Each year the National Audit Office reports to Parliament on the financial management of European Union funds, based on the audit by the European Court of Auditors. This report also draws on information provided by the European Commission on its reform strategy and action taken to tackle fraud, as well as considering the implications of forthcoming EU enlargement. For the year 2000, as in previous years, the Court qualified its opinion on the reliability of the Community's accounts. Some positive developments are noted, for example, improvements in the design of systems for managing and controlling expenditure on the Common Agricultural Policy have contributed to improved management of large amounts of EU funds. However, objectives behind Commission programmes are often poorly defined and evaluation systems inadequate. Despite efforts to simplify regulations and harmonise systems across Member States, complex procedures remain that prevent better management, reduction of administrative cost and the easing of the regulatory burden on final recipients of Community funds.