget (the Rule of Law Conditionality Regulation),

Amendment 2

– having regard to its position of 27 February 2024 on the draft Council regulation amending Regulation (EU, Euratom) 2020/2093 laying down the multiannual financial framework for the years 2021 to 2027,

Motion for a resolution

– having regard to its resolution of 10 May 2023 on own resources: a new start for EU finances, a new start for Europe,

Citation 12 a (new)

– having regard to its resolution of 15 December 2022 on upscaling the 2021-2027 multiannual financial framework: a resilient EU budget fit for new challenges,

Motion for a resolution

– having regard to its position of 16 December 2020 on the draft Council regulation laying down the multiannual financial framework for the years 2021 to 2027,

Amendment

– having regard to the Interinstitutional ProclamationCommission oncommunication theof European11 PillarDecember of2019 Socialentitled Rights‘The ofEuropean 13Green DecemberDeal’ 2017(COM(2019)0640) and to the Commission Action Plan of 4Paris MarchAgreement, 2021adopted on the implementation12 ofDecember the2015 Europeanat Pillarthe ofUN SocialClimate RightsChange (COM(2021)0102),Conference,

– having regard to the report of 30 October 2024 by Sauli Niinistö entitled ‘Safer together – strengthening Europe’s civilian and military preparedness and readiness’ (the Niinistö report),

Amendment 3

– having regard to the report of 9 September 2024 by Mario Draghi entitled ‘The future of European competitiveness’ (the Draghi report),

Motion for a resolution

– having regard to the report of 4 September 2024 of the Strategic Dialogue on the Future of EU Agriculture entitled ‘A shared prospect for farming and food in Europe’,

Citation 12 b (new)

– having regard to the report of 17 April 2024 by Enrico Letta entitled ‘Much more than a market – speed, security, solidarity: empowering the Single Market to deliver a sustainable future and prosperity for all EU Citizens’ (the Letta report),

Motion for a resolution

– having regard to the report of 20 February 2024 of the High-Level Group on the Future of Cohesion Policy entitled ‘Forging a sustainable future together – cohesion for a competitive and inclusive Europe’,

Amendment

– having regard to the politicalAntwerp guidelinesDeclaration offor 18a JulyEuropean 2024Industrial forDeal, thesigned nexton European20 CommissionFebruary 2024-2029,2024,

– having regard to the opinion of the Committee of the Regions of 20 November 2024 entitled ‘EU budget and place-based policies: proposals for new design and delivery mechanisms in the MFF post-2027’,

Amendment 4

– having regard to Rule 55 of its Rules of Procedure,

Motion for a resolution

– having regard to the opinions of the Committee on Foreign Affairs, the Committee on Development, the Committee on Budgetary Control, the Committee on Economic and Monetary Affairs, the Committee on Employment and Social Affairs, the Committee on the Environment, Climate and Food Safety, the Committee on Industry, Research and Energy, the Committee on Internal Market and Consumer Protection, the Committee on Transport and Tourism, the Committee on Regional Development, the Committee on Agriculture and Rural Development, the Committee on Culture and Education, the Committee on Civil Liberties, Justice and Home Affairs, the Committee on Constitutional Affairs, and the Committee on Women’s Rights and Gender Equality,

Citation 18 a (new)

– having regard to the report of the Committee on Budgets (A10-0000/2024),

Motion for a resolution

A. whereas, under Article 311 TFEU, the Union is required to provide itself with the means necessary to attain its objectives and carry through its policies;

Amendment

B. whereas the Union budget is primarily an investment budget that can achieve economies of scale unattainable at Member State level;

– having regard to the Commission communication of 29 January 2025 entitled ‘A Competitiveness Compass for the EU’ (COM(2025)0030),

Amendment 5

Motion for a resolution

Citation 19 a (new)

Motion for a resolution

Amendment

– having regard to the discharge procedure and the findings of the European Court of Auditors in their annual reports on the implementation of the EU budget,

Amendment 6

Motion for a resolution

Citation 19 b (new)

Motion for a resolution

Amendment

– having regard to the European Council conclusions of 6 March 2025 on European defence,

Amendment 7

Motion for a resolution

Recital A a (new)

Motion for a resolution

Amendment

A a. whereas Article 3(3) of the Treaty on European Union defines the internal market as a competitive social market economy;

Amendment 8

Motion for a resolution

Recital B a (new)

Motion for a resolution

Amendment

B a. whereas growth in Europe has fallen behind other regions of the world; whereas, the gap between the gross domestic product (GDP) of the United States and that of the EU widened from 17 % in 2002 to 30 % in 2023;

Amendment 9

Motion for a resolution

Recital C

Motion for a resolution

Amendment

C. whereas spending through the Union budget, if effectively targeted, aligned with the Union’s political priorities and coordinated with spending at national level, helps to avoid fragmentation in the single market and to boost the overall impact of public investment; whereas public investment is essential to incentivise private investment;

C. whereas spending through the Union budget, if effectively targeted, aligned with the Union’s political priorities and coordinated with spending at national level, helps to avoid fragmentation in the single market and to boost the overall impact of public investment; whereas public investment, if used efficiently and in a targeted manner, should serve as a catalyst for incentivising private investment and should fill investment gaps, to enable the Union to regain its leading position;

Amendment 10

Motion for a resolution

Recital C a (new)

Motion for a resolution

Amendment

C a. whereas unlocking private investment in the Union remains a priority; whereas the completion of the savings and investments union is crucial for mobilising private investment, in particular facilitating market access for retail investors, addressing the fragmentation of the internal market, improving access to equity financing for European businesses and supporting the EU’s industrial strategy;

Amendment 11

Motion for a resolution

Recital D

Motion for a resolution

Amendment

D. whereas the NextGenerationEU recovery instrument (NGEU) established in the wake of the COVID-19 pandemic enabled significant additional investment capacity of EUR 750 billion in 2018 prices, prompting a swift recovery and return to growth and supporting the green and digital transitions; whereas NGEU will not be in place post-2027;

D. whereas the NextGenerationEU recovery instrument (NGEU), with a one-off investment capacity of EUR 750 billion in 2018 prices, established in the wake of the COVID-19 pandemic enabled additional investment and reforms, prompting a swift recovery and return to growth and supporting the green and digital transitions; whereas NGEU will not be in place post-2027; whereas repayment of the NGEU debt has to start as of 2028;

Amendment 12

Motion for a resolution

Recital D a (new)

Motion for a resolution

Amendment

D a. whereas the Recovery and Resilience Facility (RRF) plays a role in boosting investment across the EU, mitigating contractionary effects by maintaining substantial levels of public investment; whereas the RRF is a temporary instrument that will expire in 2026; whereas a timely debate is needed to ensure appropriate levels of public investment beyond 2026 to adequately finance common EU priorities and to ensure continued reforms;

Amendment 13

Motion for a resolution

Recital E

Motion for a resolution

Amendment

E. whereas the Union budget, bolstered by NGEU, has been instrumental in alleviating the economic and social impact of the COVID-19 crisis and in responding to the effects of Russia’s war of aggression against Ukraine; whereas the Union budget remains ill-equipped, in terms of size, structure and rules, to fully play its role in adjusting to evolving spending needs, addressing shocks and responding to crises and giving practical effect to the principle of solidarity;

E. whereas the Union budget and NGEU have been instrumental in alleviating the economic and social impact of the COVID-19 crisis and in responding to the effects of Russia’s war of aggression against Ukraine; whereas the Union budget remains ill-equipped, in terms of size, structure and rules, to fully play its role in adjusting to evolving reforms and investment needs, addressing shocks and responding to crises, giving practical effect to the principle of solidarity and, in particular, addressing growing European security threats and rapidly increasing defence obligations;

Amendment 14

Motion for a resolution

Recital E a (new)

Motion for a resolution

Amendment

E a. whereas in a rapidly shifting European security landscape, the EU budget must include defence as a specific priority, reflecting the EU added value that fully supports Member States on fulfilling their mutual defence commitments effectively, in accordance with Article 42(7) of the Treaty on European Union;

Amendment 15

Motion for a resolution

Recital F

Motion for a resolution

Amendment

F. whereas, since the adoption of the current multiannual financial framework (MFF), the political, economic and social context has changed beyond recognition, compounding underlying structural challenges for the Union and leading to a substantial revision of the MFF in 2024;

F. whereas, since the adoption of the current multiannual financial framework (MFF), multiple crises, such as the COVID-19 pandemic and Russia’s war of aggression against Ukraine, have highlighted the need for flexibility in order to address serious socio-economic challenges; whereas it needs to be taken into consideration that the political, environmental, economic and social context has changed beyond recognition, compounding underlying structural challenges for the Union and leading to a substantial revision of the MFF in 2024;

Amendment 16

Motion for a resolution

Recital G

Motion for a resolution

Amendment

G. whereas the context in which the Commission will prepare its proposals for the post-2027 MFF is every bit as challenging, with the established global and geopolitical order changing quickly and radically and the Union budget needing to change accordingly;

H. whereas, in order to compensate for the budget’s shortcomings, there have been numerous workaround solutions that make the budget more opaque, undercutting Parliament’s role as a legislator and budgetary and discharge authority and in holding the executive to account;

G. whereas the context in which the Commission will prepare its proposals for the post-2027 MFF is every bit as challenging, with the established global and geopolitical order changing quickly and radically, the planet’s sustainability remaining a key concern, the EU facing increasing annual financing needs, as underlined in the Draghi report, and the Union budget needing to change accordingly;

Amendment 17

Motion for a resolution

Recital H a (new)

Motion for a resolution

Amendment

H a. whereas the Budapest Declaration of 8 October 2024 on the new European competitiveness deal committed the Union and its Member States to achieving the objective to spend at least 3 % of the Union’s GDP on research and development by 2030, an objective first set for 2010 under the Lisbon Strategy;

Amendment 18

Motion for a resolution

Recital H b (new)

Motion for a resolution

Amendment

H b. whereas the European Court of Auditors, in its 2024 report, concluded that the error rate for EU spending has risen to 5.6 % of the overall budget;

