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GAUDRON Marine

Advisor - Territorial Cohesion & Local Finances

GAUDRON Marine
In Climate, Housing, Impact community Climate, Impact community Cohesion, Latest, Territorial development

Territorial dimension in the future Cohesion Policy 

Future of Cohesion event 2026

CEMR and the German Association for Housing, Urban and Spatial Development (DV) hosted a discussion on the role of the territorial dimension in the future Cohesion Policy 

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4–6 minutes

On 12 October, during the European Week of Regions and Cities 2026, the Council of European Municipalities and Regions (CEMR) and the German Association for Housing, Urban and Spatial Development (DV), with the support of the German Federal Ministry for Housing, Urban Development and Building (BMWSB), brought together policymakers, practitioners and elected representatives to discuss how to strengthen the territorial dimension of the next EU Cohesion Policy. 

Future of Cohesion event - Speakers
Speakers of the event (from left to right): Claragh Mulhern, Tilman Buchholz, Raquel Garcia Hermida-van der Walle, Christoph Schnaudigel, Renata Calak, Arjen Gerritsen, Matija Kovač

With the negotiations on the 2028-2034 Multiannual Financial Framework (MFF) still ongoing, Member States are already advancing their National and Regional Partnership Plans (NRPPs). In this perspective, as no earmark has been foreseen by the European Commission to promote the use of Integrated Territorial approaches such as Integrated Territorial Investments (ITI), Community-Led Local Development (CLLD/LEADER) and other similar tools, CEMR and DV focused the main debate on this matter.  

“The Territorial Dimension and its place-based instruments can build on regional strengths through intermunicipal cooperation across the rural-urban continuum. They can make the benefits of European investment visible in everyday life, foster economic innovation and resilience, and bring Europe closer to its citizens.” Dr. Rene Peter Hohmann, Executive Director DV’s EU-Office.

An “operational” and not “symbolical” multilevel governance is needed  

Opening the event, CEMR President Christoph Schnaudigel, who is also President of the County of Karlsruhe, called the territorial dimension “not a technical addition to Cohesion Policy” but “a core condition for its success”. He warned that a simpler policy on paper could be less effective in practice if it ignores how differently climate transition, demographic change, affordable housing and access to services play out in a capital city, a small municipality, an island or a mountain area.  

He also stressed that partnership and multilevel governance “must be operational, not symbolic”, and that local and regional governments must be genuine partners in preparing, implementing and monitoring the NRPPs rather than only delivery contractors. 

The case of Celje (Slovenia): an example of how to include the territorial dimension 

Following those words, Matija Kovač, the Mayor of Celje (Slovenia), showed how the territorial dimension works in his town. “The ITI (Integrated Territorial Investment) in Celje is a good example of multi-level governance that is actually run by the cities and for the cities, and, of course, building on two programming periods’ experience since 2014, it has also built strong trust between the national organs, ministries, and the municipalities”, he said at the event.

“I think it is also a new way to include our knowledge and organisation in helping the national states to move on with the territorial decision.”

High level event ITI in SLO on Cohesion – Oct 2026Download

Predictability, flexibility, formal mechanisms for the NRPPs… different views in one high-level debate 

The high-level discussion, “Quo Vadis Cohesion Policy?”, brought together policy makers from the European, national and regional levels, as well as MEPs and local elected representatives 

According to Arjen Gerritsen, King’s Commissioner of Flevoland and CEMR spokesperson on the EU budget, the future funding architecture must deliver certainty, respect for territorial diversity, and support for integrated investments. He argued that Cohesion funding must remain identifiable and predictable within the NRPPs. 

“We need predictable regional resources, mandatory regional coverage (or chapters), stronger territorial tools, and the right enabling conditions. Together, these elements can help ensure that the Cohesion Policy continues to support economic, social and territorial cohesion across all European regions”, he added.    

Renata Calak, Director of the Strategy Department in the Ministry of Funds and Regional Policy in Poland, presented the first national perspective and stressed that “the new framework offers [Poland] both challenges and opportunities. ITIs are not foreseen in the new framework, but [Poland] will create [its] own national instrument to continue the work done on territorial approaches.” 

Future of Cohesion event - Speakers roundtable
Roundtable discussion, speakers (from left to right): Raquel Garcia Hermida-van der Walle, Arjen Gerritsen, Renata Calak, Claragh Mulhern, Anna Wagner

Following the Polish example, Claragh Mulhern, the Principal Adviser in the National Strategic Planning Department of Housing in Ireland, presented the Irish stance.  

“In Ireland, we have undertaken a spatial strategy involving a balanced territorial approach. We look at everything across the broad in a coherent strategy, cross-sectors providing an opportunity at a national level to look at what those interventions might be across the country.”

The discussion later turned into a brief debate between Commissioner Anna Wagner, Head of Unit, Regional and Urban Policy, and the Member of the European Parliament Raquel Garcia Hermida-van der Walle.  

