ANNEX

FINAL

Budget 2022 — Elements for joint conclusions

These joint conclusions cover the following sections:

1.	Budget 2022

2.	Budget 2021 — Draft Amending Budgets No. 5/2021 and No 6/2021

3.	Statements

Summary overview

A.   Budget 2022

According to the elements for joint conclusions:

—	The overall level of commitment appropriations in the 2022 budget is set at EUR 169 515,8 million. Overall, this leaves a margin below the MFF ceilings for 2022 of EUR 1 167,8 million in commitment appropriations.

—	The overall level of payment appropriations in the 2022 budget is set at EUR 170 603,3 million. Overall, this leaves a margin below the MFF ceilings for 2022 of EUR 1 695,8 million in payment appropriations.

—

The Flexibility Instrument for 2022 is mobilised in commitment appropriations for an amount of EUR 368,4 million for heading 6 Neighbourhood and the World. The 2022 payment appropriations related to the mobilisation of the Flexibility Instrument in 2019, 2020, 2021 and 2022 are estimated by the Commission at EUR 467,2 million. The estimated payment schedule of the related outstanding amounts for these years is detailed in the following table: Flexibility Instrument — payment profile (in EUR million) Mobilisation year 2022 2023 2024 2025 Total 2019 140,9 82,2 0,0 0,0 223,2 2020 66,2 39,9 0,0 0,0 106,1 2021 40,9 10,3 7,6 0,0 58,9 2022 219,2 62,7 49,8 36,7 368,4 Total 467,2 195,2 57,4 36,7 756,6

B.   Budget 2021

Draft Amending Budget No. 5/2021 is approved as proposed by the Commission.

Draft Amending Budget No. 6/2021 is approved as proposed by the Commission.

1.   Budget 2022

1.1.   ‘Closed’ lines

Unless stated otherwise below in these conclusions, all budget lines are confirmed as proposed by the Commission in the draft budget for 2022 as amended in Amending Letter No. 1/2022.

Additionally, all budget lines amended by the Council and agreed by the Parliament in its reading are confirmed as amended by the Council.

For the other budget lines, the Conciliation Committee has agreed on the conclusions included in sections 1.2 to 1.7 below.

1.2.   Horizontal issues

Decentralised agencies

The EU contribution (in commitment and payment appropriations and the number of posts) for all decentralised agencies are set at the level proposed by the Commission in the draft budget for 2022 as amended in Amending Letter No. 1/2022 with the exception of:

—

Under sub-heading 2b: — The European Union Agency for Criminal Justice Cooperation (Eurojust, budget article 07 10 07) for which 5 additional posts are allocated and the level of commitment and payment appropriations is increased by EUR 380 000 considering recruitment on average mid-year. — The European Public Prosecutor's Office (EPPO, budget article 07 10 08) for which the level of commitment and payment appropriations is increased by EUR 3 750 000 considering recruitment of the reinforcement proposed by the Commission in the draft budget for 2022 as amended in Amending Letter No. 1/2022 on average end first quarter instead of mid-year.

—

Under heading 4: — The European Asylum Support Office (EASO, budget article 10 10 01) for which 5 additional posts are allocated and the level of commitment and payment appropriations is increased by EUR 380 000 considering recruitment on average mid-year. — The European Border and Coast Guard Agency (Frontex, budget article 11 10 01) for which the level of commitment and payment appropriations is reduced by EUR 65 000 000.

Executive agencies

The EU contribution (in commitment and payment appropriations and the number of posts) for executive agencies are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022.

Pilot Projects/Preparatory Actions

A comprehensive package of 56 pilot projects/preparatory actions (PP/PA), for a total amount of EUR 89,5 million in commitment appropriations is agreed as proposed by the Parliament.

This includes the actions foreseen ‘towards the creation of a European Diplomatic Academy’ that will be implemented by the European External Action Service (EEAS).

This package respects the ceilings for pilot projects and preparatory actions set in the Financial Regulation.

1.3.   Expenditure headings of the financial framework — commitment appropriations

After taking into account the above conclusions on ‘closed’ budget lines, agencies and pilot projects and preparatory actions, the Conciliation Committee has agreed on the following:

Heading 1 — Single Market, Innovation and Digital

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table.