Amendment 19

Motion for a resolution

Recital H c (new)

Motion for a resolution

Amendment

H c. whereas the EU budget needs to stick to the socio-economic objectives of the Union laid down in Article 3(3) of the Treaty on European Union;

Amendment 20

Motion for a resolution

Recital H d (new)

Motion for a resolution

Amendment

H d. whereas the Letta report proposed a State aid contribution mechanism;

Amendment 21

Motion for a resolution

Recital H e (new)

Motion for a resolution

Amendment

H e. whereas the well-being of families and individuals should be kept as the central guiding principle in all aspects of the Union budget;

Amendment 22

Motion for a resolution

Recital H f (new)

Motion for a resolution

Amendment

H f. whereas Commissioner Valdis Dombrovskis is tasked with implementing the review of the system of national accounts, to better integrate well-being and sustainability concerns;

Amendment 23

Motion for a resolution

Paragraph 1

Motion for a resolution

Amendment

1. Underlines that the post-2027 long-term budget must be designed and resourced so as to enable the Union to deliver on its policy objectives, tackle the growing challenges it faces, manage and repay its debt sustainably, respond to shocks and crises and adjust to evolving spending needs;

1. Underlines that the post-2027 long-term budget must be designed and resourced so as to enable the Union to adequately invest, incentivise public investment and deliver on its policy objectives, strengthen its competitiveness at international level, tackle the growing challenges it faces, manage and repay its debt sustainably, respond to shocks and crises and adjust to evolving spending needs; recalls that the MFF and the Recovery and Resilience Facility (RRF) amount to almost EUR 2 trillion for the current period and that high inflation rates have decreased the impact of EU spending; calls for the size of the post-2027 budget to sufficiently address the significant investment gap identified in the Draghi report;

Amendment 24

Motion for a resolution

Paragraph 2

Motion for a resolution

Amendment

2. Stresses that all spending in the post-2027 MFF must be strategically aligned with the EU’s political aims, adding tangible value for the people of the Union, with discernible net benefits compared to spending at national or sub-national level and leading to real and lasting results;

2. Stresses that all spending in the post-2027 MFF must be strategically aligned with the EU’s political aims of sustainable competitiveness and resilience, adding tangible value for the people of the Union, with discernible net benefits compared to spending at national or sub-national level and leading to real and lasting results; asks, in particular, that the funding of common European public goods be prioritised in policy areas where public provision is more efficient at the EU level as a result of economies of scale, thereby generating savings for EU taxpayers;

Amendment 25

Motion for a resolution

Paragraph 3

Motion for a resolution

Amendment

3. Emphasises that the post-2027 MFF must also become simpler and more transparent and be protected against misuse, fraud and breaches of the principles of the rule of law and the Union’s values;

3. Emphasises that the post-2027 MFF must also become simpler and more transparent and be protected against misuse, fraud and breaches of the principles of the rule of law and the Union’s values in line with the recommendations issued by the European Court of Auditors in its successive reports;

Amendment 26

Motion for a resolution

Paragraph 3 a (new)

Motion for a resolution

Amendment

3 a. Stresses the importance of upholding the principle of subsidiarity in the next MFF; calls for those policy areas where public expenditure is more efficient at national and subnational levels to be explored;

Amendment 27

Motion for a resolution

Paragraph 4

Motion for a resolution

Amendment

4. Underlines that a simpler, more flexible MFF requires more robust parliamentary accountability;

A long-term budget with a renewed spending focus

4. Underlines that a simpler, more flexible MFF requires sufficient transparency and more robust parliamentary accountability; underlines the need for any future budget to fully respect Parliament’s role as budgetary authority and its co-decision rights, as defined in the Treaties, as regards the design, scrutiny, allocation and evaluation of the budget; notes, in this respect, that national parliaments should be empowered to fulfil their oversight role and exercise their rights in holding the executive accountable when making commitments with the EU; underlines, further, the need to increase parliamentary oversight over the European Semester process, in line with the provisions of the Treaties;

5. Considers that, in view of the structural challenges facing the Union, the post-2027 MFF should adjust its spending focus to ensure that the Union can meet its strategic policy aims as detailed below;

Amendment 28

Competitiveness, strategic autonomy, social, economic and territorial cohesion and resilience

Motion for a resolution

Paragraph 4 a (new)

Motion for a resolution

Amendment

4 a. Recalls that EU citizens must be able to count on those implementing the EU budget informing them about how the funds have been spent and the objectives achieved; recalls that transparency is essential to retain citizens’ trust, and that fraud and misuse of funds are extremely detrimental to that trust; calls on the Commission to put in place solid anti-fraud mechanisms in all funding instruments for the post-2027 MFF, to ensure the protection of the EU budget;

Amendment 29

Motion for a resolution

Paragraph 6

Motion for a resolution

Amendment

6. Is convinced that boosting competitiveness, decarbonising the economy and enhancing the Union’s innovation capacity are central priorities for the post-2027 MFF and are vital to ensure long-term, sustainable and inclusive growth and a more resilient economy and society;

6. Is convinced that boosting competitiveness, decarbonising the economy, strengthening our security and defence, strengthening territorial, regional and social cohesion, enhancing the Union’s innovation capacity and digitalisation are central priorities for the post-2027 MFF and are vital to ensure long-term, sustainable, green and inclusive growth and a more resilient economy and society; points out, however, that these priorities cannot be achieved through additional spending alone;

Amendment 30

Motion for a resolution

Paragraph 7

Motion for a resolution

Amendment

7. Underlines that, as spelt out in the Letta and Draghi reports, the European economy and social model are under intense strain, with the productivity, competitiveness and skills gap having knock-on effects on the quality of jobs and on living standards for Europeans already grappling with high housing, energy and food prices; is concerned that a lack of job opportunities and high costs of living increase the risk of a brain drain away from Europe;

7. Underlines that, as spelt out in the Letta and Draghi reports, the European economic and social model based on the principle of a social market economy is under intense strain, with the productivity, competitiveness and skills gap having knock-on effects on the strength of our economy and the quality of jobs, and on living standards and economic and social prosperity for Europeans already grappling with high housing, energy and food prices; is concerned that a lack of opportunities for creating new businesses and jobs, as well as the high costs of living and the declining quality and accessibility of the provision of services of general interest, increases the risk of a brain drain away from Europe; stresses, furthermore, that the threat of deindustrialisation exacerbates these challenges, having an adverse impact on workers;

Amendment 31

Motion for a resolution

Paragraph 7 a (new)

Motion for a resolution

Amendment

7 a. Recalls that, in accordance with the recommendations made in the Letta and Draghi reports, all Commissioners were tasked, in their mission letters, with ensuring that existing rules are fit for purpose and with focusing on reducing administrative barriers and burdens and simplifying legislation; calls on the Commission to make sure that no legislative proposal should be introduced without a thorough impact assessment and competitiveness check;

Amendment 32

Motion for a resolution

Paragraph 8

Motion for a resolution

Amendment

8. Points out that Draghi puts the annual investment gap with respect to innovation and infrastructure at EUR 750-800 billion per year between 2025 and 2030; underlines that, while the Union budget cannot cover that shortfall alone, it must play a vital role;

8. Points out that Draghi puts the annual private and public investment gap with respect to innovation and infrastructure at EUR 750-800 billion per year between 2025 and 2030; underlines that the Union budget must play a vital role in covering that shortfall; calls on the Commission, in this context, to establish a target for the funding that should be allocated to start-ups and SMEs; recalls that the new Commission’s self-imposed goal is to be an ‘investment Commission’ and to unlock the public and private financing needed for the green, digital and social transitions, among other things; recalls, furthermore, that the budget should be better leveraged to pursue European objectives and increase the European economy’s competitiveness; acknowledges Draghi’s assessment that much of the productive investment will be undertaken by the private sector and points out that the Union budget contains tools to de-risk and leverage private investments;

Amendment 33

Motion for a resolution

Paragraph 8 a (new)

Motion for a resolution

Amendment

8 a. Underlines the need for a modernised budget to bolster the future of Europe’s strategic autonomy; takes note of the Commission’s announcement of a European competitiveness fund to provide financial support to key sectors to match their investment needs under the competitiveness coordination tool; recalls that the European competitiveness fund should also pursue the integrity of the single market; stresses the need to prioritise investment with European added value, such as cross-border projects and Important Projects of Common European Interest (IPCEI); underlines that, while investment in clean and strategic technologies and support for IPCEIs are essential, actions aimed at effectively strengthening Europe’s competitiveness require a comprehensive approach that also includes targeted measures to bridge the skills gap through education, (re)qualification and training, thus ensuring that the EU workforce remains adaptable and future-ready; stresses that, for the fund to have a real impact, it must be backed by ‘fresh money’ rather than relying solely on the reallocation of existing resources;

Amendment 34

Motion for a resolution

Paragraph 8 b (new)

Motion for a resolution

Amendment

8 b. Emphasises that the Union budget should focus on jointly agreed strategic goals and objectives, streamlining its budget structure to achieve sufficient scale and support for strategic goals, and simplifying access to beneficiaries, and underlines, in addition, that the creation of a savings and investments union will be key to complementing more efficient public funding;

Amendment 35

Motion for a resolution

Paragraph 9

Motion for a resolution

Amendment

9. Stresses that the Union budget must be carefully coordinated with national spending and designed such that it can de-risk, mobilise and leverage private investment effectively, enabling start-ups and SMEs to access funds more readily; calls, therefore, for programmes such as InvestEU, which ensures additionality and follows a market-based, demand-driven approach, to be significantly reinforced in the next MFF; considers that budgetary guarantees are an effective use of resources and calls for them to be simplified;

