Text · Adopted text
Council regulation laying down the multiannual financial framework for the years 2021 to 2027 ***
Document TA-9-2020-0357 · P9_TA(2020)0357 · PE660.266
- Kind
- Adopted text TA-9-2020-0357
- Date
- 16 December 2020
- Dossier
- 2018-0166
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- FIN, BUDG
In short
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Parliament gives its consent to the draft Council regulation laying down the multiannual financial framework (MFF) for 2021 to 2027, as set out in the annex. It approves joint declarations by Parliament, the Council and the Commission, its own declaration and takes note of Commission declarations annexed to the resolution. The regulation sets annual expenditure ceilings for seven years from 1 January 2021, rules for technical and programme-specific adjustments, and special instruments. It creates the European Globalisation Adjustment Fund, the Solidarity and Emergency Aid Reserve, the Brexit Adjustment Reserve, the Single Margin Instrument and the Flexibility Instrument. It provides for revising the MFF in cases such as Treaty revision, enlargement or the reunification of Cyprus, and caps contributions to large-scale projects. The Commission must present a proposal for a new multiannual financial framework before 1 July 2025.
Key points
- Parliament gives its consent to the draft Council regulation on the MFF for 2021 to 2027 as set out in the annex.
- Parliament approves the joint declarations by Parliament, the Council and the Commission, its own declaration, and takes note of the Commission declarations annexed to the resolution.
- The MFF runs for seven years from 1 January 2021; the three institutions must comply with the annual expenditure ceilings in Annex I.
- Commitment and payment appropriations for the special instruments in Articles 8, 9, 10 and 12, the Single Margin Instrument and guarantees for financial assistance to member states are entered in the budget over and above the MFF ceilings.
- The Commission makes annual technical adjustments to the MFF, including revaluation at year n+1 prices using a fixed deflator of 2 % per year, and communicates the results to Parliament and the Council.
- Revenue from fines under Council Regulations (EC) No 1/2003 and (EC) No 139/2004 funds additional allocations for programmes listed in Annex II, totalling EUR 11 000 million for 2022 to 2027.
- The European Globalisation Adjustment Fund is capped at EUR 186 million a year; the Solidarity and Emergency Aid Reserve at EUR 1 200 million a year; the Brexit Adjustment Reserve at EUR 5 000 million.
- The Single Margin Instrument may be used up to 0,04 % of the Union's gross national income in commitment appropriations and 0,03 % in payment appropriations in any given year.
- The Flexibility Instrument has an annual ceiling of EUR 915 million; unused amounts may be used up to year n+2.
- The MFF may be revised in the event of unforeseen circumstances, a revision of the Treaties, enlargement of the Union or the reunification of Cyprus.
- A maximum of EUR 13 202 million is available for large-scale space programme projects and EUR 5 000 million for the International Thermonuclear Experimental Reactor project (ITER) for 2021 to 2027.
- The Commission must present a proposal for a new multiannual financial framework before 1 July 2025.
Who is affected
- The European Parliament, the Council and the Commission, which must comply with the MFF ceilings and cooperate in the budgetary procedure.
- Member states and sectors worst affected by the United Kingdom's withdrawal, which may receive assistance from the Brexit Adjustment Reserve.
- Programmes listed in Annex II, which receive additional allocations from fines revenue.
- The space programme and the ITER project, which receive capped contributions from the general budget of the Union.
Figures and deadlines
- EUR 11 000 million (in 2018 prices) — total additional allocations for 2022 to 2027 for commitment and payment appropriations.
- EUR 1 500 million (in 2018 prices) — minimum annual additional allocation for each of the years 2022 to 2026.
- EUR 2 000 million (in 2018 prices) — maximum annual additional allocation for each of the years 2022 to 2026.
- EUR 186 million (in 2018 prices) — maximum annual amount of the European Globalisation Adjustment Fund.
- EUR 1 200 million (in 2018 prices) — maximum annual amount of the Solidarity and Emergency Aid Reserve.
- EUR 400 million (in 2018 prices) — maximum amount that may be financed from the following year's Solidarity and Emergency Aid Reserve in exceptional cases.
- EUR 5 000 million (in 2018 prices) — maximum amount of the Brexit Adjustment Reserve.
- EUR 915 million (in 2018 prices) — annual ceiling of the Flexibility Instrument.
Legal basis. Article 312 of the Treaty on the Functioning of the European Union and Article 106a of the Treaty establishing the European Atomic Energy Community.
