Brussels: MEPs are advocating for the extension of EU recovery funding beyond 2026 to ensure the completion of key investments and large-scale projects. A plenary resolution was adopted with 421 votes in favor, 180 against, and 55 abstentions, underscoring the stabilizing effect of the Recovery and Resilience Facility (RRF) amid significant economic uncertainty in Europe.
According to Cyprus News Agency, the resolution highlights the role of the RRF in preventing the fragmentation of the EU internal market and promoting recovery. MEPs are emphasizing the need for RRF funding to adhere to the principle of additionality, ensuring it does not replace cohesion policy funding. The resolution calls for targeted investments across various sectors, including EU defense, education, and skills. It also advocates for cross-border and multi-country measures, such as high-speed railway projects. MEPs are pushing for accelerated investment in social protection and the integration of vulnerable groups, while encouraging member states to amend their national investment plans using REPowerEU to enhance the EU’s energy autonomy.
The RRF is set to expire in 2026, and MEPs express concerns over the short timeframe for the implementation of outstanding RRF funding. They note the challenges this poses for completing key reforms and large-scale investments. With 70% of milestones and targets yet to be achieved, MEPs are urging the European Commission to establish new programs that are adaptable to changing circumstances and ensure predictability. They are also calling for an 18-month extension for ongoing mature projects.
MEPs highlight the potential long-term benefits of the RRF to gross domestic product, which could be three to six times greater than the money spent. However, they express concern about the total cost of Next Generation EU (NGEU) capital interest repayments. They stress the importance of a robust auditing and monitoring mechanism for RRF expenditure to prevent misuse and duplication with other EU programs. Additionally, they demand clearer links between milestones, targets, and the actual implementation of projects.
The Recovery and Resilience Scoreboard is valued for providing citizens with basic information on the progress of national plans. MEPs call for it to include details on the companies involved and their ultimate owners. They also emphasize the need for simplifying application and reporting requirements to assist smaller applicants and maximize funding absorption and impact. Furthermore, MEPs advocate for enhancing the role of local and regional authorities in the design, revision, and implementation of national recovery and resilience plans (NRRPs).
Victor Negrescu, co-rapporteur on behalf of the Committee on Budgets, emphasized the importance of transparent and impactful spending. He pushed for concrete solutions, including an 18-month extension for mature projects and the continuation of unfinished projects under other EU instruments. Siegfried Muresan, co-rapporteur on behalf of the Economic and Monetary Affairs Committee, reiterated the need for funding to deliver tangible benefits to citizens and called for a review of how unspent RRF funds can support Europe’s new strategic priorities.