Where do the billions of euros from the EU budget go, and what do Europeans actually get in return? A new framework for measuring the performance of EU spending is supposed to provide the answer. But according to the European Court of Auditors, it may fail to do just that.

The European Commission’s proposal for a new‚ single framework to measure best value for money of EU spending has raised concerns in the European Parliament’s agriculture committee. The debate follows warning from the European Court of Auditors (ECA) that the system may fail to show a clear link between EU spending and performance. It may also increase administrative pressure on national authorities and farmers.

The proposed framework does not provide a clear link between funding and results. — Jorg Kristijan Petrovič, European Court of Auditors

This legal act, part of the next Multiannual Financial Framework (MFF), would create harmonised rules for monitoring EU spending, including direct payments under the Common Agricultural Policy (CAP). The aim is to improve transparency and show more clearly how EU funding contributes to priorities such as climate, the environment and social objectives.

Weak link between money and results

The auditors said that the proposal could simplify reporting and reduce the administrative burden for the Commission itself. But at the same time, it may have the opposite effect for member states‚ regions and beneficiaries. “The proposed framework does not provide a clear link between funding and results,” said ECA member Jorg Kristijan Petrovič.

If you want to evaluate a policy‚ you have to define what it is you want with this policy. — Herbert Dorfmann (EPP/ITA)

The Court also observed that‚ by contrast with EU spending programs‚ payments are made against milestones and targets that often measure outputs rather than real results. Moreover‚ the Court found that one in four proposed intervention fields does not have any result indicators at all. Petrovič also warned that there are no impact indicators in the proposal․

CAP objectives questioned

Several MEPs agreed that the proposal risks measuring the wrong things in agriculture. Herbert Dorfmann (EPP/ITA), the coordinator in the agriculture committee‚ considered a performance framework should be drawn up only after the policy objectives are clearly defined. “If you want to evaluate a policy‚ you have to define what it is you want with this policy.”

Other MEPs illustrated a wider political disagreement over the future direction of the CAP. Some criticised what they see as an attempt to turn the farm budget into an overly environmental reporting tool. While others argued that public expenditure had to be weighed against climate‚ biodiversity and social outcomes․

Simplification or new bureaucracy

A major concern was whether the regulation would indeed simplify EU funding or merely move the administrative burden elsewhere. According to the ECA the proposal could help the simplification by replacing multiple discrete reporting systems with a single format. One gateway portal would improve access to information by bringing together more than 30 existing portals and dashboards.

However‚ Petrovič stressed that the burden on national administrations and on beneficiaries may not change or even increase. Depending on how the member states collect and monitor performance data․

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The key mission here must remain simplification‚ that goal cannot be secondary. — Ciaran Mullooly (Renew/IRL)

MEP Ciaran Mullooly (Renew/IRL) deemed the law unnecessary‚ as farmers are required to meet animal welfare‚ environmental and land management obligations through CAP payments and inspections already. “The key mission here must remain simplification‚ that goal cannot be secondary,” he stressed.

The agriculture committee has prepared an opinion on the performance regulation‚ with a vote on 14 July. With over 700 amendments put forward‚ it also shows the deep divisions over how EU budget spending should be measure in the next budgetary period․

The Parliament is expected to propose changes to the Commission proposal on CAP indicators‚ administrative burden‚ food security and competitiveness․

The EU faces the challenge of improving accountability for public spending while reducing the red tape already weighing on farmers. That balance is now at the centre of discussions among agriculture MEPs.