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EU Holds €18 Billion in Funds as Hungary and Slovakia Flout Rule-of-Law Standards

Brussels plans next week to demand legally binding reform pacts before any disbursements under the EU’s 2028–2034 budget cycle.

Overview

  • The 2025 Rule of Law report ranks Hungary and Slovakia lowest among all member states and finds they have largely ignored last year’s eight and seven reform recommendations.
  • About €18 billion of Hungary’s EU payments remain suspended due to confirmed risks to the bloc’s budget from rights violations and corruption shortcomings.
  • The report flags serious gaps in Hungary’s judicial independence, opaque political party and campaign financing, and a shrinking media pluralism that subjects journalists to foreign agent scrutiny.
  • In Slovakia, Prime Minister Robert Fico’s abolition of the anti-corruption prosecutor’s office has triggered a steep fall in high-level investigations and revived concerns over judicial and media autonomy.
  • On July 15 the Commission will unveil a proposal to tie future national and regional partnership plans to binding rule-of-law reform agreements before releasing any funds in the next multiannual budget.