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
1.0.11	Horizon Europe	12 179 157 276	12 239 157 276	60 000 000
01 02 02 10	Cluster ‘Health’	571 730 809	606 730 809	35 000 000
01 02 02 40	Cluster ‘Digital, Industry and Space’	1 264 161 905	1 272 161 905	8 000 000
01 02 02 50	Cluster ‘Climate, Energy and Mobility’	1 281 577 680	1 290 577 680	9 000 000
01 02 02 60	Cluster ‘Food, Bioeconomy, Natural Resources, Agriculture and Environment’	1 003 750 348	1 011 750 348	8 000 000
1.0.31	Single Market Programme	583 544 000	613 544 000	30 000 000
03 02 02	Improving the competitiveness of enterprises, particularly SMEs, and supporting their access to markets	121 450 000	151 450 000	30 000 000
PPPA	Pilot projects and preparatory actions			40 937 500
	Total			130 937 500

From the increase of EUR 30,0 million in commitment appropriations for the Single Market Programme (Improving the competitiveness of enterprises, particularly SMEs, and supporting their access to markets, budget article 03 02 02), EUR 10,0 million is to be dedicated to providing various forms of support to the tourism sector.

As a consequence, the agreed level of commitment appropriations is set at EUR 21 775,1 million, leaving a margin of EUR 102,9 million under the expenditure ceiling of heading 1.

In accordance with Article 15.3 of the Financial Regulation (1), the Conciliation Committee agrees to make commitment appropriations available again on the research budget lines for a total of EUR 117,3 million in commitment appropriations, i.e. an increase of EUR 40,0 million as compared to the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022. The following budget line is reinforced and its budget remarks revised accordingly:

		(in EUR)
Budget line	Name	Commitment appropriations
01 02 02 10	Cluster ‘Health’	40 000 000
Total		40 000 000

These appropriations are part of the overall amount of up to EUR 0,5 billion (in 2018 prices) for the 2021-2027 period as agreed upon in the framework of the MFF agreement. This leaves up to EUR 372,8 million in 2018 prices available for the 2023-2027 period.

Sub-heading 2a — Economic, social and territorial Cohesion

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table:

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
PPPA	Pilot projects and preparatory actions			2 681 000
	Total			2 681 000

As a consequence, the agreed level of commitment appropriations is set at EUR 49 708,8 million, leaving a margin of EUR 30,2 million under the expenditure ceiling of Sub-heading 2a.

Sub-heading 2b — Resilience and Values

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table.

In the light of the current interest rate environment and recent NGEU financing operations — the appropriations for budget line 06 04 01 can be reduced by EUR 244,7 million, while fully preserving the capacity to finance the non-repayable component of NGEU in 2022. As compared to the Draft Budget, a further EUR 20 million will be back-loaded to 2027, to offset a corresponding frontloading for EU4Health.

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
2.2.13	Support to the Turkish-Cypriot Community	33 276 000	34 276 000	1 000 000
05 04 01	Financial support for encouraging the economic development of the Turkish Cypriot community	31 402 525	32 402 525	1 000 000
2.2.23	Financing cost of the European Union Recovery Instrument (EURI)	389 706 000	145 000 000	- 244 706 000
06 04 01	European Union Recovery Instrument (EURI) — Payment of periodic coupon and redemption at maturity	384 706 000	140 000 000	- 244 706 000
2.2.24	Union Civil Protection Mechanism (RescEU)	95 254 030	101 254 030	6 000 000
06 05 01	Union Civil Protection Mechanism (rescEU)	95 254 030	101 254 030	6 000 000
2.2.25	EU4Health	788 672 701	839 672 701	51 000 000
06 06 01	EU4Health Programme	764 213 775	815 213 775	51 000 000
2.2.312	Employment and Social Innovation	104 482 000	106 482 000	2 000 000
07 02 04	ESF+ — Employment and Social Innovation strand	102 482 000	104 482 000	2 000 000
2.2.32	Erasmus+	3 366 740 438	3 401 740 438	35 000 000
07 03 01 01	Promoting learning mobility of individuals, as well as cooperation, inclusion, excellence, creativity and innovation at the level of organisations and policies in the field of education and training — Indirect management	2 331 521 972	2 361 274 626	29 752 654
07 03 02	Promoting non-formal learning mobility and active participation among young people, as well as cooperation, inclusion, creativity and innovation at the level of organisations and policies in the field of youth	346 973 114	351 400 945	4 427 831
07 03 03	Promoting learning mobility of sport coaches and staff, as well as cooperation, inclusion, creativity and innovation at the level of sport organisations and sport policies	64 216 157	65 035 672	819 515
2.2.33	European Solidarity Corps (ESC)	138 427 764	141 427 764	3 000 000
07 04 01	European Solidarity Corps	131 710 226	134 710 226	3 000 000
2.2.34	Creative Europe	401 027 982	406 527 982	5 500 000
07 05 01	Culture	125 597 589	131 097 589	5 500 000
2.2.352	Citizens, Equality, Rights and Values	209 402 193	214 902 193	5 500 000
07 06 02	Promote citizens engagement and participation in the democratic life of the Union	39 671 295	40 671 295	1 000 000
07 06 03	Daphne	29 581 401	33 581 401	4 000 000
07 06 04	Protection and promotion of Union values	91 787 552	92 287 552	500 000
2.2.3DAG	Decentralised Agencies	242 132 181	246 262 181	4 130 000
07 10 07	European Union Agency for Criminal Justice Cooperation (Eurojust)	45 423 578	45 803 578	380 000
07 10 08	European Public Prosecutor's Office (EPPO)	53 351 846	57 101 846	3 750 000
2.2.3SPEC	Prerogatives	180 389 773	182 889 773	2 500 000
07 20 04 06	Specific competences in the area of social policy, including social dialogue	23 020 900	25 520 900	2 500 000
PPPA	Pilot projects and preparatory actions			35 303 000
	Total			-93 773 000

