A European Commission staff working document published on 22 July 2026 assesses Hungary's rule-of-law situation, acknowledging the new government's reform efforts while highlighting persistent shortcomings in judicial transparency, anti-corruption track records, lobbying rules, and civil society space. The report, part of the broader 2026 Rule of Law Report, accompanies the Commission's communication to the European Parliament, the Council, and advisory committees.
The document notes that Hungary's new government engaged in intense reforms to restore the rule of law, with legislative advances under the Recovery and Resilience Plan and the conditionality regime. Further constitutional amendments are being considered on justice, anti-corruption, and checks and balances. The National Judicial Council continued exercising powers from the 2023 judicial reform; in January 2026, it defended judges facing undue pressure, and the Kúria enforced case-law uniformity via its uniformity panel.
However, transparency of case allocation in lower-instance courts has not improved, and the election procedure for the Prosecutor General and the hierarchical prosecution service risk undue political interference. New legislation from June 2026 aims to tackle obstacles to the Integrity Authority and Anti-Corruption Task Force, and indictments for corruption have increased, but no robust track record in high-level corruption cases has been established. Hungary's participation in the European Public Prosecutor's Office was confirmed.
The report also notes new legislation strengthening the Integrity Authority and asset declaration oversight, but no steps have been taken on lobbying or revolving doors legislation, and shortcomings in political party financing transparency remain. Legislation from June 2026 amends the Media Act, reforming rules on the national media regulator and public service broadcasting governance and funding, but transparency of state advertising has not been addressed.
The former government's emergency powers expired on 13 May 2026 and were not extended. Foreign companies in strategic sectors face intensified regulatory pressure, the Sovereignty Protection Office has been abolished, and public interest trusts are to be phased out.
The Commission's recommendations include improving case allocation transparency in lower courts, structuring judicial and prosecutorial salary increases, adopting lobbying and revolving doors reforms, ensuring a track record in high-level corruption cases, and removing obstacles for civil society organisations. The report impacts Hungarian citizens and businesses, who face uneven judicial transparency and corruption risks, as well as EU institutions monitoring compliance with rule-of-law conditionality. The Council is expected to discuss the report in upcoming meetings, potentially leading to further recommendations or actions under the rule of law mechanism.