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European Parliament legislative resolution of 16 December 2020 on the draft Council regulation laying down the multiannual financial framework for the years 2021 to 2027 (09970/2020 – C9-0409/2020 – 2018/0166(APP))
–having regard to the request for consent submitted by the Council in accordance with Article 312 of the Treaty on the Functioning of the European Union (TFEU) and Article 106a of the Treaty establishing the European Atomic Energy Community (C90409/2020),
–having regard to its resolution of 14 November 2018 on the multiannual financial framework 2021-2027 – Parliament’s position with a view to an agreement,
–having regard to its resolution of 10 October 2019 on the 2021-2027 multiannual financial framework and own resources: time to meet citizens' expectations,
–having regard to its resolution of 23 July 2020 on the conclusions of the extraordinary European Council meeting of 17-21 July 2020,
–having regard to the letters from the Committee on the Environment, Public Health and Food Safety and the Committee on Constitutional Affairs,
1.Gives its consent to the draft Council regulation laying down the multiannual financial framework for the years 2021 to 2027 as set out in annex to this resolution;
2.Approves the joint declarations by Parliament, the Council and the Commission annexed to this resolution;
5.Instructs its President to sign, together with the President of the Council and the President of the Commission, the joint declaration of the European Parliament, the Council and the Commission on budgetary scrutiny of new proposals based on Article 122 TFEU with potential appreciable implications for the Union budget;
Back matter, 2
Parts that accompany the text rather than belong to it: explanatory statement, annexes, opinions appended by other committees. Collapsed.
Annex 1: draft council regulation laying down the multiannual financial framework for the years 2021-2027 156 blocks
Having regard to the Treaty on the Functioning of the European Union, and in particular Article 312 thereof,
Having regard to the Treaty establishing the European Atomic Energy Community, and in particular Article 106a thereof,
(1) Taking into account the need for an adequate level of predictability for preparing and implementing medium-term investments, the duration of the multiannual financial framework (MFF) should be set at seven years starting on 1 January 2021.
(2) The economic impact of the COVID-19 crisis requires the Union to provide a long-term financial framework paving the way to a fair and inclusive transition to a green and digital future, supporting the Union's longer-term strategic autonomy and making it resilient to shocks in the future.
(3) The annual ceilings for commitment appropriations by category of expenditure and the annual ceilings for payment appropriations established by this Regulation are to respect the applicable ceilings for commitments and own resources, which are set in accordance with the Council decision on the system of own resources of the European Union in force that has been adopted in accordance with the third paragraph of Article 311 of the Treaty on the Functioning of the European Union (TFEU) (the 'Own Resources Decision').
(4) Where it is necessary to mobilise the guarantees given under the general budget of the Union for financial assistance to Member States authorised in accordance with Article 220(1) of Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council (the 'Financial Regulation'), the necessary amount should be mobilised over and above the ceilings for commitment and payment appropriations of the MFF, while respecting the own resources ceiling.
(5) The MFF should not take account of budget items financed by assigned revenue within the meaning of the Financial Regulation.
(6) The MFF should be laid down in 2018 prices. The rules for annual technical adjustments to the MFF to recalculate the ceilings and margins available should also be laid down.
(7) Rules should be laid down for other situations that might require the MFF to be adjusted. Such adjustments might be related to the delayed adoption of new rules or programmes under shared management, to measures linked to sound economic governance or to measures adopted under the Regulation of the European Parliament and of the Council on a general regime of conditionality for the protection of the Union budget. Rules should also be laid down for a mechanism for programme specific adjustment.
(8) Specific and maximum possible flexibility should be implemented to allow the Union to fulfil its obligations in compliance with Article 323 TFEU.
(9) The following thematic special instruments are necessary to allow the Union to react to specified unforeseen circumstances or consequences and thereby allow the budgetary procedure to run smoothly: the European Globalisation Adjustment Fund, the Solidarity and Emergency Aid Reserve and the Brexit Adjustment Reserve. The Solidarity and Emergency Aid Reserve is not aimed at addressing the consequences of market related crises affecting the agricultural production or distribution.
(10) The following non-thematic special instruments are necessary to further enhance flexibility: the Single Margin Instrument and the Flexibility Instrument. The Single Margin Instrument should enable shifting margins available below the ceilings for commitment and payment appropriationsrespectively between financial years and, for commitment appropriations, between MFF headings, without exceeding the total amounts of the MFF ceilings for commitment and payment appropriations for the entire period of the MFF. The Flexibility Instrument should allow the financing of specific unforeseen expenditure for a given financial year.
(11) Specific provision should be made for the possibility to enter commitment and corresponding payment appropriations into the budget over and above the ceilings set out in the MFF where it is necessary to use special instruments.
(12) It is necessary to provide for a revision of the MFF in the event of revision of the Treaties with budgetary implications, of the reunification of Cyprus or of the enlargement of the Union, as well as in the light of the implementation of the budget.
(13) This Regulation might also need to be revised in relation to unforeseen circumstances that cannot be dealt with within the limits set out in the MFF. It is therefore necessary to provide for the revision of the MFF in such cases.
