Territorial development 29

As the European Union shapes its long-term vision for rural areas, the Council of European Municipalities and Regions (CEMR) calls for a fresh, inclusive approach that recognises rural territories as vibrant, diverse, and essential to Europe’s sustainable future.

In a context shaped by post-COVID realities, demographic shifts, and the need for climate resilience, CEMR stresses that rural areas must no longer be seen as peripheral or left behind. Over 50% of Europeans live in rural or peri-urban territories, yet these areas still face gaps in investment, connectivity, and access to services.

CEMR’s position lays out a clear path forward:

Shift the narrative: Rural areas are not just agricultural zones in decline, but places of opportunity, well-being, and innovation. A positive and modern image must be promoted across all levels of government.

Invest in connections: Better transport links, broadband access, and energy infrastructure are key to rural inclusion. Public investment must step in where market failures persist.

Strengthen local governance: Municipalities and regions are best placed to tailor solutions to their rural communities. They must be true partners in designing and delivering EU and national policies.

Support rural services and quality of life: Equal access to health, education, culture, and mobility is crucial to prevent depopulation and ensure territorial cohesion.

Target EU funding more effectively: Cohesion Policy, CAP, Horizon Europe, and recovery instruments must better support rural-specific needs, with simplified access for small municipalities.

Foster youth engagement and gender equity: Making rural areas attractive for young people, women, and families will require tailored policies and investment in social infrastructure.

CEMR calls on the EU, Member States, and institutions like the OECD and Council of Europe to take these principles seriously and to build rural policies that are integrated, inclusive, and future-focused. From tourism and energy to local governance and public services, rural areas must be seen as full contributors to Europe’s social and territorial fabric.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GRIFFON Axelle In Climate, Climate, Energy, Energy, Environment, Environment, Impact community Climate, Impact community Climate, Impact community Cohesion, Impact community Cohesion, Press, Publications, Territorial development, Territorial development

Just transition mechanism analysis

The Just Transition Mechanism urges stronger local partnerships and clearer funding priorities

The EU’s ambition to become the first climate-neutral continent by 2050 is taking shape through the European Green Deal and its financing arm: the Just Transition Mechanism (JTM). In its policy analysis, the Council of European Municipalities and Regions (CEMR) acknowledges the value of this tool while calling for stronger local engagement and better alignment with existing cohesion funds.

The JTM, made up of the Just Transition Fund, a dedicated InvestEU scheme, and a public sector loan facility via the EIB, aims to support the territories most affected by the transition to a green economy, particularly those dependent on carbon-intensive industries.

CEMR welcomes:

The creation of new financial tools tailored to the social and economic impacts of decarbonisation, especially the Just Transition Fund, with its €7.5 billion proposal.

Inclusion of the JTF in Cohesion Policy, which ensures the application of the partnership principle and opens space for dialogue with local and regional governments in the design of transition plans.

The focus on NUTS 3 level, allowing targeted support to local realities and better alignment with community needs.

Technical assistance and peer exchange platforms can empower municipalities to replicate successful models and accelerate climate-neutral transitions.

However, CEMR expresses concern over:

Budget uncertainty: With Member States resisting increases to the EU’s overall budget, there’s a risk the JTF will simply reallocate existing cohesion funds, limiting its added value.

Overlap with existing cohesion goals: Much of the JTF’s focus, green investment, upskilling, and digitalisation, is already covered by current ESIF priorities (PO2 and PO4). Its distinct impact must be clarified.

Thematic constraints on cohesion funds: Requirements to reallocate ERDF and ESF+ funds to the JTF may reduce resources available for other local development priorities.

For CEMR, local and regional governments must remain central actors in this transition. Their involvement is key not only in planning and implementation but also in ensuring that no territory is left behind as Europe moves toward a greener, fairer future.