The increase of EUR 3,0 million in commitment appropriations for the European Solidarity Corps (European Solidarity Corps, budget article 07 04 01) and EUR 5,0 million from the increase of EUR 35 million in commitment appropriations for Erasmus+ — for a combined effect of EUR 8 million — are to be dedicated to preparing and carrying out activities in line with the European Year of Youth 2022.

As a consequence, the agreed level of commitment appropriations is set at EUR 6 330,2 million, leaving a margin of EUR 130,8 million under the expenditure ceiling of Sub-heading 2b.

Heading 3 — Natural Resources and Environment

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table:

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
3.2.21	Programme for Environment and Climate Action (LIFE)	708 045 484	755 545 484	47 500 000
09 02 01	Nature and biodiversity	265 601 888	284 032 563	18 430 675
09 02 02	Circular economy and quality of life	169 866 127	181 653 495	11 787 368
09 02 03	Climate change mitigation and adaptation	120 050 994	128 381 585	8 330 591
09 02 04	Clean energy transition	128 996 883	137 948 249	8 951 366
PPPA	Pilot projects and preparatory actions			9 611 500
	Total			57 111 500

As a consequence, the agreed level of commitment appropriations is set at EUR 56 235,4 million, leaving a margin of EUR 283,6 million under the expenditure ceiling of heading 3, of which EUR 270,1 million under the sub-margin for ‘Market related expenditure and direct payments’.

Heading 4 — Migration and Border Management

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table:

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
4.0.11	Asylum, Migration and Integration Fund	1 099 455 000	1 119 455 000	20 000 000
10 02 01	Asylum, Migration and Integration Fund	1 096 455 000	1 116 455 000	20 000 000
4.0.1DAG	Decentralised Agencies	153 281 205	153 661 205	380 000
10 10 01	European Asylum Support Office (EASO)	153 281 205	153 661 205	380 000
4.0.211	Integrated Border Management Fund (IBMF) — Instrument for border management and visa (BMVI)	646 117 589	671 117 589	25 000 000
11 02 01	Instrument for financial support for border management and visa	644 117 589	669 117 589	25 000 000
4.0.2DAG	Decentralised Agencies	1 073 823 593	1 008 823 593	-65 000 000
11 10 01	European Border and Coast Guard Agency (Frontex)	757 793 708	692 793 708	-65 000 000
	Total			-19 620 000

The increase of EUR 20 million in commitment appropriations for the Asylum, Migration and Integration Fund (Asylum, Migration and Integration Fund, budget article 10 02 01) is to be dedicated to the financing of resettlement of Afghan refugees.

The increase of EUR 25 million in commitment appropriations for the Integrated Border Management Fund (IBMF) — Instrument for border management and visa (BMVI) (Instrument for financial support for border management and visa, budget article 11 02 01) is to be dedicated to the management of the migrant crisis at the border of Belarus.

As a consequence, the agreed level of commitment appropriations is set at EUR 3 091,2 million, leaving a margin of EUR 99,8 million under the expenditure ceiling of heading 4.

Heading 5 — Security and Defence

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022. As a consequence, the agreed level of commitment appropriations is set at EUR 1 785,3 million, leaving a margin of EUR 82,7 million under the expenditure ceiling of heading 5.

