Member states will need to be flexible

Last week’s agreement between member states’ leaders on the EU’s multi-annual financial framework is merely political in character. 

In order for the agreement to take effect, the European Council is required by unanimity to adopt a regulation on the MFF, along with rules laid down in five separate acts on ‘own resources’ (the budget’s revenue other than the member state contributions based on gross national income). The Council adopts this legislation after it has obtained the consent of the European Parliament.

In theory, this means that MEPs can only approve or reject the Council’s proposal. In practice, a credible threat of withholding consent gives the Parliament leverage in negotiating with ministers to demand changes to specific budget items. The European Council, in its conclusions, invited the rotating presidency – held by Ireland – to “rapidly take forward discussions with the European Parliament”.

How these discussions will be managed is unclear at present, because they do not follow the template of the co-decision procedure between Council and Parliament. On the member states’ side, Ireland has a mandate to discuss flexibility and revision clauses. On the Parliament’s side, the MEPs specialising in budget matters in the political groups will meet on Wednesday (20 February) to discuss the way ahead.

The sector-specific legislation required for the MFF to be translated into actual programmes – around 70 separate pieces – follows the regular co-decision procedure. Toby Vogel

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