More financial efficiency and less bureaucracy are key for future EU funding, AER survey shows

According a recent survey presented by the Assembly of the European Regions (AER), regions have recognised positive aspects, but there are unavoidable obstacles from the regional point of view regarding the effectiveness in EU funding. The results of this survey conducted within AER members was answered by 23 regions of 14 different countries.

The Assembly of European Regions (AER), through its Working Group on European funding, has  presented the survey “European Regions and European Funding”, which is aimed to better understand and provide concrete answers to the challenges facing regions in the funding and management of EU funds.

As planning for the post-2014 period has already begun, analysing effectiveness and future shape of EU funding has become a crucial topic. In this study regions highlight the importance and benefits of EU funding, putting in first place the seven-year period programming which gives essential stability and allows funding innovative initiatives that would not exist without EU support. Regions also noted that EU funding allows regions to develop key regional strategies, as well as to learn from and work with other partners in other countries.

However, the EU is not without fault, and bureaucracy was reported by 86% of respondents as a major obstacle to obtaining funds, whilst 71% stated it was an issue in the management of funds. Furthermore, the administrative burden deters regions from applying for EU funding, a burden which also impacts more negatively on other regional stakeholders such  as universities and SMEs.

The survey explains that it is absolutely crucial to improve the efficiency of EU funds in regions as it is for institutions, through the harmonization of rules and procedures for application and a rebalancing of the controls.

AER recommendations for making European credits more accessible and effective post-2013

  • Harmonize the rules between the different programmes (eg. regarding the eligibility of co-financing in kind) and at different stages of the files (eg. harmonize the application forms, reports, etc.)
  • Introducing more financial flexibility and more widely authorize lump sum payments, or by unit cost
  • Give more autonomy and power to the regions in the management of EU funds
  • Match the requirements of reporting and control to the amount of EU funds received
  • Improve access to information and assistance for the EU funds by creating a unique website that would serve as a portal for information on all EU funding (instead of having to visit the various websites of Head Offices or executive agencies).

The survey concludes that in this post-financial crisis context more than ever, it is essential to optimise the European funds, and it is imperative to move from policy of control to a policy of trust to release the creativity and energy of regions, instead of locking them in more and more bureaucracy.