Polish Prime Minister Beata Szydło and her Hungarian counterpart Viktor Orbán | Attila Kisbenedek/AFP via Getty Images Senior German MEPs threaten to cut EU money to Poland, Hungary Countries that don’t respect EU laws ‘should be deprived of funds.’

Poland and Hungary, among other countries, could be sanctioned financially for refusing to comply with EU values or rules on migration relocation, two influential members of European Parliament told Die Welt.

"There need to be stronger rules for the disbursement of funds," Ingeborg Grässle, a Christian-Democrat MEP and the head of the Parliament's committee on budgetary control, told the German newspaper. "Countries that don't respect EU laws, or countries that don't participate enough in the resettlement of migrants or the registration of refugees, should be deprived of funds."

Vice president of the Parliament, the Liberal Alexander Graf Lambsdorff, singled out Poland and Hungary as net recipients of EU funds that have been flouting EU values.

"The federal government must ensure, when the EU budget is reviewed this fall, that EU countries that are net recipients, such as Poland and Hungary, show more solidarity in the issue of refugees and also respect European values," Lambsdorff said, Die Welt reports.

The European multi-annual framework, which sets out guidelines for EU spending from 2014 to 2020, will be reviewed by the Commission by the end of this year.

Germany is the biggest contributor to the EU budget, paying €14.3 billion more to the budget than it receives, while EU funds to Poland and Hungary exceed their contribution by €9.4 billion and €4.6 billion respectively, Die Welt reports.

Hungary is set to hold a referendum on October 2 on whether to participate in the EU migration relocation scheme, which aims to distribute migrants among EU countries.