Seimas Committee on European Affairs: European auditors warn that the growing burden of EU debt may jeopardize the sustainability of future EU budgets

Press release, 30 October 2025 (News ● Photos ● Broadcasts and videos)

When presenting the report on the implementation of the EU budget for the financial year 2024 to the Seimas Committee on European Affairs, Laima Andrikienė, Lithuanian Member of the European Court of Auditors (ECA), noted that the error rate affecting EU expenditure fell to 3.6 %, down from 5.6 % in 2023. This amounted to EUR 6 billion in EU budget expenditure, stemming from identified breaches of EU or national legislation. The error rate remains significant and relatively widespread, prompting European auditors to issue a negative opinion on EU spending for six consecutive years. Problems most frequently arise from funding of non-compliant projects and irregularities in public procurement procedures. 

The annual report also highlights the rapid growth of the EU debt burden. 

‘While it is essential to address the pressing challenges that require immediate funding, equal attention must be given to the long-term sustainability of the EU budget, especially as much of the repayable debt is passed on to future generations,’ said Ms Andrikienė. 

The European auditors warn that, by 2027, outstanding loans could exceed EUR 900 billion – nearly ten times the level recorded before the launch of NextGenerationEU, a temporary recovery instrument introduced in 2020. Interest expenditure may exceed EUR 30 billion during the current budgetary period – more than double the EUR 14.9 billion initially forecast by the European Commission. From 2028 to 2034, the interest payments could amount to almost EUR 74 billion. The auditors call on policymakers to ensure the reliable and responsible management of the growing debt burden in future EU budgets by making use of guarantees and ensuring sufficient financial resources to prevent a potential debt trap. 

Members of the Committee expressed interest in the implementation of the Recovery and Resilience Facility over the past four years. The auditors issued a qualified opinion on the expenditure under this Facility, underlining that such financing models should only be applied where there is clear responsibility, funding is directly linked to measurable results, and payments are traceable to actual costs and beneficiaries. The ECA calls for this approach to be incorporated into the drafting of the post-2027 EU budget to ensure greater sustainability and transparency. 

As the EU’s independent external auditor, the European Court of Auditors (ECA) looks after the interests of EU taxpayers. Its mission is to assess the economy, effectiveness, efficiency, legality and regularity of EU action in order to improve accountability, transparency and financial management. The ECA also informs European citizens on how EU funds are spent.

Laima Andrikienė works in the ECA’s Chamber III, where she is responsible for the external action, security and justice in the European Union.

Aistė Pikiotienė, Adviser, Office of the Seimas Committee on European Affairs, tel. +370 05 209 6864