European Union debt could reach one trillion euros by 2027

The European Court of Auditors has warned that total debt for the European Union could reach one trillion euros by 2027, according to reports from Euronews and RTE. The watchdog released its annual spending report on Thursday, highlighting rising borrowing costs and irregular spending across the bloc. [1][2]

Euronews reported that 3.8 percent of European Union spending breached funding rules last year. Auditor concerns center on ongoing borrowing under the post-pandemic recovery plan alongside long-term financial commitments to support Ukraine, RTE reported. [1][2]

The watchdog warned that proposed structures for the 2028 to 2034 long-term budget risk repeating the weaknesses of the pandemic stimulus scheme, Euronews and RTE both reported. RTE added that these budget plans could increase the administrative burden and cause more errors for member states. [1][2]

The European Commission defended its financial controls, stating that robust checks remain in place, according to Euronews. However, RTE reported that the budget faces future risks if the European Union fails to secure new revenue streams to meet its spending commitments. [1][2]