The 2028 EU proposal budget through 2034 will be fused with other major spending areas, and risk turning its cohesive policy into a competition for funding. Currently, there are concerns about a decline in local control and lack of support for disadvantaged communities.
For decades, the Cohesion Fund has reduced regional disparities across the EU and has supported everything from road construction and hospital upgrades to unemployment, training programs and green initiatives.
As one of the EU’s most specific policy tools, cohesion funding has had visible consequences in citizens’ daily lives, but it may be about to change.
This week, the European Commission announced its proposed long-term budget for the EU, namely the Financial Framework (MFF), which spans multiple years of the 2028-2034.
Under the new proposal, cohesion policies will be absorbed into a single megafund, combining them with other major expenditure areas such as agriculture, rural development, migration, and border control.
The stated purpose? Simplification. However, critics warn that this approach could ignite fierce competition between regions, sectors and interest groups.
“Putting agriculture, migration, border control and cohesion policies in one container will turn them into ‘Hunger Games’,” said Kata Tüttő, president of the regional European Commission Committee in an interview with Euronows.
She warned that the new structure is chasing farmers to the mayor and putting people in danger who need farming support, for example, with those seeking unemployment assistance.
Fragmentation and the lost fear of priorities
Of the proposed total 2 trillion euros budget, 865 billion euros will be allocated to the consolidated fund. The fund will integrate long-standing programs such as the EU’s Common Agricultural Policy, the Cohesion Fund (which accounts for two-thirds of the current EU budget), and the European Social Fund, which supports employment and education.
Competition between different lines of a single fund has led to an increase in alarm bells among local leaders.
According to the committee, the combined fund’s 450 billion euros is still directed towards regional development, fisheries and rural areas.
Additionally, the proposal includes a minimum allocation of 218 billion euros specifically allocated to undeveloped regions.
This minimum allocation provides protection for the EU’s most disadvantaged regions, but the rest of the categories may face fluctuating support as they do not ring out under the new plan.
Centralization vs. local engagement
Beyond the fundraising battle, critics have also expressed concerns about governance. The proposed delivery model illustrates the transition from the EU’s shared management tradition with local and regional authorities.
Tüttő sees this movement as a clear case of centralization. “We’re kicked out of the design, management and creation of policies. We’re fighting for money and becoming implementers,” she said.
The coming months will be important as many aspects of the proposal are still unknown.
Local governments in the EU are seeking more involvement in the process. You may reconsider your proposal before your budget is finalized.
“This is a proposal from the European Commission. It’s not a final step, it’s a starting point,” said Raffaele Fitto, vice-president of Cohesion, as he presented the budget.
However, he added that the EU budget needs more flexibility to meet evolving challenges.