(14) Specific rules are also necessary for dealing with large-scale projects the lifetime of which extends well beyond the period set for the MFF. It is necessary to establish maximum amounts for the contributions from the general budget of the Union to those projects, thereby ensuring that they do not have any impact on other projects financed from that budget.
(15) It is necessary to lay down general rules on interinstitutional cooperation in the budgetary procedure, while respecting the budgetary powers of the European Parliament, the Council and the Commission (the 'Institutions') as laid down in the Treaties as well as transparency requirements.
(16) The Commission should present a proposal for a new multiannual financial framework before 1 July 2025, to enable the institutions to adopt it sufficiently in advance of the start of the subsequent multiannual financial framework. In accordance with Article 312(4) TFEU, the ceilings corresponding to the last year of the MFF set out in this Regulation are to continue to apply in the event that a new multiannual financial framework is not adopted before the end of the term of the MFF laid down in this Regulation,
1. The European Parliament, the Council and the Commission (the 'Institutions') shall, during each budgetary procedure and when implementing the budget for the year concerned, comply with the annual expenditure ceilings set out in Annex I (the 'MFF ceilings').
The sub-ceiling for heading 3 as set out in Annex I is established without prejudice to the flexibility between the two pillars of the Common Agricultural Policy (CAP). The adjusted ceiling to be applied to pillar I of the CAP following the transfers between the European Agricultural Fund for Rural Development and direct payments shall be laid down in the relevant legal act and the MFF shall be adjusted accordingly under the technical adjustment provided for in Article 4 of this Regulation.
2. Where it is necessary to use the resources from the special instruments provided for in Articles 8, 9, 10 and 12, commitment and corresponding payment appropriations shall be entered in the budget over and above the relevant MFF ceilings.
Where it is necessary to use the resources from the Single Margin Instrument as laid down in Article 11, commitment and corresponding payment appropriations shall be entered in the budget over and above the relevant MFF ceilings for a given year.
3. Where it is necessary to mobilise a guarantee for financial assistance to Member States authorised in accordance with Article 220(1) of the Financial Regulation, the necessary amount shall be mobilised over and above the MFF ceilings.
1. For each of the years covered by the MFF, the total appropriations for payments required, after annual adjustment and taking account of any other adjustments and revisions as well as the application of Article 2(2) and (3), shall not be such as to produce a call-in rate for own resources that exceeds the own resources ceiling set out in the Council decision on the system of own resources of the European Union in force that has been adopted in accordance with the third paragraph of Article 311 TFEU (the 'Own Resources Decision').
2. Where necessary, the MFF ceilings shall be lowered in order to ensure compliance with the own resources ceiling set out in the Own Resources Decision.
1. Each year the Commission, acting ahead of the budgetary procedure for year n+1, shall make the following technical adjustments to the MFF:
(a) a revaluation, at year n+1 prices, of the ceilings and of the overall figures for appropriations for commitments and appropriations for payments;
(b) a calculation of the margin available under the own resources ceiling set out in the Own Resources Decision;
(c) a calculation of the amount of commitment appropriations available under the Single Margin Instrument as referred to in point (a) of the first subparagraph of Article 11(1), as well as of the total maximum amount referred to in point (a);
(d) a calculation of the adjustment of the ceiling for payment appropriations under the Single Margin Instrument as referred to in point (b) of the first subparagraph of Article 11(1), as well as of the maximum amount referred to in point (b) of the first subparagraph of Article 11(2);
(e) a calculation of the additional allocations for specific programmes referred to in Article 5(1) and the result of the annual adjustment referred to in Article 5(2).
2. The Commission shall make the technical adjustments referred to in paragraph 1 on the basis of a fixed deflator of 2 % per year.
3. The Commission shall communicate the results of the technical adjustments referred to in paragraph 1 and the underlying economic forecasts to the European Parliament and to the Council.
4. Without prejudice to Articles 6 and 7, no further technical adjustments shall be made in respect of the year concerned, either during the year or as ex post corrections during subsequent years.
1. An amount equivalent to the revenue from fines imposed under Council Regulations (EC) No 1/2003 and (EC) No 139/2004 by Union institutions, which is entered in the budget of the year n-1 in accordance with Article 107 of the Financial Regulation, after deduction of the amount for the year n-1 referred to in Article 141(1) of the Agreement on the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and the European Atomic Energy Community, shall be available for an additional allocation of:
(a) commitment appropriations for year n+1, starting for the year 2022 and ending in 2027, to the programmes listed in Annex II, in accordance with percentages set out for those programmes in the column 'Distribution key' of the table in Annex II; and
The total amount of additional allocations for the period 2022 to 2027 for commitment and payment appropriations respectively shall be EUR 11 000 million (in 2018 prices). For each of the years 2022 to 2026, the annual amount of additional allocations for commitment and payment appropriations respectively shall be at least EUR 1 500 million (in 2018 prices) and shall not exceed EUR 2 000 million (in 2018 prices).
