Collaboration is the cornerstone of effective Cohesion Policy, and it is through shared learning that national and regional authorities across Europe are able to respond to challenges and deliver results on the ground. For almost three decades, the IQ-Net network has provided such a space for Managing Authorities, Intermediate Bodies and Coordination Units to exchange experiences and reflect on how best to implement Cohesion Policy funds. This spirit of collaboration was once again evident at the 58th IQ-Net Conference, held on 19-21 May 2025 in Carrick-on-Shannon, Ireland. Bringing together programme authorities from across Europe, the event focused on the financial management of Cohesion Policy and the evolving role of simplification tools.
A central theme was the need to strike a balance between closing the previous programming period, advancing the current one, and preparing for the future. The Review Paper, “Turning a new chapter: Closing 2014–20 and shaping the future of EU Cohesion”, authored by Eléna Jabri (EPRC Delft), explores how the programme authorities are approaching this challenging transition. As the 2014–20 programmes reach their final stages, many authorities are dealing with the practicalities of closure, including complex audit and administrative requirements. The introduction of the STEP Regulation has provided some flexibility, easing the burden and allowing additional time to meet obligations. However, wrapping up one period coincides with the pressing demands of fully implementing the 2021–27 programmes, creating a challenging dual agenda for administrations.
Progress in the current period remains uneven. Although EU-level data suggest modest levels of financial absorption, authorities themselves point to stronger pipelines and a gradual acceleration as bottlenecks are overcome. Improved communication with beneficiaries and clearer procedures are starting to bear fruit. Nevertheless, the 2025 Mid-Term Review provides an important opportunity to assess progress and make adjustments. For some, this is an opportunity to reorient investments towards emerging EU priorities such as innovation, climate change and resilience. For others, tight deadlines, limited flexibility and pre-existing commitments make substantial adjustments more difficult. Clearly, the Mid-Term Review is an important moment for reflecting on the performance of programmes and whether their strategies remain fit for purpose in a rapidly changing policy environment.
Financial management was another focal point of the conference. The Thematic Paper, “New Financial Management Tools under EU Cohesion Policy: Have they Delivered on Simplification?” by Fabian Gal and Odilia van der Valk (EPRC Delft), examined the experience of Simplified Cost Options (SCOs) and Financing Not Linked to Costs (FNLC). Both instruments were introduced with the ambition of reducing administrative burden and streamlining delivery. In practice, SCOs have been widely adopted and have brought greater predictability and alignment with outputs. However, they often require significant upfront work and have not always translated into the hoped-for simplification, especially where audit practices remain misaligned. FNLC represents a more radical change, shifting focus to results rather than costs, but its uptake under Cohesion Policy has been limited so far. Early experiences show promise, particularly in terms of efficiency and flexibility, but also highlight challenges around indicator design, legal clarity and audit certainty.
Despite these innovations, many authorities report that the overall administrative load has not lessened significantly compared to the previous period. While beneficiaries in some countries have noticed gains through digitalisation and flat-rate systems, others continue to face complex documentation and layered verification. This mixed picture underlines the need for deeper, systemic reforms if financial management is to become truly more proportionate and outcome-oriented.
Looking ahead, both papers point towards a common conclusion: Cohesion Policy is once again at a crossroads. Programme authorities are closing one chapter and engaging in early reflections on what will follow beyond 2027, while managing the complexities of the current cycle. Across Europe, debates are intensifying on how to combine simplification and flexibility with a strong place-based approach, while also considering the EU’s evolving priorities. The Carrick-on-Shannon Conference reinforced the value of IQ-Net as a forum for collectively addressing these transitions, ensuring that past lessons inform the delivery of smarter, more effective regional development in future.