9. Stresses that the Union budget must be carefully coordinated with national spending and designed such that it contains elements to de-risk, mobilise and leverage private investment effectively, ensuring fair opportunities for all Member States, particularly smaller economies, to attract capital and drive sustainable growth, and enabling start-ups, scale-ups and SMEs to access funds more readily; recognises financial instruments and budgetary guarantees as powerful tools to achieve critical EU policy goals; calls, therefore, for programmes such as InvestEU and the European Innovation Council, which ensure additionality and follow a market-based, demand-driven approach, to be significantly reinforced in the next MFF and to be allowed to follow a less risk-adverse approach to truly stimulate innovation in order to build up Europe’s venture capital ecosystem; considers that budgetary guarantees can be an effective use of resources and calls for them to be simplified and streamlined, reducing unnecessary complexity and burdens for beneficiaries and implementing partners;

Amendment 36

Motion for a resolution

Paragraph 10

Motion for a resolution

Amendment

10. Insists that, in the next MFF, more must be done to maximise the potential of the role of the European Investment Bank Group – together with other international and national financial institutions – in lending in strategic policy areas, such as climate and, latterly, dual-use defence projects;

10. Insists that, in the next MFF, more must be done to maximise the potential of the role of the European Investment Bank (EIB) Group – together with other international and national financial institutions – in lending in strategic policy areas under the mandate of the EIB; calls, in this respect, for a reinforced investment partnership to ensure that every euro is used in the most efficient manner at the European level; welcomes, in that regard, the launch on 13 February 2023 of the European Tech Champions Initiative, which channels late-stage growth capital to European innovators; highlights the fact that the severe instability of the current geopolitical situation requires the defence industry’s access to private funding to be strengthened, via the EIB, among other bodies, without losing the triple A status; highlights the crucial role played by the EIB, particularly in addressing areas where private financing is lacking, and calls for its risk appetite to be increased and for its efforts to be stepped up, especially in the area of venture capital;

Amendment 37

Motion for a resolution

Paragraph 10 a (new)

Motion for a resolution

Amendment

10 a. Calls on the Commission to prioritise the legislative proposals to complete the savings and investments union and the banking union; notes the importance of increased funding for financial literacy in the Union as a way to ensure that EU citizens have the knowledge and skills they need to make good financial decisions;

Amendment 38

Motion for a resolution

Paragraph 11

Motion for a resolution

Amendment

11. Emphasises that funding for research and innovation should be significantly increased, should be focused on the Union’s strategic priorities and should continue to be determined by the principle of excellence; considers that there should be sufficient resources across the MFF and at national level to fund all high-quality projects;

11. Stresses that the innovation gap is at the root of the Union’s slowing productivity growth; emphasises that funding for research and innovation should be significantly increased, should be focused on the Union’s strategic priorities and should continue to be determined by the principle of excellence; considers that there should be sufficient resources across the MFF and at national level to fund all high-quality projects, including public-private partnerships; proposes the establishment of an experimental unit with fast-track funding for testing innovative programmes and instruments; calls, in that regard, for the research and development programmes within the competitiveness fund to be granted greater autonomy under increased expert oversight;

Amendment 39

Motion for a resolution

Paragraph 12

Motion for a resolution

Amendment

12. Stresses that the next MFF should include much greater funding for energy, transport and digital infrastructure, with priority given to cross-border connections and national links with European added value; considers that such infrastructure goes hand in hand with a deepening of the single market;

12. Stresses that the next MFF should better allocate and include much greater funding for energy, transport, defence and digital infrastructure, with priority given to cross-border connections and national links with European added value; asks for a fixed allocation from the EU budget to be dedicated to cross-border public infrastructure; considers that such infrastructure goes hand in hand with a deepening of the single market;

Amendment 40

Motion for a resolution

Paragraph 12 a (new)

Motion for a resolution

Amendment

12 a. Highlights the need for infrastructure investment to also take into account the changed geopolitical situation and therefore the need for EU funding to support the efforts to enhance the resilience of both new and existing infrastructure;

Amendment 41

Motion for a resolution

Paragraph 13

Motion for a resolution

Amendment

13. Considers that the Union must develop a competitiveness framework in line with its own values and political aims and that competitiveness must therefore be understood as encompassing not only economic growth, but also social, economic and territorial cohesion and environmental sustainability;

13. Considers that the Union must develop a competitiveness framework in line with its own values and political aims, fulfilling the ambitions of the internal market, as laid down in Article 3(3) of the Treaty on European Union, working for the sustainable development of Europe based on balanced economic growth and price stability, a highly competitive, social market economy, aiming at full employment and social progress, a high level of protection for and improvement of the quality of the environment, as well as territorial cohesion; acknowledges that cross-border cooperation between countries and regions is essential to achieving these objectives, fostering synergies and ensuring balanced and sustainable development across the Union;

Amendment 42

Motion for a resolution

Paragraph 13 a (new)

Motion for a resolution

Amendment

13 a. Stresses that, in order to compete with other major global players, the European economy must also become more competitive and resilient on the supply side by investing more in the Union’s open strategic autonomy through enhanced industrial policy, with a focus on strategic sectors and critical technologies, to reduce dependence on third countries;

Amendment 43

Motion for a resolution

Paragraph 14

Motion for a resolution

Amendment

14. Underlines that a more competitive, productive and socially inclusive economy helps to generate high-quality, well-paid jobs, thus enhancing people’s standard of living; emphasises that, through programmes such as the European Social Fund+ and Erasmus+, the Union budget can play an important role in supporting education and training systems, boosting workforce adaptability through reskilling and upskilling, and thus preparing people for employment in a modern economy;

15. Insists that the Union budget should continue to support important economic and job-creating sectors where the Union is already a world leader, such as tourism and the cultural and creative industries;

14. Underlines that a more competitive, productive, sustainable and socially inclusive economy helps to generate high-quality, well-paid jobs, thus enhancing people’s well-being and their standard of living; emphasises that, through programmes such as the European Social Fund+ and Erasmus+, the Union budget can play an important role in supporting education and training systems, boosting workforce adaptability through reskilling and upskilling, and thus preparing people for employment in a modern economy; stresses the need for targeted reskilling and upskilling initiatives for workers in sectors in crisis, such as the automotive industry, to ensure a just transition and prevent mass job losses and deindustrialisation in Europe; underlines the importance of adult learning and encourages the Member States, in this regard, to incentivise companies to allocate resources to training;

Amendment 44

Motion for a resolution

Paragraph 16

Motion for a resolution

Amendment

16. Stresses that, in order to compete with other major global players, the European economy must also become more competitive and resilient on the supply side by investing more in the Union’s open strategic autonomy through enhanced industrial policy and a focus on strategic sectors and critical technologies to reduce dependence on third countries;

17. Emphasises that food security is a vital component of strategic autonomy and that the next MFF must continue to support the Union’s farming and fisheries sectors, including small and young farmers and fishers, and help the sectors to better protect the climate and biodiversity; highlights the crucial role of the common agricultural policy in increasing productivity through technical progress, ensuring a fair standard of living for farmers and guaranteeing food security; calls for adequate funding for the common agricultural policy in the next MFF;

16. Stresses that, in order to compete with other major global players and improve the ability of European companies to compete in global markets, the European social market economy must also become more competitive, resource-efficient, innovative and resilient on the supply side by completing the savings and investments union and investing more in the Union’s open strategic autonomy through an integrated, coordinated, targeted and horizontal industrial policy, which is vital for increasing investment in the EU’s innovation capacity, across strategic sectors and critical technologies, to reduce dependence on third countries, as emphasised in the Commission communication on the Clean Industrial Deal; underlines that such policies should be pursued taking into account regional balances in the EU and in accordance with competition policy, to avoid market entry barriers;

18. Recalls that social, economic and territorial cohesion is a cornerstone of European integration and is vital in binding the Union together and deepening the single market; underlines that a modernised cohesion policy must follow a decentralised, place-based, multilevel governance approach and be built around the shared management and partnership principle, fully involving local and regional authorities;

Amendment 45

19. Stresses that cohesion policy funding must tackle the key challenges the Union faces, such as demographic change and depopulation, and target the regions and people most in need; highlights, in particular, the importance of enhanced support to address the EU-wide housing crisis affecting millions of families and young people;

Motion for a resolution

Paragraph 16 a (new)

Motion for a resolution

Amendment

16 a. Underlines that competitiveness requires an urgent policy shift towards new industries and innovation, making the EU a more attractive place to do business, which will need to build on increased access to ideas, capital and talent as well as improved digital and physical infrastructure, an efficient administration, strict competition rules and international trade;

Amendment 46

Motion for a resolution

Paragraph 19 a (new)

Motion for a resolution

Amendment

19 a. Recalls particular regional, economic, social and security challenges that specific EU regions are prone to; invites the Commission to issue an impact assessment on developing alternative indicators for the allocation of major funding under the upcoming MFF that takes this into account; deems that a debate is needed on the creation of dedicated funding aimed at making up for the economic disadvantages faced by EU citizens and businesses based on their geographical access to the EU single market;

Amendment 47

Motion for a resolution

Paragraph 20

Motion for a resolution

Amendment

20. Points out that Russia’s war of aggression against Ukraine has had substantial economic and social consequences, in particular in Member States bordering Russia; insists that the next MFF provide support to these regions;

20. Points out that Russia’s war of aggression against Ukraine has had substantial long-term economic and social consequences, in particular in Member States bordering Russia and Belarus; insists that the next MFF provide support to Ukraine and these regions, including to promote security by developing infrastructure (including dual-use infrastructure) and improve overall conditions for investment and a vibrant business environment; holds, furthermore, that the MFF should foster, in addition, the integration of Ukraine into the EU’s internal market; highlights, similarly, the challenging situations, such as the ongoing crisis in the Middle East, that affect the socio-economic development of the Union, especially in nearby Member States, and insists that the next MFF take this into account and support these regions as well;

Amendment 48

Motion for a resolution

Subheading 3

Motion for a resolution

Amendment

The green and digital transitions

The green, digital and social transitions

Amendment 49

Motion for a resolution

Paragraph 21

Motion for a resolution

Amendment

21. Highlights that the green and digital transitions are inextricably linked to competitiveness, the modernisation of the economy and the resilience of society and that, therefore, the post-2027 MFF must continue to support the twin transitions;