The total amount of additional allocations for commitment appropriations for the programmes in the period 2022 to 2027 is set out in the column 'Total additional allocation of commitment appropriations under Article 5' of the table in Annex II.
2. The ceilings for commitment appropriations of the relevant headings for year n+1, starting for the year 2022 and ending in 2027, shall be adjusted upwards with the amounts corresponding to the additional allocations set out in paragraph 1, in accordance with the percentages set out for those headings in the column 'Distribution key' of the table in Annex II. The ceiling for payment appropriations for year n+1, starting for the year 2022 and ending in 2027, shall be automatically adjusted upwards with the amounts corresponding to the additional allocations set out in paragraph 1.
Article 6 Adjustments related to measures linked to sound economic governance or to a general regime of conditionality for the protection of the Union budget
1. In the case of the lifting of a suspension of budgetary commitments concerning Union funds in accordance with the relevant basic acts in the context of measures linked to sound economic governance or to measures adopted under the Regulation of the European Parliament and of the Council on a general regime of conditionality for the protection of the Union budget, the amounts corresponding to the suspended commitments shall be transferred to the following years and the corresponding MFF ceilings shall be adjusted accordingly.
2. The Commission shall communicate the result of any adjustments under paragraph 1 to the European Parliament and to the Council.
3. Suspended commitments of year n may not be entered in the general budget of the Union beyond year n+2.
1. In the event of the adoption after 1 January 2021 of new rules or programmes under shared management for the Structural Funds, the Cohesion Fund, the Just Transition Fund, the European Agricultural Fund for Rural Development, the European Maritime and Fisheries Fund, the Asylum and Migration Fund, the Internal Security Fund and the Border Management and Visa Instrument under the Integrated Border Management Fund, the amounts corresponding to the allocations not used in 2021 shall be transferred in equal proportions to each of the years 2022 to 2025, and the corresponding MFF ceilings shall be adjusted accordingly.
2. The Commission shall communicate the result of any adjustments under paragraph 1 to the European Parliament and to the Council.
1. The European Globalisation Adjustment Fund, the objectives and scope of which are set out in Regulation of the European Parliament and of the Council on the European Globalisation Adjustment Fund, shall not exceed a maximum annual amount of EUR 186 million (in 2018 prices).
2. The appropriations for the European Globalisation Adjustment Fund shall be entered in the general budget of the Union as a provision.
(a) assistance to respond to emergency situations resulting from major disasters that are covered by the European Union Solidarity Fund, the objectives and scope of which are set out in Council Regulation (EC) No 2012/2002; and
(b) rapid responses to specific emergency needs within the Union or in third countries following events which could not be foreseen when the budget was established, in particular for emergency responses and support operations following natural disasters not covered by point (a), man-made disasters, humanitarian crises in cases of largescale public health, veterinary or phytosanitary threats, as well as in situations of particular pressure at the Union's external borders resulting from migratory flows, where circumstances so require.
2. The Solidarity and Emergency Aid Reserve shall not exceed a maximum annual amount of EUR 1 200 million (in 2018 prices). Any portion of the annual amount not used in year n may be used up to year n+1. The portion of the annual amount stemming from the previous year shall be drawn on first. Any portion of the annual amount from year n which is not used in year n+1 shall lapse.
3. The appropriations for the Solidarity and Emergency Aid Reserve shall be entered in the general budget of the Union as a provision.
4. On 1 October of each year, at least one quarter of the annual amount referred to in paragraph 2 shall remain available in order to cover needs arising until the end of that year.
Without prejudice to the first subparagraph, the following maximum percentages of the overall amount available until 1 September of each year may be mobilised:
- 50 % for assistance under point (a) of paragraph 1; the amount resulting from that calculation shall be reduced by any amount mobilised in the previous year in application of paragraph 5;
Without prejudice to the first subparagraph, as of 1 September of each year, the remaining part of the amount available may be used for any assistance referred to in the second subparagraph to cover needs arising until the end of that year.
5. In exceptional cases and if the remaining financial resources available in the Solidarity and Emergency Aid Reserve are not sufficient to cover the amounts considered necessary for assistance under point (a) of paragraph 1 in the year of occurrence of a disaster as referred to in that point, the Commission may propose that the difference be financed through the annual amounts available for the Solidarity and Emergency Aid Reserve in the following year, up to a maximum amount of EUR 400 million (in 2018 prices).
1. A Brexit Adjustment Reserve shall provide assistance to counter unforeseen and adverse consequences in Member States and sectors that are worst affected by the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and the European Atomic Energy Community, subject to and in accordance with the conditions set out in the relevant instrument.
