EU Audit Reveals €6 Billion in Spending Irregularities, MCC Brussels Warns of Mismanagement

EU Audit Highlights Significant Financial Irregularities

A recent audit by the European Court of Auditors (ECA) for the 2024 financial year has uncovered that €6 billion of European Union spending was impacted by errors, waste, or suspected fraud. This substantial figure, equivalent to HUF 2.3 trillion, represents 3.6 percent of the total EU expenditure for the year, which stood at €191.1 billion. The findings have drawn sharp criticism, particularly from MCC Brussels, which highlighted the scale of the mismanagement.

Details of the Audit Findings

The ECA's report, published in October 2025, indicated that the estimated error rate of 3.6 percent, while a decrease from the 5.6 percent reported for 2023, still significantly exceeds the ECA's 2 percent materiality threshold for irregular spending. The irregularities identified include:

• Incorrect payments
• Funds directed towards ineligible projects
• Costs reimbursed that should not have been
• Breaches of public procurement regulations

While the ECA clarifies that the error rate primarily reflects spending not in accordance with EU or national rules, it also confirmed that 19 cases of suspected fraud were identified in 2024 and referred to the European Anti-Fraud Office (OLAF) for further investigation.

Concerns Raised by MCC Brussels and Broader Implications

The €6 billion in irregularities is nearly four times the €1.597 billion (HUF 616.7 billion) that Hungary contributed to the EU budget in 2024. Frank Füredi, Director General of MCC Brussels, voiced strong concerns, stating that Hungarian taxpayers are 'footing the bill for failed projects, disappearing subsidies, and unchecked financial mismanagement.' Füredi further remarked that if a private company faced such audit results, its management would resign immediately and criminal investigations would follow. MCC Brussels has also advocated for the establishment of an 'EU DOGE' (Department of Governmental Efficiency) to scrutinize EU-NGO funding and address potential corruption.

Persistent Warnings and Financial Outlook

This marks the sixth consecutive year that the European Court of Auditors has issued a disclaimer of opinion, underscoring persistent concerns regarding the financial discipline within EU institutions. The report also highlighted broader financial risks, including the potential for EU debt to surpass €900 billion. The ECA's findings are expected to intensify pressure on the European Commission and member states to enhance performance monitoring, improve transparency, and tighten control mechanisms as discussions begin on the next multi-annual financial framework.