21. Highlights that the green, digital and social transitions are inextricably linked to competitiveness, the modernisation of the economy and the resilience of society and that, therefore, the post-2027 MFF must continue to support these transitions, to ensure the EU’s leadership in sustainable and digital innovation, among other areas; notes that economic progress cannot be measured simply in terms of economic growth;

Amendment 50

Motion for a resolution

Paragraph 22

Motion for a resolution

Amendment

22. Recalls that the Union is committed to achieving climate neutrality by 2050, which requires a decarbonisation of the economy through the deployment of clean technologies, improved energy and transport infrastructure and more energy-efficient housing; notes that the Commission estimates additional investment needs to achieve climate neutrality by 2050 at 1.5 % of GDP per year compared to the decade 2011-2020 and that, while the Union budget alone cannot cover the gap, it must remain a vital contributor;

23. Underlines that industry will be central in the transition to net zero and that support will be needed in helping some industrial sectors and their workers to adapt; stresses that the transition must leave no one behind, requiring investment in regions that are heavily fossil-fuel dependent and increased support for households, in particular through the Social Climate Fund;

22. Recalls that the Union is committed to achieving climate neutrality by 2050, which requires a decarbonisation of the economy through the deployment of clean technologies, improved energy and transport infrastructure and more energy-efficient housing; notes that the Commission estimates additional investment needs to achieve climate neutrality by 2050 at 1.5 % of GDP per year compared to the decade 2011-2020 and that, while the Union budget alone cannot cover the gap, it must remain a vital contributor and be better leveraged to be able to substantially contribute to covering the gap;

24. Points to the profound technological shift under way, with new technologies such as artificial intelligence both creating opportunities, in terms of economic potential and improvements to the citizens’ lives, and posing reliability and ethical challenges; stresses that the next MFF must support the development and safe application of such technologies and help people to hone the skills they need to work with and use them;

Amendment 51

Security, defence and preparedness

Motion for a resolution

Paragraph 25

Motion for a resolution

Amendment

25. Recalls that security is the foundation for the Union’s prosperity and social model and that the next MFF must invest significantly more in safeguarding the Union against the myriad threats it faces;

25. Stresses that peace and security are fundamental for the Union’s prosperity and social model and that the next MFF must increase its investment significantly to safeguard the Union against the myriad threats it faces, and to support Member States to effectively fulfil their mutual defence commitments in accordance with Article 42(7) of the Treaty on European Union;

Amendment 52

Motion for a resolution

Paragraph 26

Motion for a resolution

Amendment

26. Underlines that, as the Niinistö report makes clear, the fragmenting global order, increasingly frequent and intense extreme weather events, the security threat posed by Russia, growing tensions globally, hybrid campaigns, which include cyberattacks, foreign information manipulation, disinformation and interference and the instrumentalisation of migration, and health threats are combining to heighten instability and increase the Union’s vulnerability;

27. Points out that the Union has played a vital role in achieving lasting peace on its territory and must continue to do so by adjusting to the reality of war on its doorstep and the need to vastly boost defence capabilities and readiness, far beyond the current allocation;

26. Underlines that, as the Niinistö report makes clear, the fragmenting global order, increasingly frequent and intense extreme weather events, the security threat posed by Russia and Belarus, growing tensions globally, hybrid campaigns, which include cyberattacks, foreign information manipulation, disinformation and interference and the instrumentalisation of migration, and health threats are combining to heighten instability and increase the Union’s vulnerability;

Amendment 53

Motion for a resolution

Paragraph 28

Motion for a resolution

Amendment

28. Notes that, according to the Commission President, the defence spending gap currently stands at EUR 500 billion for the next decade; underlines that the Union budget alone cannot fill the gap, but has an important role to play;

28. Notes that, according to the Commission President, the defence spending gap currently stands at EUR 500 billion for the next decade; underlines that the Union budget alone cannot fill this gap, but, if it is better leveraged, it can have an important role to play in unlocking additional public and private investment and increasing public-private partnerships; considers, at the same time, that this should not come at the expense of social and environmental spending;

Amendment 54

Motion for a resolution

Paragraph 29

Motion for a resolution

Amendment

29. Underscores the importance of a competitive and resilient European defence technological and industrial base and considers that joint EU-level investment in defence can generate economies of scale, and thus significant savings for Member States, and help ensure the interoperability of equipment and systems; points to the need to direct support towards the defence industry within the Union, thus creating quality high-skilled jobs;

30. Points to the importance of support in the budget for military mobility, which upgrades infrastructure for dual-use military and civilian purposes and thus contributes to the Union’s defence capabilities;

29. Underscores the importance of a competitive and resilient European defence technological and industrial base and considers that joint EU-level investment in defence can generate economies of scale, and thus significant savings for Member States, and help ensure the interoperability of equipment and systems; underlines that, to this end, the EU needs to invest in the new disruptive technologies that redefine the new security and defence paradigm; calls on the Commission to comprehensively map the challenges to defence financing and present a package of legislative and non-legislative measures strengthening the possibilities for financing the defence industry, benefiting all Member States equally, with enhanced provision for the eastern front line and for Member States with higher defence investment; points to the need to direct support towards the defence industry within the Union, thus creating quality high-skilled jobs; underlines the need to build on economies of scale by leveraging synergies in common procurement and multiannual planning;

Amendment 55

Motion for a resolution

Paragraph 31

Motion for a resolution

Amendment

31. Emphasises that the Union needs to ramp up funding for preparedness across the board; underlines that, in addition to efforts to mitigate climate change through the green transition, significant investment is required to adapt to climate change, in particular to protect against and reduce the impact of natural disasters and severe weather events; considers that support for this purpose must be significantly increased in the next MFF;

32. Recalls that the COVID-19 pandemic wreaked economic and social havoc globally and that a key lesson from the experience is that there is a need to invest in preparedness for health threats, in medical research and in the resilience of public health systems in the Union; considers that the next MFF must build on the work done in the current programming period;

31. Emphasises that the Union needs to ramp up funding for preparedness across the board; underlines that, in addition to efforts to mitigate climate change through the green transition, significant investment is required to adapt to climate change and potential socio-economic consequences, in particular to protect against and reduce the impact of natural disasters and severe weather events; underlines the impact of climate change on Europe’s water resilience, on which the environment, industry and livelihoods depend; considers that support for this purpose must be significantly increased in the next MFF;

Amendment 56

Motion for a resolution

Paragraph 33

Motion for a resolution

Amendment

33. Underlines that, with technological change, it has become easier for malicious and opportunistic foreign actors to spread disinformation, interfere in elections and mount cyberattacks against the Union’s interests; insists that the next MFF must invest in enhanced cybersecurity; points to the importance of digital and media literacy and critical thinking in this regard, and to the need for continued Union budget support for initiatives in these areas;

34. Underscores the importance of continued funding, in the next MFF, for effective protection of the EU’s external borders; underlines the need to counter trafficking networks and address hybrid attacks and the instrumentalisation of migrants, in particular by a third country or a hostile non-state actor;

33. Underlines that, with technological change, it has become easier for malicious and opportunistic foreign actors to spread disinformation, interfere in elections and mount cyberattacks against the Union’s interests; insists that the next MFF must invest in enhanced cybersecurity and provide sufficient resources to prevent, mitigate and counter hybrid warfare, as well as foreign disinformation campaigns; points to the importance of digital and media literacy and critical thinking in this regard, and to the need for continued Union budget support for initiatives in these areas;

External action and enlargement

Amendment 57

35. Insists that, in a context of heightened global instability, the Union must continue to engage constructively with third countries and support peace, stability, prosperity, security, democracy and sustainable development globally, in line with its values;

Motion for a resolution

Paragraph 36

Motion for a resolution

Amendment

36. Regrets the fact that external action in the current MFF has been underfunded, leading to significant recourse to special instruments and substantial reinforcements in the mid-term revision; notes, in particular, that humanitarian aid funding has been woefully inadequate, prompting routine use of the Emergency Aid Reserve;

36. Regrets the fact that external action in the current MFF has been underfunded, especially as regards funding towards the Global South, leading to significant recourse to special instruments and substantial reinforcements in the mid-term revision; notes, in particular, that humanitarian aid funding has been woefully inadequate, prompting routine use of the Emergency Aid Reserve; remarks that investing in the Global South can strengthen the economies of both donor and beneficiary countries;

Amendment 58

Motion for a resolution

Paragraph 37

Motion for a resolution

Amendment

37. Stresses that the next MFF must continue to tackle the most pressing global challenges, from fighting climate change, to providing relief in the event of natural disasters, ensuring global food security, improving healthcare systems, reducing poverty and inequality and boosting competitiveness and the security of global supply chains; emphasises, in particular, the need for support for the Union’s Southern and Eastern Neighbourhoods;

38. Underlines that the budget must uphold the Union’s role as the world’s leading provider of development aid and climate finance in line with the Union’s global obligations and commitments; insists that the budget must continue to support the Union in its efforts to defend the rules-based international order, democracy, multilateralism, human rights and fundamental values;

37. Stresses that the next MFF must continue to tackle the most pressing global challenges, from fighting climate change and biodiversity loss, to providing relief in the event of natural disasters, ensuring global food security, improving healthcare systems, reducing poverty and inequality and boosting competitiveness, job creation and the security of global supply chains; emphasises, in particular, the need for support for the Union’s Southern and Eastern Neighbourhoods;

Amendment 59

Motion for a resolution

Paragraph 39

Motion for a resolution

Amendment

39. Insists that, given the scale of humanitarian crises and mounting global challenges, humanitarian aid funding must be significantly enhanced and made more predictable in the next MFF, and that its use must remain solely needs-based;

39. Insists that, given the scale of humanitarian crises and mounting global challenges, humanitarian aid funding must be significantly enhanced and made more predictable in the next MFF, and that its use must remain solely needs-based; takes note of the additional challenges arising from the US administration’s decision to withdraw from international responsibilities regarding the Paris Agreement, the World Health Organization (WHO) and development aid, and stresses that the EU must step up its efforts, including financial commitments, and take a leading role in global governance to support the world’s most vulnerable people and regions;

