The President of the European Court of Auditors, Tony Murphy, warned about the potential risks arising from the European Commission's proposal for changes to the long-term budget of the European Union. According to him, these changes may make oversight of public spending more difficult, resulting in increased corruption and misuse of financial resources.
New Challenges in Spending Oversight
Murphy said, "This plan does not allow us to easily track how money is spent." He added that by providing a large amount of money to member countries, the responsibility for oversight is handed over to them, and this situation becomes a form of self-regulation. He also noted that last year, irregular expenditures from the EU budget reached 5 billion euros, and this figure may not even be estimable in the new budget.
Changes in Budget Structure
The European Commission is trying to make its new budget, which will be implemented from 2027 onwards, more flexible in light of future crises. These changes include allocating half of the budget to a general fund that member countries can use for various purposes, including migration, agriculture, and regional development. These funds, which are provided as subsidies to local and agricultural projects, are always at risk of fraud and misuse.
Murphy emphasized that granting more powers to member countries for reallocating expenses will make tracking these costs more difficult. He continued, "This flexibility may come at a cost."
The European Commission defended its plans in a statement, asserting that the "key principles" of the current control system will be maintained. Additionally, the Commission has the right to ask member countries to amend programs or introduce corrective mechanisms if necessary.
According to Murphy, the integration of EU budgets with national budgets makes oversight of expenses more challenging. He added, "The new spending model will bring less transparency, and this issue could lead to more abuses."
Issues such as subsidizing agricultural payments to fictitious lands or allocating resources to support rural tourism for luxury villas are examples of the challenges in overseeing these funds.
