New proposal for EU Directive on combating corruption

Laura Louca
BLOMSTEIN, Berlin
laura.louca@blomstein.com

In December 2025, the European Parliament and Council reached a provisional agreement on the final text of the new Directive on combating corruption. Originally proposed by the Commission in 2023, this legislative initiative aims to replace former frameworks and standardise anti-corruption laws across the European Union. Acknowledging that corruption requires a multidisciplinary response, the legislative framework will affect a variety of areas. The Directive establishes a framework of minimum alignment, setting a regulatory floor which allows Member States to adopt stricter rules but prevents them from falling below these standards. Fines for legal persons will reach up to four per cent of global turnover. Furthermore, the text imposes extensive structural duties on Member States, mandating specialised independent bodies and national strategies to ensure a comprehensive approach that encompasses both prevention and repression.

Legislative state of play: The December 2025 Agreement

The current EU legal regime for combating corruption is anchored by three primary legislative acts: the Convention on the fight against corruption involving officials; Council Framework Decision 2003/568/JHA on combating corruption in the private sector; and Directive (EU) 2017/1371 on the protection of the EU’s financial interests. The aim of the planned reform is to replace the existing Convention and Framework Decision entirely, and adapt Directive (EU) 2017/1371 accordingly.

The legislative process for this new legal framework was initiated on 3 May 2023, by a European Commission proposal for a directive. Subsequently, the European Parliament deliberated on the draft and introduced numerous amendments, including an expansion of the personal scope, an obligation for Member States to develop national anti-corruption strategies, and more specific sanctions. On 14 June 2024, the Council adopted a general approach, emphasising primarily the institutional and procedural autonomy of Member States. This process finally culminated on 2 December 2025, in a provisional agreement between the Parliament and Council on the final compromise text of the legislation.

Key aspects of the proposal

The agreed text represents a comprehensive overhaul of the EU’s anti-corruption legal foundation, grounded in Articles 83 and 82 TFEU. The new Directive introduces a framework that operates on three distinct levels: unifying legal concepts and offences; establishing severe financial and custodial sanctions for both individuals and companies; and mandating reforms within national administrations. This legislation implements the goals of the United Nations Convention against Corruption (UNCAC), to which the EU is a bound party. The text seeks to enforce mandatory statutes, including measures to prevent corruption in accordance with international standards, and to facilitate cross-border cooperation as required by the Convention.

Common language joint solution

In the past, the implementation of previous agreements was hindered due to different definitions of corruption and bribery, as well as the varying applicability of anti-corruption laws. The new Directive establishes comprehensive definitions, broadening the concept of ‘public official’ to cover EU staff, national officials at all government levels, and those working for certain international organisations or courts, alongside specific roles such as ‘arbitrators’ and ‘jurors’. It clarifies the legal understanding of ‘property’ to encompass all asset forms, explicitly including crypto-assets, and defines ‘breach of duty’ in the private sector as a violation of statutory or professional regulations. Common definitions of key legal terms are expected to diminish existing legal loopholes which were caused by varying applicability of laws in different Member States. Acknowledging that corruption is highly dynamic, the legislator adopted a broad framework. This ensures the law remains relevant without requiring immediate future amendments.

Harmonisation of offences and sanctions

The proposal also harmonises criminal offences to ensure that core corrupt acts are consistently criminalised across the EU. In particular, the planned Directive mandates the criminalisation of active and passive bribery in both the public and private sectors. It also explicitly targets the diversion of funds or property by public officials, defined as misappropriation. Furthermore, the text addresses the obstruction of justice, prohibiting interference with testimony or official duties in corruption proceedings. Beyond these traditional offences, the legislation also encompasses trading in influence, illicit enrichment, and concealment, thereby adapting the legal framework to recent challenges in the political spectrum. This fills an existing gap since in the past only eight Member States had listed enrichment from corruption as an explicit criminal offence. To guarantee an effective enforcement of stated criminal offences the minimum requirements for limitation periods are also being mandated. This adheres to the nature of corruption cases which often take a substantial amount of time to be uncovered and prosecuted.

