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

“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”.

The European Committee of the Regions (CoR) put forward major proposals in a set of opinions on the post-2027 Cohesion Policy reform, all unanimously adopted at the plenary session on 6 May 2026. The main proposals stress: 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.

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’.

For more information click HERE.

Filed Under: Lead Story Tagged With: CLLD, Cohesion policy LDnet

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