For more information, contact:

GRIFFON Axelle

Advisor – Environment and mobility

GAUDRON Marine In EU budget, EU budget, Impact community Cohesion, Impact community Cohesion, Local finances, Local finances, Press, Publications, Territorial development, Territorial development

Strong Budget, Strong Cohesion

CEMR urges EU leaders to secure an ambitious long-term budget that empowers local and regional governments

As EU leaders prepare to decide on the next Multiannual Financial Framework (MFF), the Council of European Municipalities and Regions (CEMR) calls for a robust budget and a cohesion policy that keeps local and regional governments at its core.

The need for an ambitious MFF

CEMR stresses that ambitious European goals, sustainable development, the Green Deal, and social inclusion, cannot be delivered without a strong budget. Any further cuts to cohesion policy, such as those recently proposed, would undermine Europe’s ability to meet its commitments. Local and regional governments, as the key actors implementing EU policies on the ground, rely on a timely agreement to ensure a smooth transition to the next funding period.

Just Transition and partnership

CEMR welcomes the creation of a Just Transition Fund to support regions in the shift towards a low-carbon economy. However, these new measures must come with additional funding, not at the expense of cohesion policy. Equally vital is the Partnership Principle, which guarantees that municipalities and regions are directly involved in programming and implementing EU funds. This principle must remain a cornerstone of cohesion policy.

Europe’s ambitions will only succeed if local and regional governments have the tools to deliver them. A strong MFF, safeguarded cohesion funding, and reinforced partnership are the foundations of a Europe closer to its citizens.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In EU budget, Impact community Cohesion, Impact community Cohesion, Local finances, Press, Publications, Territorial development, Territorial development

The future of EU cohesion policy

CEMR opens dialogue on reforming EU Cohesion Policy post-2020 to better support local and regional development

Read full statement here

The Council of European Municipalities and Regions (CEMR), representing over 100,000 local and regional authorities across Europe, has launched an early contribution to the debate on the future of EU Cohesion Policy. With discussions on the post-2020 Multiannual Financial Framework already underway, CEMR stresses the importance of adapting Cohesion Policy to ensure it continues delivering economic, social and territorial cohesion for all communities.

CEMR proposes three possible scenarios: maintaining the current system, introducing incremental improvements such as simplification and stronger partnerships, or pursuing a more fundamental reform through the creation of a single territorial development fund. These options aim to make Cohesion Policy more effective, accessible, and transparent.

At the core of its opening statement, CEMR outlines five guiding principles for reform:

Integrated and simplified – moving beyond silos towards more coherent funding instruments.

Inclusive – ensuring stronger bottom-up partnerships and local ownership.

Result-oriented – focusing on impact and outcomes rather than only expenditure.

Relevant and flexible – aligning priorities with territorial realities and avoiding excessive thresholds.

For all territories – safeguarding equitable support, especially for less developed regions.
This statement marks the beginning of a dialogue between CEMR, its members, and the EU institutions. By placing local and regional governments at the heart of the debate, CEMR seeks to shape a Cohesion Policy that is more integrated, inclusive and effective, ensuring no territory is left behind in the next programming period.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In EU budget, Impact community Cohesion, Impact community Cohesion, Impact community Society, Press, Publications, Territorial development, Territorial development

Protecting regional solidarity funds

CEMR warns against budget cuts and calls for strong, ambitious cohesion policy at the heart of Europe’s future

Read full declaration

At its Policy Committee meeting in Bilbao (11 June 2018), the Council of European Municipalities and Regions (CEMR) adopted a declaration on the European Commission’s proposal for the Multiannual Financial Framework (MFF). While the proposals maintain cohesion policy interventions in all European regions, CEMR highlights serious concerns about the reduced ambition and risks for Europe’s territories.

Risks of a reduced budget

The proposed 7% cut to cohesion policy represents more than a financial adjustment: it risks undermining the EU’s ability to deliver on key priorities such as climate action, social inclusion and economic development. CEMR stresses that cohesion policy is not just another programme, but an objective enshrined in the EU Treaties and central to the Union’s DNA.

Safeguarding cohesion and partnership

CEMR calls for cohesion policy to remain focused on territorial, economic and social cohesion, not diluted by unrelated measures such as public administration reforms. It also warns that new provisions risk weakening integrated territorial development by creating further divisions between funding streams such as the ERDF and ESF+. At the same time, local and regional governments must not be penalised for decisions taken at national or EU level within the European Semester.

A modernised but ambitious approach

CEMR welcomes efforts towards simplification, flexibility and sound financial management. However, the organisation insists that modernisation cannot come at the cost of ambition. Local and regional governments, the main investors in cohesion policy sectors, must be closely involved in shaping and implementing programmes through strong partnership agreements.

Looking ahead

As negotiations continue, CEMR urges that the future cohesion policy reflect the EU’s broader commitments, including the Sustainable Development Goals, climate action and the European Pillar of Social Rights. Europe’s capacity to meet these challenges depends on empowering its municipalities and regions, placing them at the heart of the European project.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In Impact community Cohesion, Impact community Cohesion, Press, Publications, Territorial development, Territorial development

Shaping the future of cohesion

CEMR outlines 14 key reforms for a more inclusive, place-based EU policy

As the EU prepares the next programming period, the Council of European Municipalities and Regions (CEMR) is calling for a stronger role for local and regional governments in shaping and delivering cohesion policy.

In a new position paper, CEMR presents 14 key recommendations to improve the way EU funds are managed on the ground, making them simpler, more flexible, and better suited to the needs of Europe’s territories.

Key priorities include:

A guaranteed budget for cohesion policy to meet EU goals like the Green Deal and the Sustainable Development Goals.

Stronger partnerships between the EU, national, and local authorities, with clear responsibilities and joint agreements.

Simpler rules and more flexibility to reflect local realities, especially in rural or less-developed areas.

Improved access to funding through a “one-stop-shop” system and support for small municipalities.

A new capacity-building tool to help local authorities manage and deliver EU funds more effectively.

CEMR also warns against replacing grants with loans and calls for more manageable audits and controls, especially for small projects.

Why it matters:

Cohesion policy is a key pillar of EU solidarity, helping to reduce inequalities and support green and social transitions. But local governments often face too much red tape and too little say in how the funds are used.

With these recommendations, CEMR urges EU institutions to design a place-based, inclusive cohesion policy, one that truly works with and for Europe’s territories.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In EU budget, EU budget, Impact community Cohesion, Impact community Cohesion, Press, Publications, Territorial development, Territorial development

Simplifying EU funds for all

Clearer rules and better access to cohesion funding

Accessing EU funding shouldn’t be complicated and yet, for many local and regional governments, navigating the European Structural and Investment Funds (ESIF) remains a challenge. In its 2016 position paper, the Council of European Municipalities and Regions (CEMR) outlines concrete proposals to simplify EU cohesion funding, making it easier and more efficient for local authorities and other beneficiaries to participate.

Key recommendations

CEMR’s proposals focus on five main priorities:

Harmonising rules across funds
The current system is fragmented, with different rules for different funds and ministries. CEMR advocates for common procedures and a “one-stop-shop” that simplifies access, coordination, and application processes, particularly for multi-fund programmes.

More flexibility at the national and local levels
Local needs vary, but EU rules often limit how funds can be used. CEMR urges the EU to give Member States and local authorities greater flexibility to set priorities, so that funding can better address real challenges like broadband access, transport, and local infrastructure.

Streamlining controls and audits
Excessive checks and overlapping audits discourage smaller beneficiaries. CEMR calls for a more proportionate and risk-based approach, better coordination among audit bodies, and a clear distinction between fraud and honest mistakes.

Results-based funding
Rather than focusing on paperwork and compliance, funding should reward measurable outcomes. CEMR supports instruments like Joint Action Plans and Integrated Territorial Investments (ITIs), though they are still underused due to late or unclear guidance.

Clearer, timely guidance
Technical guidance should be available early in the process and in all EU languages. This helps local and regional stakeholders plan ahead and ensures they are not penalised by last-minute rule changes.

Building trust through better governance

At its core, CEMR’s message is about trust and responsibility. Local authorities should be empowered to manage funding within clear frameworks, with a focus on results, not red tape. Simplifying EU funds is not just about efficiency; it’s about ensuring that local communities can truly benefit from European solidarity.