Heading 6 — Neighbourhood and the World

Commitment appropriations are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 but with the adjustments, agreed by the Conciliation Committee, detailed in the following table:

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
6.0.111	Neighbourhood, Development and International Cooperation Instrument — Global Europe (NDICI — Global Europe)	12 526 647 047	12 716 647 047	190 000 000
14 02 01 10	Southern neighbourhood	1 604 861 026	1 629 861 026	25 000 000
14 02 01 11	Eastern neighbourhood	699 703 445	709 703 445	10 000 000
14 02 01 30	Middle East and Central Asia	384 765 942	414 765 942	30 000 000
14 02 02 40	People — Global Challenges	137 191 715	187 191 715	50 000 000
14 02 04	Emerging challenges and priorities cushion	1 463 311 470	1 538 311 470	75 000 000
6.0.12	Humanitarian Aid (HUMA)	1 595 059 463	1 806 059 463	211 000 000
14 03 01	Humanitarian aid	1 506 901 913	1 717 901 913	211 000 000
	Total			401 000 000

For the Neighbourhood, Development and International Cooperation Instrument — Global Europe, the increases in commitment appropriations of EUR 75 million (Emerging challenges and priorities cushion, budget article 14 02 04) and EUR 50 million (People — Global Challenges, budget item 14 02 02 40) are to be dedicated to the measures to fight the pandemic, including vaccines.

As a consequence, the agreed level of commitment appropriations is set at EUR 17 170,4 million, with no margin left under the expenditure ceiling of heading 6 and the mobilisation of the Flexibility Instrument for an amount of EUR 368,4 million.

Heading 7 — European Public Administration

The number of posts in the establishment plans of the institutions and the appropriations proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022 are agreed by the Conciliation Committee with the following exceptions:

—	The section of the European Parliament, for which its reading is approved;

—	The section of the Council, for which its reading is approved;

—	The section of the Court of Justice of the European Union for which 9 posts are added to the establishment plan and the level of commitment and payment appropriations increased by EUR 684 000 considering recruitment on average mid-year;

—	The section of the European Court of Auditors (ECA) for which 13 posts, linked to NGEU and until 2027, are added to the establishment plan and the level of commitment and payment appropriations increased by EUR 988 000 considering recruitment on average mid-year;

—

The section of the European External Action Service (EEAS) for which (i) staff resources are increased by 7 establishment plan posts and 3 Contract Agents and the level of commitment and payment appropriations increased by EUR 655 000 considering recruitment on average mid-year, (ii) the level of commitment and payment appropriations is increased by EUR 990 500 for implementing the actions foreseen ‘towards the creation of a European Diplomatic Academy’, as proposed by the European Parliament in its reading and (iii) the level of commitment and payment appropriations is increased by EUR 1,0 million for ‘Strategic Communication Capacity’, budget item 2 2 1 4;

The adjustments, resulting in an increase of EUR 0,8 million of heading 7, are detailed in the following tables:

Section 2 — European Council and Council

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
1 1 0 0	Basic salaries	265 982 044	265 970 746	-11 298
1 1 0 2	Entitlements under the Staff Regulations related to the personal circumstances of the staff member	66 765 000	66 778 000	13 000
1 1 0 3	Social security cover	10 946 000	10 947 000	1 000
2 0 1 0	Cleaning and maintenance	18 635 000	18 335 000	- 300 000
2 1 0 0	Acquisition of equipment and software	14 385 716	12 285 716	-2 100 000
2 1 0 1	External assistance for the operation and development of computer systems	27 839 685	27 509 685	- 330 000
2 2 0 4	Miscellaneous expenditure on internal meetings	5 235 000	4 635 000	- 600 000
2 2 1 3	Information and public events	5 358 250	5 158 250	- 200 000
	Total			-3 527 298

Section 4 — Court of Justice of the European Union

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
1 2 0 0	Remunerations and allowances	287 078 950	287 762 950	684 000
	Total			684 000

Section 5 — European Court of Auditors

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
1 2 0 0	Remuneration and allowances	118 344 775	119 332 775	988 000
	Total			988 000

Section 10 — European External Action Service

Budget line / Programme	Name	Variation in commitment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
1 1 0 0	Basic salaries	116 638 000	117 170 000	532 000
1 2 0 0	Contract staff	18 671 800	18 794 800	123 000
2 2 1 4	Strategic Communication Capacity	4 000 000	5 000 000	1 000 000
2 2 5 0	Pilot Project — Towards the creation of a European Diplomatic Academy		990 500	990 500
	Total			2 645 500

As a consequence the agreed level of commitment appropriations is set at EUR 10 620,1 million, leaving a margin of EUR 437,9 million under the expenditure ceiling of heading 7, of which EUR 240,1 million under the sub-margin for ‘Administrative expenditure of the institutions’.

Thematic special instruments: EGF, SEAR and BAR

Commitment appropriations for the European Globalisation Adjustment Fund for Displaced Workers (EGF), the Solidarity and Emergency Aid Reserve (SEAR) and the Brexit Adjustment Reserve (BAR) are set at the level proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022.

