Regularity of spending in EU cohesion policy : Commission discloses annually a minimum estimated level of error that is not final; Special report No 26, 2021

Cohesion policy represents one of the largest parts of the EU budget. It is also a policy area, where we consider the risk of irregular expenditure to be high. A relevant and reliable estimated level of error in cohesion spending is therefore a key element for the Commission's disclosure and monitoring whether expenditure in this policy area complied with the legal provisions. Our findings lead us to conclude that the related key performance indicators published in the annual activity reports of the relevant Directorate-Generals and in the Commission's annual management and performance report represent a minimum level of error and are not final. This is because of the Commission's limited coverage of both operational programmes and operations through its compliance audits, the inherent limitations of its desk reviews and issues related to its audit work. ECA special report pursuant to Article 287(4), second subparagraph, TFEU.