Amendment 60

Motion for a resolution

Paragraph 40

Motion for a resolution

Amendment

40. Emphasises that, in a context in which global actors are increasingly using trade interdependence as a means of economic coercion, the Union must bolster its capacity to protect and advance its own strategic interests, develop more robust tools to counter coercion and ensure genuine reciprocity in its partnerships;

41. Considers that the next MFF is pivotal for preparing the Union for enlargement and the candidate countries for accession; recalls that the stability, security and democratic resilience of the candidate countries are inextricably linked to those of the EU and require sustained strategic investment to support their convergence with Union standards;

40. Emphasises that, in a context in which global actors are increasingly using trade interdependence as a means of economic coercion, the Union must bolster its capacity to protect and advance its own strategic interests, develop more robust tools to counter coercion and ensure genuine reciprocity in its partnerships; stresses that the EU must have in place the required budgetary tools to counter the economic impact that any eventual trade war with its traditional trading partners might have;

42. Points to the need for strategically targeted support for pre-accession and for growth and investment; is of the view that post-2027 assistance should be provided in the form of both grants and loans; believes, in that context, that the future framework should allow for innovative financing mechanisms, including lending to candidate countries backed by the ‘headroom’ (the difference between the own resources and the MFF ceilings);

Amendment 61

Motion for a resolution

Paragraph 43

Motion for a resolution

Amendment

43. Stresses that financial support must be conditional on the implementation of reforms and adherence to Union values; emphasises, in this regard, the need for a strong governance model that ensures parliamentary accountability, oversight and control;

43. Stresses that financial support must be conditional on the implementation of reforms and adherence to Union values; emphasises, in this regard, the need for a strong governance model that ensures parliamentary accountability, oversight and control of the assistance provided;

Amendment 62

Motion for a resolution

Paragraph 44

Motion for a resolution

Amendment

44. Underlines that pre-accession support to Ukraine has to be distinct from financial assistance for reconstruction and post-war recovery, where needs are far more substantial and require a concerted international effort, of which support through the Union budget should be an important part;

44. Underlines that pre-accession support to Ukraine has to be distinct from financial assistance for reconstruction and post-war recovery, where needs are far more substantial and require a concerted international effort, of which support through the Union budget should be an important part; believes that the Commission should assess the potential for using frozen Russian assets to support Ukraine in fulfilling its commitments to the EU;

Amendment 63

Motion for a resolution

Paragraph 45

Motion for a resolution

Amendment

45. Is convinced that the existing mandatory revision clause in the event of enlargement should be maintained in the next framework; stresses that national envelopes should not be affected in the event of enlargement; underlines that the next MFF will also have to reform key spending areas, such as cohesion and agriculture, and plan for appropriate transitional and phasing-in measures;

Fundamental rights, Union values and the rule of law

45. Is convinced that the existing mandatory revision clause in the event of enlargement should be maintained in the next framework; underlines that the next MFF should also seek to improve key spending areas, including cohesion and agriculture, and plan for appropriate transitional and phasing-in measures;

46. Emphasises the importance of the Union budget in promoting and protecting democracy and the Union’s values, fostering the Union’s common cultural heritage and European integration, enhancing citizen engagement and youth participation and promoting fundamental rights enshrined in the Charter of Fundamental Rights and the rule of law; points to the importance of independence of justice, the sound functioning of national institutions, support for civil society and de-oligarchisation;

Amendment 64

47. Stresses that instability in neighbouring regions, poverty, underlying trends in economic development and demographic changes continue to generate migration flows towards the Union, placing significant pressure on asylum and migration systems; underlines that the post-2027 MFF must support the full implementation of the Union’s Asylum and Migration Pact, in line with fundamental rights and EU values; underlines, moreover, that, in line with the Pact, cooperation with third countries on migration must abide by EU law and respect international standards;

Motion for a resolution

48. Highlights the importance of strong links between respect for the rule of law and access to EU funds under the current MFF; believes that the protection of the Union’s financial interests depends on respect for the rule of law at national level; welcomes, in particular, the positive impact of the Rule of Law Conditionality Regulation in protecting the Union’s financial interests in cases of systemic and persistent breaches of the rule of law; calls on the Commission and the Council to apply the regulation strictly, consistently and without undue delay wherever necessary; emphasises that decisions to suspend or reduce Union funding over breaches of the rule of law must be based on objective criteria and not be guided by other considerations, nor be the outcome of negotiations;

Paragraph 50

49. Points to the need for a strong link between the rule of law and the Union budget post-2027 and welcomes the Commission’s intention to bolster links between the recommendations in the annual rule of law report and access to funds through the budget; calls on the Commission to outline, in the annual rule of law report from 2025 onwards, the extent to which identified weaknesses in rule of law regimes potentially pose a risk to the Union budget; welcomes, furthermore, the link between respect for Union values and the implementation of the budget and calls on the Commission to actively monitor Member States’ compliance with this principle;

Motion for a resolution

Amendment

50. Calls for the consolidation of a robust rule of law toolbox, building on the current conditionality provisions under the Recovery and Resilience Facility (RRF) and the horizontal enabling conditions in the Common Provisions Regulation; underlines the need for far greater transparency and consistency with regard to the application of tools to protect the rule of law and for Parliament’s role to be strengthened in the application and scrutiny of such measures; insists, furthermore, on the need for consistency across instruments when assessing breaches of the rule of law in Member States;

50. Calls for the consolidation of a robust and harmonised rule of law toolbox, building on the current conditionality provisions under the Recovery and Resilience Facility (RRF) and the horizontal enabling conditions in the Common Provisions Regulation1a, as well as the relevant provisions of the Financial Regulation; insists that the toolkit should cover the entire EU budget and ensure none of the instruments used allows backsliding and creates loopholes; underlines the need for far greater transparency and consistency with regard to the application of tools to protect the rule of law and for Parliament’s role to be strengthened in the application and scrutiny of such measures; calls for the introduction of a no-fallback clause to prevent reforms from being undone and to make sure that improvements are not revoked once the programme is implemented and funded; insists, furthermore, on the need for consistency across instruments when assessing breaches of the rule of law in Member States;

_________________

1a Regulation (EU) 2021/1060 of the European Parliament and of the Council of 24 June 2021 laying down common provisions on the European Regional Development Fund, the European Social Fund Plus, the Cohesion Fund, the Just Transition Fund and the European Maritime, Fisheries and Aquaculture Fund and financial rules for those and for the Asylum, Migration and Integration Fund, the Internal Security Fund and the Instrument for Financial Support for Border Management and Visa Policy (OJ L 231, 30.6.2021, p. 159, ELI: http://data.europa.eu/eli/reg/2021/1060/oj).

Amendment 65

Motion for a resolution

Paragraph 51

Motion for a resolution

Amendment

51. Recalls that the Rule of Law Conditionality Regulation provides that final recipients should not be deprived of the benefits of EU funds in the event of sanctions being applied to their government; believes that, to date, this provision has not been effective and stresses the importance of applying a smart conditionality approach so that beneficiaries are not penalised because of their government’s actions; calls on the Commission to explore additional ways of ensuring that local and regional authorities, civil society and other beneficiaries can continue to benefit from Union funding in cases of breaches of the rule of law by national governments without weakening the application of the regulation;

A long-term budget that mainstreams the Union’s policy objectives

51. Recalls that the Rule of Law Conditionality Regulation provides that final recipients should not be deprived of the benefits of EU funds in the event of sanctions being applied to their government; believes that, to date, this provision has not been effective and stresses the importance of applying a smart conditionality approach so that beneficiaries are not penalised because of their government’s actions; calls on the Commission to explore additional ways of ensuring that local and regional authorities, civil society and other beneficiaries can continue to benefit from Union funding in cases of breaches of the rule of law by national governments without weakening the application of the regulation; calls, in this regard, for the introduction of a simplified and streamlined mechanism to ensure direct funding for cities and communes in the next MFF;

Amendment 66

Motion for a resolution

Paragraph 52

Motion for a resolution

Amendment

52. Stresses that a long-term budget that is fully aligned with the Union’s strategic aims requires that key objectives be mainstreamed across the budget through a set of horizontal principles, building on the lessons from the current MFF;

52. Stresses that a long-term budget that is fully aligned with the Union’s strategic aims requires that key objectives be mainstreamed across the budget through a set of horizontal principles, building on the lessons from the current MFF; welcomes, in this regard, the recently proposed Competitiveness Compass for the EU in order to safeguard the EU’s future as an economic powerhouse, an investment destination and a manufacturing centre; highlights the importance of aligning the budget with the objectives set out in the Competitiveness Compass in order to regain Europe’s competitiveness and secure its prosperity;

Amendment 67

Motion for a resolution

Paragraph 53

Motion for a resolution

Amendment

53. Underlines, therefore, that the next MFF must ensure that, across the board, spending programmes pursue climate and biodiversity objectives, promote and protect rights and equal opportunities for all, including gender equality, support competitiveness and bolster the Union’s preparedness against threats;

54. Points out that effective mainstreaming is best achieved through a toolbox of measures, primarily through policy design, thorough impact assessments and solid tracking of spending and, in specific cases, spending targets;

53. Underlines, therefore, that the next MFF must ensure that, across the board, spending programmes are people-centred, pursue climate and biodiversity objectives, promote and protect rights and equal opportunities for all, including gender equality, support competitiveness and bolster the Union’s preparedness against threats, while also ensuring that the budget is simpler and more flexible in order to allow Member States to react better and faster in response to emerging challenges;

55. Welcomes the development of a methodology to track gender-based spending and considers that the lessons learnt should be applied in the next MFF; stresses, in the same vein, the need for a significant improvement in climate and biodiversity mainstreaming methodologies;

Amendment 68

56. Is pleased that the climate mainstreaming target of 30 % is projected to be exceeded in the current MFF; regrets, however, that the Union is not on track to meet the target for biodiversity-related expenditure; considers that the targets in the IIA have been a major factor in driving climate and biodiversity spending; recalls, furthermore, the importance of the ‘do no significant harm’ principle, as defined in the Taxonomy Regulation, in implementing the Union budget;

