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EU Parliament will not back budget that weakens oversight, negotiator says - Finance news and analysis from Global Banking & Finance Review
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EU Parliament will not back budget that weakens oversight, negotiator says

Published by Global Banking & Finance Review

Posted on November 9, 2026

2 min read

· Last updated: November 9, 2026

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EU Parliament Opposes Weakening of Oversight in Next Long-Term EU Budget

Parliamentary Scrutiny and the Future of EU Budget Oversight

By Cian Muenster

Parliament's Stance on Budget Approval

Nov 9 (Reuters) - The European Parliament will not back the European Union's next long-term budget if it weakens lawmakers' powers to scrutinise spending, Siegfried Muresan, one of Parliament's negotiators, said on Monday, setting up a clash with the European Commission.

Member States' Calls for Budget Cuts

While some member-states have already called for cuts to the Commission's proposed budget, Muresan's statement opens up a new front of contention around spending oversight and control over allocation of EU funds.

The next seven-year budget needs the Parliament's approval to enter into force. 

Debate Over Flexibility and Oversight

Commission's Proposal for Greater Flexibility

Muresan, a European Parliament co-rapporteur on the next Multiannual Financial Framework, criticised aspects of the Commission's plan to give member states greater flexibility in allocating EU funds through National and Regional Partnership Plans.

The Commission has said the overhaul would make the EU budget more flexible and responsive by reducing bureaucracy and allowing governments to redirect spending more easily as priorities change, while tying payments to results rather than costs.

Concerns Over Reduced Parliamentary Oversight

Analysis from Bruegel Think Tank

A recent analysis by Zsolt Darvas of Brussels think tank Bruegel argued the plans would shift important spending decisions from the legislative stage, where Parliament has significant influence, to implementation by national governments and the Commission, reducing parliamentary oversight.

Muresan's Emphasis on Accountability

"We must preserve the European character of the budget. This includes transparency, accountability and parliamentary oversight," Muresan told Reuters.

"Parliament must retain its full legislative and budgetary powers and its role in ensuring democratic scrutiny of EU spending, including national and regional plans."

Muresan said greater flexibility for governments should not come at the expense of accountability or undermine common EU priorities.

"Farmers, regions and businesses need predictable European funding to invest. Flexibility for national governments cannot come at the expense of beneficiaries or turn the EU budget into 27 separate national agendas," he said. 

"One thing is clear: the next long-term EU budget needs Parliament's consent to enter into force. We will not support a budget that weakens these guarantees."

Commission Response

The European Commission did not immediately respond to a request for comment.

(Reporting by Cian Muenster; Editing by Jonathan Ananda )

Key Takeaways

  • Parliament demands to preserve transparency, accountability and full legislative budgetary powers and rejects any model that fragments EU spending into 27 national agendas.
  • The Commission’s proposal to increase flexibility via National and Regional Partnership Plans raises concerns of sidelining Parliament—a risk underscored by Bruegel analyst Zsolt Darvas.
  • Independent oversight bodies like the European Court of Auditors have flagged both opportunities and risks in the budget proposals, urging enhanced transparency, strengthened audit, and better coordination across institutions.

Frequently Asked Questions

Why is the European Parliament opposing the proposed EU budget?
The European Parliament opposes the budget if it weakens its powers to scrutinise and oversee EU spending.
What oversight concerns does Siegfried Muresan raise?
Muresan is concerned that shifting more budget control to national governments would reduce transparency and limit Parliament's oversight.
What changes does the Commission propose for the EU budget?
The Commission suggests more flexibility for member states in redirecting funds through National and Regional Partnership Plans.
What is required for the next EU budget to take effect?
The next long-term EU budget needs the European Parliament's approval to enter into force.
How could the proposed changes impact EU funding beneficiaries?
Muresan warns that too much national flexibility may harm beneficiaries like farmers, regions, and businesses by making funding less predictable.

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