While Wagner stressed that “the territorial dimension is anchored in the future framework through the European semester process and that for the first time there is a systematic and detailed territorial analysis, that will guide the national and regional partnership plans”, Garcia Hermida-van der Walle reiterated that “the partnership principle, multilevel governance, and the need of the local and regional governments in shared management need to be in the legal text, [as so far it is simply not in it]”. “It needs to be something that if member states don’t abide by the Commission will have to intervene”, she added. 

Future of Cohesion event - Last speaker
Future of Cohesion event, speaker: Tilman Buchholz

The event was wrapped up by Tilman Buchholz of the BMWSB, who reflected on a shared ambition to build a European coalition for balanced, integrated territorial approaches linking cities with their surrounding areas and complementing urban and rural development, as the MFF and NRPP negotiations move forward. 

CEMR will continue to work with the European institutions, Member States and partners to ensure that Europe’s future investment policy is built on the knowledge, legitimacy and capacity of its territories. 

For more information, contact:

GAUDRON Marine
In Housing, Housing, Impact community Cohesion, Impact community Cohesion, Latest, Publications

Reaction: Housing Simplification Act

Housing Simplification Act

CEMR calls for clearer, more coherent and flexible EU rules to help cities, towns and regions deliver affordable housing

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4–5 minutes
Read CEMR’s full response

Europe urgently needs more affordable, sustainable, and inclusive housing. Yet cities, towns and regions working to deliver new homes increasingly face overlapping rules, lengthy procedures, legal uncertainty and limited investment capacity.

The Council of European Municipalities and Regions (CEMR) provided feedback on existing EU law impacting housing policies, especially at local level. In its response to the European Commission’s call for evidence on housing simplification, CEMR sets out how the European Union can remove unnecessary barriers while protecting essential social, environmental and democratic objectives.

Local and regional governments play a decisive role in housing through spatial planning, permitting, local services, infrastructure, and territorial development. They must therefore be fully involved in the design, implementation, and evaluation of any future European housing simplification measures. EU action should support locally adapted solutions, respect subsidiarity and strengthen the capacity of towns, cities and regions to act, not replace local decision-making with new layers of European requirements.

Simplification, not deregulation

Many EU rules affecting housing pursue legitimate public-interest objectives. Problems arise when requirements from different policy areas overlap, follow incompatible timelines, or impose disproportionate administrative burdens.

Housing projects can be affected simultaneously by procurement, state aid, fiscal, energy, environmental, and construction rules. Their combined effect can increase costs, delay investment, and require local governments to seek expensive external legal or technical expertise.

CEMR is therefore calling for a more coherent regulatory framework, with better-aligned definitions, datasets, deadlines, and digital systems. Simplification should focus on removing duplication and resolving conflicts between rules, while maintaining environmental protection, building quality, social safeguards, and meaningful public participation.

Unlock local investment in affordable housing

Towns, cities and regions cannot respond to housing shortages if public investment continues to be constrained by fiscal and state aid rules that do not adequately recognise the long-term value of affordable housing.

CEMR calls for affordable and energy-efficient housing expenditure to be treated as long-term public investment rather than ordinary current spending. The state aid framework should also provide greater legal certainty and flexibility for municipal and public-interest housing projects.

In particular, procedures related to entrustment, overcompensation controls, and earmarking obligations should be made clearer and more proportionate. Local governments, including smaller towns, should be able to implement housing measures without routinely depending on costly external expertise.

Make public procurement faster and more proportionate

Public procurement rules are another significant source of delay and administrative cost. As construction prices rise, more housing projects fall within complex EU-wide procurement procedures, even where there is little realistic cross-border interest.

CEMR proposes higher procurement thresholds that better reflect current construction and service costs. Its response also calls for greater flexibility to negotiate directly with a contractor following an unsuccessful procedure and to modify contracts when circumstances change after an award.

A simpler and more flexible framework would reduce delays, lower compliance costs, and help local governments bring affordable housing projects forward more quickly.

Align energy, environmental and housing objectives

EU energy rules should better enable local energy sharing, the use of nearby renewable energy and residual heat, and more flexible allocation of grid capacity for projects serving a clear public interest.

Closely connected legislation, including rules on energy efficiency, renewable energy and building performance, should operate as a coherent whole. Rather than prescribing detailed administrative procedures, the EU should promote open standards, interoperable data, and digital permitting systems that can be adapted to national and local administrative structures.

Greater legal certainty is also needed in applying the Birds and Habitats Directives and the Nature Restoration Regulation. CEMR calls for clearer assessment of thresholds, proportionate procedures for low-risk projects, and more flexible approaches to environmental compensation. These changes should improve planning certainty without weakening biodiversity objectives.

Build the capacity to deliver and renovate

Regulatory reform alone will not solve Europe’s housing shortage. Higher productivity in construction and renovation is equally important.

CEMR calls for investment in skills, training, innovation and local administrative capacity, particularly in small and medium-sized municipalities. Better labour mobility and recognition of qualifications could help address workforce shortages, while greater harmonisation of construction standards could reduce fragmentation and support innovative, circular and climate-resilient building methods.