3. The appropriations for the Brexit Adjustment Reserve shall be entered into the general budget of the Union as a provision.
(a) as of 2022, amounts corresponding to margins left available below the MFF ceilings for commitment appropriations of year n-1 to be made available over and above the MFF ceilings for commitment appropriations for the years 2022 to 2027;
(b) as of 2022, amounts equivalent to the difference between the executed payments and the MFF payment ceiling of year n-1 to adjust upwards the payment ceiling for the years 2022 to 2027; and
(c) additional amounts which may be made available over and above the MFF ceilings in a given year for commitment or payment appropriations, or both, as the case may be, provided that they are fully offset against the margins in one or more MFF headings for the current or future financial years as regards commitment appropriations and are fully offset against the margins under the payment ceiling for future financial years as regards payment appropriations.
Amounts may only be mobilised under point (c) of the first subparagraph if the amounts available pursuant to points (a) and (b) of that subparagraph, as applicable, are insufficient, and in any case as a last resort to react to unforeseen circumstances.
Recourse to point (c) of the first subparagraph shall not result in exceeding the total amounts of the MFF ceilings for commitment and payment appropriations for the current financial year and future financial years. Any amounts offset in accordance with that point shall therefore not be further mobilised in the context of the MFF.
2. Recourse to the Single Margin Instrument under points (a) and (c) of the first subparagraph of paragraph 1 shall not exceed, in any given year, a total of:
(a) 0,04 % of the gross national income of the Union in commitment appropriations, as calculated in the annual technical adjustment of the MFF referred to in Article 4;
(b) 0,03 % of the gross national income of the Union in payment appropriations, as calculated in the annual technical adjustment of the MFF referred to in Article 4.
Recourse to the Single Margin Instrument in any given year shall be consistent with the own resources ceilings set out in the Own Resources Decision.
3. The annual adjustments referred to in point (b) of the first subparagraph of paragraph 1 shall not exceed the following maximum amounts (in 2018 prices) for the years 2025 to 2027 as compared to the original payment ceiling of the relevant years:
Amounts referred to in the second subparagraph of Article 5(2) shall be in addition to the maximum amounts referred to in the first subparagraph of this paragraph.
Any upward adjustment shall be fully offset by a corresponding reduction of the payment ceiling for year n-1.
4. Amounts referred to in points (a) and (c) of the first subparagraph of paragraph 1 of this Article may be mobilised by the European Parliament and the Council in the framework of the budgetary procedure provided for in Article 314 TFEU to allow the financing of expenditure which could not be financed within the limits of the relevant MFF ceilings available in a given year.
The upward adjustment referred to in point (b) of the first subparagraph of paragraph 1 of this Article shall be carried out by the Commission, starting in 2022, as part of the technical adjustment referred to in Article 4.
1. The Flexibility Instrument may be used for the financing, for a given financial year, of specific unforeseen expenditure in commitment appropriations and corresponding payment appropriations that cannot be financed within the limits of the ceilings available for one or more other headings. The ceiling for the annual amount available for the Flexibility Instrument shall be EUR 915 million (in 2018 prices).
2. The unused portion of the annual amount of the Flexibility Instrument may be used up to year n+2. Any portion of the annual amount stemming from previous years shall be used first, in order of age. Any portion of the annual amount from year n which is not used by year n+2 shall lapse.
1. Without prejudice to Article 3(2) and Articles 14 to 17, in the event of unforeseen circumstances, the MFF may be revised in compliance with the own resources ceiling set out in the Own Resources Decision.
2. As a general rule, any proposal for a revision of the MFF in accordance with paragraph 1 shall be presented and adopted before the start of the budgetary procedure for the year or the first of the years concerned.
3. Any proposal for a revision of the MFF in accordance with paragraph 1 shall examine the scope for reallocating expenditure between the programmes covered by the heading concerned by the revision, with particular reference to any expected underutilisation of appropriations.
4. Any revision of the MFF in accordance with paragraph 1 shall take into account the scope for offsetting any raising of the ceiling for one heading by the lowering of the ceiling for another heading.
5. Any revision of the MFF in accordance with paragraph 1 shall maintain an appropriate relationship between commitment and payment appropriations.
When notifying the European Parliament and the Council of the results of the technical adjustments to the MFF, the Commission shall, where appropriate, submit any proposal to revise the total appropriations for payments which it considers necessary, in the light of implementation, to ensure a sound management of the yearly payment ceilings, and in particular their orderly progression in relation to the appropriations for commitments.
In the event of a revision of the Treaties with budgetary implications, the MFF shall be revised accordingly.
In the event of an accession or accessions to the Union, the MFF shall be revised to take account of the expenditure requirements resulting therefrom.
