I have worked with ERC and many other funders, as well as in DARPA-funded projects. Talked to principal investigators, attended panel reviews, seen how projects are evaluated, etc.

My impression is that, despite some problems, DARPA is outstanding compared to what we have across the pond. Obviously, that is not a reason to ignore issues or try to fix them.

In fact, new initiatives are often trying to mimic DARPA. For example, Wellcome LEAP: https://wellcomeleap.org/leap-innovation-model/