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COVID impact on local finances 

COVID 19 finances - News

A Europe-wide snapshot of the pandemic’s fiscal impact on municipalities and regions, and what support is still missing  


The COVID-19 pandemic placed local and regional governments at the frontline of public health response in Europe. While ensuring safety, maintaining essential services, and supporting vulnerable populations, these governments were simultaneously burdened with spiralling costs and plummeting revenues. A survey conducted by the Council of European Municipalities and Regions (CEMR) in May 2020 offers critical insight into the financial distress faced by cities and municipalities across 17 European countries. 

The survey reveals a dual pressure on local and regional finances: soaring expenditures, primarily for personal protective equipment, sanitation, and social support and sharp declines in revenue due to reduced economic activity. Tax revenues, municipal service fees, and income from the cultural and tourism sectors were severely impacted. For example, Bulgaria saw a 41% decrease in municipal income from its own sources, and Austria faced estimated municipal revenue losses between €900 million and €2 billion. 

While local authorities acted swiftly, organising food deliveries, providing accommodation for healthcare workers, and ensuring online education, support from national governments was slow and often insufficient. Although a few countries, like Estonia and Germany, implemented meaningful aid measures, most national support was delayed, limited, or only promised in future budget cycles. 

Many governments, like in France and Sweden, pledged support, but uncertainty remains about the long-term sustainability of subnational budgets. Furthermore, the varied structure of local financing systems across Europe means that the financial impact differs widely between countries and even among municipalities within the same country. 

The CEMR report makes it clear: without timely and adequate support from national and European levels, local and regional governments risk losing the capacity to invest in recovery and sustainable development. To prevent a prolonged post-pandemic investment slump, EU funds, especially from the Recovery and Resilience Facility, must be made directly accessible to local authorities. 

Only by empowering municipalities can Europe hope to achieve its long-term goals for resilience, cohesion, and sustainability. Now is the time for stronger multilevel cooperation and for the EU to acknowledge the central role of local and regional governments in shaping recovery. 

Read the study here 

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Local role in the EU enlargement 

EU Enlargement - News

Decentralisation and strong local governance are key for Ukraine, Moldova and Georgia’s EU accession path 


The decision of the European Council to grant candidate status to Ukraine and Moldova and to recognise Georgia’s perspective once further reforms are met marks a historic step in the enlargement of the European Union. Beyond the geopolitical dimension, the process will require profound reforms at the local level, particularly in decentralisation, public administration, and democratic governance. 

The European Commission’s opinions emphasise decentralisation as a cornerstone of EU membership criteria. Strengthening local autonomy, building institutional capacity, and fostering multilevel governance are essential for sustainable reforms in Ukraine, Moldova, and Georgia. Empowering municipalities and regions will not only improve service delivery but also ensure that EU values and standards are implemented where citizens feel them most directly: at the local level. 

Decentralised cooperation plays a decisive role in this transformation. Peer exchanges, partnerships, mentorship programmes, and twinning initiatives provide practical support for reforms while reinforcing democratic practices. These mechanisms are particularly vital in contexts of crisis and recovery, such as the post-pandemic and post-war reconstruction efforts. 

Granting candidate status also strengthens local governments’ ability to modernise, adopt new technologies, and access tools that improve governance and resilience. This process will accelerate reforms in public administration, boost citizen participation, and ensure a closer alignment with the EU’s Green Deal and Sustainable Development Goals. 

The path toward EU membership for Ukraine, Moldova, and Georgia must include a strong local dimension. By prioritising decentralisation and local autonomy, the accession process can deliver long-term sustainable development, stronger democracies, and better services for citizens. Supporting municipalities and regions is therefore not just complementary, but essential for a successful enlargement process. 

Read the declaration here 

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MFF and COVID recovery

MFF and COVID recovery - News 2020

Upcoming recovery package and MFF should support municipalities and regions


The response to the COVID-19 pandemic has made it clear: local and regional governments are playing a crucial role in implementing and monitoring the necessary measures to tackle the crisis. With revenue sources in steep decline and expenses skyrocketing, municipalities and regions need to be specifically targeted under the European Union’s proposed recovery plan.

More than ever, the EU needs a robust budget, both for the immediate recovery and to invest in future generations. This has been clearly voiced by European Commission President Ursula von der Leyen and is backed up by the joint proposal of French President Emmanuel Macron and German Chancellor Angela Merkel to provide a €500 billion recovery fund to modernise the European economy.