Motion for a resolution

A long-term budget with an effective administration at the service of Europeans

Paragraph 56 a (new)

57. Insists that, post-2027, sufficient financial and staff resources be allocated from the outset so that Union institutions, bodies and decentralised agencies can ensure effective and efficient policy design, delivery and enforcement, continue to attract the best people from all Member States, thus ensuring geographical balance, and have leeway to adjust to changing circumstances;

Motion for a resolution

58. Regrets that the Union’s ability to implement policy effectively within the current MFF has been undermined by stretched administrative resources and a dogmatic attachment to a policy of stable staffing, despite increasing demands and responsibilities; points, for example, to the failure to provide sufficient staff to properly enforce the Digital Services and Digital Markets Acts, thus undercutting the legislation’s effectiveness;

Amendment

59. Stresses that up-front investment in interoperable IT infrastructure and data mining can also generate longer-term cost savings and hugely enhance policy delivery and tracking of spending;

56 a. Takes note, in this regard, of the methodology being developed for green financing reporting;

A long-term budget that is simpler and more transparent

Amendment 69

Motion for a resolution

Paragraph 56 b (new)

Motion for a resolution

Amendment

56 b. Believes that, in view of Europe’s need to strengthen its competitive edge and enhance its open strategic autonomy, the mainstreaming of competitiveness, defence and support for SMEs should, at a minimum, be included in the IIA; calls for the integration of these aspects into the Financial Regulation to ensure that spending programmes systematically contribute to fostering innovation, enhancing Europe’s global competitiveness, strengthening defence capabilities and supporting the growth of SMEs;

Amendment 70

Motion for a resolution

Paragraph 57 a (new)

Motion for a resolution

Amendment

57 a. Underlines the importance of robust, dedicated and targeted funding for EU agencies and their staff to ensure efficient financial and economic management of EU policies; notes that appropriate staffing at this level of EU supervision is an essential prerequisite for achieving agreed policy targets and safeguarding and increasing investment levels in the EU; recalls, furthermore, in line with the European Court of Auditors’ Special Report 22/2020, that the rationale for existing agencies should be reassessed at different stages to determine their continued necessity and coherence with other agencies’ actions; calls on the Commission to ensure an efficient allocation of financial resources by identifying synergies and exploring potential structural adjustments, including mergers where appropriate, in response to evolving needs;

Amendment 71

Motion for a resolution

Paragraph 60

Motion for a resolution

Amendment

60. Stresses that the next MFF must be designed so as to simplify the lives of beneficiaries, harmonise rules wherever possible and cut unnecessary red tape and must be implemented as close to people as possible;

60. Stresses that the next MFF must be designed so as to simplify the procedures for beneficiaries, harmonise rules wherever possible and cut unnecessary red tape and must be implemented as close to people as possible in order to increase the absorption rate; believes that, to ensure that any potential horizontal policies or mainstreaming efforts set out for the MFF are implemented effectively and do not create unnecessary administrative complexity for the final recipients of Union funds, their programme-specific implementation should be left to sectoral legislation; calls for the introduction of a single rule book, with a uniform set of financial rules, for all EU programmes, to function as a unified framework across multiple programmes for simplified implementation for partners such as the European Investment Bank (EIB), allowing them to focus on differing objectives rather than diverging definitions, without undermining project goals and relevant standards;

Amendment 72

Motion for a resolution

Paragraph 61

Motion for a resolution

Amendment

61. Calls for genuine simplification where there are overlapping objectives, diverging eligibility criteria and different rules governing aspects that should be uniform across programmes; considers that an assessment of which spending programmes should be included in the next MFF must be based on the above aspects, on the need to focus spending on clearly identified policy objectives and on the policy intervention logic of each programme;

61. Calls for genuine simplification where there are overlapping objectives, diverging eligibility criteria and different rules governing aspects that should be uniform across programmes; highlights, in this regard, the importance of further simplifying and tackling bureaucratic hurdles while reducing administrative burdens, particularly for SMEs; considers that an assessment of which spending programmes should be included in the next MFF must be based on the above aspects, on the need to focus spending on clearly identified policy objectives and on the policy intervention logic of each programme;

Amendment 73

Motion for a resolution

Paragraph 61 a (new)

Motion for a resolution

Amendment

61 a. Underlines that simplification should be designed primarily to reduce complexity, delays in implementation and the reporting burden for final beneficiaries and implementers, in particular smaller beneficiaries; regrets that innovation is hampered by the disproportional administrative burden and time lags for start-ups and SMEs; believes that the use of de minimis clauses and the stringent implementation of the once-only principle for reporting is necessary to further unlock the potential of European innovators; calls for an initiative to speed up administrative procedures for start-ups and SMEs; reiterates that such simplification should not be to the detriment of sufficient controls, sound financial management and transparency;

Amendment 74

Motion for a resolution

Paragraph 61 b (new)

Motion for a resolution

Amendment

61 b. Expresses serious concern about the European Court of Auditors’ conclusion, in its 2024 report, that the error rate for EU spending has risen to 5.6 % of the overall budget; urges the Commission to thoroughly consider the findings of the European Court of Auditors and implement the recommendations from both its annual and its special reports, in order to enhance the efficiency, transparency and accountability of EU budgetary spending;

Amendment 75

Motion for a resolution

Paragraph 62

Motion for a resolution

Amendment

62. Insists that a simpler budget must also be a more transparent budget, enabling better control of spending and reducing the risks of double funding; underlines that any reduction in programmes must be offset by a far more detailed breakdown of the budget by budget line, in contrast to some programme mergers in the current MFF, such as the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI – Global Europe), which is an example not to follow; calls, therefore, for a sufficiently detailed breakdown by budget line to enable proper accountability and ensure that decision-making in the annual budgetary procedure is meaningful;

63. Reiterates its long-standing position that all EU-level spending should be brought within the purview of the budgetary authority; calls, therefore, for the full budgetisation of (partially) off-budget instruments such as the Social Climate Fund, the Innovation Fund and the Modernisation Fund, or their successors;

62. Insists that a simpler budget must also be a more transparent budget, enabling better control of spending and reducing the risks of double funding; underlines that any reduction in programmes must be offset by a far more detailed breakdown of the budget by budget line, in contrast to some programme mergers in the current MFF, such as the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI – Global Europe), which is an example not to follow; calls, therefore, for a sufficiently detailed breakdown by budget line to enable proper accountability and ensure that decision-making in the annual budgetary procedure is meaningful; insists that performance reviews and budgetary discussions must be transparent, with information made publicly accessible;

A long-term budget that is more flexible and more responsive to crises and shocks

Amendment 76

64. Points out that, traditionally, the MFF has not been conceived with a crisis response or flexibility logic, but rather has been designed primarily to ensure medium-term investment predictability; underlines that, in a rapidly changing political, economic and social context, such an approach is no longer tenable; insists on sufficient in-built crisis response capacity in the next MFF;

Motion for a resolution

65. Underscores that the current MFF has been beset by a lack of flexibility and an inability to adjust to evolving spending priorities; considers that the next MFF needs to strike a better balance between investment predictability and flexibility to adjust spending focus; highlights that spending in certain areas requires greater stability than in others where flexibility is more valuable; stresses that recurrent redeployments are not a viable way to finance the Union’s priorities as they damage investments and jeopardise the delivery of agreed policy objectives;

Paragraph 62 a (new)

66. Believes that, while allocating a significant portion of funding to objectives up-front, spending programmes should retain a substantial in-built flexibility reserve, with allocation to specific policy objectives to be decided by the budgetary authority; notes that the NDICI – Global Europe’s emerging challenges and priorities cushion provides a model for such a flexibility reserve, but that the decision-making process for its mobilisation must not be replicated in the future MFF; points to the need for a detailed budgetary breakdown to ensure decisions by the budgetary authority are meaningful;

Motion for a resolution

67. Underlines that the MFF must have sufficient margins under each heading to ensure that new instruments or spending objectives agreed over the programming period can be accommodated without eroding funding for other policy objectives or eating into crisis response capacity;

Amendment

62 a. Calls for future performance-based instruments to be complemented by a single audit trail to trace budget contributions to the projects funded and the final recipients, namely the private entities benefiting from public procurement or programmes; underlines the need for project-level auditing to mitigate reputational risks in the eyes of the general public; highlights the added benefit of publicly labelling EU-funded projects; underlines the need to reduce increasing administrative bottlenecks and bureaucratic burdens; underscores that reimbursements can be based on indicative costing, if transparency and auditing standards for actual expenditures are publicly available ex post; highlights the need to link reforms and investments to achieve long-term structural changes; requests a clear methodology for the partial fulfilment of milestones and sub-level milestones;

Amendment 77

Motion for a resolution

Paragraph 63 a (new)

Motion for a resolution

Amendment

63 a. Notes that the Commission is responsible for the implementation of the budget and that many funds under shared management are implemented by Member States; stresses, therefore, the importance of a robust system of financial corrections to enable intervention in the event of serious deficiencies in the management and control systems of Member States; emphasises that such a system must be sufficiently deterrent;

Amendment 78

Motion for a resolution

Paragraph 67 a (new)

Motion for a resolution

Amendment

67 a. Notes that different programmes and projects could have varying timelines for implementation; warns against excessively burdensome administrative obligations associated with changing such programmes or projects; underlines the need for flexibility of the budget to cover evolving needs;

Amendment 79

Motion for a resolution

Paragraph 68

Motion for a resolution

Amendment

68. Calls for a root-and-branch reform of the existing special instruments to bolster crisis response capacity; underlines that the current instruments are both inadequate in size and constrained by excessive rigidity, with several effectively ring-fenced according to crisis type; points out that enhanced crisis response capacity will ensure that cohesion policy funds are not called upon for that purpose and can therefore be used for their intended investment objectives;