In the event of the reunification of Cyprus, the MFF shall be revised to take account of the comprehensive settlement of the Cyprus problem and the additional financial needs resulting from the reunification.
1. A maximum amount of EUR 13 202 million (in 2018 prices) shall be available from the general budget of the Union for the period 2021 to 2027 for large-scale projects under the Regulation of the European Parliament and of the Council establishing the space programme of the Union and the European Union Agency for the Space Programme.
2. A maximum amount of EUR 5 000 million (in 2018 prices) shall be available from the general budget of the Union for the period 2021 to 2027 for the International Thermonuclear Experimental Reactor project (ITER).
2. The Institutions shall cooperate in good faith throughout the procedure with a view to reconciling their positions. The Institutions shall, at all stages of the procedure, cooperate through appropriate interinstitutional contacts in order to monitor the progress of the work and analyse the degree of convergence.
3. The Institutions shall ensure that their respective calendars of work are coordinated as far as possible, in order to enable proceedings to be conducted in a coherent and convergent way, leading to the final adoption of the general budget of the Union.
4. Trilogues may be held at all stages of the procedure and at different levels of representation, depending on the nature of the expected discussions. Each institution, in accordance with its own rules of procedure, shall designate its participants for each meeting, set out its mandate for the negotiations and inform the other institutions in good time of the arrangements for the meetings.
All expenditure and revenue of the Union and the European Atomic Energy Community shall be included in the general budget of the Union in accordance with Article 7 of the Financial Regulation, including expenditure resulting from any relevant decision taken unanimously by the Council after consulting the European Parliament, in the framework of Article 332 TFEU.
Before 1 July 2025, the Commission shall present a proposal for a new multiannual financial framework.
This Regulation shall enter into force on the third day following that of its publication in the Official Journal of the European Union.
| Commitment appropriations | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | Total 2021-2027 |
| 1. Single Market, Innovation and Digital | 19 712 | 19 666 | 19 133 | 18 633 | 18 518 | 18 646 | 18 473 | 132 781 |
| 2. Cohesion, Resilience and Values | 49 741 | 51 101 | 52 194 | 53 954 | 55 182 | 56 787 | 58 809 | 377 768 |
| 2a. Economic, social and territorial cohesion | 45 411 | 45 951 | 46 493 | 47 130 | 47 770 | 48 414 | 49 066 | 330 235 |
| 2b. Resilience and values | 4 330 | 5 150 | 5 701 | 6 824 | 7 412 | 8 373 | 9 743 | 47 533 |
| 3. Natural Resources and Environment | 55 242 | 52 214 | 51 489 | 50 617 | 49 719 | 48 932 | 48 161 | 356 374 |
| of which: Market related expenditure and direct payments | 38 564 | 38 115 | 37 604 | 36 983 | 36 373 | 35 772 | 35 183 | 258 594 |
| 4. Migration and Border Management | 2 324 | 2 811 | 3 164 | 3 282 | 3 672 | 3 682 | 3 736 | 22 671 |
| 5. Security and Defence | 1 700 | 1 725 | 1 737 | 1 754 | 1 928 | 2 078 | 2 263 | 13 185 |
| 6. Neighbourhood and the World | 15 309 | 15 522 | 14 789 | 14 056 | 13 323 | 12 592 | 12 828 | 98 419 |
| 7. European Public Administration | 10 021 | 10 215 | 10 342 | 10 454 | 10 554 | 10 673 | 10 843 | 73 102 |
| of which: Administrative expenditure of the institutions | 7 742 | 7 878 | 7 945 | 7 997 | 8 025 | 8 077 | 8 188 | 55 852 |
| TOTAL COMMITMENT APPROPRIATIONS | 154 049 | 153 254 | 152 848 | 152 750 | 152 896 | 153 390 | 155 113 | 1 074 300 |
| TOTAL PAYMENT APPROPRIATIONS | 156 557 | 154 822 | 149 936 | 149 936 | 149 936 | 149 936 | 149 936 | 1 061 058 |
PROGRAMME-SPECIFIC ADJUSTMENT – LIST OF PROGRAMMES, DISTRIBUTION KEY AND TOTAL ADDITIONAL ALLOCATION OF COMMITMENT APPROPRIATIONS
| in EUR million, 2018 prices | ||
| Distribution key | Total additional allocation of commitment appropriations under Article 5 | |
| 1. Single Market, Innovation and Digital | 36,36 % | 4 000 |
| Horizon Europe | 27,27 % | 3 000 |
| InvestEU Fund | 9,09 % | 1 000 |
| 2b. Resilience and Values | 54,55 % | 6 000 |
| EU4Health | 26,37 % | 2 900 |
| Erasmus+ | 15,46 % | 1 700 |
| Creative Europe | 5,45 % | 600 |
| Rights and Values | 7,27 % | 800 |
| 4. Migration and Border Management | 9,09 % | 1 000 |
| Integrated Border Management Fund | 9,09 % | 1 000 |
| TOTAL | 100,00 % | 11 000 |
Annex 2: declarations 55 blocks
Joint declaration by the European Parliament, Council and Commission on the reinforcement of specific programmes and adaptation of basic acts
Without prejudice to the powers of the legislative and budgetary authority, the European Parliament, the Council and the Commission agree to increase by 2,5 billion Euros in 2018 prices the financial envelopes in the basic acts or the financial programming, as appropriate, of those programmes that are identified by the European Parliament. This will be achieved through a corresponding reduction of the margins available under the MFF ceilings, without prejudice to the possible use of the Flexibility instrument in 2021.
