A new “systems and process audit (SPA) procedure” has been implemented by the European Commission with the aim of enhancing efficiency, transparency and compliance within Horizon Europe and Euratom processes.
The systems and process audit (SPA) provides an opinion on a participant’s system of internal control related to the management of Horizon Europe (HE) and Euratom actions. The methodology consists of a test of controls, supplemented by a test of transactions. It aggregates the results into one of the three possible risk classifications: low, medium, or high risk.
The benefits for participants classified as ‘low-risk’, consist of a reduced administrative burden, less (or less in-depth) ex-post audits and, a higher threshold for submitting CFS (i.e. 725.000 EUR instead of 430.000 EUR) statements.
The SPA is open to all Horizon Europe and Euratom participants that comply with the criteria set out in Article 24.4 of the HE Model Grant Agreement. A low-risk SPA classification unlocks key advantages, including an increased threshold for the submission of Certificate on Financial Statements and fewer (or less in-depth) audits.
Before applying, participants should carefully review the eligibility criteria and conditions. A successful SPA can yield significant advantages, but it requires the applicant to make some investments and meet specific requirements.
More information on the criteria and process to apply can be found here.
