After hours of videoconference discussions on the bloc’s long-term budget and Coronavirus recovery package, EU leaders on Friday pledged to reach an agreement next month.

The EU27 leaders held talks with the EU institutions’ chiefs, Ursula von der Leyen, Charles Michel and David Sassoli, on the around €1.1 trillion Multiannual Financial Framework (MFF) for 2021-2027 and the Commission’s proposed €750 bn recovery package.

The virtual summit was EU leaders’ first discussion after the EU’s Executive Arm presented its updated budget and recovery proposal on May 27. Although there were no particular conclusions on the bloc’s fiscal response to the pandemic, several heads of state and government stressed that an agreement should be reached in the upcoming two months.

“I was also glad to hear that many leaders stressed that we must do everything in our power to reach an agreement soon in the European Council, before the summer break,” von der Leyen said.

Michel said he will present a negotiating table in the coming days, in a bid to bridge the EU27’s major differences on the stimulus package, and will convene an in-person summit around mid-July. With Michel’s proposal as a basis, the heads of EU member states are expected to conclude on concrete measures.

“We are aware that it is essential to take a decision as soon as possible,” Michel said following the videoconference.

The EU Parliament’s President highlighted that lawmakers will not green-light the two plans, unless there are new taxes and a timeframe for their introduction.