Without prejudice to the legislative powers of the institutions, the European Parliament, the Council and the Commission agree to insert in the basic acts of programmes listed in Annex II of the MFF Regulation a provision on the increase of the financial envelopes by the amounts specified therein. For programmes establishing budgetary guarantees, the additional amount will be reflected in the additional level of the guarantees provided.
Declaration by the European Parliament on the reinforcement of specific programmes from unallocated margins
The amount of 2,5 billion Euros in 2018 prices referred to in the joint declaration by the European Parliament, Council and Commission on the reinforcement of specific programmes and adaptation of basic acts will be allocated as follows:
Joint declaration by the European Parliament, Council and Commission on the use of reflows from the ACP Investment Facility to the benefit of the Neighbourhood, Development and International Cooperation Instrument
The Council agrees that an amount of up to EUR 1 billion (in 2018 prices) stemming from the reflows under the ACP Investment Facility for operations under the 9th, 10th, and 11th European Development Funds will be used for the benefit of the Neighbourhood, Development and International Cooperation Instrument in the period of 2021-2027. The three Institutions agree that the Neighbourhood, Development and International Cooperation Instrument should allow for the reception of those funds.
Joint declaration by the European Parliament, the Council and the Commission on the re-use of decommitted funds in relation to the research programme
Without prejudice to their institutional prerogatives, the European Parliament, the Council and the Commission agree to make available again to the benefit of the research programme commitment appropriations, corresponding to the amount up to EUR 0.5 billion (in 2018 prices) in the period 2021-2027 of decommitments, which results from total or partial non-implementation of projects belonging to that programme or its predecessor as provided for in Article 15(3) of the Financial Regulation.
Joint declaration by the European Parliament, Council and Commission on the treatment of NGEU interest costs and repayments in the 2021-2027 MFF
The three Institutions agree that expenditures covering the financing costs of Next Generation EU shall aim at not reducing EU programmes and funds.
The three Institutions agree that the treatment of NGEU interest costs and repayments in the 2021-2027 MFF, currently forecast at EUR 12.9 billion for the seven years, is without prejudice to how this matter will be addressed in future MFFs from 2028 onwards.
The three Institutions agree to work towards introducing sufficient new own resources with a view to covering an amount corresponding to the expected expenditure related to repayment and interest costs.
Taking into account the developments at international level, the Commission will speed up its work on the submission of the necessary proposals for the establishment of a digital levy within the Union and will make a proposal for a basic act as soon as possible and at latest by June 2021. It will on this basis propose that revenues stemming from the digital levy will become an own resource by January 2023.
Discussions on the Financial Transaction Tax under enhanced cooperation are ongoing with a view of their finalisation by the end of 2022. Should there be an agreement on this Financial Transaction Tax, the Commission will make a proposal in order to transfer revenues from this Financial Transaction Tax to the EU budget as an own resource.
If there is no agreement by end of 2022, the Commission will, based on impact assessments, propose a new own resource, based on a new Financial Transaction Tax. The Commission shall endeavour to make these proposals by June 2024 in view of its introduction by 1 January 2026.
Joint declaration of the European Parliament, the Council and the Commission on budgetary scrutiny of new proposals based on Article 122 TFEU with potential appreciable implications for the Union budget
(1) The European Parliament, the Council and the Commission (“the three Institutions”) acknowledge that Article 122 TFEU constitutes a legal basis for adopting measures to address specific crisis situations that may entail potential budgetary implications, which are capable of impacting the development of Union expenditure within the limits of its own resources.
(2) In the light of their budgetary powers under the Treaties, it is appropriate that the two branches of the budgetary authority deliberate on the budgetary implications of such envisaged acts where those implications are likely to be appreciable. To this effect, the Commission should provide all relevant information necessary to assist the European Parliament and the Council in their deliberations.
1. This declaration sets out arrangements for a procedure of budgetary scrutiny (hereafter “the procedure”) between the European Parliament and the Council with the active assistance of the Commission.
2. This procedure may be followed in respect of a Commission proposal for a Council act based on Article 122 TFEU with potential appreciable implications for the Union budget.