Europe must also look beyond new construction. Renovation, retrofitting and the adaptive reuse of vacant buildings can increase supply, revitalise neighbourhoods and reduce environmental impacts. Making these projects easier to finance, permit and implement should be a core part of the simplification agenda.

Put local and regional governments at the centre

Housing pressures differ sharply from one territory to another. They may be driven by tourism, demographic change, land scarcity, infrastructure gaps, construction costs, depopulation, or shortages of affordable and social housing. Aligned with CEMR’s reaction to the Affordable Housing Act, the definition and related rules for areas under housing stress should be revised.

There can therefore be no single regulatory shortcut that works everywhere. The EU should provide enabling conditions through investment, legal clarity, interoperable systems and smart simplification, while leaving local and regional governments the flexibility to develop solutions suited to their communities.

For more information, contact:

GAUDRON Marine
In Housing, Housing, Impact community Cohesion, Latest

Europe’s housing agenda must start locally  

Cities, towns and regions call for investment, smart simplification and local autonomy as Europe steps up its response to the housing crisis

791 words
3–5 minutes

Europe’s housing initiatives will only succeed if they reflect the realities faced by cities, towns, and regions. This was the central message from the latest meeting on 3 September of the CEMR Housing Task Force, which brought together participants from 12 national associations of local and regional governments, alongside representatives of the Irish government and the European Commission. 

During the meeting, CEMR Task Force members exchanged experiences from across Europe and discussed two major initiatives expected to shape the EU housing agenda: the forthcoming Affordable Housing Act and the Housing Simplification Package. The discussion enabled CEMR members to provide early feedback directly to EU policymakers and help prepare CEMR’s contribution to the European Commission’s ongoing call for evidence on housing simplification.

Housing: high on the European agenda 

The meeting opened with an exchange on the housing priorities of the Irish Presidency of the EU. Ireland plans to build on the political momentum generated by previous presidencies, with housing supply, affordability and homelessness among the priorities under discussion. Participants also heard about plans for stronger European cooperation, including a pan-European housing investment platform and the recently established European Housing Alliance, which aims to promote networking and the exchange of good practices. 

CEMR members stressed that local and regional governments must have a meaningful place in this emerging European architecture, including in ministerial discussions and stakeholder events. They also expressed strong interest in financial solutions capable of supporting long-term public and affordable housing investment, such as revolving funds.

Simplify delivery is not deregulation 

The European Commission’s forthcoming Housing Simplification Package, expected in the second quarter of 2027, offers an opportunity to remove unnecessary costs, delays, and inconsistencies affecting housing delivery. EU rules on procurement, State aid, environmental assessment, energy performance, taxation, and construction standards can all influence what local and regional governments are able to deliver. 

CEMR Task Force members nevertheless cautioned that simplification must not become deregulation. Environmental protection, building quality, and citizen participation remain essential. The objective should be to resolve conflicts and duplication between policies while preserving their public interest goals. 

Above all, participants called for respect for municipal autonomy over zoning, local taxation, permitting, and development plans. Definitions of affordability, housing stress, and priority groups must reflect local conditions rather than rely exclusively on uniform indicators or datasets that may not capture realities on the ground. 

Direct dialogue on the Affordable Housing Act 

In an exchange with Matthew Baldwin, Deputy Director-General at the European Commission and Head of its Housing Task Force, members discussed how the forthcoming Affordable Housing Act could provide greater legal clarity for public authorities in areas experiencing severe housing pressure. Members welcomed efforts to reduce legal uncertainty but stressed that Member States must allow the competent local and regional authorities to play a decisive role in assessing housing pressure and choosing the appropriate response. 

Short-term rentals are not the sole cause of Europe’s housing crisis. Nevertheless, in some territories, the combined effects of tourism, vacant homes, and insufficient supply can intensify local pressures. Cities need clear and workable legal tools to act where necessary, without new administrative burdens or EU interference in local decisions.

Different housing markets, shared barriers 

The meeting also featured a national roundtable, which showed the diversity of housing markets and challenges across Europe. Members reported ambitious construction targets, rising development costs, high mortgage rates, shortages of public funding, and difficulties financing renovation in lower-value areas. Severe pressure on municipal budgets is also limiting the ability of local governments to build and maintain public and social housing. 

Despite these differences, common priorities emerged: stable and accessible finance, stronger construction capacity, support for renovation, and policy frameworks that allow local authorities to respond to their own housing markets. 

Participants also highlighted the social dimensions of the crisis. Housing policies should better address homelessness and the needs of people at particular risk, including women experiencing domestic violence. Tackling skills shortages in construction, while opening the sector to a more diverse workforce, was identified as another important area for future work.

Turning local expertise into European influence 

The meeting’s conclusions will feed directly into CEMR’s response to the European Commission’s call for evidence on the Housing Simplification Package. By bringing together evidence from its members and maintaining a direct dialogue with the European Commission and Council presidencies, CEMR is ensuring that local and regional experience informs European decisions from their earliest stages. 

As the EU develops its housing agenda, CEMR will continue to advocate for a simple principle: local and regional governments must be trusted, financed, and fully involved if Europe wants to turn housing ambitions into affordable, sustainable, and inclusive homes. 