CEMR remains committed to working with EU institutions and Member States to make simplification a reality on the ground.

For more information, contact:

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In Impact community Cohesion, Impact community Cohesion, Press, Publications, Territorial development, Territorial development

A smarter EU urban agenda

Simplification, coordination and local leadership for better urban policy

As cities and towns face rising challenges, from ageing populations to climate adaptation, the EU Urban Agenda must evolve to support them effectively. In its 2015 position paper, the Council of European Municipalities and Regions (CEMR) sets out key proposals to make the Urban Agenda a useful and inclusive tool for all local governments, regardless of size or geography.

What’s needed for real impact?

1. A clear roadmap with local voices at the table
An EU Urban Agenda should not be a top-down project. It must be developed in partnership with local governments and their associations, with a well-defined timeline and concrete actions.

2. Territorial impact across all policies
Policies across all EU institutions, not just DG REGIO, should consider local impacts. A strong territorial dimension in EU policymaking can ensure smarter regulation with less administrative burden.

3. Recognising cities of all sizes
Urban policy should reflect the reality of Europe’s diverse territories, including small and medium-sized towns and functional areas, not just major cities.

4. Easier access to EU funds
More streamlined, locally managed funding for urban development will empower municipalities to lead the changes they are best placed to deliver.

5. Innovation without rigid standards
While innovation is key, any urban indicators (e.g. for “smart cities”) should remain voluntary, flexible, and designed with local input, not imposed through rigid benchmarks.

Towards an inclusive global agenda

CEMR also calls for stronger involvement of local authorities in shaping the EU’s input into international processes, including the Habitat III conference and the global New Urban Agenda. Cities and towns are where global challenges meet real-world solutions, and local voices must shape the global conversation.

For more information, contact:

Read the declaration here

Advisor – Territorial Cohesion & Local Finances

GAUDRON Marine In Impact community Cohesion, Impact community Cohesion, Press, Publications, Territorial development, Territorial development

Towards a practical urban agenda

Supporting local action through partnership, flexibility, and smarter EU policy

Read full declaration

As Europe’s cities and towns face growing challenges, climate change, demographic shifts, and rising inequalities, an EU Urban Agenda can help better connect European policies to realities on the ground. But for it to succeed, it must be built with local and regional governments at its core.

In 2015, the Council of European Municipalities and Regions (CEMR) outlined key principles to guide this agenda: partnership across all levels of government, flexible tools for diverse local contexts, and a shift toward policies that empower action rather than add complexity.

What an effective EU Urban Agenda should include:

Real partnership with local authorities
Local and regional governments must help shape EU policies and programmes that affect them. A working method, like the “partnership principle” used in cohesion policy, should apply across all relevant EU initiatives.

Territorial impact assessments
EU policies should be tested for their effects on local areas before they are adopted. This helps ensure relevance and reduces administrative burden.

A broad, inclusive definition of “urban”
The Agenda must reflect Europe’s diversity. It should apply to small towns, medium-sized municipalities, and functional urban areas, not just large cities.

Better access to funding and simpler frameworks
Urban development tools should be easier to navigate. Local governments must retain flexibility to act based on their needs, not top-down templates.

Space for innovation, without rigid standards
Cities should be encouraged to innovate through voluntary tools like the Reference Framework for Sustainable Cities or the Smart Cities and Communities Initiative, while avoiding binding indicators or labels.

Aligning with global goals

CEMR also highlights the importance of involving local authorities in shaping Europe’s contribution to global urban strategies, such as the UN’s Habitat III and the Sustainable Development Goals. Local governments are closest to citizens and best placed to deliver results on the ground.

Moving from vision to action

CEMR welcomed steps by the EU presidencies in 2015–2016, including pilot initiatives and declarations recognising the role of small and medium-sized cities. But to make the Urban Agenda real, the EU must ensure that cities and towns are partners, not just stakeholders and that policies support, rather than complicate, their work.

For more information, contact: