On 21 July 2020, the EU leaders reached a historic agreement on the next long-term budget and Next Generation EU.
As a next step, the Commission is sparing no effort to find swiftly a common ground between the Council and the European Parliament so that this agreement can be finalised. This is vital to support the European recovery and resilience and kick off timely the new generation programmes.
In the meantime, the Commission is already preparing the ground for the swift disbursement of the funds. On 17 September 2020, the Commission published guidance and templates for Member States to be able to quickly prepare their recovery and resilience plans. These are necessary for them to have access to proposed €672.5 billion of grants and loans under the Next Generation EU’s main instrument, the Recovery and Resilience facility.
* Size of 2021-2027 long-term budget and Next Generation EU as per the July 2020 European Council compromise.
Commission Proposal May 2020
In May 2020, the Commission has proposed a powerful, modern and revamped long-term EU budget boosted by Next Generation EU, an emergency temporary recovery instrument, to help repair the immediate economic and social damage brought by the coronavirus pandemic, kickstart the recovery and prepare for a better future for the next generation.
This proposal builds on the 2018 Commission’s proposal and on the considerable progress that has already been made in the European Parliament and the Council. To ensure an effective implementation of the Recovery Plan, which reaches out to everybody in the EU and to our global partners, the Commission is mobilising a variety of instruments, organised around three pillars.
The proposed EU budget will power a fair socio-economic recovery, repair and revitalise the Single Market, guarantee a level playing field, and support the urgent investments – in particular in the green and digital transitions – which hold the key to Europe’s future prosperity and resilience.
Unprecedented investments to restore and rebuild Europe
- May 2020
Commission proposal for the revised Multiannual Financial Framework 2014-2020 & 2021-2027 and Own Resources Decision + sectoral legislation
- By July 2020
European Council: Political agreement on Multiannual Financial Framework 2014-2020 & 2021-2027 and Own Resources Decision
- By summer 2020
European Parliament’s consultation on Own Resources Decision
- Early autumn 2020
Adoption of the revised Multiannual Financial Framework 2014-2020 + corresponding sectoral legislation
- October 2020
- December 2020
Adoption of the revised Multiannual Financial Framework 2021-2027
(European Parliament’s consent)
Adoption of the Own Resources Decision
(Ratification by all Member States in line with their constitutional requirements)
- January 2021
Multiannual Financial Framework 2021-2027 implementation starts
Commission Proposal May 2018
For more information on the Commission's proposal adopted in May 2018, see: