Protecting the European Union’s financial interests remains the top priority for the European Parliament's Committee on Budgetary Control (CONT). In doing so, CONT focuses not just on maintaining the integrity of the EU's budget, but also on safeguarding taxpayers' money. Ensuring that EU funds are spent efficiently and effectively is essential to building and sustaining public trust in the European project.
A critical element of CONT's agenda is the need for better data collection to enhance control and transparency in the management of EU funds. Access to information about the final beneficiaries of EU funds is crucial. The current lack of comprehensive data on the real recipients of these funds is unacceptable and undermines the EU's efforts to maintain transparency. The European Commission’s inability to provide this information is a significant gap that must be addressed to prevent fraud and misuse of funds.
CONT has made progress in increasing transparency, particularly through its insistence that the Commission publish the 100 largest recipients of Recovery and Resilience Facility (RRF) funds in each country. We have also established a more detailed definition of “recipient”, including contractors and sub-contractors, under the Ukraine Facility and the Western Balkans Facility. This is only the beginning; there is much more work to be done to ensure full transparency in EU spending.
Looking forward, CONT’s work will focus heavily on implementing the legislature’s internal reforms known as Parliament 2024, which aims to streamline various procedures including scrutiny of the Commission and EU agencies. CONT will thereby be able to concentrate its resources on the EU's most significant spending areas and improve the efficiency of its oversight activities.
These reforms are particularly relevant in the context of scrutinising performance-based programmes. The RRF, a cornerstone of the EU's response to the Covid-19 pandemic, highlighted the challenges of managing large-scale funds under tight deadlines and high-pressure conditions. Lessons learned from the RRF will guide future reforms aimed at improving the design, implementation, and oversight of similar performance-based funding mechanisms.
The fight against fraud remains a cornerstone of CONT's mandate. Working closely with the European Public Prosecutor’s Office, the European Anti-Fraud Office, and the European Court of Auditors, CONT is dedicated to safeguarding the EU budget against fraudulent activities.
The committee’s scrutiny of financial operations provides valuable insight into potential reforms, including those aimed at reducing the administrative burden on beneficiaries, particularly small and medium-sized enterprises. By simplifying procedures, the EU can maintain high standards of transparency and accountability while making funds more accessible to those who need them.
Another crucial area of focus for CONT is the ongoing monitoring of how the Commission applies the rule of law conditionality mechanism. This mechanism links the disbursement of EU funds to adherence to fundamental rule-of-law principles. Together with the Committee on Budgets (BUDG), CONT plays a vital role in ensuring that EU funds are not misused in ways that could undermine democratic values. Through vigilant oversight, CONT and BUDG work to uphold the rule of law, ensuring that any breaches that could affect the EU budget are swiftly addressed.
In the coming years, CONT’s work will continue to centre on enhancing the transparency, efficiency and accountability of EU financial operations. By strengthening transparency mechanisms and ensuring that EU funds are spent responsibly, CONT plays a critical role in protecting the financial interests of the EU and, ultimately, those of the taxpayer.