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Allocation of the performance reserve


The European Commission has allocated the performance reserve - i.e. 4% of the Structural Funds' budget - to 200 regional development programmes. The Member States have assessed the programmes on the basis of indicators reflecting efficiency, management and financial implementation. For the first time, there is a direct link between the allocation of part-financing and results.


Commission Decision 2004/344EC of 23 March 2004 fixing the allocation of the performance reserve by Member State for Community Structural Funds assistance under Objectives 1, 2 and 3 and the Financial Instrument for Fisheries Guidance under Objective 1.


The European Commission has allocated the performance reserve to 200 European regional development programmes, i.e. 90% of existing programmes. The total appropriations concerned amount to EUR 8.246 billion, i.e. 4% of the total Structural Funds budget. The increase for the most efficient programmes ranges from 6% to 9% of the initial allocation.

The performance reserve is an innovation under European legal provisions on the implementation of the Structural Funds (ERDF, ESF, EAGGF Guidance Section and FIFG). It establishes for the first time a link between financial allocations and results.

The most efficient programmes were assessed in late 2003 on the occasion of the mid-term evaluation of the programmes. The assessment covered the three Objectives 1, 2 and 3 and the structural measures under the FIFG outside Objective 1.

What procedure is used?

The Member States assess the performance of each operational programme (OP) or single programming document (SPD) in close consultation with the Commission. They use a small number of monitoring indicators reflecting efficiency, management and financial implementation. The indicators measure the mid-term results achieved by the programmes as compared with the initial specific objectives.

Each Member State defines the indicators on the basis of an indicative Commission list. They quantify them in the various annual implementation reports and in the mid-term evaluation report.

The Member States propose to the Commission the programmes they wish to reward. The Commission allocates the commitment appropriations to the OPs, SPDs or the most efficient priorities by 31 March 2004 at the latest. The programming documents then have to be adjusted.

Member StateObjective 1
(EUR million)
Objective 2
(EUR million)
Objective 3
(EUR million)
FIFG outside Objective 1
(EUR million)
United Kingdom263212205.85.6


ActEntry into forceDeadline for transposition in the Member StatesOfficial Journal
Decision 2004/344/EC17.04.2004-OJ L 111 of 17.04.2004

Last updated: 05.11.2004
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