68. Calls for a root-and-branch reform of the existing special instruments to bolster crisis response capacity; underlines that the current instruments are both inadequate in size and constrained by excessive rigidity, with several effectively ring-fenced according to crisis type; points out that enhanced crisis response capacity and flexibility in reviewing national programmes in the event of asymmetric shocks will ensure that cohesion policy funds are not called upon for that purpose and can therefore be used for their intended investment objectives;

Amendment 80

Motion for a resolution

Paragraph 68 a (new)

Motion for a resolution

Amendment

68 a. Recalls that the RRF replaced the proposals on the Budgetary Instrument for Competitiveness and Convergence (BICC) and on the Reform Support Programme 2021 – 2027 (RSP); highlights the fact that effective fiscal coordination among Member States remains vital, post-RRF, for implementing an appropriate fiscal stance;

Amendment 81

Motion for a resolution

Paragraph 68 b (new)

Motion for a resolution

Amendment

68 b. Highlights the fact that EU funding instruments have ensured macroeconomic stabilisation at the EU level in the face of multiple crises since 2019, in part establishing the euro area budget, and also enhancing internal and external resilience and supporting Member States in financing essential and strategic investment within the Union;

Amendment 82

Motion for a resolution

Paragraph 68 d (new)

Motion for a resolution

Amendment

68 d. Calls for EU-level investment instruments and tools designed to minimise the cost for EU taxpayers and maximise efficiency in the provision of public goods in the EU;

Amendment 83

Motion for a resolution

Paragraph 69

Motion for a resolution

Amendment

69. Considers that the post-2027 MFF should include only two special instruments - one dedicated to ensuring solidarity in the event of natural disasters (the successor to the existing European Solidarity Reserve) and one for general-purpose crisis response (the successor to the Flexibility Instrument); insists that both special instruments should be adequately funded from the outset and able to carry over unspent amounts indefinitely over the MFF period; believes that all other special instruments can either be wound up or subsumed into the two special instruments or into existing programmes;

70. Calls for the future Flexibility Instrument to be heavily front-loaded and subsequently to be fed through a number of additional sources of financing: unspent margins from previous years (as with the current Single Margin Instrument), the annual surplus from the previous year, a fines-based mechanism modelled on the existing Article 5 of the MFF Regulation, and decommitted appropriations;

69. Highlights the need for the post-2027 MFF to include fewer special instruments, for example, one dedicated to ensuring solidarity in the event of natural disasters (the successor to the existing European Solidarity Reserve) and one for general-purpose crisis response (the successor to the Flexibility Instrument); insists that both special instruments should be adequately funded from the outset and able to carry over unspent amounts indefinitely over the MFF period;

71. Points out that, with sufficient up-front resources and such arrangements for re-using unused funds, the budget would have far greater response capacity without impinging on the predictability of national GNI-based contributions; insists that an MFF endowed with greater flexibility and response capacity is less likely to require a substantial mid-term revision;

Amendment 84

A long-term budget that is more results-focused

Motion for a resolution

Paragraph 72

Motion for a resolution

Amendment

72. Emphasises that, in order to maximise impact, it is imperative that spending under the next MFF be much more rigorously aligned with the Union’s strategic policy aims and carefully coordinated with spending at national level;

72. Emphasises that, in order to maximise impact, it is imperative that spending under the next MFF be much more rigorously aligned with the Union’s strategic policy aims and carefully coordinated with spending at national level; remarks, therefore, that the Union’s strategic policy priorities and local specificities must be balanced; reiterates its position that the involvement of regional and local authorities, as well as relevant civil society organisations, is key in the design and implementation of any national approach for the next MFF;

Amendment 85

Motion for a resolution

Paragraph 72 a (new)

Motion for a resolution

Amendment

72 a. Calls on the Commission to focus more closely on results and outcomes in the post-2027 MFF, alongside outputs and costs, and to place greater emphasis on European cross-border added value;

Amendment 86

Motion for a resolution

Paragraph 73

Motion for a resolution

Amendment

73. Considers that the RRF, with its focus on performance and links between reforms and investments and budgetary support, has helped to drive national investments and reforms that would not otherwise have taken place;

73. Considers that the RRF, with its focus on performance and links between reforms and investments and budgetary support, has helped to drive national investments and reforms that would not otherwise have taken place; calls for a necessary detailed assessment of the true impact on economic growth and job creation of the reforms and investments under this mechanism, for both the EU as a whole and each of the Member States; calls, in this regard, for lessons to be learnt from the deficiencies of the RRF and stresses that future performance-based instruments should be designed primarily based on results and impacts rather than on mere outputs; calls for a detailed repayment plan for this instrument;

Amendment 87

Motion for a resolution

Paragraph 74

Motion for a resolution

Amendment

74. Underlines that the RRF can help to inform the delivery of Union spending under shared management; recalls, however, that the RRF was agreed in the very specific context of the COVID-19 pandemic and cannot, therefore, be replicated wholesale for future investment programmes;

74. Underlines that the RRF offers valuable lessons on leveraging public investment; recalls, however, that the RRF was agreed as a temporary instrument in the very specific context of the COVID-19 pandemic; notes that, to some extent, the RRF failed to fund investment in common European projects;

Amendment 88

Motion for a resolution

Paragraph 75

Motion for a resolution

Amendment

75. Points out that any application of an RRF-style delivery model in the next MFF would have to correct the RRF’s fundamental flaws, by involving regional and local authorities from design to delivery through a place-based and multilevel governance approach, ensuring the cross-border dimension of investment projects, focusing on results and impact rather than outputs, guaranteeing full transparency in relation to final recipients of Union spending and safeguarding Parliament’s role as legislator, budgetary and discharge authority and in holding the executive to account;

A long-term budget that manages liabilities sustainably

75. Takes note of the RRF’s fundamental flaws, for example, not involving regional and local authorities from design to delivery through a place-based and multilevel governance approach, not ensuring the cross-border dimension of investment projects with positive spill-over effects and strong European added value, not developing a clear methodology for milestones, targets and disbursements, not focusing on results and impact rather than outputs, not conducting impact assessments of the reforms and investment under these funds, not ensuring a single audit trail, not guaranteeing a common definition and full transparency in relation to final recipients of Union spending and not safeguarding Parliament’s role as legislator, budgetary and discharge authority and in holding the executive to account; remarks that high-level ownership by national and regional authorities is essential when it comes to ensuring the successful absorption of EU funding;

76. Recalls Parliament’s very firm opposition to subjecting the repayment of NGEU borrowing costs to a cap within an MFF heading given that these costs are subject to market conditions, influenced by external factors and thus inherently volatile, and that the repayment of borrowing costs is a non-discretionary legal obligation; stresses that introducing new own resources is also necessary to prevent future generations from bearing the burden for past debts;

Amendment 89

77. Deplores the fact that, under the existing architecture and despite the joint declaration by the three institutions as part of the 2020 MFF agreement whereby expenditure to cover NGEU financing costs ‘shall aim at not reducing programmes and funds’, financing for key Union programmes and resources available for special instruments, even after the MFF revision, have de facto been competing with the repayment of NGEU borrowing costs in a context of steep inflation and rising interest rates;

Motion for a resolution

Paragraph 75 a (new)

Motion for a resolution

Amendment

75 a. Recalls that only through a rapid, transparent and effective implementation of the RRF by the Member States, as well as the fulfilment of the milestones and objectives within the agreed time frames, will these funds have the promised and expected impact on the GDP of the Union and of each of its Member States; emphasises that their success will depend on the rapid and effective deployment of the funds in the real economy, productive sectors and companies;

Amendment 90

Motion for a resolution

Paragraph 75 b (new)

Motion for a resolution

Amendment

75 b. Calls for a more responsive budget with enhanced feedback mechanisms between performance information and programme design or adjustment, thanks to better measurement and data availability; highlights the need for better dissemination of best practice across programmes and Member States; insists that a more effective budget requires comprehensive impact assessments across multiple programmes;

Amendment 91

Motion for a resolution

Paragraph 77 a (new)

Motion for a resolution

Amendment

77 a. Notes with concern that country-specific recommendations (CSRs) have been gaining importance in the economic and budgetary architecture of the Union over time, and that mechanisms linked to CSRs, or any increase in the discretionary power of the Commission in this regard, should be accompanied by greater democratic accountability;

Amendment 92

Motion for a resolution

Paragraph 78

Motion for a resolution

Amendment

78. Underlines that, to date, the Union budget has been required only to repay interest related to NGEU and that, from 2028 onwards, the budget will also have to repay the capital; underscores that the total costs for NGEU capital and interest repayments are projected to be around EUR 20-30 billion a year from 2028;

79. Acknowledges that, while NGEU borrowing costs will be more stable in the next MFF period as bonds will already have been issued, the precise repayment profile will have an impact on the level of interest and thus on the degree of volatility; insists, therefore, that such repayment costs be treated distinctly from appropriations for EU programmes within the MFF architecture;

78. Notes that, to date, the Union budget has been required only to repay interest related to NGEU and that, from 2028 onwards, the budget will also have to start repaying principal amounts; underscores that the total costs for NGEU capital and interest repayments are projected to be around EUR 20-30 billion a year from 2028; calls on the Commission to present a plan for an effective approach to the final stage of the NGEU programme, which will ensure effective deployment of funds, robust scrutiny of implementation and increased transparency regarding final beneficiaries; notes that the higher debt burden makes the Union budget more vulnerable to interest rate hikes and can lead to a reduced capacity to respond to future challenges; encourages the Commission to explore options to reduce the overall debt burden;

80. Points, moreover, to the increasing demand for the Union budget to serve as a guarantee for the Union’s vital support through macro-financial assistance; underlines that, in the event of default or the withdrawal of national guarantees, the Union budget ultimately underwrites all macro-financial assistance loans and therefore bears significant and inherently unpredictable contingent liabilities, notably in relation to Ukraine;

Amendment 93

81. Calls, therefore, on the Commission to design a sound and durable architecture that enables sustainable management of all non-discretionary costs and liabilities, fully preserving Union programmes and the budget’s flexibility and response capacity;

