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 opens consultations on the post-2027 Multiannual Financial Framework (MFF), Local and Regional Governments (LRGs) across Europe, represented by CEMR, are calling for a fundamental shift: an EU budget that is truly inclusive, decentralised, and responsive to the needs of cities, municipalities, and regions.
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 LRGs as essential partners in setting the next EU priorities. 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. These very actors implement over 70% of EU policies on the ground.
The Commission’s consultation: a real dialogue or a checkbox exercise?
“The EU is more than its institutions and the 27 states—it belongs to its people, cities, and regions. Decisions based solely on macroeconomic trends risk disconnecting it from citizens” — Gunn Marit Helgesen, CEMR President
The European Commission’s recent consultation on the next MFF is a crucial step in shaping the future EU budget. However, this process must be more than a bureaucratic checkbox exercise—it must be an opportunity for real, meaningful engagement with local and regional voices.
Europe’s 114,000 local and regional governments are the backbone of EU policy implementation. Yet, they remain insufficiently involved in defining funding priorities, despite their crucial role in driving sustainable development, fostering economic resilience, and ensuring social cohesion. The next MFF must correct this imbalance by ensuring that the priorities set by the Commission truly match the needs of the European citizens. By moving away from one-size-fits-all solutions and embracing a place-based, bottom-up approach that directs funding where it is needed most.
Key priorities for the next EU budget
CEMR’s position paper, backed by national associations of LRGs across Europe, presents concrete proposals to reform the EU budget and enhance its effectiveness:
- Empower LRGs as planners, not just implementers
The Partnership Principle should be made mandatory across all EU-funded programmes to ensure that LRGs have a seat at the table.
- Decentralising cohesion policy
Entrusting regional, provincial, and city governments with managing EU funds will ensure that investments address real local needs and support balanced territorial development.
- Increasing direct access to EU funding for LRGs
LRGs should benefit from simpler, more flexible funding mechanisms that reduce administrative burdens and enable effective investment in sustainable solutions.
- Enhancing synergies among EU funds
The next MFF must improve coordination between different EU funding instruments to maximise impact at the territorial level.
- Promoting a fair and inclusive green and digital transition
Europe’s climate and digital ambitions can only be achieved if LRGs have the financial resources to implement transformative projects.
This is the final call to EU institutions
The stakes for the next EU budget could not be higher. The way the MFF is designed will shape Europe’s future. For the sake of the Union, and to put into practice the principle of subsidiarity and multilevel governance, the European Commission must engage LRGs on the definition of the EU budget. It must ensure that this consultation translates into real policy change—because a truly democratic, inclusive, and effective EU budget starts from the ground up.
For more information, contact:
Director – Policy & Impact
