London Daily

Focus on the big picture.
Monday, Feb 09, 2026

EU top court paves way to cut billions to Poland and Hungary

EU top court paves way to cut billions to Poland and Hungary

The European Union's top court on Wednesday cleared the way to cut billions of euros of funds to Poland and Hungary, whose populist rulers the bloc accuses of violating democratic rights.
There is no appeal against the ruling by the Luxembourg-based European Court of Justice, which dismissed challenges by Warsaw and Budapest against a new EU sanction that would halt funding to member countries which break European laws.

"Today's judgments confirm that we are on the right track," said European Commission President Ursula von der Leyen, announcing the Brussels-based EU executive would decide how to act in the coming weeks.

At stake are hundreds of billions of euros of funds, the EU's internal cohesion, and its international standing.

Hungary and Poland have long been big beneficiaries of EU funds, which the bloc has poured into the former communist countries to help develop their economies since they joined in 2004.

The EU says that to receive those benefits, countries must uphold common European standards, which Warsaw and Budapest have flouted by imposing political control over the judiciary and media, and restricting civil rights.

Disagreements over the rule of law come as the bloc seeks to present a united front on its eastern flank, where Russia has massed forces near Ukraine.

The decision could also have immediate political impact, particularly in Hungary, where an April 3 national election is expected to be the tightest race for nationalist Prime Minister Viktor Orban since his landslide victory in 2010.

Orban's ruling Fidesz party said the ruling was "political revenge" against Hungary, meant to help the united opposition. Justice Minister Judit Varga said Brussels was abusing its powers against national member states.

Polish Prime Minister Mateusz Morawiecki told a news conference: "Poland believes that centralization, bureaucratic centralization, federalization... is a dangerous process."

The EU has already frozen pandemic recovery funds worth 36 billion euros ($41 billion) for Poland and 7 billion euros for Hungary. The so-called "conditionality mechanism" could now affect any part of the EU budget, worth 1.8 trillion euros ($2 trillion) for 2021-27.

Poland, the biggest formerly communist EU member with 38 million people, is eligible for more than 75 billion euros through 2027, including for climate, digitalization and public health. Hungary has a population around a quarter the size but has received an even greater share of EU spending per capita.

"Hungary and Poland have been rapidly backsliding on media freedom, independence of judges, the right to protest," said Amnesty International. "Instead of trying to oppose EU funds being conditional on respect for the rule of law, they should respect people's rights and clean up their act."

EU officials said the bloc might move on Hungary first, while political horse-trading would probably delay a decision to withhold funds at least until late this year.

Poland and Hungary have threatened to retaliate by stalling other EU decisions that require unanimity, including on climate and energy, as well as foreign policy.

Orban's chief of staff Gergely Gulyas told Reuters that the dispute would not lead Hungary to block an EU-Africa summit later this week or interfere with any potential sanctions against Russia over Ukraine.

Katalin Cseh, a liberal Hungarian EU lawmaker, said ignoring the erosion of the rule of law in Poland and Hungary would be comparable to the dark comedy film "Don't Look Up", in which politicians fail to stop an asteroid from destroying the Earth.

"If we are sitting tight and assessing, then Mr Orban and Mr Morawiecki would achieve their goal of destroying the Union from within," she said.
Newsletter

Related Articles

0:00
0:00
Close
China and UK Signal Tentative Reset with Commitment to Steadier, Professionally Managed Relations
UK Confirms Imminent Increase in ETA Fee to £20 as Entry Rules Tighten
UK Signals Possible Seizure of Russia-Linked ‘Shadow Fleet’ Tanker in Escalation of Sanctions Enforcement
Epstein Scandal Piles Unprecedented Pressure on UK Prime Minister Keir Starmer’s Leadership
UK’s ‘Most Romantic Village’ Celebrates Valentine’s Day and Explores the Festival’s Rich History
The Implications of Expanding Voting Rights to Non-EU Foreign Residents in France
Ghislaine Maxwell to Testify Before US Congress on February 9
Al.com Acquired by Crypto.com Founder for $70 Million
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
US and Iran to Begin Nuclear Talks in Oman
Winklevoss-Led Gemini to Slash a Quarter of Jobs and Exit European and Australian Markets
Canada Opens First Consulate in Greenland Amid Rising Geopolitical Tensions
China unveils plans for a 'Death Star' capable of launching missile strikes from space
NASA allows astronauts to take smartphones on upcoming missions to capture special moments.
Trump administration to launch TrumpRx.gov for direct drug purchases
Investigation Launched at Winter Olympics Over Ski Jumpers Injecting Hyaluronic Acid
U.S. State Department Issues Urgent Travel Warning for Citizens to Leave Iran Immediately
Wall Street Erases All Gains of 2026; Bitcoin Plummets 14% to $63,000
Epstein Case Documents Reignite Global Scrutiny of Political and Business Elites
Eighty-one-year-old man in the United States fatally shoots Uber driver after scam threat
UK Royal Family Faces Intensifying Strain as Epstein-Linked Revelations Rock the Institution
Political Censorship: French Prosecutors Raid Musk’s X Offices in Paris
AI Invented “Hot Springs” — Tourists Arrived and Were Shocked
Tech Mega-Donors Power Trump-Aligned Fundraising Surge to $429 Million Ahead of 2026 Midterms
UK Pharma Watchdog Rules Sanofi Breached Industry Code With RSV Vaccine Claims Against Pfizer
Melania Documentary Opens Modestly in UK with Mixed Global Box Office Performance
Starmer Arrives in Shanghai to Promote British Trade and Investment
Harry Styles, Anthony Joshua and Premier League Stars Among UK’s Top Taxpayers
New Epstein Files Include Images of Former Prince Andrew Kneeling Over Unidentified Woman
Starmer Urges Former Prince Andrew to Testify Before US Congress About Epstein Ties
Starmer Extends Invitation to Japan’s Prime Minister After Strategic Tokyo Talks
Skupski and Harrison Clinch Australian Open Men’s Doubles Title in Melbourne
DOJ Unveils Millions of Epstein Files, Fueling Global Scrutiny of Elite Networks
France Begins Phasing Out Zoom and Microsoft Teams to Advance Digital Sovereignty
China Lifts Sanctions on British MPs and Peers After Starmer Xi Talks in Beijing
Trump Nominates Kevin Warsh as Fed Chair to Reorient U.S. Monetary Policy Toward Pro-Growth Interest Rates
AstraZeneca Announces £11bn China Investment After Scaling Back UK Expansion Plans
Starmer and Xi Forge Warming UK-China Ties in Beijing Amid Strategic Reset
Tech Market Shifts and AI Investment Surge Drive Global Innovation and Layoffs
Markets Jolt as AI Spending, US Policy Shifts, and Global Security Moves Drive New Volatility
U.S. Signals Potential Decertification of Canadian Aircraft as Bilateral Tensions Escalate
Former South Korean First Lady Kim Keon Hee Sentenced to 20 Months for Bribery
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
China Executes 11 Members of the Ming Clan in Cross-Border Scam Case Linked to Myanmar’s Lawkai
Trump Administration Officials Held Talks With Group Advocating Alberta’s Independence
Starmer Signals UK Push for a More ‘Sophisticated’ Relationship With China in Talks With Xi
Shopping Chatbots Move From Advice to Checkout as Walmart Pushes Faster Than Amazon
Starmer Seeks Economic Gains From China Visit While Navigating US Diplomatic Sensitivities
×