The cohesion policy of the European Union is presently under scrutiny as discussions regarding the future of cohesion funding are underway. The German CSU (EPP) has expressed concerns about the potential centralization or reduction of these funds, which are currently being considered by the European Commission.
The timing of these concerns is particularly significant as EU finance ministers convene in Brussels for discussions on critical budgetary issues, including the post-pandemic recovery funds and economic policy coordination among member states. Prior to these discussions, German Finance Minister Christian Lindner is scheduled to engage in talks on the future of cohesion policy with EU officials in Brussels.
Of specific concern is the potential centralization of cohesion policy, a move that has been strongly criticized by the EU’s Committee of the Regions (CoR), which represents local authorities. Critics are apprehensive that centralizing cohesion policy and reducing funds could weaken the regional perspective and ultimately have far-reaching implications for the European project.
Cohesion policy currently represents a significant portion of the EU budget, with approximately €392 billion allocated to regional development, the European Social Fund (ESF), and support for the EU’s poorest regions. The potential shift in spending priorities for the next budget period raises concerns over the allocation of funds, particularly in relation to structural funds that support agricultural and cohesion policy.
While EU officials have provided assurances that any new spending priority should not come at the expense of cohesion funding, there is a growing demand to reassess the efficiency of EU budget spending. German Economy Minister Robert Habeck has voiced worries that cohesion funds may become “scarcer” and has called for a more precise and targeted approach to financial support.
The debate surrounding the future of cohesion policy is complex and multifaceted, with various stakeholders expressing differing perspectives on the matter. As discussions unfold, it is crucial to consider the implications of any potential cuts or centralization of cohesion funds on the EU’s broader objectives of economic and social cohesion.
The future of cohesion policy is an evolving topic, and it is essential for all stakeholders to engage in constructive dialogue to ensure that the policy effectively addresses the diverse needs of EU member states and regions. As the discussions progress, it is imperative that the best interests of all regions, including those at both ends of the economic spectrum, are taken into account to maintain the EU’s commitment to ensuring that no region is left behind in its pursuit of economic prosperity and social well-being.