Liability and sanctions of legal persons

Whereas legal persons could previously evade responsibility, the new rules compel them to implement strict monitoring systems, deeming adequate supervision mandatory for possible exculpations. The Directive also aligns sanctions for companies, mandating fines based on worldwide turnover. Member States shall implement measures that will result in maximum fine at least fiver per cent of total worldwide turnover or €40m for offences such as bribery and misappropriation, and three per cent or €24m for other offences, ensuring that corporate penalties are substantial enough to act as a deterrent. The global turnover approach aims to diminish the use of intermediaries such as related legal persons. Possible fines also include exclusion from public funding, disqualification from the practice of business activities and withdrawal of relevant permits and authorisations. Additionally, authorities may order the publication of the judicial decision, acting as a possible reputational sanction. The framework will also implement an incentive for cooperation, as self-reporting can be considered as a mitigating circumstance.

Sanctions for natural persons

To ensure that penalties are effective, proportionate and dissuasive, the Directive establishes strict minimum standards for the sanctions applicable to natural persons. Member States are required to punish corruption offences with maximum terms of imprisonment of at least three to five years, depending on the severity of the offence. For instance, more serious forms of bribery must carry a maximum penalty of at least five years. An addition for personal accountability is the provision regarding temporary bans on running for public office. This measure ensures that individuals convicted of corruption can be effectively removed from the political and administrative sphere to prevent recidivism and restore public trust. Crucially even the accusation of one of the stated offences can be enough to temporarily suspend public officials. In the past, investigations were also often hindered due to immunities or privileges of suspects. The agreed directive addresses this issue as it states that Member States should take the necessary measures that immunities or privileges can be lifted, unless it is contrary to their constitutions or constitutional principles or laws.

Strategic and structural requirements

Beyond implementing changes in domestic punitive law, the proposal imposes structural duties on Member States to ensure a comprehensive approach to corruption. The key idea being that both preventive and repressive mechanisms are needed. The draft considers the evolving nature of corruption and mandates constant monitoring of sectors deemed most at risk. Member States are required, without prejudice to existing policies to adopt and publish a national strategy on preventing and combating corruption that establishes clear objectives, priorities and measures. Furthermore, to advance the fight against corruption on a common basis, the Directive mandates the existence of one or several independent bodies or organisational units possessing the necessary expertise to prevent corruption. Those bodies will be expected to benefit from the EU derived autonomy. Finally, the Directive requires the implementation of a system for the recording, production and provision of anonymised statistical data on corruption offences, thereby addressing the EU’s long-standing data deficit in this area. The measures will also affect the modus operandi of law enforcement, as Article 23 states that investigative tools should be similar to those used in the prosecution of organised crime and Article 21e establishes rules for training national officials. Additionally, the Directive incentivises cross-border knowledge exchange, eliminating vulnerabilities owed to information deficits. Furthermore, special protection extended to whistleblowers is expected to encourage the reporting of offences.

Outlook

Despite previous agreements, varying legal definitions continue to hinder cross-border prosecution. The Directive addresses this fragmentation. By setting a common regulatory floor, the text aims to remove the ‘weakest link’ in the chain and prevent the exploitation of legal loopholes. The multidimensional approach is promising, as it ensures a framework that tackles the complexity of modern corruption from prevention to enforcement. For legal persons, the shift to fines based on global turnover introduces a clearer economic incentive for compliance. The urgency of this reform is underlined by 2022 Eurobarometer data, which indicates that 68 per cent of EU citizens and 62 per cent of businesses perceive corruption as widespread in their country. Addressing long-standing criticism regarding enforcement, these standards are intended to support public trust in institutions. The provisional agreement now awaits formal confirmation by the European Parliament and European Council before publication in the Official Journal marks its entry into force.