Hungary, Poland Block EU Long-Term Budget, EUR750bn COVID Recovery Package

Spokesman for COREPER II Sebastian Fischer confirms in a tweet that the Hungarian and Polish ambassadors to the EU did not give their consent to initiating the written procedure to approve an increase in the European Commission's Own Resources, in effect blocking the approval of the EU's long-term budget (multiannual financial framework) and the associated COVID-19 recovery package.

• The gov'ts of Hungary and Poland had expressed their opposition to a mechanism relating to linking the disbursement of EU funds to respect for the EU's rule of law standards. However, this mechanism only required a qualified majority to vote in favour for its approval, which was achieved.
• However, the Own Resources decision - which would give the Commission greater powers to raise its own funds - required unanimity, meaning Poland and Hungary could block the budget's approval.
• Executive VP of the Commission Valdis Dombrovskis has said that he wants to see a 'speedy resolution' to the issue. However, there appears little sign as of yet that Hungary or Poland will give in to allow the budget to pass.