1.4.   Payment appropriations

The overall level of payment appropriations in the 2022 Budget is set at the level of the Draft Budget, as amended by Amending Letter 1/2022 with the following adjustments agreed by the Conciliation Committee:

1.

The agreed level of commitment appropriations for non-differentiated expenditure (headings 1 to 6), for which the level of payment appropriations is equal to the level of commitment appropriations, is taken into account. This applies to the reduction of the financing cost of the European Recovery Instrument (EURI) by -EUR 244,7 million. Considering also the adjustment to the Union contribution to decentralised agencies, the combined effect is a decrease of -EUR 305,2 million;

2.	The adjustment under heading 7 resulting in an increase of EUR 0,8 million;

3.

The payment appropriations for all new pilot projects and preparatory actions proposed by the Parliament are set at 25 % of the corresponding commitment appropriations, or at the level proposed by Parliament, if lower. In the case of extension of existing pilot projects and preparatory actions, the level of payment appropriations is the one defined in the Draft Budget as amended by the Amending letter 1/2022 plus 25 % of the corresponding new commitment appropriations, or at the level proposed by Parliament, if lower. The combined effect is an increase of EUR 22,1 million;

4.	The adjustments to differentiated expenditure budget lines for which the combined effect is an increase of EUR 262,0 million.

The adjustments, resulting in a decrease of EUR 20,3 million, are detailed in the following table:

Budget line / Programme	Name	Variation in payment appropriations (in EUR)
		DB 2022 (incl. AL1)	Budget 2022	Difference
Heading 1
1.0.23	Digital Europe Programme	898 530 703	848 530 703	-50 000 000
02 04 01 11	European Cybersecurity Industrial, Technology and Research Competence Centre	33 192 982	17 192 982	-16 000 000
02 04 03	Artificial intelligence	245 811 860	214 811 860	-31 000 000
02 04 04	Skills	52 000 000	49 000 000	-3 000 000
PPPA	Pilot projects and preparatory actions			10 234 375
	Total Heading 1			-39 765 625
Sub-heading 2a
PPPA	Pilot projects and preparatory actions			670 250
	Total Sub-heading 2a			670 250
Sub-heading 2b
2.2.23	Financing cost of the European Union Recovery Instrument (EURI)	389 706 000	145 000 000	- 244 706 000
06 04 01	European Union Recovery Instrument (EURI) — Payment of periodic coupon and redemption at maturity	384 706 000	140 000 000	- 244 706 000
2.2.24	Union Civil Protection Mechanism (RescEU)	180 866 480	186 866 480	6 000 000
06 05 01	Union Civil Protection Mechanism (rescEU)	94 547 220	100 547 220	6 000 000
2.2.32	Erasmus+	3 273 756 286	3 300 756 286	27 000 000
07 03 01 01	Promoting learning mobility of individuals, as well as cooperation, inclusion, excellence, creativity and innovation at the level of organisations and policies in the field of education and training — Indirect management	2 220 525 000	2 243 477 048	22 952 048
07 03 02	Promoting non-formal learning mobility and active participation among young people, as well as cooperation, inclusion, creativity and innovation at the level of organisations and policies in the field of youth	310 000 000	313 415 755	3 415 755
07 03 03	Promoting learning mobility of sport coaches and staff, as well as cooperation, inclusion, creativity and innovation at the level of sport organisations and sport policies	55 000 000	55 632 197	632 197
2.2.3DAG	Decentralised Agencies	233 643 002	237 773 002	4 130 000
07 10 07	European Union Agency for Criminal Justice Cooperation (Eurojust)	45 226 899	45 606 899	380 000
07 10 08	European Public Prosecutor's Office (EPPO)	53 351 846	57 101 846	3 750 000
PPPA	Pilot projects and preparatory actions			8 825 750
	Total Sub-heading 2b			- 198 750 250
Heading 3
PPPA	Pilot projects and preparatory actions			2 402 875
	Total Heading 3			2 402 875
Heading 4
4.0.11	Asylum, Migration and Integration Fund	1 276 766 000	1 291 766 000	15 000 000
10 02 01	Asylum, Migration and Integration Fund	661 766 000	676 766 000	15 000 000
4.0.1DAG	Decentralised Agencies	153 281 205	153 661 205	380 000
10 10 01	European Asylum Support Office (EASO)	153 281 205	153 661 205	380 000
4.0.211	Integrated Border Management Fund (IBMF) — Instrument for border management and visa (BMVI)	490 891 340	510 891 340	20 000 000
11 02 01	Instrument for financial support for border management and visa	191 891 340	211 891 340	20 000 000
4.0.2DAG	Decentralised Agencies	1 050 691 460	985 691 460	-65 000 000
11 10 01	European Border and Coast Guard Agency (Frontex)	757 793 708	692 793 708	-65 000 000
	Total Heading 4			-29 620 000
Heading 5
Heading 6
6.0.111	Neighbourhood, Development and International Cooperation Instrument — Global Europe (NDICI — Global Europe)	7 858 721 595	7 891 721 595	33 000 000
14 02 04	Emerging challenges and priorities cushion	1 000 000 000	1 033 000 000	33 000 000
6.0.12	Humanitarian Aid (HUMA)	1 880 645 990	2 091 645 990	211 000 000
14 03 01	Humanitarian aid	1 797 851 440	2 008 851 440	211 000 000
	Total Heading 6			244 000 000
Heading 7
7.2.2	European Council and Council	615 000 854	611 473 556	-3 527 298
7.2.4	Court of Justice of the European Union	464 090 000	464 774 000	684 000
7.2.5	European Court of Auditors	161 153 175	162 141 175	988 000
7.2.X	European External Action Service	775 069 920	777 715 420	2 645 500
	Total Heading 7			790 202
TOTAL				-20 272 548