3. The Commission will accompany any such proposal by an assessment of the budgetary implications of the proposed legal act and will indicate whether the act in question may, in its view, have appreciable implications for the Union budget. On that basis, the European Parliament and the Council may request that the procedure be initiated.
4. The procedure will take place in a Joint Committee consisting of representatives of the European Parliament and of the Council at the appropriate level. The Commission will participate in the work of the Joint Committee.
5. Without prejudice to the powers of the Council under Article 122 TFEU, the European Parliament and the Council will engage in a constructive dialogue with a view to seeking a joint understanding of the budgetary implications of the envisaged legal act having due regard to the urgency of the matter.
6. The procedure should take place during a period not exceeding two months, unless the act in question has to be adopted before a specific date or, if the urgency of the matter so requires, within a shorter time limit fixed by the Council.
Joint declaration of the European Parliament, the Council and the Commission on reassessing the external assigned revenue and borrowing and lending provisions in the Financial Regulation
Against the background of the NGEU, the European Parliament, the Council and the Commission agree that in the framework of the next revision of the Financial Regulation, the following issues will be assessed and as appropriate revised:
the provisions on the external assigned revenue , in particular as referred to in Article 21(5) of the Financial Regulation;
The three institutions acknowledge that the existing rules on audits and discharge procedure apply to assigned revenue.
Horizontal issues – Climate, biodiversity, equality between men and women and sustainable development goals
Commission declaration on the climate tracking methodology and the involvement of the European Parliament and Council
The Commission will ensure that the climate tracking methodology is accessible, transparent, and publicly available. The Commission will exchange views on the climate tracking methodology with the European Parliament and Council. Transparency and exchange of information with Parliament and Council on the progress towards reaching the climate objectives will be a key principle of the climate tracking.
Without prejudice to the legislative powers of the European Parliament and the Council in relation to the relevant sectoral basic acts, the climate contributions for 2021-2027 in view of achieving an overall target of at least 30% of the total amount of Union budget and NGEU expenditures, are indicated for relevant programmes and Funds as follows:
| Programmes | Expected minimum contribution |
| Horizon Europe | 35% |
| ITER | 100% |
| InvestEU Fund | 30% |
| Connecting Europe Facility | 60% |
| ERDF | 30% |
| Cohesion Fund | 37% |
| REACT EU | 25% |
| Recovery and Resilience Facility | 37% |
| CAP 2021 - 2022 | 26% |
| CAP 2023 - 2027 | 40% |
| EMFF | 30% |
| LIFE | 61% |
| Just Transition Fund | 100% |
| NDICI | 25% |
| OCT | 25% |
| Pre-Accession Assistance | 16% |
The Commission will use these climate contributions as a reference point to assess deviations and to propose measures in case of insufficient progress.
Commission declaration on the biodiversity tracking methodology and the involvement of the European Parliament and Council
The Commission will ensure that the biodiversity tracking methodology is accessible, transparent, and publicly available. After the completion of a study on the methodology recently launched by the Commission, the Commission will exchange views on the methodology with the European Parliament and Council. Transparency and exchange of information with Parliament and Council on the progress towards reaching the biodiversity related objectives will be key for tracking.
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Sources & citation
Where the facts on this page come from, and how to cite it.
- Official source
- Data source
- Licensed CC BY 4.0.
- Retrieved
- 26 September 2026
Cite as
European Parliament (2020). “Council regulation laying down the multiannual financial framework for the years 2021 to 2027 ***”. Text, 16 December 2020. docId TA-9-2020-0357, reference TA9-0357/2020. EU Parl Watch Research. https://news.eu-parl.st-solutions.dev/texts/TA-9-2020-0357 (retrieved 26 September 2026). Official source: The text on the European Parliament’s website, https://www.europarl.europa.eu/doceo/document/TA-9-2020-0357_EN.html. Data: EP Open Data API: document record, https://data.europarl.europa.eu/api/v2/documents/TA-9-2020-0357 (CC BY 4.0).
BibTeX
@misc{epw-text-ta-9-2020-0357,
author = {{European Parliament}},
title = {{Council regulation laying down the multiannual financial framework for the years 2021 to 2027 ***}},
year = {2020},
date = {2020-12-16},
howpublished = {\url{https://news.eu-parl.st-solutions.dev/texts/TA-9-2020-0357}},
url = {https://news.eu-parl.st-solutions.dev/texts/TA-9-2020-0357},
urldate = {2026-09-26},
publisher = {EU Parl Watch Research},
note = {Text. docId TA-9-2020-0357, reference TA9-0357/2020. Official source: https://www.europarl.europa.eu/doceo/document/TA-9-2020-0357\_EN.html. Data: EP Open Data API: document record (CC BY 4.0)}
}