For more information, contact:

GAUDRON Marine
In Housing, Housing, Impact community Cohesion, Impact community Cohesion, Impact community Labour, Impact community Labour, Impact community Society, Impact community Society, Latest, Publications, Territorial development, Territorial development

“Right to Stay” strategy

Right to Stay strategy news

CEMR calls for a place-based “Right to Stay” strategy

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2–3 minutes
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In its contribution to the European Commission’s call for evidence on the upcoming “Right to Stay” strategy, the Council of European Municipalities and Regions (CEMR) calls for a politically ambitious, place-based framework that puts local and regional governments at the centre of Europe’s response to territorial, social, economic and demographic imbalances.

For CEMR, the right to stay means that people must be able to live, work and thrive in the place of their choice: whether in a city, a town or a rural area, without being forced away by lack of public services, economic opportunity, poor connectivity or rising living costs.

This is not just a matter of territorial cohesion. It is also a question of fairness, democracy and trust in the European project. If the EU wants to respond to growing territorial inequalities, it must start by investing in the places people call home and by recognising the governments closest to citizens as strategic partners.

In its response, CEMR underlines that there can be no right to stay without access to services, housing and opportunity. Across Europe, too many territories still face shortages in healthcare, education, mobility, childcare, energy and digital infrastructure. At the same time, rising housing costs are pushing people out of cities, while many rural and shrinking areas continue to suffer from depopulation and underinvestment.

CEMR therefore calls on the EU to strengthen support for services of general interest, affordable housing and integrated territorial development. It also stresses the need to create enabling conditions for local economic opportunities in every territory, including through better transport and digital connectivity, support for entrepreneurship, and action to tackle labour shortages in key local public services.

CEMR also highlights the growing importance of climate resilience, sustainable mobility and local energy production for territorial attractiveness and energy security. Investments in adaptation, renewable energy and accessible transport must therefore be part of any credible Right to Stay agenda.

For CEMR, Cohesion Policy must be the main delivery tool of the future strategy. In the next EU budget, the Right to Stay should be recognised as a clear strategic objective, backed by strong funding, integrated territorial instruments and genuine partnership with local and regional governments in the design of national and regional plans.

CEMR also calls for the Right to Stay to be embedded in EU governance, including through the European Semester and stronger territorial impact assessments. Europe cannot continue to shape policies for territories without systematically involving the authorities responsible for delivering them.

The message is clear: the right to stay will only be real if the EU gives territories the means to remain attractive, affordable, connected and resilient. That requires political ambition, long-term investment and a genuine multilevel partnership with local and regional governments.

For more information, contact:

GAUDRON Marine
In EU budget, Impact community Cohesion, Latest

Event: future Cohesion Policy

Future Cohesion policy news

Event “Strengthening the territorial dimension in the future EU-Cohesion Policy”

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2–3 minutes
Register here

12oct17h0020h30Strengthening the Territorial Dimension in the future EU-Cohesion Policy (in-person)CCRE-CEMR, Square de Meeus 1, 1000 Brussels

Event Details

This high-level Brussels event, held during the European Week of Regions and Cities 2026, will bring together EU, national and local leaders to discuss the future of Cohesion Policy and its territorial dimension. It will focus on upcoming decisions on the EU budget and investment framework, while promoting balanced, place-based development across urban and rural areas and strengthening cooperation between key European stakeholders.

You will hear from the following speakers:

Dr Christoph Schnaudigel – President of Council of European Municipalities and Regions (CEMR) and the President of the County of Karlsruhe (Germany)

Matija Kovač – Mayor, City of Celje (Slovenia)

Arjen Gerritsen – CEMR Spokesperson for the EU budget and King’s Commissioner of Flevoland, The Netherlands

Renata Calak – Director of the Strategy Department in the Ministry of Funds and Regional Policy, Poland

Claragh Mulhern – Principal Adviser, National Strategic Planning in the Department of Housing, Local Government and Heritage, Republic of Ireland

Anna Wagner – Head of the Policy Development and Evaluation Unit in the Directorate-General for Regional and Urban Policy

Raquel Garcia Hermida-van der Walle – Renew Europe Group member at the European Parliament and a member of the Committee on Regional Development

and Tilman Buchholz – Federal Ministry for Housing, Urban Development and Building (BMWSB)

Organisers: German Federal Ministry for Housing, Urban Development and Building in cooperation with the German Association for Housing, Urban and Spatial Development (DV) and Council of European Municipalities and Regions (CEMR)

Event moderated by René Hohmann, Executive Director at the EU Office at German Association for Housing, Urban, and Spatial Development, and Meritxell Parramon Vila, CEMR Head of Communications.

Time

2026 10 12 5:00pm - 8:30pm(GMT+02:00)

Location

CCRE-CEMR, Square de Meeus 1, 1000 Brussels

Other Events

Against the backdrop of the European Week of Regions and Cities 2026, this high-level evening event in Brussels creates a timely political space to take stock of where Cohesion Policy is heading—and what is at stake for the territorial dimension in the next EU programming period.

