On June 14, 2016, the Court of Justice of the European Union delivered its judgment in Commission v. United Kingdom, holding that the U.K. can require child benefit and child tax credit recipients to have a right to reside in its territory. In April 2004, the EU adopted Regulation No. 883/2004, wherein it established a series of common principles to be observed by member states in the sphere of social security, amongst them the principle prohibiting discrimination on the basis of nationality. The EU Commission subsequently received a number of complaints from non-British EU citizens residing in the U.K. who alleged that national legislation prevented them from obtaining certain social security benefits because they did not have a right to reside in the U.K. The Commission instituted proceedings against the U.K., arguing that the national legislation was discriminatory and in contravention of EU regulation because it required a more taxing “right to reside” standard than that called for by the regulation. Relying on the Court’s judgment in Brey and an EU directive, the U.K. countered that its requirement is lawful and—although indirectly discriminatory—proportionate and justified by the need to protect its public finances. Dismissing the Commission’s action, the Court held that the national legislation does not impose an additional condition beyond what the EU regulation calls for because the regulation “does not set up a common scheme of social security, but allows different national social security schemes to exist.” Moreover, the Court agreed with the U.K.’s argument that the discrimination can be justified by, and is proportionate to, the legitimate objective of protecting the finances of the host member state.