MEPs debate long-term funding for Ukraine, the “Strategic Technologies for Europe Platform” (STEP), and associated major changes to the multi-year EU budget. The revision of the EU’s long-term budget – the multiannual financial framework (MFF) – includes the €50 billion Ukraine Facility and the “Strategic Technologies for Europe Platform” (STEP) which aims to support EU competitiveness and resilience in strategic sectors. It also bolsters the EU’s budget to deal with migration and external challenges as well as the EU's crisis preparedness and budgetary flexibility. Opening statements by rapporteurs and Mathieu MICHEL, Belgian State Secretary and Johannes HAHN, European Commissioner for Budget and Administration. This transcription is a result of an automatic process. Please check against delivery.

statement

Strasbourg

plenary session

GAHLER, Michael (EPP, DE)

joint debate

HAHN, Johannes (AT, EC)

GARDIAZABAL RUBIAL, Eider (S&D, ES)

OLBRYCHT, Jan (EPP, PL)

FERNANDES, José Manuel (EPP, PT)

BUŞOI, Cristian-Silviu (EPP, RO)

WÖLKEN, Tiemo (S&D, DE)

PLUMB, Rovana (S&D, RO, S&D, RO)

Multiannual financial framework 2021-2027 (T)

VEDRENNE, Marie-Pierre (Renew, FR)

MARQUES, Margarida (S&D, PT)

POPTCHEVA, Eva Maria (Renew, ES)

MICHEL, Mathieu (BE)

Joint debate - MFF revision: opening statements by rapporteurs and Mathieu MICHEL, Belgian State Secretary and Johannes HAHN, European Commissioner for Budget and Administration

SOUNDBITE (Polish), Jan OLBRYCHT (EPP, PL), Rapporteur, President, Minister, Commissioner. The European Parliament's decision that is before you today is important for the functioning of this institution and the European Union. We have the consent procedure under the budgetary procedure, and this wraps up the preparation for aid to Ukraine. &euro;50 billion. This was the amount debated by the heads of state and government of the European Union. There was a provisional agreement and today the European Parliament opens the possibility of sending these funds to Ukraine. This is of vital importance, and the European Parliament also shoulders the responsibility of this action.

SOUNDBITE (Polish), Jan OLBRYCHT (EPP, PL), Rapporteur, 'This decision also confirms the needs relating to the 2021-2027 Multiannual Financial Framework and migration-related costs. This isn't just about economic and financial matters, but also natural disasters and other crises. This will allow us to be able to make debt repayments linked to the financial markets. This is crucial for the smooth running of the European institutions.

SOUNDBITE (Polish), Jan OLBRYCHT (EPP, PL), Rapporteur, 'It's also very important for our financial future as well. Thanks to the European Commission and by working hand-in-hand with the Belgian presidency, we also managed to tweak some rules relating to how the budget works. So the MFA revision of course is relevant, but it's about more than that. It's about moulding a more flexible budget, a budget that won't throw a spanner in the works. A budget that won't impede us from repaying what needs to be repaid.