The Week brings together European institutions, Member States and local and regional leaders around the central question of how Europe can deliver place-based solutions to shared transitions. This event deliberately connects that overarching debate with one of the most consequential upcoming decisions: the shaping of the new Multiannual Financial Framework (MFF) and the emerging architecture of National and Regional Partnership Plans (NRPPs), where priorities, governance and delivery tools for future EU investment will be negotiated.

In this context, the territorial dimension is not a technical add-on, but a core condition for impact. Climate neutrality, competitiveness, social inclusion and resilience will only be achieved if EU investment recognises different territorial starting points and capacities across cities, surrounding areas, functional regions and rural territories.

The event responds to this moment with three interconnected objectives:

  1. To anchor key recommendations for a strong territorial dimension in the forthcoming negotiations on the MFF and NRPPs;
  2. To safeguard a balanced territorial approach that addresses urban and rural territories in a complementary way; and
  3. To strengthen a European coalition for integrated territorial approaches bringing together Member States, European institutions and the organised local and regional government community, notably through CEMR, the Committee of the Regions and the European Commission.

Designed as a politically oriented panel discussion followed by a networking reception, the event will convene a targeted community of decision-makers and practitioners: representatives from EU institutions, national and regional managing authorities, cities and regions with hands-on experience in territorial tools, European associations, as well as researchers, think tanks and civil society organisations working on cohesion policy and spatial development.

By combining policy dialogue with exchange among practitioners, the event aims to build shared understanding—and strengthen alliances—at precisely the time when Europe’s future place-based investment framework is being defined.

Please note that spaces are limited. Your registration does not constitute confirmation of participation. You will receive a separate confirmation once your participation has been approved.

For further information on the event, you can reach: r.hohmann@deutscher-verband.org.

Future of Cohesion policy event flyer

For more information, contact:

GAUDRON Marine
In Impact community Cohesion, Latest, Local finances

Local finance and housing crisis

Fiscal tools must play a central role in tackling the housing crisis

On 10 June 2026, CEMR held an online event that brought together policymakers, local leaders, researchers, EU institutions and financial experts to explore how local and regional public finance shapes housing affordability, availability and investments.

A key message emerged from the discussion: Europe’s housing crisis cannot be addressed through planning or construction policy alone. It also depends on whether local and regional governments have the fiscal room, investment tools and policy flexibility to act.

Opening the event, Ellen van Selm, Mayor of Purmerend (The Netherlands) and CEMR spokesperson on housing, underlined that housing must be approached as an integrated territorial challenge rather than a single policy field. “There are as many housing markets as there are local realities,” she said, warning against one-size-fits-all solutions. Her intervention set the tone for the discussion: local governments are on the frontline of housing pressures, yet they do not always have the resources, instruments or flexibility needed to respond effectively.

Why local solutions are a must in the housing crisis

Benedikt Herrmann from the European Commission’s Joint Research Centre invited participants to look more closely at the incentives created by local tax systems. His key point was that local finance does not simply support housing policy: it can also shape it in unexpected ways. Property taxation, often seen as a stable and appropriate local tax, may create unintended incentives when municipalities depend on rising property values for revenue. “Local taxes can play a fundamental role for mitigating local housing crisis. The property taxes on residential property can be a hidden catalyst of local housing crisis,” he noted. 

Building on this framing, CEMR presented the first results of its survey on the links between local finance and housing. The preliminary findings point to a familiar but important contradiction: towns, cities and regions hold many of the practical responsibilities related to housing, but their room for manoeuvre often remains limited. In many countries, local governments rely heavily on property-related taxes, but within national limits that constrain their ability to use such tools strategically. At the same time, more targeted instruments, such as taxes on vacant dwellings or short-term rentals, remain fragmented, underdeveloped or unevenly available across Europe.  

…And why so is multilevel governance

The panel discussion confirmed that housing is fundamentally a multilevel governance issue. Bringing the OECD perspective, Yugo Kimura from the Centre for Entrepreneurship, SMEs, Regions and Cities, highlighted both the scale of subnational involvement and the need for stronger coordination. Across OECD countries, local and regional governments account for a very large share of public expenditure linked to housing and community amenities. Yet many of them struggle to access funding, mobilise their own revenues, or navigate fragmented support structures. “Housing is not only cross-sectoral, it spans many policy sectors as well, but it’s also a multilevel governance issue,” he said. 

This point resonated strongly with Michaela Haga, Councillor of the Region Stockholm and CEMR spokesperson on local finances, who brought the conversation back to the political reality faced by towns, cities and regions. In her intervention, she stressed that local and regional governments are expected to deliver housing solutions while also financing the wider ecosystem that makes housing liveable: transport, schools, care services, utilities and social infrastructure. “The real question is whether all places have the tools and resources they need to respond to their own realities,” she argued. Her final message was also one of the clearest takeaways of the day: match responsibilities with resources, make investment easier and more strategic, and trust local governments more and equip them better.   

