The European Commission has published a detailed briefing on the rule‑of‑law conditionality mechanism included in the 2021–2027 Multiannual Financial Framework (MFF), highlighting its role as a key element in protecting the EU budget from violations of fundamental principles. The mechanism, fully in effect since January 2021, gives the Commission the authority to take measures—such as halting payments or applying financial corrections—when serious rule‑of‑law issues arise in a Member State and threaten the proper management of EU funds. The existence of Regulation (EU) 2020/2092 itself, along with the European Commission’s official communications and annual Rule of Law Reports, provides clear evidence of the mechanism’s legal basis and its purpose. Actual cases of its use (for example, with Hungary) show how it is practically applied and its impact, affirming that it is a “cornerstone in safeguarding the EU budget against breaches of fundamental values.” Read more here.
Source: European Commission