Overall this results in a level of payment appropriations of EUR 170 603,3 million, a decrease of EUR 20,3 million in comparison with the Draft Budget, as amended by Amending Letter 1/2022.

1.5.   Reserves

There are no reserves in addition to those of the Draft Budget, as amended by Amending Letter 1/2022.

1.6.   Budget remarks

The text of budget remarks corresponds to the Draft Budget, as amended by Amending Letter 1/2022 with the following adjustments agreed by the Conciliation Committee:

—	Budget lines for which amendments have been introduced by the European Parliament to its own section are approved without modifications.

—

Budget lines for which the amendments introduced by the European Parliament are approved without modifications: Article 07 10 01 — European Foundation for the improvement of living and working conditions (Eurofound) Amend text as follows: The European Foundation for the improvement of living and working conditions (Eurofound) delivers and disseminates important knowledge on work-related and social matters to contribute to sound and evidence-based policies in those fields. Its core activity relates to research in the areas of employment, working conditions, industrial relations and quality of life. The activities of Eurofound contribute to the following priorities: increasing labour market participation and combating unemployment by creating jobs, improving labour market functioning and promoting integration and gender equality; integration; improving working conditions and making work sustainable throughout the life course, developing industrial relations to ensure equitable and productive solutions in a changing policy context, improving standards of living and promoting social cohesion in the face of economic disparities and social inequalities such as the gender employment gap and gender pay gap. inequalities.

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Budget lines for which the respective budget remark as proposed in the Draft Budget as amended by the Amending Letter, are approved with the following modifications: — Item 01 02 02 53 — Cluster Climate, Energy and Mobility — Europe's Rail joint undertaking Amend the paragraph as follows: The Europe’s Rail Joint Undertaking shall contribute to the implementation of Horizon Europe, in particular cluster Climate, Energy and Mobility. It will speed up the development and deployment of innovative technologies (especially digital and automation) to achieve a more attractive, user friendly, competitive, affordable, easy to maintain, efficient European rail system and deliver on European Green Deal objectives, for example, shift a substantial part of the 75 % of inland freight carried by road towards transport by rail and inland waterways. — Item 07 20 04 06 — Specific competences in the area of social policy, including social dialogue Amend the paragraph as follows: — actions on preliminary consultation meetings between European trade union representatives, notably to cover costs with a view to help them form their opinions and harmonise their positions regarding the development of Union policies, in particular following the COVID-19 crisis. — Item 1 3 0 1, Section 10 European External Action Service — Training Add following text: The budget for trainings should clearly demonstrate and support the importance of fostering gender equality, sensitivity and fighting gender bias, including anti-harassment policy, across our own institutions (including EEAS HQ, EU Delegations, and CSDP missions and operations) also in selection procedures. This should include mandatory trainings and initiatives, with special attention to middle and upper management responsibility in these areas, in line with the provisions in the Gender Action Plan III and the related Staff Working Document.

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In accordance with Article 15.3 of the Financial Regulation, the Conciliation Committee agrees to make commitment appropriations available again on the budget line 01 02 02 10. Budget remarks will be adjusted accordingly: Budget line Name 01 02 02 10 Add following text: In accordance with Article 15.3 of the Financial Regulation, an amount of EUR 40 000 000 in commitment appropriations is available for this budget item further to decommitments made in 2020 as a result of total or partial non-implementation of research projects.

This is with the understanding that amendments introduced by the European Parliament or the Council cannot modify or extend the scope of an existing legal base, or impinge on the administrative autonomy of the institutions, and that the action can be covered by available resources.

