Amending budget 1/2022: adjustment of the multiannual financial framework for the years 2021 to 2027

PURPOSE : presentation of Draft Amending Budget No 1/2022 budgeting the impact for 2022 budget of the adjustment of the multiannual financial framework 2021 to 2027.

CONTENT: the MFF Regulation for the years 2021-2027 was adopted in December 2020. The legislative framework for the funds under shared management for the period 2021-2027, and in particular the Common Provisions Regulation, was adopted in mid-2021. This meant that the legal framework for the programming exercise of the funds under shared management was in place at a late stage.

The MFF Regulation provides for a specific adjustment of the MFF ceilings, to be carried out by the Commission at the beginning of 2022, allowing for the transfers of 2021 allocation of commitment appropriations for the identified funds under shared management either not used or carried over, in the case of the adoption after 1 January 2021 of new rules or programmes under shared management.

The nine funds concerned are: (i) the European Regional Development Fund (ERDF); (ii) the Cohesion Fund (CF); (iii) the European Social Fund (ESF+); (iv) the Just Transition Fund (JTF); (v) the European Maritime and Fisheries Fund (EMFAF); (vi) the Asylum, Migration and Integration Fund (AMIF); (vii) the Internal Security Fund and (ix) the Border Management and Visa Instrument under the Integrated Border Management Fund (BMVI).

Draft Amending Budget (DAB) No 1 for the year 2022 reflects the specific impact of this transfer on 2022 commitment appropriations for the various funds under shared management under Headings 2a, 3, 4 and 5. The remaining transferred amounts will be reflected in the respective Draft Budgets of 2023, 2024 and 2025.

This DAB is necessary for the implementation in 2022 of all programmes which were not adopted in 2021 by the first instalment of budgetary commitments and the payment of pre-financing under these programmes. All 27 Member States are concerned by this re-programming exercise. A swift adoption of this DAB would prevent further delays in the implementation of the programmes.

In line with the provisions of the MFF Regulation, the amounts neither committed in 2021 nor carried over to 2022 are transferred in equal proportions to each of the years 2022 to 2025. Therefore this DAB reflects the transfer of 25 % of the allocations not used in 2021 (i.e. commitment appropriations not used nor carried over) corresponding to a total of EUR 12 247.1 million to the 2022 financial year.

The specific amounts to be transferred to 2022 are detailed as follows:

- Heading 2a - Economic, social and territorial cohesion: EUR 11 605.4 million.

- Heading 3 - Natural Resources and Environment: EUR 445.7 million.

- Heading 4 - Migration and Border Management: EUR 169 million.

- Heading 5 - Security and Defence: EUR 27 million.

Financing

Overall, the net impact of this DAB on expenditure amounts to an increase of EUR 12 247.1 million in 2022 commitment appropriations. No additional payment appropriations are requested.

The Commission does not propose any change to the level of payment appropriations in the context of this draft amending budget. As usual, it will keep budget implementation under close scrutiny, which may result in proposals for adjustment at a later stage in the year.