SOUNDBITE (Polish), Jan OLBRYCHT (EPP, PL), Rapporteur, Once again, this proves the fact that the European Parliament will fight for this because the changes don't just pertain to the current period. What we've done also helps pave the way for the future MFF. We knew that this revision was going to be necessary. We were right and now we've managed to wrap the whole process up. Now we're also providing support to Ukraine. I think that this is a success that can be shared by all European institutions.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, Thank you very much. President, Commission. Council. I'd like to say first how pleased I am that this revision of the Multiannual Financial Framework has been carried out. The first time has been a real revision of the multiannual budget. The European Parliament requested this on 15th December 2022. The Commission presented a proposal in June 2023. It became possible to reach an understanding that allows Parliament to provide its consent.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, One of the positive aspects of this agreement: the creation of the Ukraine mechanism and the creation of the Ukraine facility as a stable and predictable form of support within the EU budget. This is the only way in which the EU will be able to support Ukraine, and at the same time, for us to respect the competences of the EP as a budgetary authority. Budget unity, transparency, democracy. The creation of the STEP programme, even though it's not yet the promised sovereignty funds that we had hoped for. But it's a move in that right direction.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, The creation of conditions for the payment of debt charges from the recovery fund, a special instrument with no upper limit to be mobilised when required to cover amounts that go beyond those initially set aside. But also because recent history has shown us that the unforeseen can come in many different forms, lots of unforeseen events, it's worth emphasising the reinforcement of flexibility, bringing greater responsiveness on the budgetary side, the reinforcement of the Neighbourhood, Development and International Cooperation Instrument, Global Europe, and of the solidarity fund and of emergency assistance for better assistance for Member States that suffer the consequences of natural catastrophes. And still again, the reinforcement of the financing of the implementation of the new pact on the new agreement on migration and asylum.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, What are the limits then, of this agreement or what we do not like? This agreement shows that we are limited in our ambitions in terms of the strategic autonomy of the EU. There have been inexplicable cuts in the Horizon Europe programme, although the European Parliament managed to reduce this reduction. In fact, the Research and Innovation Programme of the EU is a decisive programme for the future of the European Union and has excellent results.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, And then the CFP and Cohesion. We have found that although the national amounts have been respected, the share of funding managed directly by the European Commission is reduced, which leads to a reduction in the capacity for technical assistance. And then in EU for health, the Health Programme. Although the European Parliament has managed to spread the reduction more evenly across till the end of the MFF period. This programme aims to prepare the European Union to better support citizens in Member States. It requires proper funding. We should not fail on this, should not disappoint our citizens.

SOUNDBITE (Portuguese), Margarida MARQUES (S&D, PT), Rapporteur, 'For all of these reasons, we are not simply giving our consent. Our citizens would not understand that. Our vote of consent is accompanied politically by a motion for a resolution, a resolution that emphasises the European Parliament's position on this revision of the 2021-2027 budgetary framework. Thank you very much, very much.

SOUNDBITE (English), Michael GAHLER (EPP, DE), Rapporteur, Mr. President. Dear colleagues. The European Union delivers on its promises on Ukraine. The 50 billion Ukraine facility is a clear marker for that, and when I was in Kiev over the weekend, like many colleagues and other dignitaries from Europe and the world, amongst the tens discussions that we had on deliveries of arms, this was a positive highlight. Yes, we are delivering, although with a two month delay, because of the Hungarian veto in December. Now, we have enabled the Commission also to pay out the first 4.5 billion, probably at the beginning of March. And thank you for that.

SOUNDBITE (English), Michael GAHLER (EPP, DE), Rapporteur, 'The objective thereof is, of course, during the war to give for the larger part for budget support for Ukraine in order to keep the state running and the functions going. But it is one process. It is budget support, but it's also not only preparation, but also about reconstruction ongoing. It's about future investments and to deliver the expertise that we need for the process that will automatically be part also of the pre-accession process because we cannot separate it artificially.

SOUNDBITE (English), Michael GAHLER (EPP, DE), Rapporteur, And for that we have as a Parliament particularly insisted that in this process where a European Ukraine is created for the time after the war, that our Verkhovna Rada colleagues will have a bigger say in the process. All the means are used, that other levels of administration on the region and the local level that they would have a say and an impact on the reconstruction of the country, that it is a principle that we would build back better for a future Ukraine, and that it all happens in a transparent process because we are aware that the bad guys that in the past were corrupt and fortunately because of the transparency that is already there, corruption cases come out in Ukraine also during the war, which is a positive development.

SOUNDBITE (English), Michael GAHLER (EPP, DE), Rapporteur, So far, I am confident that with the measures that we as a Parliament have particularly put focus on: this whole process, the Ukraine plan that will be implemented by the Ukrainian government will contribute to this better Ukraine for the time thereafter.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, Ladies and gentlemen, the discussion over the 50 billion is something we need not have. If we finally recognise that we have to release the brake, we must provide Ukraine with the ammunition that they need most urgently. It's not a question of a slow yes that we're hearing from Ukraine, that they're getting this drip feed over the years. Priority now is ammunition, is air defence and indeed the longer range missiles to break the hegemony of the aggressor.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, 'So in this context, any debate is good and correct. We have to finally make sure that in the European Union, European-produced weapons are not going to third countries but should be diverted to Ukraine. We have to make sure that the 5 billion set aside this year for the European Peace Facility, where Mr. Borrell has done its utmost well, that this goes to purchasing on the global markets so that we can provide quick provision.

SOUNDBITE (German), Michael GAHLER (EPP, DE), Rapporteur, The Czech President mentioned this as well, and these are prerequisites for further steps to be taken. If the German Chancellor says that he would not send German soldiers because the tourist missile system has to be installed by German soldiers, it's a nonsense because no German soldiers have had to go to foreign countries to install the tourist missile system. They can send engineers. So this is not something that we should allow to get in the way of our discussions. Slava Ukraini.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Thank you very much. Thank you, President. Commissioner. It's been two years since the Russian war of aggression in Ukraine and we have given unequivocal support to Ukraine over the last two years. From a humanitarian point of view, not only have we sent humanitarian aid, but we've also welcomed millions of Ukrainian refugees fleeing war. From a military point of view, the EU and most Member States have sent military equipment and supplies and have also helped train Ukrainian personnel.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, 'Now, from a political point of view, we've adopted 13 sanction packages, and we've also agreed to start accession negotiations in 2022 and 2023. We also adopted macro-financial aid to the tune of €25 billion, and now we also the €50 billion of the Ukraine facility. We would have liked to adopt that, but Hungary's veto in December threw a spanner in the works. It meant that we couldn't be negotiations with the European Parliament, but in February finally managed to get this agreement in order to overhaul the MFF. I really want to showcase this because this is the first time we truly move forward with a real genuine revision of the MFF to get new money for new challenges.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, We've bolstered neighbourhood programmes, migration programs and the emergency aid and solidarity reserve has been bolstered. We've also set up a Step, which is the Strategic Technologies for Europe Platform, and we also have a new mechanism in order to make Next Generation EU repayments. But a lot fell by the wayside. We should have been more ambitious, more coherent with our own position by funding a genuine strategic autonomy programme. We should have found a way to offset the fact that programmes have lost their clout because of high interest rates. We should have also achieved more in order to find an own resources problems to help us repay Next Generation EU instead of taking other approaches.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, But we did get the €50 billion we needed to continue supporting Ukraine so it can defend itself, so it can win the war, and so I can start working on its future. So this programme will give decisive assistance to the Ukrainian government so it can maintain its functions and continue offering basic public services. We're going to help them recover and rebuild and modernise their country. We will provide technical support for a reforms package that in the future will allow them to join the European Union.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, Our negotiations with the Council were relatively straightforward because we shared the need to give a green light to this program as quickly as possible, and we also agreed on the content. But let me say that we have managed to bolster the rule of law. Well, we've stepped up our fight against money laundering, tax fraud, organised crime, among others. We've also beefed up the role of the Verkhovna Rada, civil society, and 20% of pillar 1 investment will go to local authorities.

SOUNDBITE (Spanish), Eider GARDIAZABAL RUBIAL (S&D, ES), Rapporteur, We've also strengthened the social dimension, the fight against inequality and gender violence, and of course the issue of mental health. Against the backdrop of war. And we want to help women, children and people with disabilities. Another key pillar is the fight against climate change. And at least 20% of pillar 2 and investment in pillar 1 will be allocated to this area. Russia has to be held accountable and to pay for the enormous damage. And we have to continue fighting hard to make sure that seized Russian assets can be poured into reconstructing Ukraine. Ukraine got our support from day one of the invasion and will continue having it until this war comes to an end. Slava Ukraini.

SOUNDBITE (Spanish), José Manuel FERNANDES (EPP, PT), Rapporteur, Thank you very much. President, Commissioner, Council. Dear colleagues. The European Union will only meet successfully the challenge it faces if we show courage and determination in an united way impregnated with solidarity. With this review of the Multiannual Financial framework, at last, after a few attempts to block it and attempts of blackmail, with this now, we are finally showing to what extent we can together deliver what we want and provide the resources, not least to help Ukraine, which is an obligation we have. When we help Ukraine, we are investing in our security and this is a challenge that we're facing today. The challenge of defence.

SOUNDBITE (Portuguese), José Manuel FERNANDES (EPP, PT), Rapporteur, This is something I would ask the Commission: the Russian assets that have been frozen should please be used, among other things, for our defence and for supporting Ukraine. 300 billion, well of which 150 billion in the EU, could be used as collateral for these goals. There are positive points in the revision of the MFF, but there are also there is also a downside. We want to see a competitive EU where research flourishes, but the Council cut €2.1 million off the research programme.

SOUNDBITE (Portuguese), José Manuel FERNANDES (EPP, PT), Rapporteur, Clearly the health program is important. Yet the Council cut €1 billion of that health program and the CAP is a priority, but the Council snipped 700 million off that. But cohesion is an obligation we face. But to the Council cut 400 million off that. The Council was in favour of a geopolitical form of Europe, and when it expresses its views orally, but the Step programme was cut back extensively, and only the defence program was reinforced with 1 billion. The Step is essential when it comes to our supporting emerging technologies, clean technologies, defence technologies, biotechnologies.

SOUNDBITE (Portuguese), José Manuel FERNANDES (EPP, PT), Rapporteur, We need a European Union that can compete and this again requires investment. The Council talks to talk very well, but it doesn't cough up the money. We need to strengthen governance. We need to go for a geostrategic balance insofar as possible, and we need to support those forms of technology that can be financed from existing fund because we want there to be synergies. You want there to be complementarity.

SOUNDBITE (Portuguese), José Manuel FERNANDES (EPP, PT), Rapporteur, Furthermore, and this is a message for the Member States too, we cannot scrap the cohesion policy, but we are talking of 20% though, when it comes to supporting the strategic autonomy of the EU, and we can use the cohesion policy through cofinansing up to 100%. This is positive, but it requires responsibility because that those amounts need to be properly used in high quality programs and projects that actually contribute make a contribution to our competitiveness, to our cohesion, and to the geopolitical union to which we aspire. Thank you.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, Thank you so much. Dear Commissioner. Dear colleagues. This week, we will finalise and adopt the revision of the MFF package, out of which the Step is a part of. And we followed the very tight timetable. I would say a record one for an ordinary legislative file. This was a very challenging journey and it required a lot of cooperation and hard work. And as the Chair of Industry, Research and Energy committee, I would like to give thanks to all colleagues that contributed to this, and especially to the rapporteur of the ITRE Committee.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, It was paramount to see, negotiate and conclude the MFF package Step with the Net Zero Industry Act. With linking, Step and NZIA, we demonstrate our industries and financial markets that they receive full political support and a legislative framework to invest and become more competitive while transforming European Union. Step aims to reinforce, leverage and steer all EU funds, existing and new, to what we hope: investments in digital and deep innovation technologies, clean and resource efficient technologies and biotechnologies within the EU and in the individuals capable of integrating these technologies into the economy. The EU will be now able to fund more specifically the construction of a factory of certain technologies in Europe to increase strategic independence and competitiveness for European industry.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, 'The final agreement adds additional funds to the budget of the European Defence Fund, but largely relies on providing additional flexibility to existing funds and cumulative funding. Additional flexibility should be mobilised for Step projects under the Regional and Cohesion funds, ERDF, ESF+, through the NGO funds, mainly RRF, InvestEU and Just Transition Fund. Cumulative funding under EU instruments for individual projects, including for strategic projects under Net Zero Industry Act and Critical Raw Material Act. Step touches upon a variety of existing programmes and funds. It provides for synergies and complementarities between Innovation, Fund, Horizon, RRF, InvestEU and Cohesion Fund.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, Dear colleagues. The Parliament was very successful in obtaining a complete alignment between Net Zero Industry Act and Step. All technologies are covered, all supply chain covered, strategic projects get prioritised. Access to the individual funds under Step, including the Innovation Fund. We have clarified some provisions of the European Innovation Council under Horizon, and we made the whole process clearer with the better governance structure.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, The governance of the Step was improved by adding a new article on the implementation of the platform, as insisted the Parliament. Parliament call for additional visibility for cohesion projects, was accepted by displaying examples of cohesion projects dedicated to Step two objectives on the sovereignty portal. Two stage reporting system was created, including an interim and final report. The role of the interim report was strengthened, and its main purpose will be to evaluate the contribution of the platform to its objectives in time to feed into the decision making of MFF post 2027.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, So we managed to deliver for Ukraine, to give us strong and not only political signal, but concrete support for Ukraine, but also we managed to give the right signal to our industries, to our economies or financial markets, to invest smart in the future, to support the new technologies, the clean technologies, to invest in digitalisation, in biotechnologies, and make Europe more resilient and more competitive worldwide. Thank you so much.

'SOUNDBITE (English), Cristian-Silviu BUŞOI (EPP, RO), Rapporteur, 

SOUNDBITE (Spanish) Eva Maria POPTCHEVA, ECON (Renew, ES), The Strategic Technologies for Europe Platform STEP that we are debating today is an excellent idea. STEP wants to make it easier to invest in industries that will play a key role in our future, such as a AI and green technologies. It wants to react given that our companies are losing competitiveness and it wants to put an end to the dangerous dependencies that were brought to the fore by the war in Ukraine and the pandemic.

SOUNDBITE (Spanish) Eva Maria POPTCHEVA, ECON (Renew, ES), But like other good ideas, step hasn't come too much because it doesn't have any money. The US with the Inflation Reduction Act is injecting €400 billion in order to bolster its industry, and we only here in the EU, we're only pouring €1.5 billion into this. This is a paltry amount. We are looking ridiculous. Now, the answer isn't save yourself if you can, and with Member States bolstering their own national industries. On the contrary, we have to bolster the internal market. We have to come up with common solutions to common problems that affect everyone. We cannot be strategic if we only act at Member State level, we need an EU budget that can help us solve these common problems and finance our priorities. Thank you.

'SOUNDBITE (French), Marie-Pierre VEDRENNE (Renew, FR), Thank you, President. Facing this military escalation on the edge of our continent and Russian aggression, not doing anything is not an option. With such challenging competitors we need to step ahead in this area, which is declining. And we have allies who are putting money into green technologies and into education. We cannot do things by half measures in Europe.

'SOUNDBITE (French), Marie-Pierre VEDRENNE (Renew, FR), Commissioner, the way we have fallen short with a proper sovereignty fund means that we are not making the progress towards the kind of Europe we want with solidarity. We will certainly support the agreement on the STEP but it doesn't reflect the ambition we wanted, the foundations have been laid. Now it's true, but we have to face facts. Without high quality training, our European industry has no future. Without strategic investment we can't be competitive either. Without constantly going for innovation European sovereignty will be elusive. So we simply need to be audacious, bold and go ahead in the European way.

SOUNDBITE (German), Tiemo WÖLKEN (S&D, DE), President, ladies and gentlemen, the promises that were linked to the STEP program were enormous. The Commission wanted to give a strong response to the Inflation Reduction Act from the Americans. €10 billion additional money should be invested. 5 billion of that should go to an Innovation Fund and that money then should flow out into Europe in the different regions to make sure that those incentives for clean tech, green tech, for the future.

SOUNDBITE (German), Tiemo WÖLKEN (S&D, DE), Now, this announcement has petered out to virtually nothing. Another empty promise from Commission President von der Leyen, who couldn't convince the Member States to invest in this important area. And that means that this law is very important, really. What has remained of this is a simplification of the existing financing programmes and it brings together our efforts. But STEP could have been so much more and actually needs to be so much more. And hence, this remains an important but only first step towards an EU sovereignty fund that we should take. Thank you.

SOUNDBITE (English), Rovana PLUMB (S&D, RO), Thank you, President, Commissioner, Council, dear colleagues, As REGI rapporteur for opinion we share competence on STEP file. I am very happy we achieved all our important issues in the negotiations with the Commission and the Council. Obtaining the cap of 20% of the allocation for financing STEP objectives from ERDF and Cohesion Fund. We obtained the addition on preserving the focus on small and medium enterprises.

SOUNDBITE (English), Rovana PLUMB (S&D, RO), 'The REGI amendment on the apprenticeships, jobs and education for new skills will be considered in the selection process. A derogation for the outermost regions allowing for a 15% flexiblility between priorities with additional special allocation and ERDF priorities for the period 2014 - 2020. The option of amending the Acting Partnership Agreement. 100% EU financing rate for the last year of the 2014 - 2020 period, and I would like to take the opportunity to thank all my colleagues and staff involved in the negotiations from European Parliament, Commission, and Council. Thank you.

SOUNDBITE (French) Mathieu MICHEL, Belgian State Secretary for Digitalisation 'President, Members of Parliament, Members of Commission, being here before you today signals the end of the initial revision of the MFF back in June when we saw the legislative proposal from Commission. It has been a long path back July 2020, when we adopted the Multiannual Financial Framework in a very different economic, political context. The European Council considered that the MFF didn't need to have a mid-term review, but since the adoption of the MFF in 2020, the European Union has been confronted with a number of challenges unprecedented and unexpected.

SOUNDBITE (French) Mathieu MICHEL, Belgian State Secretary for Digitalisation We'd only just got out of the COVID 19 pandemic and the global impact of that. We then saw the huge impact of the Russian aggression, an attack on Ukraine which affected the budget. Of course, that affects the European Union. But also at the level of the Member States budgets at the national level, and they were put under large amounts of pressure. In that context, the fact that the Council managed to come up with unanimous decision on the revision of the MFF is unprecedented in itself and in and of itself. It constitutes a success having unanimity on the MFF revision, including €50 billion support for Ukraine, underscores our unity and sends out an important signal to Ukraine, to our partners in the US and beyond, to Russia as well.

SOUNDBITE (French) Mathieu MICHEL, Belgian State Secretary for Digitalisation Of course, maybe redeployment is not the best way of doing things, but the budgetary context doesn't really allow us any margin. Looking at the other two files, which are part of this revision, the exchanges between Parliament and Council have shown that the Parliament and Council's positions were very close. Ukraine was the priority, prior to a number of issues that needs to be addressed on additional resources to meet the challenges of migration and support the Western Balkan partners and the Mediterranean and beyond.

SOUNDBITE (French) Mathieu MICHEL, Belgian State Secretary for Digitalisation, But thanks to this revision, the European Union budget will be better armed to cope with future natural disasters and humanitarian crises. More specifically, for the Ukraine facility, it was agreed that the key aspects set out by the Commission would be maintained. The total amount of aid will be €50 billion as set out in the Commission's proposal. It was also agreed to keep the main ceilings established for 17 billion for grants and the complementary amounts of repayable loans at 33 billion.

SOUNDBITE (French) Mathieu MICHEL, Belgian State Secretary for Digitalisation, Let's not forget that each one of the institutions achieve their main objectives in this exercise strengthen governance that is, making sure that democratic institutions are involved and following up the implementation of this with a degree of necessary flexibility thrown into the mix to allow the flexibility reserve to work. With STEP the point of departure was perhaps less closed between institutions on the financing and the scope. But at the end of the day we managed to maintain a balance and the principles set out in the Commission's proposal were maintained, in making sure that we bolstered resilience in European economic sectors and looking at the strategic aspects of third countries. Thank you for your attention.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Dear Chair Minister, Honourable Members, when you vote on the revision of our long term budget in a few moments, it will be an important occasion. You will decide on the Europe's power to act for the years to come, and I am grateful for the strong convergence of views, it goes to Parliament.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Since the Commission proposed a revision eight months ago, we have been working closely together on this review, which allows us to amend the Multiannual Financial Framework, strengthening our Union by strengthening key policies. I would like to thank you, the Members of the European Parliament for your commitment, and in particular thank you for the strong engagement of the rapporteurs, Jan Olbrycht and Margarita Marques.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The revision of the MFF ceilings confirms the priorities that the Commission presented back in July and it was strongly supported by this House. It provides around 80% of the original proposal with a balanced combination of new funds and redeployments. It's a very good result despite, of course, some difficult choices. It shows Europe's ambition and resolve to find common solutions to our shared priorities. Your vote for today's package is about giving our Union the ability to act at various levels. Let me highlight the five key elements of the revision.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, 'First, the Ukraine facility is a clear signal of our steadfast commitment to Ukraine and the Ukrainian people. It provides predictable and stable financial support to cater for Ukraine's immediate needs, recovery and modernisation on its path towards the European Union, totalling €50 billion until 2027. I thank the European Parliament and the co-rapporteurs Eider Gardiazabal and Michael Gahler in particular for making the agreement possible.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, The set up reflects the exceptional circumstances of the war and should not constitute a blueprint for future programmes.  In this context, the Commission has a formal statement on its institutional prerogratives. We have sent it for inclusion in the verbatim record of this debate. It's now crucial that the facility can enter into force as quickly as possible so that we can make the first disbursement under the exceptional bridge financing still in March.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, To address Ukraine's urgent financing needs, we are working with Ukraine to ensure that everything is in place. Second, this is a shared priority, it's about managing migration and relations with our external partners. The review back this up with an additional €2 billion to support the new pact on migration and asylum. In addition, €7.6 billion will help our partners in the Western Balkans, South neighbourhood and beyond.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Third, it's about European competitiveness. The Strategic Technologies for Europe Platform, better known as STEP, will support European leadership in critical technologies in the fields of digital and deep tech, clean tech and biotech. And I agree with some of you who have criticised the fact that not the full proposal was finally accepted, but this was the outcome of the trialogue. I mean, of the not trialogue, but the discussions we had and this is what was achievable. But bottom line, I think a lot also in that context could be achieved and, as it was rightly mentioned and highlighted by some of you, STEP will pull funding from 11 different programmes.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, Amongst them, Cohesion Policy Fund, the European Defence Fund, InvestEU, Horizon Europe, the Innovation Fund, the Recovery and Resilience Fund. To both strengthen our Union's open strategic autonomy and bolster its long term competitiveness. For STEP to reach its full potential Member States and managing authorities must now steer sufficient EU funds towards these cutting edge technologies. The success of STEP will depend on our collective ambition, and I would like to extend a special thanks here to José Manuel Fernandes and Christian Ehler.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, For us, it's about strengthening our emergency response, we will increase our capacities for emergency response inside and outside the Union. That is why this solidarity and emergency aid reserve will be reorganised and increased by €1.5 billion. As the past year has proved it, it's essential to be able to respond to unforeseen circumstances. We thus also increased the flexibility instrument by €2 billion.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, And finally, fifth, providing a structural solution to to the increases in interest costs is repeatedly requested by the European Parliament. A new mechanism over and above the MFF ceilings will offer a structural solution to the increase in interest costs of the youth recovery fund NextGenerationEU. This was all achieved within the EU budget framework, preserving the unity of the budget and the role of the budgetary authority and deputy over the course of the institutions.

SOUNDBITE (English), Johannes HAHN, European Commissioner for Budget and Administration, This is a good result for the European Union as a whole, and thus for cities, companies and regions. I count on your support for the revision of the Multiannual Framework, the Ukraine facility, integration of STEP. Building on you, hopefully strong vote today. We will translate the political agreement into action and this as soon as possible. We will present a draft amending budget for 2024 and necessary legislative adjustments to implement the revision. Still, this week this will feed the agreed additional funds concretely into our budget and actual programmes. I hope that the European Parliament and the Council can deliberate swiftly on these proposals. In this sense, we look forward to further working with you on strengthening our Union. And thank you very much again for this extremely valuable decision today.