From EU frameworks to local realities

The event also offered a timely look at how housing is moving up the EU agenda. Edit Lakatos, from the European Commission’s Housing Task Force, explained the significance of the 2026 European Semester, which for the first time includes dedicated housing annexes in the country reports and a stronger housing dimension in the policy guidance to Member States. For local and regional governments, this matters because it opens a new channel to connect national reforms, investment priorities and local housing realities. She also pointed to the work under way on the Affordable Housing Act, which is expected to provide a framework for public authorities in areas under housing stress, including the possibility to address the impacts of short-term rentals. 

This EU-level perspective found a strong echo in the contribution from Marlies Stubits, from the Austrian Association of Cities and Towns, who showed how Austrian cities combine fiscal instruments, regulation and investment strategies to respond to housing and tourism pressures. She pointed in particular to the Viennese model, where public land policy, limited-profit housing and long-term investment help the city to actively shape the market rather than merely react to it. At the same time, she highlighted the specific difficulties faced by smaller tourist municipalities in dealing with vacancy, holiday homes and short-term rentals. “The most effective Austrian approaches combine regulation, taxation and investment,” she said, insisting that taxation alone is not enough without a broader and more coherent housing strategy. 

From the European Investment Bank, Grzegorz Gajda focused on the practical conditions needed to turn policy ambitions into housing delivery. Access to finance remains a major challenge, especially where local governments or housing providers struggle to build robust project pipelines or meet creditworthiness requirements. At the same time, he stressed that European-level decisions on state aid, procurement and debt treatment can make a decisive difference for what becomes possible locally. His message also added an important nuance to the debate: tools alone are not enough if decision-makers are not incentivised to use them. “We really need to work on both ends,” he said: both on the tools available, and on the motivations and incentives shaping local action. 

The path forward

One conclusion stood out across all interventions: housing policy cannot be separated from local finance. Whether through land policy, taxation, transfers, investment rules, planning, or social infrastructure, the financial frameworks around housing shape what local and regional governments can actually do. If Europe wants more affordable, sustainable and inclusive housing, it must give local governments not just expectations, but also the means to act.  

The discussion will now feed into CEMR’s ongoing analytical work on local finances and the housing crisis, with a publication expected in fall 2026. By connecting evidence, practice and policy, CEMR aims to continue strengthening the case for a housing agenda that fully recognises the role of cities, towns and regions in delivering solutions on the ground.  

For more information, contact:

GAUDRON Marine
In EU budget, Impact community Cohesion, Latest

CEMR welcomes Parliament’s direction on NRPP

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Our reaction to the European Parliament draft report on National and Regional Partnership Plans (NRPP)

The European Parliament has taken a significant step towards shaping the future EU budget for 2028–2034 with the publication of its draft report on National and Regional Partnership Plans (NRPPs). Drafted jointly by three Members of the Parliament (MEPs) from REGI (Andrey Novakov), BUDG (Karlo Ressler) and AGRI (Elsi Katainen) Committees, the draft report is a first steps towards the Parliament’s position on how EU funding should be designed and delivered across Europe’s regions and cities. 

For the Council of European Municipalities and Regions (CEMR), the report sends an encouraging signal: local and regional governments must remain at the heart of EU investment policy. 

The draft report reflects several key CEMR amendment proposals. These include: 

  • Stronger and enforceable multilevel governance, recognised as a horizontal conditionality.  
  • A dedicated earmark for integrated territorial and urban strategies  
  • More favorable conditions for local and regional governments including reduced national co-financing, increased pre-financing and the return to N+3 decommitment rule.  

It also secures concrete gains such as support for administrative capacity building and clearer territorial delivery tools, acknowledging the central role of local authorities in delivering EU priorities on the ground.  

A particularly important provision for CEMR is the proposal to earmark a share of EU funding for integrated territorial and urban strategies: 

“We welcome the proposal to secure at least 11% of the European Regional Development Fund (ERDF) funding for integrated territorial and urban strategies. This reinforces a place-based approach and gives local and regional governments the certainty to plan, invest and deliver results.” 

Kamila Blahova, Mayor of Litvínov, CEMR Spokesperson on Territorial Cohesion.  

This commitment would help ensure that investments respond directly to the needs of communities, while strengthening the ability of cities and regions to plan long-term development. 

Full details of CEMR’s amendments are available here. 

Cities and regions united 

CEMR is part of the Local Alliance, a coalition of leading networks representing around 2,000 cities and regions across Europe, which has jointly reacted to the Parliament’s report. The Alliance welcomes the strengthened role for local and regional authorities and calls on EU institutions to ensure that these commitments are fully reflected in the final EU budget. 
 
Read the full Local Alliance press release here

18-May-2026-Local-Alliance-press-release-nrpp-draft-reportDownload

For more information, please contact:

GAUDRON Marine
In EU budget, Impact community Cohesion, Latest

Parliament questions centralised MFF model

MFF - banner text

European Parliament sets MFF 2028–2034 priorities, questions the “one plan per Member State”

On 28 April 2026, the European Parliament adopted its interim report on the Commission proposal for the Multiannual Financial Framework (MFF) 2028–2034, a key political milestone as this will be the basis for the European Parliament to engage in negotiations with the Member States in the Council on the next long-term budget for the EU. With this report, the Parliament sends a clear signal: the budget architecture proposed by the European Commission risks recentralising decision-making and weakening place- based investments.