The European institutions and national governments must closely involve municipalities, regions and their representative associations in the implementation of the recovery fund.  As the OECD states in its recent study on the territorial impact of COVID-19, coordination mechanisms and shared responsibilities across all levels of government are essential to ensuring a coherent and effective response.

What’s more, the recovery fund will be linked to the Commission’s recommendations to member states issued as part of the European Semester. Given that 60% of these recommendations have a local or regional impact, it is essential to take into account local and regional governments’ role in the recovery. This is all the more necessary insofar as the fund aims to support those regions and sectors that have suffered most.

Supporting future-oriented investments and resilient territories

CEMR fully supports using the EU’s new Multiannual Financial Framework (MFF) to encourage future-oriented investments that respect European climate ambitions and foster resilient societies, including through the Green Deal and the Digital Strategy.

Member States have a unique opportunity here to take action to mitigate and fight against climate change”, said French Senator and CEMR Spokesperson for Climate Ronan Dantec. “The EU’s immediate and long-term investments need to be climate-proof, especially in the areas of mobility, construction and energy.

Cohesion funds are more crucial than ever to enabling Europe’s towns and regions to undertake long-term and sustainable planning and investment, and thus become more resilient. That is why cohesion policy should continue to make up at least one third of the EU budget.

“Europe now needs to be thinking about the post-crisis situation and long-term needs”, said Ilaria Bugetti, Councillor of the Toscana Region and CEMR Spokesperson for Territorial Development. “We need to support the local economies and citizens that have suffered from the lockdowns, rethink territorial planning and redesign urban spaces to make them more resilient; we have to invest in innovation and education to make our societies sustainable and fit for a carbon-free future. This is a huge effort, to which cohesion funds need to considerably contribute.”

Decentralised cooperation will contribute to the EUs international engagements

Municipalities and regions are also well-placed to contribute to the EU’s international development policies, if supported by the right tools, notably the new Neighbourhood, Development and International Cooperation Instrument (NDICI).  “Local and regional governments’ actions with partner countries to limit the spread of COVID-19 show once again their central role beyond our borders”, said Tine Soens, Municipal Councillor for Kortrijk (Belgium) and PLATFORMA Spokesperson for International Cooperation. “By financing decentralised cooperation between towns and regions, the EU’s long-term budget can foster a swift recovery and resilient societies worldwide.

The future EU budget must be agreed as soon as possible and ideally before the end of the year. Any further delay would jeopardise the security of many planned EU projects and negatively impact municipalities, regions, SMEs, workers and an already vulnerable population.

Equality in Poland

Equality in Poland - News 2020

Local and regional leaders across Europe oppose self-declared “LGBTI-free zones” in Poland


Whereas in Poland around 100 municipalities have instituted “anti-LGBTI” zones or other discriminatory measures, the Council of European Municipalities and Regions (CEMR) calls on Europe’s local and regional officials to support their peers fighting against homophobia.

Frédéric Vallier, CEMR’s Secretary General, and Emil Broberg, Regional Councillor of Östergötland (Sweden) and Chair of CEMR standing committee for Equality, have jointly penned an open letter opposing these measures to Polish municipalities, counties and regions. They call on local and regional governments throughout Europe to express their support by signing on to the letter. To date, CEMR has collected 120 signatures from 14 European countries.

Expressing his view on the situation in Poland, CEMR President and President of the Emilia-Romana Region Stefano Bonaccini said: “Equality is for all Europeans. It is a core European value. As we are striving to build a better and brighter future for all, we simply cannot turn back the clock on human rights and sweep aside decades’ worth of progress.

“In the world we live in today, equality must be built from the ground up”, said Emil Broberg. “Local and regional governments should not give way to national political movements opposing equality. On the contrary, municipalities and regions can set an example by holding firm to the principles of human rights and to the progress we have made so far.

Further confirmation of the gravity of the situation came last week with the publication of the European Union Agency for Fundamental Rights’ survey on LGBTI equality, which revealed that 40% surveyed people in Europe said they experienced harassment due to their sexual orientation. In the case of Poland, intolerance towards LGBTI people has increased overall and the country has the highest rates of physical or sexual attacks motivated by the victim being LGBTI (15%).

The open letter also seeks to counter the rise in anti-LGBTI rhetoric. It affirms the signatories’ support for Polish local and regional governments that have rejected and resisted discriminatory measures and who continue to champion the common fundamental European values of freedom and human rights.

Many local and regional officials in Poland are fighting against these anti-LGBTI measures. Marta Mazurek, Municipal Councillor for Poznan, is one of them. “As a Polish elected representative and as a European, I am very grateful for any international support for human rights and gender equal policies”, she said. “Such support energises our efforts and fortifies our courage.”

