Do you pay % of the house you will sell it for to each handyman, architect, supplier etc? Or do they have fair fixed fees that you can check, choose the best for you and if you are not happy go next door.
What OP describes is pure corruption, eastern more fucked up parts of EU have this ecosystem for 3 decades. It takes easily 70-80% of the budget to get anything done (say play park for children). If company wants some grant to ie improve their processes, the cut may be more like 30-50% percent.
That's how mafia runs things, and ie in quite a few places mafia is very deeply ingrained into state and processes that manage those grants. If its not outright italian mafia, then some self-brewed oligarchs connected to mobsters and politicians capture the drip. I come from such a state and literally everybody knows this, nothing secretive there. My cousin worked for state department responsible for EU grants, and it was a corrupt shitshow where processes were often bypassed every single effin' day. The only positive thing is, our country is so small and economically weak that even if all money end up stolen EU doesn't bat an eye since its pocket money for them.