Many of the report’s messages echo CEMR’s calls to have a budget that strengthens Europe through its towns, cities and regions.

 In particular, while confirming new priorities in defence and competitiveness, the EU Parliament safeguards funding for the Cohesion policy and the Common Agricultural policy. It also emphasises the need to make partnership and multilevel governance a reality, especially in the proposed National and Regional Partnership Plans (NRPPs).

Arjen Gerritsen, King’s Commissioner of Flevoland (NL) and CEMR spokesperson on EU budget, pointed to the significance of the Parliament’s stance:

“Cities and regions plan investments in regional innovation, sustainability and strategic autonomy over decades. The next MFF must guarantee predictable funding and support long term sustainable investments at local and regional levels.”

What the European Parliament’s interim report says

A more ambitious EU budget, shielded from inflation and debt pressures

Parliament calls for the MFF to reach 1.27% of EU Gross National Income (GNI), and insists that NextGenerationEU debt servicing should be treated outside the MFF ceilings (i.e., not competing with programme spending). It also supports an adjustment method that better protects the budget’s purchasing power during inflationary shocks. This allows the Parliament to increase the budget of the three main headings: Europe’s social model and quality of life (including the NRPPs); Competitiveness, prosperity and Security (including European Competitiveness Fund and Horizon); and Global Europe by about 10% compared to the Commission’s proposal.

 A firm rejection of the “à la carte approach” for Member States
One of Parliament’s strongest political messages is its opposition to the Commission’s approach of “one plan per Member State”, warning it risks renationalising EU policies, undermining the European dimension of spending, creating competition between beneficiaries, and weakening subsidiarity and multilevel governance.

Ring-fenced funding for cohesion and social priorities
Parliament calls for strong, clearly distinct and adequate funding for cohesion policy, the European Social Fund (ESF+), and other long-standing policies, and argues that “non-ringfenced” amounts under NRPPs should be fully allocated to provide predictability for beneficiaries. It also stresses cohesion policy’s treaty basis and calls for a dedicated and robust envelope for cohesion funds. However, one of the great omissions in the report is the European Agricultural Fund for Rural Development, which is the only Cohesion Policy fund not clearly allocated a specific budget, putting at risk rural municipalities and regions relying on the rural development fund

Clearer governance: regional chapters and full involvement of local and regional governments
The interim report calls for the establishment of regional chapters (in line with Member States’ institutional frameworks) and the full involvement of regional and local governments in the design, implementation, monitoring and evaluation of programmes, explicitly referencing shared management, partnership and multilevel governance. It also notes that shortcomings seen in the Recovery and Resilience Facility model were not sufficiently addressed in the NRPP proposal. 

New priorities with territorial impact: housing, resilience and crisis response
Parliament flags the housing affordability and availability crisis and calls for more strategic investment in decent, sustainable and affordable housing, energy and security across the different headings. It also pushes for stronger crisis-response instruments and a dedicated solidarity reserve for natural disasters.

“We welcome the European Parliament’s position—it sends a clear signal in support of multilevel governance and the role of local and regional governments in delivering EU investments,” said the CEMR spokesperson. “As negotiations move forward, it will be crucial for local and regional governments to actively support these priorities in their dialogue with national authorities.”

Just as the European Parliament was adopting its interim report, the CEMR Expert group on territorial cohesion met to exchange with Member States representatives on the state of play of MFF negotiations and on the ongoing process of elaboration of the National and Regional Partnership Plans. Discussions highlighted that this process is already underway in several Member States, with varying levels of involvement of local and regional government associations.

For more information, please contact:

GAUDRON Marine
In Housing, Housing, Impact community Cohesion, Impact community Cohesion, Latest, Publications

CEMR Housing Task Force

EU housing news 2026

Affordable, sustainable, livable: what local governments need from the EU on housing 

Read the full policy paper

The housing crisis has become one of the defining societal challenges of the 21st century, affecting communities across Europe: from major cities to rural areas, and reshaping social, economic, and demographic realities. Rising housing costs, homelessness, and chronic underinvestment are undermining equality, cohesion, and sustainability. Addressing this emergency requires integrated, place-based solutions that link housing with services, mobility, jobs, and quality of life. As frontline actors, local and regional governments must be recognised as key partners in Europe’s response, working with national and EU institutions to deliver affordable, sustainable, and inclusive homes for all.  
 
Europe’s housing crisis is felt most sharply where people live, work and study. On 9 April 2026, CEMR’s Housing Task Force brought together local and regional perspectives on how to measure affordability and how to respond to short‑term rentals and accelerate housing delivery.  

The discussion comes at a pivotal moment as the European Commission’s European Affordable Housing Plan has placed housing firmly on the EU agenda, and preparations are underway for an Affordable Housing Act aimed at supporting public authorities in addressing pressure in “areas under housing stress”, including through measures linked to short‑term rentals. With the European Parliament also intensifying its work on the housing crisis, the political momentum is clearly rising.  