Motion for a resolution

A long-term budget that is properly resourced and sustainably financed

Paragraph 82

Motion for a resolution

Amendment

82. Underlines that, as described above, the budgetary needs post-2027 will be significantly higher than the amounts allocated to the 2021-2027 MFF; insists, therefore, that the Union will only be able to tackle the significant challenges it faces and deliver on its policy objectives if the next MFF is endowed with the resources necessary to meet the increasing budgetary needs;

82. Underlines that, as described above, the budgetary needs post-2027 will be significantly higher than the amounts allocated to the 2021-2027 MFF; insists, therefore, that the Union will only be able to tackle the significant challenges it faces and deliver on its policy objectives if the next MFF is endowed with the resources necessary to meet the Union’s challenges; underlines the need for a thorough evaluation of expenditure and a healthy budgetary balance; underlines the specific regional economic, social and security challenges that need to be reflected in the future MFF; underlines the need to ensure upward socio-economic convergence within the EU;

Amendment 94

Motion for a resolution

Paragraph 83

Motion for a resolution

Amendment

83. Considers that all instruments and tools should be explored in order to provide the Union with those resources, in line with its priorities and identified needs;

84. Reiterates the need for sustainable and resilient revenue for the Union budget; points to the legally binding roadmap towards the introduction of new own resources in the IIA, in which Parliament, the Council and the Commission undertook to introduce sufficient new own resources to at least cover the repayment of NGEU debt;

83. Considers that all instruments and tools should be explored in order to provide the Union with those resources, in line with its priorities and identified needs; underlines that, in this matter, the EU must mobilise new own resources, after conducting an impact assessment;

Amendment 95

Motion for a resolution

Paragraph 84 a (new)

Motion for a resolution

Amendment

84 a. Stresses the need to ensure adequate funding in the next MFF; stresses that the introduction of new own resources that fulfil the criteria of simplicity, transparency, predictability and fairness, after a careful impact assessment to ensure a fair and balanced approach for all Member States, are an essential means of financing EU priorities; considers it therefore necessary to enhance coordination on matters of taxation and duties also at the level of the Organisation for Economic Co-operation and Development; notes the need for fair and proportionate allocation between national contributions and EU spending for policy areas related to European public goods;

Amendment 96

Motion for a resolution

Paragraph 85

Motion for a resolution

Amendment

85. Recalls its support for the amended Commission proposal on the system of own resources; calls on the Council to adopt this proposal as a matter of urgency; points, furthermore, to the need to explore additional innovative and genuine new own resources, in order to cover the higher spending needs;

86. Calls on the Commission to design a modernised budget with a renewed spending focus, driven by the need for fairness, greater simplification, a reduced administrative burden and more transparency, including on the revenue side; underlines that existing rebates and corrections automatically expire at the end of the current MFF;

85. Recalls its support for the amended Commission proposal on the system of own resources; reiterates that the promise of new own resources was a condition for the agreement on NGEU and points out that the absence of new own resources will put a considerable strain on the Union’s budget in light of the refinancing obligations under NGEU; reiterates the need for a careful assessment beforehand, to ensure a fair and balanced approach; calls on the Council to adopt this proposal as a matter of urgency; points, furthermore to the need, after an impact assessment, to explore additional innovative and genuine new own resources, in order to cover the higher spending needs; calls on the Member States and the Commission to increase the overall VAT revenues by combating fraud, improving efficiency, boosting economic growth and driving digitalisation, while ensuring that changes in VAT rates or exemptions do not disproportionately affect Member States with unique geographical constraints; calls on the Council to ensure that any VAT contribution increases above the current 0.3 % rate remain proportional to GDP and account for geographical limitations, safeguarding fairness for isolated or geographically disadvantaged Member States;

A long-term budget grounded in close interinstitutional cooperation

Amendment 97

87. Recalls that the requirement for close interinstitutional cooperation between the Commission, the Council and Parliament from the early design stages to the final adoption of the MFF is enshrined in the Treaties and further detailed in the IIA;

Motion for a resolution

88. Emphasises Parliament’s commitment to play its role fully throughout the process; believes that the design of the MFF should be bottom-up and based on the extensive involvement of stakeholders; underlines, furthermore, the need for a strategic dialogue among the three institutions in the run-up to the MFF proposals;

Paragraph 86 a (new)

89. Calls on the Commission to put forward practical arrangements for cooperation and genuine negotiations from the outset; points, in particular, to the importance of convening meetings of the three Presidents, as per Article 324 TFEU, wherever they can aid progress, and insists that the Commission follow up when Parliament requests such meetings; reminds the Commission of its obligation to provide information to Parliament on an equal footing with the Council as the two arms of the budgetary authority and as co-legislators on MFF-related basic acts;

Motion for a resolution

90. Stresses that the specific cooperation provisions set out in the IIA, including regular meetings between Parliament and the Council, are a bare minimum and that much more is needed to give effect to the principle in Article 312(5) TFEU of taking ‘any measure necessary to facilitate the adoption of a new MFF’; calls, therefore, on the successive Council presidencies to respect not only the letter, but also the spirit of the Treaties;

Amendment

91. Expects the Commission, as part of the package of MFF proposals, to put forward a new IIA in line with the realities of the new budget, including with respect to the management of contingent liabilities;

86 a. Highlights the continuing uncertainty surrounding the repayment of the NGEU borrowing costs, as no repayment plan has been agreed;

92. Instructs its President to forward this resolution to the Council and the Commission.

Amendment 98

EXPLANATORY STATEMENT

Motion for a resolution

The European Commission is required, under the regulation establishing the multiannual financial framework for the period 2021-2027, to put forward a legislative proposal for the post-2027 framework by 1 July 2025. This report is intended, therefore, to set out Parliament’s vision of how that post-2027 framework should be designed and resourced.

Paragraph 91

Motion for a resolution

Amendment

91. Expects the Commission, as part of the package of MFF proposals, to put forward a new IIAin line with the realities of the new budget, including with respect to the management of contingent liabilities;

91. Expects the Commission, as part of the package of MFF proposals, to put forward a new IIA in line with the realities of the new budget, including with respect to the management of contingent liabilities and the mainstreaming of competitiveness, SMEs and defence;

Amendment 99

Motion for a resolution

Paragraph 91 a (new)

Motion for a resolution

Amendment

91 a. Stresses the importance of parliamentary scrutiny of the implementation of the Union budget under the MFF and of compliance with sectoral legislation;

ANNEX: ENTITIES OR PERSONS FROM WHOM THE RAPPORTEUR FOR OPINION HAS RECEIVED INPUT

Pursuant to Article 8 of Annex I to the Rules of Procedure, the rapporteur for opinion declares that he received input from the following entities or persons in the preparation of the draft opinion:

Entity and/or person

European Commission - DG BUDG

European Commission - Secretariat General

Institut Jacques Delors

European Commission - DG ECFIN

European Commission - Secretariat General REFORM

ECA

EIB

Climate Strategy

The list above is drawn up under the exclusive responsibility of the rapporteur for the opinion.

Where natural persons are identified in the list by their name, by their function or by both, the rapporteur for opinion declares that he has submitted to the natural persons concerned the European Parliament’s Data Protection Notice No 484 (https://www.europarl.europa.eu/data-protect/index.do), which sets out the conditions applicable to the processing of their personal data and the rights linked to that processing.

INFORMATION ON ADOPTION IN COMMITTEE ASKED FOR OPINION

Date adopted

31.3.2025

Result of final vote

+ : 37

- : 10

0 : 1

Members present for the final vote

Georgios Aftias, Rasmus Andresen, Francisco Assis, René Aust, Stefan Berger, Damian Boeselager, Gilles Boyer, Giovanni Crosetto, Fabio De Masi, Engin Eroglu, Marco Falcone, Markus Ferber, Jonás Fernández, Claire Fita, Dirk Gotink, Enikő Győri, Michalis Hadjipantela, Eero Heinäluoma, Billy Kelleher, Tomáš Kubín, Aurore Lalucq, Rada Laykova, Siegfried Mureşan, Fernando Navarrete Rojas, Denis Nesci, Luděk Niedermayer, Ľudovít Ódor, Nikos Papandreou, Gaetano Pedulla', Kira Marie Peter-Hansen, Pierre Pimpie, Friedrich Pürner, Evelyn Regner, René Repasi, Jussi Saramo, Paulius Saudargas, Marie Toussaint, Anouk Van Brug, Lara Wolters, Roberts Zīle

Substitutes present for the final vote

Paolo Borchia, Regina Doherty, Gerben-Jan Gerbrandy, Antonio López-Istúriz White, Angelika Winzig

Members under Rule 216(7) present for the final vote

Reinis Pozņaks, Sebastiaan Stöteler, Roberto Vannacci

FINAL VOTE BY ROLL CALL BY THE COMMITTEE ASKED FOR OPINION

37

+

ECR

Crosetto Giovanni, Nesci Denis, Poznaks Reinis, Zile Roberts

PPE

Aftias Georgios, Berger Stefan, Doherty Regina, Falcone Marco, Ferber Markus, Gotink Dirk, Hadjipantela Michalis, López-Istúriz White Antonio, Muresan Siegfried, Navarrete Rojas Fernando, Niedermayer Ludek, Saudargas Paulius, Winzig Angelika

Renew

Boyer Gilles, Eroglu Engin, Gerbrandy Gerben-Jan, Kelleher Billy, Ódor Ludovít, Van Brug Anouk

S&D

Assis Francisco, Fernández Jonás, Fita Claire, Heinäluoma Eero, Lalucq Aurore, Papandreou Nikos, Regner Evelyn, Repasi René, Wolters Lara

The Left

Saramo Jussi

Verts/ALE

Andresen Rasmus, Boeselager Damian, Peter-Hansen Kira Marie, Toussaint Marie

10

-

ESN

Aust René, Laykova Rada

NI

De Masi Fabio, Pürner Friedrich

PfE

Borchia Paolo, Gyori Eniko, Kubín Tomás, Pimpie Pierre, Stöteler Sebastiaan, Vannacci Roberto

1

0

The Left

Pedulla' Gaetano

Key:

+ : in favour

- : against

0 : abstentions