1.7.   Budget nomenclature

The budget nomenclature proposed by the Commission in the Draft Budget, as amended by Amending Letter 1/2022, is agreed, with the inclusion of the new pilot projects and preparatory actions except the new pilot project ‘Monitoring the SDGs in the EU regions — Filling the data gaps’ that will be implemented under MFF heading 1, budget article PP 01 22 06 instead of under MFF sub-heading 2b).

2.   Budget 2021

Draft Amending Budget (DAB) 5/2021 is approved as proposed by the Commission.

Draft Amending Budget (DAB) 6/2021 is approved as proposed by the Commission.

3.   Statements

3.1.   Joint statement by the European Parliament and the Council on payment appropriations

The European Parliament and the Council call on the Commission to continue closely and actively monitoring during the year 2022 the implementation of the programmes of the current and previous MFFs (particularly in sub-heading 2a and Rural Development). To that end, the European Parliament and the Council invite the Commission to present, in a timely manner, updated figures concerning the state of affairs and estimates regarding 2022 payment appropriations (taking into account the improved forecasts accuracy of the Member States where applicable). If the figures show that the appropriations entered in the 2022 budget are insufficient to cover the needs, the European Parliament and the Council invite the Commission to present as soon as possible an appropriate solution, inter alia a draft amending budget, with a view to allowing the European Parliament and the Council to take any necessary decisions as soon as possible without undue delay for justified needs. Where applicable, the European Parliament and the Council will take into account the urgency of the matter, shortening the eight-week period for a decision if deemed necessary. The same applies mutatis mutandis if the figures show that the appropriations entered in the 2022 budget are higher than needed.

3.2.   Joint statement by the European Parliament, the Council and the Commission on the financing cost of the European Union Recovery Instrument (EURI) in 2022

Thanks to the current favourable interest rate environment and taking into account the issuance cost of NGEU financing operations so far this year, the appropriations planned for the financing cost of the European Recovery instrument [budget line 06 04 01] can be reduced while fully preserving the capacity to finance the non-repayable component of NGEU in 2022.

Article 5(2) of the Own Resources decision lays down that ‘Repayments of the principal of the funds shall start before the end of the MFF 2021-2027 period, with a minimum amount, insofar as amounts not used for interest payments due under the borrowing referred to in paragraph 1 of this Article allow it, with due regard to the procedure set out in Article 314 TFEU’

In addition, recital 20 of the Own Resources Decision states ‘amounts not used for interest payments as foreseen will be used for early repayments before the end of the MFF 2021-2027, with a minimum amount, and can be increased above this level provided that new own resources have been introduced after 2021 in accordance with the procedure set out in the third paragraph of Article 311 TFEU’.

Since no repayments of the principal will be possible in 2022:

—	an amount of EUR 90 million, of which EUR 70 million already included in the Draft budget, will be backloaded to 2027 when it can be used either for interest payments or early repayments. This backloading is offset by a corresponding frontloading of the EU4Health programme.

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Without prejudice to the prerogatives of the budgetary authority, the European Parliament and the Council agree to increase the amounts available on budget line 06 04 01 by EUR 224,7 million over the period 2024-2027, based on a proposal from the Commission and following the assessment of the needs and possibilities for early repayments, using available margins and by mobilising the Single margin instrument while respecting the financial programming for the programmes within Heading 2b.

This mechanism ensures that the total amount for the EURI line included in the original financial programming for 2022 will be used for interest payments or early repayments during the 2021-2027 MFF.

3.3.   Unilateral statement of the Commission on budgetary prudence with regard to the EURI interest line

The Commission recalls that the EURI interest line ([budget line 06 04 01]) serves the payment of the financing and liquidity costs of NGEU borrowing in so far as these are imputed to the EU Budget. Amounts not used for interest payments, are to be used for early repayments of the debt in accordance with Article 5(2) and Recital 20 of the Own Resources Decision.

The increase in inflation calls for reinforced budgetary prudence with regard to the management of the EURI interest line in view of the possibility that nominal interest rates will be higher than assumed in the programming of this line.

The Commission will, therefore, in discharging its responsibilities under Article 314 (TFEU), paragraphs 2, 5 and 8, propose budgetary measures that, if adopted, will ensure that the overall amount originally planned in the Multi-Annual Financial Framework 2021-2027 [EUR 14 976 million in current prices] for the EURI line is fully used for the payment of interest cost or early repayments.

The Commission will report each year within the framework of the presentation of the draft budget on the cumulative implementation of the EURI line, amounts backloaded on the EURI line and the amount reserved under the Single Margin Instrument for reaching this objective.