Affordability beyond a single number 

A key takeaway following an exchange with Sandra Di Biaggio, Research and Policy Manager at ESPON for a presentation on the project Housing4All, was that affordability is multidimensional. It cannot be reduced to prices alone: income and residual income matter, but so do energy bills, mobility costs, access to services and housing quality. Participants also stressed that data gaps, including limited harmonised income data at the local level, can make comparisons difficult, reinforcing the need for place‑based analysis.  

Tailor-made policy mixes 

The Task Force discussion underlined that no single instrument can fix affordability everywhere. Housing pressures vary widely from urbanisation and tourism to student demand and financialisation, alongside supply constraints such as rising costs and construction capacity. This calls for policy mixes adapted to local realities, where EU action adds value by enabling conditions (investment, legal clarity, better data, smart simplification) rather than prescribing uniform solutions.  

Short‑term rentals and local autonomy 

On short‑term rentals, participants highlighted the need for legal certainty for local governments when adopting policies on short-term rentals,  without undermining local competence. Overly rigid definitions in the norm risk limiting local capacity to act, especially if rules apply only within narrowly defined “stress areas”. At the same time, better enforcement of existing tools and clearer guidance on what is compatible with EU law could strengthen local action.  

Building faster and better. Finally, the Task Force discussed how industrialisation, standardisation and digitalisation in construction, alongside renovation, circularity and energy performance, could speed up delivery while supporting Europe’s climate objectives.  

CEMR will continue to bring local and regional perspectives into the EU debate as work progresses towards the Affordable Housing Act (expected for the end of 2026).  

Learn more about the CEMR position on Housing

For more information, please contact:  

GAUDRON Marine
In EU budget, EU budget, Impact community Cohesion, Impact community Cohesion, Latest, Local finances, Local finances, Publications

Amendements to the EU budget

Shaping the future of EU Cohesion Policy: CEMR’s amendments to the proposed National and Regional Partnership Plans

Read the amendments

The EU’s place-based approach to policymaking — which recognises territorial diversity and builds on the role of local and regional governments — is under critical pressure. The European Commission’s proposal for the next Multiannual Financial Framework risks weakening this approach by centralising investment decisions and blurring the distinct objectives of EU policies with very different territorial logics.

CEMR has therefore developed targeted amendment proposals to the regulation establishing the National and Regional Partnership Plans. These proposals aim to preserve place-based policymaking across EU investments, strengthen democratic and territorial governance, and ensure that policies designed in Brussels and capitals continue to deliver concrete, long-term benefits in cities, towns and regions. 

The main messages driving CEMR amendments

1. Safeguarding cohesion as a core EU priority
CEMR calls for a stronger budgetary commitment to economic, social and territorial cohesion. Reducing the relative weight of cohesion policy — while expanding access to funds to all private actors — risks undermining public services, increasing competition for limited resources, and weakening Europe’s capacity to deliver resilient territories and communities. 

2. Putting territories and people back at the centre
Cohesion policy must work across all regions and respond to territorial diversity. Our amendments reinforce the territorial dimension of EU investments, ensuring that no region or community is left behind and that the objectives of the EU Treaties are fully respected. 

3. Making partnership and multilevel governance real
While the Commission proposal refers to partnership and multilevel governance, it lacks strong guarantees. CEMR proposes clear obligations, monitoring mechanisms and consequences to ensure that local and regional governments are genuinely involved in the design, implementation and monitoring of national plans — not merely consulted in name. 

4. Preventing over-centralisation of EU investments 
Recent experiences with the Recovery and Resilience Facility and other national plans have shown the risks of centralised approaches. CEMR therefore calls for mandatory regional and territorial chapters in national plans, ensuring place-based strategies and meaningful involvement of subnational governments throughout the programming period. 

5. Strengthening integrated territorial development 
Integrated territorial approaches — in urban and non-urban areas — bring Europe closer to citizens and have proven their value on the ground. CEMR proposes a minimum 30% earmarking of national allocations for integrated territorial development, supported by higher EU co-financing and increased pre-financing to enable local authorities to participate fully. 

6. Supporting rural areas, cities and functional territories 
Our amendments reinforce support for rural development, sustainable urban development, urban-rural linkages and functional areas. These approaches are essential to tackling demographic change, climate challenges and social inequalities in a coherent and coordinated way. 

A call for a stronger, fairer cohesion policy

CEMR’s amendment proposals are guided by a clear conviction: Europe’s resilience, prosperity and democratic strength depend on strong local and regional governments and on cohesion policy that is ambitious, inclusive and place-based. 

We call on the European Parliament and Member States to take these proposals seriously and ensure that the future EU cohesion policy delivers for all territories and all citizens. 

👇 We invite you to consult the full set of CEMR amendment proposals for a detailed overview of our recommendations and legal changes to the Commission’s proposal.

260114 Final CEMR NRPP and ERDF amendmentsDownload

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