Cities need stronger urban dimension in EU cohesion policy

As the EU’s main public investment policy, the cohesion policy has historically supported the development of all territories across Europe, including urban areas. However, in recent years, the policy has evolved significantly and developed a fully-fledged urban dimension, making it one of the most important policies supporting investment and innovation in Europe’s cities.

This urban dimension includes key tools and principles such as multi-level governance, the partnership principle, urban earmarking and sustainable urban development, all of which ensure there is a clear role for cities in the policy’s design and implementation.

Looking ahead, the outlook for the current cohesion programme from 2021 – 2027 looks positive for cities, with the EU earmarking €24 billion to support sustainable urban development, including urban transport and social infrastructure.

But, despite these positive developments and the policy’s increased funding and resources, cities do not always have a say in where they spend their resources, and there are several areas where cities believe improvements can still be made. There are also serious concerns about the future of cohesion policy, with suggestions that the policy, and particularly its urban dimension, are under threat in the post-2027 EU budget.

The shifting political focus towards industry and geopolitics has put cohesion policy on the sidelines, while some national governments have started to promote a more centralised approach to EU investments, a step already seen in the NextGenerationEU recovery plan. At the same time, some political representatives are promoting a false division between urban and rural areas, suggesting that sustainable urban development – which in reality can promote urban-rural cooperation – should no longer be one of the focuses of the policy.

In response to these concerns, Eurocities and its members are working to ensure that the next European Commission places cohesion policy high on its agenda. Cities are calling on the EU to make the future policy stronger and inclusive of all territories.

Cities call for more direct EU funding

In support of this position, Eurocities has published a new report – Outlook on the urban dimension of cohesion policy – which provides evidence showing why the urban dimension of cohesion policy must be protected, and the crucial support it delivers for cities.

Compiled with input from 29 cities across Europe, the Eurocities report highlights the objectives, achievements and challenges of the policy for cities, while also explaining how cities think it can better support them in the future.

The report reveals that many cities find the cohesion policy tools only partly fit for purpose, with insufficient budgets and fragmented funding structures. There is a strong call among several cities for more direct EU funding to enhance their agility and reduce administrative burdens.

Overall, the report highlights the need for a robust urban dimension in cohesion policy, as emphasised in Eurocities manifesto for the 2024 European elections, A better Europe starts in cities. Cities expect more from the EU to support urban transformations, particularly in areas like climate and energy investments, housing and social inclusion.

Cities make it clear that they do not want to be mere implementers of these investments, but they want to be considered full partners of the EU, with a strategic role in defining where and how the investments should be delivered.

“By putting the spotlight on the urban dimension of cohesion policy, and gathering evidence on how these funds are being implemented locally, this report from Eurocities is a contribution to the debate on the future of cohesion policy and the EU budget,” says Alessandra Barbieri, Manager of Fundraising and European Projects for the Municipality of Florence, and Chair of the Eurocities working group on cohesion policy.

“The goal is to ensure that the cohesion policy provides the effective support, resources and funding that cities require to build a just, sustainable and prosperous future for people across Europe.”

This article originally appear on Eurocities.

Image: Paulgrecaud | Dreamstime.com