With this action, CEMR calls for dialogue and invites European cities who have relations with the concerned Polish municipalities and regions to raise the issue. Local and regional governments across Europe should share their experiences in addressing issues of discrimination and equal rights, for the benefit of all.

List of signatories (as of 25 August):

Stefano Bonaccini, CEMR President and President of the Emilia-Romana Region – Italy | Emil Broberg, Chair of CEMR’s standing committee for Equality, Regional Councillor of Östergötland – Sweden | Frédéric Vallier, CEMR Secretary General and:

Anne Hidalgo, Mayor of Paris – France | Dagur B. Eggertsson, Mayor of Reykjavík – Iceland | Fernando Medina, Mayor of Lisbon – Portugal | Zoran Janković, Mayor of Ljubljana – Slovenia | Dieter Reiter, Lord Mayor of Munich – Germany | Anders Knape, President of the Congress of Local and Regional Authorities of the Council of Europe, SALAR President, Lord Mayor of Karlstad – Sweden | Gunn Marit Helgesen, President of the Chamber of Regions of the Congress (Council of Europe), Councillor of Telemark – Abel Caballero Álvarez, FEMP President, Mayor of Vigo – Spain | Aldis Hafststeinsdottir, SAMBAND President, Mayor of Hveragerðisbær – Iceland | Bjørn Arild Gram, KS President, Mayor of Steinkjer – Norway | Emile Eicher, SYVICOL President, Mayor of Clervaux – Luxembourg | Gorka Urtaran, EUDEL President, Mayor of Vitoria-Gasteiz – Spain | Jan Van Zanen, VNG President, Mayor of Utrecht – Netherlands | Philippe Laurent, AFCCRE President, Mayor of Sceaux – France | Stéphane Roberti, BRULOCALIS President, Mayor of Forest – Belgium | Ahmed Laaouej, Mayor of Koekelberg – Belgium | Andreas Starke, Lord Mayor of Bamberg – Germany | Belit Onay, Lord Mayor of Hanover – Germany | Bojan Srot, Mayor of Celje – Slovenia | Carlos Martínez Mínguez, Mayor of Soria – Spain | Carola Gunnarsson, Lord Mayor of Sala – Sweden | Christian Scharpf, Lord Mayor of Ingolstadt – Germany | Dirk De fauw, Mayor of Bruges – Belgium | Eva Döhla, Lord Mayor of Hof – Germany | Felix Schwenke, Lord Mayor of Offenbach – Germany | François Rebsamen, Mayor of Dijon – France | Frédéric Valletoux, Mayor of Fontainebleau – France | Fritz Kuhn, Lord Mayor of Stuttgart –- Germany | Henriette Reker, Lord Mayor of Cologne – Germany | Hermann-Josef Pelgrim, Lord Mayor of Schwäbisch Hall – Germany | Javier Ayala, Mayor of Fuenlabrada – Spain | Jochen Partsch, Lord Mayor of Darmstadt – Germany | Johan Rocklind, Mayor of Gnesta – Sweden | Johanna Rolland, Mayor of Nantes – France | Josep Mayoral Antigas, Mayor of Granollers – Spain | Juan María Aburto Rique, Mayor of Bilbao – Spain | Jürgen Zieger, Lord Mayor of Esslingen am Neckar – Germany | Katrin Stjernfeldt Jammeh, Mayor of Malmö – Sweden | Klaus Mohrs, Lord Mayor of Wolfsburg – Germany | Klaus Schmotz, Lord Mayor of Hansestadt Stendal – Germany | Lilja Einarsdóttir, Mayor of Hvolsvöllur – Iceland | Madelaine Jakobsson, Mayor of Nordmaling – Sweden | Mari-Louise Wernersson, Mayor of Falkenberg – Sweden | Maria Noelia Garcia Leal, Mayor of Los Llanos de Aridane – Spain | Markus König, Lord Mayor of Nuremberg – Germany | Markus Lewe, Lord Mayor of Münster – Germany | Michael Ebling, Lord Mayor of Mainz – Germany | Michael Makiolla, Head of Unna District Council – Germany | Nathalie Appéré, Mayor of Rennes – France | Norbert Zeidler, Lord Mayor of Biberach an der Riss – Germany | Peter Freier, Mayor of Offenbach – Germany | Peter Kurz, Lord Mayor of Mannheim – Germany | Phedon Phedonos, Mayor of Paphos – Cyprus | Pietro Puccio, Mayor of Capaci – Italy | Pit Clausen, Lord Mayor of Bielefeld – Germany | Rico Badenschier, Lord Mayor of Schwerin – Germany | Simone Lange, Lord Mayor of Flensburg – Germany | Stefan Belz, Lord Mayor of Böblingen – Germany | Thomas Andersson, President of the Regional Council of Jämtland Härjedalen – Sweden | Thomas Geisel, Lord Mayor of Düsseldorf – Germany | Tim Kähler, Mayor of Hansestadt Herford – Germany | Ulrich Markurth, Lord Mayor of Brunswiek – Germany | Vanessa Slimani, Mayor of Saint Jean de Braye – France | Victor Hadjiavraam, Mayor of Morphou – Cyprus | Yoomi Renström, Lord Mayor of Ovenåker – Sweden | Alessandra Medici, Councillor of Guastalla – Italy | Amelie Tarschys Ingre, Vice-Mayor of Lidingö – Sweden | Anders Henriksson, Regional Councillor of Kalmar – Sweden | Andreas Höffler, Councillor of Berching – Germany | Andreas Wolter, Vice-Mayor of Cologne – Germany | Andri Michalia, Councilor of Lakatamia – Cyprus | Angela Everbäck, Councillor of Vellinge – Sweden | Anne Herrezeel, Councillor of Eghezée – Belgium | Anne Tyssaen, Deputy Mayor of Koekelberg –Belgium | Benjamin Debroux, Councillor of Jumet – Belgium | Jürgen Czernohorszky, Executive City Councillor of Vienna – Austria | Benjamin Plach, Councillor of Innsbruck – Austria | Carine Gol-Lescot, Deputy Mayor of Uccle – Belgium | Carine Henry, Chair of Floreffe public centre for social welfare – Belgium | Caroline Quintero P., Councillor of Namur –Belgium | Cécile Egrix, Councillor of Uccle – Belgium | Cecilia Dalman Eek, Regional Councillor of Gothenburg – Sweden | Christine Oppitz-Plörer, Councillor of Innsbruck – Austria | Christophe Pierroux, Councillor, Etterbeek public centre for social welfare – Belgium | Dennis Wedin, Vice-Mayor of Stockholm – Sweden | Dejan Lukovic, Councillor of Innsbruck – Austria | Elisabeth Unell, Vice-Mayor of Västerås – Sweden | Fatmir Limani, Deputy Mayor of Koekelberg – Belgium | Gabi Laschet-Einig, Councillor of Lahnstein – Germany | Giovanni Allodi, Councillor of Poviglio – Italia | Gunilla Westerberg Dupuy, Deputy Mayor of Suresnes – France | Henrik Hammar, Councillor of Örkeljunga – Sweden | Irlin Bråten, Trosopplæringsleder – Norway | Janine Bex, Councillor of Innsbruck – Austria | Jelena Drenjanin, Vice-Mayor of Huddinge – Sweden | Jens Sjöström, Regional Councillor of Stockholm – Sweden | Jonathan Biermann, Alderman of Uccle – Belgium | Khalil Aouasti, Deputy Mayor of Koekelberg – Belgium | Kathleen Delvoye, Councillor of Uccle – Belgium | Laura Goffart, Councillor of Liège – Belgium | Laurence Vandeputte, Councillor of Uccle – Belgium | Lorenzo Pasini, Councilor of Colorno – Italy | Maëlle Brouwer, Deputy Mayor of Uccle – Belgium | Magnus Berntsson, Vice-President of the Regional Council of Västragötland – Sweden | Marie Bijnens, Deputy Mayor of Koekelberg – Belgium | Martin Casier, Councillor of Watermael-Boitsfort – Belgium | Nadia Badri, Deputy Mayor of Koekelberg – Belgium | Nora Bednarski, Councillor of Ixelles – Belgium | Ossamah Maghfour, Lord Mayor of Koekelberg – Belgium | Patrick Klugman, Deputy Mayor of Paris – France | Paul-Gerhard Weiß, Councillor of Offenbach – Germany | Romain De Reusme, Alderman of Ixelles – Belgium | Ronan Dantec, Senator and Councillor of Nantes – France | Sabine Groß, Councillor of Offenbach – Germany | Sihame Haddioui, Deputy Mayor of Schaerbeek – Belgium | Theresa Ringler, Councillor of Innsbruck – Austria | Thomas Lechleitner, Councillor of Innsbruck – Austria | Véronique Lefrancq, Deputy Mayor of Koekelberg – Belgium