3.4.   Unilateral statement by the European Commission on tackling child poverty under the European Social Fund+

Tackling child poverty will become even more important especially in the context of the recovery from the COVID-19 crisis and sufficient resources need to be devoted to it. To this end, Regulation (EU) 2021/1057 on establishing the European Social Fund Plus (ESF+) requires Member States to allocate an appropriate amount of their ESF+ shared management resources for the implementation of the Child Guarantee through targeted actions and structural reforms to tackle child poverty. An explicit minimum allocation of 5 % is set for all Member States that had an average rate above the Union average of children of less than 18 years old at risk of poverty or social exclusion for the period between 2017 and 2019.

Negotiations on the 2021-27 programmes between the Commission and Member States are still on-going and the exact amounts to be programmed in support of the Child Guarantee in all Member States will be known once this process is complete.

In line with the Council Recommendation establishing a European Child Guarantee {SWD(2021) 62 final} and building on reports from the Member States Child Guarantee coordinators and the Social Protection Committee, the Commission will regularly report on the implementation of the Recommendation establishing the Child Guarantee. The Commission will also closely monitor the implementation of this Recommendation in the context of the European Semester. The Commission would like to stress that Member States can programme funding for implementing the Child Guarantee beyond the minimum requirements set in the ESF+ Regulation. They can also use other EU resources, such as the Recovery and Resilience Facility, as well as their own national funding.

3.5.   Joint statement by the European Parliament, the Council and the Commission on the intention to provide maximum resources for natural disasters under the EUSF strand of the SEAR in 2022

The three institutions acknowledge that the exceptional extent of the natural disasters that occurred in 2021 creates pressure on the availabilities under the European Union Solidarity fund (EUSF). The EUSF is financed exclusively from the Solidarity and Emergency Aid reserve (SEAR), without any possibility of recourse to other sources of financing.

The Conciliation Committee has agreed to reinforce humanitarian aid in Heading 6 by EUR 211 million in the 2022 budget. It is therefore possible to limit recourse to the SEAR envelope for external emergencies during the period between 1 January and 31 August 2022, thus freeing additional resources for the EUSF on 1 September 2022 equivalent to the amount of the reinforcement of humanitarian aid under Heading 6. This will allow showing maximum solidarity with Member States concerned by the natural disasters while increasing the EU budget’s capacity to swiftly respond to external emergencies.

3.6.   Joint statement by the European Parliament and the Council on the reinforcement of the establishment plan of the Court of Auditors

EP and Council acknowledge that NGEU will lead to an additional workload for the Court of Auditors which cannot be offset fully by redeployment within the existing budget. They therefore agree to an increase of the establishment plan of the Court with 20 posts in 2022.

EP and Council underline the importance they attach to work of the Court of Auditors, in particular regarding financial and compliance audits the Court performs in order to fulfil its primary task to examine whether all revenue has been received and all expenditure has been incurred in a lawful and regular manner, which are inextricably linked to performance audits to examine the economy, efficiency and effectiveness in the management of the EU Budget, as two sides of the same coin. The soundness of the financial management of its budget is a cornerstone for the legitimacy of the Union.

In this context the EP and the Council consider it essential that the Court allocates sufficient resources for the implementation of these core activities.

In general, the EP and Council also acknowledge the importance of the recommendations the Court delivers on the basis of article 287(4) second sub-paragraph of the TFEU, while noting that Court of Justice has clarified that this provision ‘is intended to contribute to improving the financial management of the Union by providing for reports to be transmitted to the institutions and for the latter to respond to them’.

EP and Council invite the Court to include in the working documents for future budgetary exercises an overview of the allocation of staff in the previous year to activities for financial, compliance and performance audits, for the work based on article 287(4) of the TFEU and support services.

3.7.   Joint statement by the European Parliament, the Council and the Commission on reviewing the evolution of the pandemic in 2022

The three institutions commit to reviewing the evolution of the pandemic response by the end of June 2022, notably with regard to international vaccinations and will on this basis consider any necessary action as proposed by the Commission.

3.8.   Unilateral statement by the Commission on migration

Given the continuing needs foreseen in the coming years, the Commission confirms its plan to ensure that the average annual funding for migration for the Southern Neighbourhood from the NDICI-GE Neighbourhood, allocation and, if needed, from other instruments, remains at least at the level envisaged for 2022.

3.9.   Unilateral statement by the Commission on Heading 7

The Commission recalls that the financial programming of Heading 7 is based on the assumption that the Institutions’ staffing levels remain stable. It observes that the Budget 2022 is not consistent with this assumption and underlines that, against the background of the rising inflation, future staffing increases could lead to pressures on Heading 7 in the 2021-2027 Multi-Annual Financial Framework.

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(1)  Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union (OJ L 193, 30.7.2018, p. 1).