European Commission Eases Recovery Fund Rules, Raising Concerns Over Spending Discipline

The European Commission has been criticized for its handling of the Recovery and Resilience Facility (RRF), focusing on disbursing all funds before the 2026 deadline rather than enforcing conditions. An analysis shows that many amendments to national plans reduced ambition, with 57% cutting administrative burden and over two-thirds implementing 'better alternatives'. This approach may undermine the programme's effectiveness. Meanwhile, a report by the European House–Ambrosetti estimates that Europe misses out on €120 billion in investment annually due to fragmented markets, and the EU budget is too small to address this. The Commission is working on reforms but progress is slow.