In the European Union, in 2021, about €4.3 billion from the EU budget was not spent according to the rules. The total error rate last year was 3% for audited expenditure of €142.8 billion, the European Court of Auditors said in its annual report published on Thursday. This is an increase of 0.3 percentage points compared to 2020. According to the examiners, Austria produced a “mixed picture”.
All in all, for the third year in a row, the European Court of Auditors has issued a negative opinion on EU spending. There is a “clear warning”, emphasizes Helga Berger, the Austrian member of the European Court of Auditors. Due to the Corona Development Fund, expenditure is expected to double in the coming years. According to Berger, care must be taken to ensure that these funds are used “sparingly, economically and effectively”.
Not every mistake is a scam
An error does not necessarily have to be a case of fraud, Berger explains. Errors are very often due to “lack of knowledge of the legal situation or lack of care”. However, the number of cases where examiners assume fraud has more than doubled, according to the report. The European Court of Auditors reported six cases to the EU anti-fraud authority OLAF in 2020, compared to 15 cases in the previous year. “None of these cases concerned Austria,” emphasized the Austrian member of the European Court of Auditors.
Overall, the European Court of Auditors found a “mixed picture” for Austria. The area of rural development, where regulations are often complex, caused the most problems, according to Berger. Errors were found in a quarter of the samples tested in this country – one project was classified as “completely unworthy of funding”.
Weaknesses in the Corona development fund
Last year, the Court also examined the so-called Recovery and Resilience Facility, the heart of the EU’s corona recovery fund worth around €800 billion. He identified weaknesses in the European Commission’s assessment of milestones and called for improvements in future procedures.
According to the auditors, the corona pandemic also poses risks for the EU budget. Potential liabilities more than doubled in 2021. The Russian war of aggression in Ukraine could also have a negative impact on the EU budget because of the outstanding loans.
hold those responsible accountable
The European Court of Auditors (ECA), based in Luxembourg, reports and advises holding the authorities responsible for the implementation of EU policies and programs to account. These include the European Commission, other EU institutions and the administrations of the EU countries.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
