A proposal for a regulation on the protection of the Union's budget in case of generalised deficiencies as regards the rule of law in the member states was presented by the Commission on 2 May 2018 as part of a package of proposals on the multiannual financial framework for the years 2021 to 2027.
The compromise agreed by member states' EU ambassadors builds on the political guidance provided by the European Council on 21 July 2020.
The Council position gained the support of a qualified majority of member states.
The agreement paves the way for the opening of negotiations with the European Parliament on the proposal.
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