One of the major shifts seen in the Liberties Rule of Law Report 2026 is the decline in the respect for the rule of law in the European Union (EU) institutions themselves. A steady creep of undemocratic practices were documented, putting into question the EU’s role as a standard-bearer. These were first reported on in our 2025 report but the scale of the problem has intensified: from a single unorthodox legislative process to 10 fast-track procedures and from the start of a smear campaign to a whole scrutiny working group. The trend is concerning and propelled by swirling debate on the relevance of the rule of law and double standards on foreign policy.
The Rise of Omnibus Legislation
Mirroring the concerns in many Member States the EU engaged with exceptional pace to re-negotiate newly adopted laws. At the beginning of 2025, the Commission proposed what became known as Omnibus I, on human rights and environmental due diligence. The final text significantly reduced the scope of the law and limited key safeguards that had been negotiated over the previous five years. This first Omnibus package was the start of a rapid descent from exceptionality to normality. During 2025, the European Commission proposed a total of 10 omnibus proposals, including one on digital rights, with the trend expected to continue into 2026.
Weakening of Fundamental Rights Protections
Skimping on due process generally has led to laws that undermine fundamental rights. The digital and environmental Omnibus proposals both saw a weakening of legal protections and laws such as the transparency of foreign interest representation services – which, despite including certain fundamental rights safeguards, bears too close a resemblance to the multiple ‘foreign-agent laws’ that the EU has warned against. Some of these issues could have been avoided through proper application of fundamental rights impact assessments which an EU Fundamental Rights Agency 2025 study found were often skipped or very superficial.
Threats to Civil Society
By contrast, a law that would have supported the space for civil society is under threat of being withdrawn. The European Cross Border Association Directive (ECBA) would have created a cross-border legal framework for regional membership organisations, facilitating cross-border cooperation.
Again, replicating the smear campaigns in Member States, the attacks against civil society at the EU level were ramped up during 2025, including through a new European Parliament Scrutiny Working Group. At the end of 2024 several environmental organisations were told they could no longer use EU funds for advocacy. A subsequent European Court of Auditors report found no irregularities or misuse of EU funds countering the claims that NGOs are improperly influencing EU policy making using public funds.
Despite these findings, certain Members of the European Parliament (MEPs) refused to accept the conclusions and established a Scrutiny Working Group in the European Parliament, aimed at identifying illegal activities of non-governmental organisations (NGOs) which later merged into an aim to establish ‘politically undesirable’ activities. This clearly highlights the ‘witch-hunt’ that is at play and the aim to normalise a narrative against watchdog groups. The intentions are clear as the campaign coincides with negotiations on the new seven-year EU budget.
Some Positive Developments and the Way Forward
As with Member States, the EU is not a monolith and there have been several important developments. For the first time the EU formally articulated the importance of civil society through the EU Civil Society Strategy that focuses on engagement, protection and support. Further work is needed to ensure practical implementation, for example through a Protection Mechanism for Human Rights Defenders and Civil Society in the EU. Equally as highlighted many times while the EU Rule of Law Report is an important instrument, much closer attention is needed to ensure implementation of the recommendations and to take action when there are systemic failings.
The EU must maintain its role as a standard bearer and actions that undermine the rule of law, whether intentionally or inadvertently, diminish that role. A new vision is required to affirm and ensure the implementation of the rule of law and project its centrality in a rapidly changing world. The EU has the potential to do this - the political will is needed to make that choice.
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