Future EU budget: regions and cities set out their key requests to reform Cohesion Policy

Keeping Cohesion Policy's predictable support for all regions, not only for the less developed ones; rejecting national investment plans when regions are not involved in their preparation; and a mandatory cross-cutting principle ensuring that every EU policy do not harm cohesion in Europe. These are the main proposals put forward by the European Committee of the Regions (CoR) in a set of opinions on the post 2027 Cohesion Policy reform, all unanimously adopted at the plenary session on 6 May.

Local and regional leaders supported the need to renew Cohesion Policy but strongly opposed budget cuts and the attempt to exclude regions and cities from the decision-making process in favour of national governments. The three adopted opinions address different aspects of the European Commission's proposal on the next EU long-term budget, which will cover the 2028-34 period, and in particular the creation of a single large fund merging cohesion, agricultural, fisheries, and other policies, which would be managed through single National and Regional Partnership Plans (NRPPs).

A new 'subsidiarity clause' and Cohesion Policy for all regions

Members of the CoR urged that the 'regional checks' on NRPPs, suggested by the President of the European Commission, be implemented through 'multilevel governance assessments'. This would make it mandatory for Member States to consult local and regional authorities while preparing NRPPs. When this is not the case, regions and cities should have the right to activate a 'subsidiarity clause' and notify the European Commission so that it can reject overly centralised NRPPs. In addition, the CoR calls on Member States to assess the local and regional impact of their plans, and on the Commission toensure that specific territorial challenges in each country are clearly identified and addressed.

Local and regional leaders also asked to increase the NRPPs budget in line with the European Parliament's request. Within this amount, dedicated stand-alone budgets for Cohesion Policy, Common Agricultural Policy and other policies should be kept. Cohesion Policy should include defined allocations for all categories of regions, not only for the less developed ones.

Different EU funds must tackle specific needs

CoR members opposed the idea that the NRPP should become a 'single pot of money' at the disposal of Member States. They proposed referring to the different funds, such as the European Regional Development Fund (ERDF) and the Cohesion Fund, which have their own specificities, and recalled the importance of INTERREG for competitiveness and the single market. To be effective, these funds should benefit from clearly allocated amounts of resources. The European Social Fund (ESF) should also be part of Cohesion Policy's toolkit, with its own specific budget allocation.

Moreover, a minimum target of 20% of cohesion policy,rural areas and fisheries allocations must be spent for integrated territorial development strategies such as integrated territorial investments, community-led local development, LEADER or other territorial tools designed by Member States, in urban or rural areas, as a guarantee of a genuinely place-based approach that empowers local communities and stakeholders.

Ensuring a transparent use of resources

Local and regional leaders welcomed the objective of simplifying how the efficiency of EU spending is monitored. In addition, they called for it to be accompanied by strong safeguards to ensure that improving territorial cohesion is a key priority for all EU policies (the 'do no harm to cohesion' principle).

Regarding Cohesion Policy, the achievement of milestones and targets is set to replace the existing system based on reimbursement of expenses, which will lead to complexity with a risk of increasing red tape and controls, regions and cities warned. Consequently, they highlighted that the full implementation of the new rules can only be effective after key issues in the proposal are addressed, such as avoiding the overlap of the two systems (performance-based and cost-based) or the use of indicators that do not reflect the real impact of climate and social policies on the ground. Afterwards, a transitional period would be needed to allow time to provide EU-wide training and technical assistance for public officials who will be required to work with the new 'Performance framework regulation'.

Quotes

Vasco Alves Cordeiro (PT/PES), co-rapporteur on the NRPP Fund Regulation, COTER commission chair and Member of the Regional Assembly of the Azores: "The European Commission's reform of the MFF risked turning cohesion policy into a tale of recentralisation and missed opportunities sidelining the very regions and cities that make Europe real. Our NRPPs opinion is a blueprint for a Europe that listens to its territories: with multilevel governance, subsidiarity as a shield, and 20% of cohesion and rural funds dedicated to bottom-up instruments. To the European Parliament, we say: 'join us defending this vision'. Together, we can turn this story into a new and promising chapter for all of Europe."

Emil Boc (RO/EPP), co-rapporteur on the NRPP Fund Regulation and Mayor of Cluj-Napoca: "Europe must choose whether it is preparing for unity or for division. Cohesion Policy cannot become collateral damage inside national mega-funds, nor can farmers and regions be pushed into competition for the same resources. Cohesion must remain a policy for all regions -- less developed, in transition and more developed alike. Partnership, multilevel governance and subsidiarity are not bureaucratic formalities; they are the DNA of European solidarity. Words such as regional chapters and territorial checks must now become real legal guarantees. A Union that does not invest in cohesion is not preparing for its future -- it is preparing for its own division."

María Guardiola Martín (ES/EPP), rapporteur on theERDF including European Territorial Cooperation and Cohesion Fund Regulation and President of the Regional Government of Extremadura: "Cohesion Policy is not a cost -- it is Europe's investment in solidarity, competitiveness and territorial balance. In a time of accelerated change, we must reject the false choice between convergence and competitiveness: Europe needs both. These funds have already delivered tangible results for our regions, SMEs and citizens. But to remain effective, Cohesion Policy must be modernised, simplified and made more flexible, while preserving its core principles of partnership, shared management, subsidiarity and multilevel governance. We cannot accept cuts that would weaken its impact or put its continuity at risk."

Luca Menesini (IT/PES), rapporteur on the Performance Framework Regulation,Provincial councillor of Lucca and President of the PES group at the CoR: "Simplification must not become the Trojan horse for centralisation or a retreat from our European ambitions. Our opinion on the Performance Framework is clear: we welcome simplification, but not at the cost of climate action, social justice, or territorial cohesion. Our message to the European Parliament is simple: no simplification without subsidiarity, no efficiency without partnership, and no progress without measuring the territorial impact of every euro spent. Let's ensure this reform empowers regions and cities, not just Brussels."

Background

·Video and pictures of the Plenary session.

·The consolidated text of the opinions will be available some days after the adoption via the links provided above.

·The adopted opinions are part of a series of 20 opinions on which the CoR is working to assess specific aspects and regulations of the future EU long-term budget 2028-34: check the opinions' roadmap.

Contact

Matteo MigliettaTel. +32 470895382 [email protected]