Conciliation Talks On MFF Begin As Poland Denies Rumoured Compromise

Spokesman for COREPER II (the group of member state ambassadors to the EU) Sebastian Fischer tweets: "The conciliation talks on the #EUbudget 2021 have started: The aim is to reach a common understanding between @EUCouncil, @Europarl_EN+@EU_Commission. However, the formalization + subsequent implementation of the budget 2021 depend on the adoption of the long-term EU budget / #MFF."

• The talks take place following hints highlighted by Politico on Thursday from Polish Deputy PM Jarosław Gowin that Poland may be willing to back the multiannual financial framework (MFF) if there was a 'binding' agreement by member state heads of gov't that makes clear how the EU would use the 'rule of law mechanism' intended to link the distribution of funds to respect for 'EU values'.
• However, this prospect was countered on Friday in a tweet from Polish gov't spokesman Piotr Muller stating that "Poland maintains its position in its entirety on the regulation determining the disbursement of EU funds. Only provisions compatible with the TREATIES and RE conclusions can be accepted by Poland. This is also clear from the Joint Declaration of Polish and Hungary."
• The EU is likely continuing to rely on the fact that Poland and its ally in the matter, Hungary, are the two largest net recipients of EU funds, and therefore eventually Warsaw and Budapest may compromise to secure continued funding.
• No guarantee that a deal will be reached by next week's European Council summit on 10-11 Dec. Runs the risk of major funding shortfalls in early 2021.