Further to UKRO’s past article on the participation of 21 Hungarian universities, operated by public interest trust foundations, which explained that they could not receive EU funding directly from the EU as beneficiaries on Horizon Europe projects, the Commission has now clarified that the universities concerned are also precluded from obtaining such funding indirectly (as third parties).
In a dedicated communication to projects involving the universities affected by the Council’s Implementing Decision (EU) 2022/2506, the Commission explains that it is prohibited to enter into any legal commitments involving EU funding with any of these universities.
This prohibition applies to the entire chain of EU financing, which means that no EU funding can be provided to the 21 Hungarian entities indirectly (through the consortium partners).
Consequently, no legal commitments involving EU funding can be entered into by the beneficiaries (or affiliated entities) with third parties concerned by this decision. This concerns legal commitments involving EU funding related to, for example, the purchase of goods works or services; subcontracting; financial support to third parties; equipment renting or leasing; personnel seconded against payment.
If these measures hinder the implementation of the project, the consortium must inform the EC Project Officer immediately.
Participation as Associated Partners
As a reminder to subscribers, if the situation is not resolved by the time the grants agreements need to be signed, the affected universities can participate in projects as Associated Partners (without EU funding).
The Government of Hungary has recently set up a guarantee fund to support the participation of these universities in Horizon Europe projects with national funding. Further information on this can be found in our past article.
Further information
The Commission maintains a list of Frequently Asked Questions on this matter on the Funding & Tenders Portal. It is regularly updated with the latest information.