COUNCIL OF THE EUROPEAN UNION,update

 

Press material Friday, 09 October 2026

● Council of the EU   09/10/2026 10:25 | Press release | Simplification: Council gives final green light to new laws boosting defence industry and readiness   Today, the Council gave its final green light on new laws aiming to simplify security and defence procurement, facilitate defence investments, and support the defence industry. The new rules will remove administrative delays in procurement, permitting, reporting and cross-border cooperation, giving member states and industry a clearer path to act quickly and reinforce Europe’s defence capacity. This set of new laws constitutes the so-called “Omnibus V” legislative package as part of the EU’s simplification agenda.  “The defence readiness simplification omnibus will help Europe strengthen its security by making it easier to invest in, procure and deliver the defence capabilities we need. By cutting unnecessary delays and supporting closer cooperation between member states and industry, these new rules will reinforce Europe’s defence readiness in an increasingly challenging security environment.” — Helen McEntee, Minister for defence of Ireland “The new laws adopted today will act to simplify rules on security and defence procurement, accelerate permit-granting procedures and strengthen defence readiness. This is an important achievement for the Irish presidency when it comes to two of our key priorities, strengthening European defence and security, and boosting EU competitiveness for the betterment of our citizens.” — Thomas Byrne, Minister of State for European affairs and defence of Ireland Main elements of the new legislation The package consists of the following legislative acts: a regulation on defence readiness and facilitating defence investments and conditions for defence industry a regulation on the acceleration of permit-granting for defence readiness projects a directive on the simplification of intra-EU transfers of defence-related products and the simplification of security and defence procurement Defence readiness The new regulation simplifies the management and implementation of the European Defence Fund (EDF) and clarifies how the EU’s environmental and chemicals legislation apply to defence readiness activities. It simplifies the administrative requirements for applications to the EDF, while increasing support to SMEs and making implementation of the fund more predictable. Notably, it increases the funding rate bonus for projects involving SMEs. Moreover, it also preserves the possibility for European public bodies, such as the European Defence Agency, to function as central purchasing bodies. Finally, the new regulation aims to provide a high level of protection of human health and the environment. It therefore amends the environmental and chemicals legislation regarding exemptions available for use of chemical substances for defence readiness purposes. Acceleration of permit-granting procedures The new law provides a harmonised framework that accelerates permit-granting for defence readiness projects, while safeguarding member states competences.  It sets the maximum duration of the permit-granting process at 102 working days. A permit request would be tacitly approved if the competent authority has not taken a decision before the expiration of the time limit. At the same time, the new regulation ensures that derogations from tacit approval remain possible: national law will be able to provide for such derogations where there is a grave risk to human health or national security.  Intra-EU transfers and security and defence procurement The new directive removes administrative delays in security and defence procurement, facilitates transfers of defence-related products within the EU and strengthens intra-EU cooperation. This will give member states and industry a clearer path to reinforce Europe’s defence readiness towards 2030.  The new rules are further aligned with the broader public procurement rules wherever appropriate, while taking into account the specificities of the defence market.  The text increases the thresholds in the defence procurement directive to ease the administrative burden and give authorities more time to focus on the major defence projects that really matter. It also introduces the possibility of occasional joint procurement, a de minimis rule for contract modifications and enhanced flexibility in framework agreements.  