Simplified Cost Options

Even though we do not encourage using abbreviations, you will not find a single person in your programme who does not know what the term SCOs stands for (if you do, make sure to give them the link to this page dedicated to simplified cost options).

Using SCOs is one of the key methods of simplifying the implementation of projects, programmes, control and audit procedures within a programme.

Where SCOs are used, the eligible costs are calculated according to a predefined method based on outputs, results or some other costs clearly identified in advance either by reference to an amount per unit or by applying a percentage.

This enables Interreg programmes and institutions involved to significantly reduce the administrative burden, focus on results, rather than tracing every euro. Finally, SCOs contribute to a more correct use of the programme funds (performed audits continuously show lower error rate).

Where to start

If you are new to SCOs, Interact will launch soon a certified training dedicated to SCOs under the aegis of the Interact Academy. The training will introduce you to SCOs world and their utilisation in the Interreg environment. This is the mandatory position on your to-do list if you are the SCOs newbie.

As you may be aware, there are three types of SCOs- lump sums, unit costs and flat rates. They can be established in 5 different ways. For certain types of projects SCOs are the mandatory option to use. SCOs can be also used in combinations with real costs or with other SCOs. They can be used not only by programme beneficiaries but also by the EC to reimburse resources to programmes. 

Would you like to know more?

Please visit out dedicated SCOs Interreg community and the library where you can find lots of interesting materials, programme experiences, tips and exchanges related to the topic.

What we are working on

Interact offers an annual event focused on SCOs. In this year's event, we will continue our focus on practical aspects of merging two great simplifictaions i.e SCOs and risk-based management verifications. We will also launch the post 2027 consultation, and the opportunity to improve the framework around SCOs.

During the year we will also be gathering programmes' practices and lessons learnt to complete our work on the collection of SCOs used by all Interreg programmes as well as to update the Manual on the draft budget method to reflect practice.