Liberals call for overhaul of EU annual accounts procedure

9.27.43am GMT Tue 15th Nov 2005

Andrew Duff, Liberal Democrat Euro MP for the East of England, is calling for radical changes to be made to the accounting procedures of the European Union.

In their report on the accounts for 2004 published today, the EU's Court of Auditors has found a continuing improvement in the Commission's own accounting procedures. But the auditors still find an unacceptably high rate of error, 'notably within the member states'.

Duff and his fellow MEPs from the European Liberal Democrats are calling for a thorough overhaul of the process of evaluating the spending of the EU's annual budget which amounted to €100bn in 2004 -- or 0.95% of GNI. In particular, Duff wants proper attention to be paid to the way national governments spend EU money within their own countries.

In a statement today, Duff says:

"A major failing of the Court of Auditors is the complete lack of an evaluation of the role and responsibilities of national governments in the part they play in implementing and controlling 80 per cent of EU expenditure, notably through the CAP and the Structural Funds.

"If Gordon Brown continues to refuse to accept responsibility for how the Treasury disburses EU money on the ground in the UK, it is no wonder that the European Commission cannot guarantee transparent financial control.

"National authorities must be persuaded to hold themselves accountable to both their own national parliament and the Commission for the proper use of EU money. The House of Commons should collaborate much more closely with the European Parliament by seeking to correct weaknesses in the management of Britain's treatment of EU money.

"MEPs, in our turn, should now address these structural failings of the discharge process. Europe's tax payers need greater clarity and reassurance that their money is being properly and wisely spent. By and large this is the case, but the annual ritual over the discharge of the Commission's accounts is both unseemly and unnecessary."

ENDS/...