Finally, the new directive introduces two new mandatory general transfer licences: one for transfers between certified suppliers and certified recipients, and one for transfers in the framework of an intra-EU industrial partnership. Next steps The legislative acts will be published in the EU’s official journal in the coming days and will enter into force on the twentieth day following that of their publication. Background  In October 2024, the European Council called on all EU institutions, member states and stakeholders, as a matter of priority, to take work forward, notably in response to the challenges identified in the reports by Enrico Letta (‘Much more than a market’) and Mario Draghi (‘The future of European competitiveness’). Since February 2025, the Commission has put forward twelve ‘Omnibus’ packages aiming to simplify existing legislation, including a fifth Omnibus on defence readiness. Regulation on defence readiness and facilitating defence investments and conditions for defence industry, 9 October 2026 Regulation on the acceleration of permit-granting for defence readiness projects, 9 October 2026 Directive on simplification of intra-EU transfers of defence-related products and the simplification of security and defence procurement, 9 October 2026 Simplification: Council and Parliament reach deal to boost defence industry and readiness (press release, 10 June 2026) Regulation on defence readiness and facilitating defence investments and conditions for defence industry – EU Law Tracker (timeline) Regulation on the acceleration of permit-granting for defence readiness projects – EU Law Tracker (timeline) Directive on intra-EU transfers of defence-related products and simplification of security and defence procurement – EU Law Tracker (timeline) Simplification of EU rules (background information) Boosting European defence readiness (background information) EU defence in numbers (background information)   Visit the website ● Council of the EU   09/10/2026 10:44 | Meetings | Foreign Affairs Council, 12 October 2026   Background brief - Foreign Affairs Council of 12 October 2026   View meeting page ● Council of the EU   09/10/2026 10:49 | Press release | Carlo Comporti appointed chair of the European securities and markets authority   The Council today formally appointed Carlo Comporti as chair of the European securities and markets authority (ESMA). Mr Comporti will take up the role on 1 November 2026. His term of office will run for a five-year period and may be extended once. Mr Comporti is currently a commissioner at the Italian companies and stock exchange commission (CONSOB) and a member of ESMA’s board of supervisors and management board.  Background To appoint a new chair, ESMA’s board of supervisors provided the Council with a shortlist of two candidates. Following interviews with both candidates, EU ambassadors provisionally agreed on the appointment of Mr Comporti in July 2026.  The European Parliament, for its part, endorsed the appointment on 15 September.    ESMA is the European Union’s EU’s financial markets regulator and supervisor. Its mission is to enhance investor protection and promote stable and orderly financial markets.  It does this through three strategic priorities: fostering effective markets and financial stability, strengthening supervision of EU financial markets, enhancing protection of retail investors, and two thematic drivers: enabling sustainable finance; and facilitating technological innovation and effective use of data.  ESMA achieves its mission within the European system of financial supervision through active cooperation with the European banking authority, the European insurance and occupational pensions authority, the European systemic risk board, and with national authorities with competencies in securities markets. It regularly informs the Council, the Commission and the European Parliament of its activities. Curriculum vitae of Carlo Comporti European securities and markets authority Regulation establishing ESMA   Visit the website ● Council of the EU

09/10/2026 10:52 | Press release | Taxation: Council updates the EU list of non-cooperative jurisdictions for tax purposes   Today, the Council removed Panama and Viet Nam from the EU list of non-cooperative jurisdictions for tax purposes.  The list is part of the EU’s efforts to promote tax good governance worldwide. It is composed of countries which fail to comply with agreed international tax standards or did not fulfil their commitments on tax good governance within a specific timeframe. This update reflects a positive trend in compliance with international tax good governance standards. With these updates, the list consists of the following 8 jurisdictions: The code of conduct group for business taxation prepares the updates and engages with all jurisdictions involved to help them improve their legal framework to resolve identified issues. The code of conduct group is composed of high-level representatives of the member states, supported by the European Commission, and acts to promote fair tax competition within the EU and beyond. Updates to the EU list (Annex I)  Panama had been included in Annex I of the EU list since February 2020 but has now reformed its harmful foreign-source income exemption regime. It has also been granted a new review by the OECD Global Forum regarding its compliance with international standards on the exchange of tax information on request. The Council has therefore decided to move Panama to Annex II of the list pending that review. Viet Nam was included in Annex I in February 2026 after a Global Forum review revealed that the country did not meet the necessary standards for the exchange of tax information on request. After a series of reforms, it has also been granted a new review and will therefore be included in Annex II until that review has been carried out. Updates to the state of play document (Annex II)  In addition to the updated list of non-cooperative tax jurisdictions (Annex I), the Council approved the overall state of play document (Annex II). This document reflects ongoing EU cooperation with its international partners and the commitments of these countries to reform their legislation to adhere to agreed tax good governance standards. Its purpose is to recognise ongoing constructive work in the field of taxation, and to encourage the positive approach taken by cooperative jurisdictions to implement tax good governance principles. Belize has recently received a positive rating from the Global Forum regarding their systems for exchanging tax information on request. As a result, it has fulfilled its commitments and has been removed from Annex II. Background The EU list of non-cooperative jurisdictions for tax purposes was established in December 2017. It is part of the EU’s external strategy on taxation and aims to contribute to ongoing efforts to promote tax good governance worldwide. Jurisdictions are assessed based on a set of criteria laid down by the Council. These criteria cover tax transparency, fair taxation and implementation of international standards designed to prevent tax base erosion and profit shifting. The Council updates the list twice a year. The next revision of the list is scheduled for February 2027. The Council’s decisions regarding the list are prepared by the Council's code of conduct group which is also responsible for monitoring tax measures in the EU member states. The code of conduct group cooperates closely with international bodies such as the OECD Global Forum on transparency and exchange of information for tax purposes to promote tax good governance worldwide. The chair of the code of conduct group, Cezary Krysiak, appointed in September 2026, presides over group meetings and conducts political and procedural dialogues with relevant international organisations and jurisdictions, where necessary. Council conclusions on the revised EU list of noncooperative jurisdictions for tax purposes EU list of non-cooperative jurisdictions for tax purposes (background information) Code of Conduct Group (business taxation)   Visit the website

● Council of the EU   09/10/2026 11:42 | Press release | Savings and investments union: Council agrees key elements of crucial measures to deepen EU capital markets   The Council today agreed on the key elements of its negotiating position on essential new measures to strengthen EU capital markets. The new rules will constitute a major step forward in unlocking private savings for investment in innovative firms, financing growth and boosting the EU’s overall global competitiveness.  The market integration and supervision package (MISP) enhances EU-level supervision and reduces barriers for the most important trading and post-trading operators in the EU. This will in turn reduce regulatory fragmentation and compliance costs for cross-border financial firms and help them gain the scale and efficiency required to compete globally. Overall, the measures will make it easier for capital to flow across borders and help mobilise private investment in EU businesses. This package will contribute to the EU’s broader goal, as set by the European Council, of strengthening the EU's competitiveness, resilience and strategic autonomy. The package is a key component of the ‘One Europe, One Market’ agenda. “Europe has the savings. Now it’s time to put them to work. Today’s agreement is a major step forward for a deepened savings and investments union, with significant added value for the EU’s longer-term competitiveness. This package will help to unlock the full potential of the single market for financial services, allowing EU citizens and businesses alike to tap into well-integrated and more efficient capital markets.” — Simon Harris, Tánaiste and Minister of Finance of Ireland The package is the centrepiece of the EU’s savings and investments union (SIU), which aims to improve how the EU's financial system channels savings into productive investments, creating financial opportunities for citizens and businesses.  EU-level market supervision Under the Council’s agreed position, supervision of the most significant cross-border trading venues, as well as the most significant post-trading entities such as central securities depositories (CSDs), and central counterparties (CCPs), would be transferred from national authorities to the European securities and markets authority (ESMA). This will provide more consistent oversight of the market operators considered most important to the EU’s economy, while increasing market confidence. The Council’s approach seeks to put in place a workable and robust framework for supervision of these entities. Therefore, the agreed text refines the criteria under which these market operators become subject to ESMA supervision. For trading venues, the Council’s position foresees a review process mandating the Commission, after two years, to assess whether those criteria are still suitable given market developments.  As per the Commission’s original proposal, the text introduces a new pan-European market operator (PEMO) framework. The PEMO status will allow venues which do not meet the criteria to fall under direct supervision to operate multiple venues across the EU under a single license, supervised directly by ESMA, on a voluntary basis. The Council’s negotiating text also clarifies and broadens eligibility for the PEMO framework. To ensure proportionality, only the most significant cross-border crypto-asset service providers (CASPs) would become immediately subject to ESMA supervision. This replaces the blanket regime for all such providers as proposed by the Commission. A robust and efficient governance framework In line with the package’s ambition, the Council’s approach modernises ESMA’s governance framework, allowing the authority to respond more quickly and effectively to emerging risks and challenges, and address inconsistencies or gaps in supervision. It therefore establishes a new full-time ESMA executive board – composed of a chair and five independent full-time members – which would manage operations and take entity-specific decisions concerning directly supervised operators. At the same time, the text ensures a role for national authorities by maintaining a separate board of supervisors which would remain ESMA’s principal body for regulatory decisions, strategy, budget and supervisory convergence. The executive board would also make recommendations for board of supervisor decisions addressed to competent authorities, including regarding dispute settlements and breaches of Union law. Over a two-year transition period, ESMA-led teams of EU and national experts would work together to ensure a smooth transfer of supervisory tasks. After that, flexible and permanent cooperation arrangements would preserve national expertise and involvement, with ESMA remaining fully responsible for final supervisory assessments and decisions.  Finally, the package enhances ESMA’s tools to improve supervisory convergence and ensure consistent application of EU law across financial markets. Reduced complexity for asset managers MISP introduces a suite of measures to reduce cross-border barriers and complexity for asset managers operating in the EU. The objective is to increase legal certainty, decrease compliance costs and improve the sector’s market access. For example, the text includes targeted simplification measures for intra-EU groups which can struggle with complex rules and procedures in different EU member states. It also provides for a new “depositary passport” regime. Through this regime asset funds may, for the first time, appoint a depositary in a different EU member state than that in which they are established, increasing competition and choice while helping to build a more integrated European asset management market. Under the Council’s approach, and to ensure proportionality, this new regime would remain optional for member states. Harnessing new technologies The Council’s position maintains the original Commission proposals’ focus on embracing the cutting-edge technologies that can make trading and settlement of financial instruments more seamless.  The package will substantially improve an existing regulatory sandbox – known as the distributed ledger technology pilot regime. This framework will help market operators test new possibilities around digital assets by providing them with increased access to a controlled environment to experiment. This could help reduce costs and increase flexibility, including in the area of cryptocurrencies.  To incentivise take-up by market participants, the Council’s position broadens the level of financial activity that can be channelled through the pilot system. Next steps The negotiating position will now be finalised in accordance with today’s political agreement ahead of the Council’s formal adoption. Negotiations with the European Parliament can begin once the latter adopts its own position. This will allow the co-legislators to reach a timely agreement on the overall package in line with the ‘One Europe, One Market’ roadmap objective. Background The MISP legislative package consists of three legislative proposals that amend a wide range of existing acts to fundamentally restructure the single market for capital. These take the form of a master regulation, a master directive, and a new settlement finality regulation.  The package responds to the fact that an estimated €10 trillion of household savings are currently held in the EU in low-yield bank deposits rather than being invested in capital markets, where potential returns could be higher.  This mismatch prevents savings from being used effectively to support business investments and the broader real economy. At the same time, EU capital markets are still fragmented along national lines, creating legal uncertainty, divergences in supervisory practices and additional costs for firms operating across borders.  In March 2026, EU leaders in the European Council launched the 'One Europe, One Market' agenda, to be implemented in 2026 where possible, and by the end of 2027 at the latest. The agenda identifies a set of concrete measures – including the MISP package - with ambitious deadlines to boost European competitiveness, enhance the EU’s strategic autonomy and economic security, sustaining Europe's prosperity and social model. EU leaders will regularly review progress on all strands and provide additional strategic guidance when needed, including at their meeting of 15-16 October 2026. Boosting EU competitiveness: the way forward (background information) EU law tracker (MISP directive) EU law tracker (MISP regulation) EU law tracker (settlement finality regulation)   Visit the website

● Council of the EU   09/10/2026 11:54 | Press release | ETS2: Council signs off on rules strengthening the market stability reserve   Today, the Council formally adopted the targeted amendment to the market stability reserve (MSR) under the EU’s emissions trading system for the buildings, road transport and additional sectors (ETS2), with a view to further ensuring a smooth and stable launch of the system. The market stability reserve balances supply and demand in ETS2 by automatically adjusting the number of emission allowances available in circulation. This targeted amendment strengthens the market stability reserve and further ensures a stable and predictable market for allowances ahead of the full launch of ETS2 in 2028 by improving market liquidity, reducing volatility and strengthening the market stability reserve's ability to address excessive price increases. The amended rules: extend the lifetime of the market stability reserve beyond 2030 to maintain price stability over time double, from 20 million to 40 million, the number of allowances to be released when the cost of carbon exceeds €45 per tonne of CO2 equivalent (in 2020 prices), to further improve market confidence ensure a more gradual and responsive release of allowances when the number in circulation falls below 260 million to help prevent market uncertainty caused by a ‘threshold effect’ Next steps The decision on the market stability reserve for the buildings, road transport and additional sectors will now be signed and published in the Official Journal of the EU. It will enter into force on the 20th day following publication. The amended MSR rules will be fully operational in time for the launch of the ETS2, planned in 2028, as agreed during negotiations on the European Climate Law. Background Established as part of the ‘Fit for 55’ package in 2023, ETS2 aims to reduce emissions from buildings, road transport and smaller industrial sectors by 42% by 2030, compared to 2005 levels. Unlike the original ETS1 (covering heavy industry, aviation, etc.), the ETS2 applies upstream to fuel distributors. These distributors must monitor and report emissions from the fuels they sell and surrender carbon allowances equivalent to those emissions; the total number of allowances available within the EU decreases each year to incentivise decarbonisation. This targeted amendment follows an initiative in July 2025, supported by 19 member states, calling for a smooth start to ETS2. Separate discussions on the review of the emissions trading system (ETS1) to drive competitiveness and cost-effective decarbonisation are ongoing within the Council. Decision on the ETS2 market stability reserve Voting results and public session Statements ETS2 market stability reserve: Council and Parliament reach provisional agreement (press release, 11 June 2026) 2040 climate target: Council and Parliament agree on a 90% emissions reduction (press release, 10 December 2025) ‘Fit for 55’: Council adopts decision on market stability reserve (press release, 28 March 2023) Timeline – EU law tracker   Visit the website ● Council of the EU   09/10/2026 10:32 | Press release | Nicaragua: Council extends restrictive measures until October 2027   Today, the Council prolonged its restrictive measures in view of the situation in Nicaragua by another year, until 15 October 2027. The restrictive measures that are currently in place apply to 21 persons and 3 entities in total. Those listed are subject to an asset freeze and EU citizens and companies are forbidden from making funds available to them. Natural persons also face a travel ban, that prohibits them from entering or transiting through EU territories. The EU condemns the systemic repression by Nicaraguan authorities and has repeated its call for the liberation of all political prisoners; the full return to the rule of law and return of international human rights organisations; dialogue between the regime and the opposition, in particular to agree on electoral reforms with a view to support a democratic, peaceful and negotiated solution to the ongoing political crisis. The European Union will continue to support the people of Nicaragua in their legitimate aspiration for democracy, respect for human rights and the rule of law. Background The sanctions framework was first introduced in October 2019. It addresses the ongoing deterioration of human rights, democracy and rule of law in Nicaragua, after the Council had repeatedly expressed concerns about the developments in the country. EU member states review the restrictive measures in place on an annual basis. Council Decision (CFSP) 2019/1720 of 14 October 2019 concerning restrictive measures in view of the situation in Nicaragua (consolidated text dated 1 October 2025) Nicaragua: Statement by the High Representative on behalf of the EU, 25 July 2026   Visit the website