Local and regional governments’ final call to EU institutions for a real involvement in the design of the EU budget
The future of the EU budget is at a crossroads. As the European Commission launches consultations on the post-2027 Multiannual Financial Framework (MFF), local and regional governments across Europe, represented by CEMR, are calling for a fundamental change: an EU budget that is inclusive, decentralised, and truly aligned with the needs of cities, municipalities, and regions.
This requires that future national plans and investment priorities in each Member State are not imposed from the top-down, but shaped through meaningful consultations with local and regional governments, just as the Partnership Principle ensures in Cohesion Policy. Only in this way can EU investments be fit for purpose and truly serve the people it is intended to benefit.
CEMR’s newly released position paper on the post-2027 MFF sets out a clear vision for a reformed EU budget that strengthens multi-level governance and empowers local and regional governments as essential partners for effective spending of the EU budget on the ground. With growing social and economic inequalities, the need to accelerate climate adaptation, and increasing geopolitical instability, Europe cannot afford to sideline local and regional governments—the very actors that implement over 70% of EU policies on the ground.
National plans must include mandatory consultations to local and regional governments
The roadmap on the next MFF confirmed the European Commission’s ambition to establish single national plans for reforms and investments based on priorities defined at European level. The European Commission mentions the Recovery and Resilience Facility (RRF) as a good example of an instrument linking investments and reforms and points out that two thirds of the EU budget (Cohesion Policy funds and the Common Agricultural Policy) could in the future be implemented according to the RRF approach. In this context, CEMR issues a final warning to the European Commission: the RRF model failed to ensure effective multi-level governance. CEMR found that, since consultation with local and regional governments was not mandatory, it simply did not occur in most of the Member States.
The European Commission must ensure that national plans and the definition of investment priorities in each Member State are developed through meaningful consultations with local and regional governments, similar to the Partnership Principle in Cohesion Policy. This is the only way to guarantee that EU investments are fit for purpose and meet the real needs of the population.
“The EU is more than its institutions and the 27 states—it belongs to its people, municipalities, cities, and regions. Decisions based solely on macroeconomic trends risk disconnecting it from citizens” — Gunn Marit Helgesen, CEMR President.
CEMR key priorities for the post-2027 EU budget
CEMR’s position paper, backed by national associations of local and regional governments across Europe, contains concrete proposals to reform the post-2027 EU budget and enhance its effectiveness:
- Empowering municipalities, cities and regions not only as implementers but also as planners
The Partnership Principle should be made mandatory across all EU-funded programmes to ensure that the funds effectively reflect the actual needs of local and regional governments. - Decentralising the Cohesion Policy
Strengthening the capacity of local and regional governments to manage EU funds will ensure that investments address real local needs and promote balanced territorial development. - Diversifying EU instruments as part of the ambitious policy agenda for cities
From shared management funds to increased direct funding, it would allow EU investment to reach local and regional authorities of all sizes, from all types of territories, both urban and rural. - Simplifying and easing EU funding mechanisms
to reduce administrative burdens for both Managing Authorities and beneficiaries. CEMR proposals for simplification include: a single set of rules for beneficiaries across the different funds; flexibility in thematic concentration to allow place-based definition of priorities, hence accelerating funds disbursement; and a labelling of auditing processes as compliant with EU rules to avoid multiplication of auditing. - Enhancing synergies among EU funds.
The next MFF must improve coordination between different EU funding instruments to maximise impact at the territorial level.
Take part in the public consultation
Local and regional governments must not be sidelined in shaping the post-2027 EU budget. The European Commission’s consultation must not be reduced to a bureaucratic exercise or a mere checkbox. Consultations alone are not enough. The next EU budget regulations must include a mandatory requirement to involve local and regional governments in defining the investments that will meet the real needs of the population.
Use this public consultation —open until May 7 2025— to demand a real seat at the table and a budget that truly serves our communities. A stronger, more inclusive Europe starts from the ground up. Speak up before it’s too late.
Read the full CEMR position paper here
Contribute to the public consultation on the future EU budget here: https://ec.europa.eu/commission/presscorner/detail/en/ip_25_486
Director – Policy & Impact
