Local Alliance Position Paper on the Multiannual Financial Framework: A grounded EU budget
23/01/2025

Local Alliance Position Paper on the Multiannual Financial Framework: A grounded EU budget

The Local Alliance—a coalition of Europe’s leading city and regional networks—has published a pivotal paper calling on EU leaders to transform the next EU budget (2028-2034) into a powerful tool for fairness, innovation, and cohesion. 

As the negotiations for a new Multiannual Financial Framework (MFF) for 2028-2034 are underway, the Local Alliance (ACR+, CEMR, Climate Alliance, Energy Cities, Eurocities, FEDARENE, ICLEI Europe and POLIS) calls for an acknowledgement of the unique perspective of local and regional governments on how the new MFF should be shaped. As the level closest to citizens and responsible for implementing around 70% of EU Green Deal legislation and around 69% of climate-significant public expenditures, local and regional governments have extremely valuable experience that needs to be heard at the EU level.

This paper results from an unprecedented coordinated effort of Europe’s major local government networks to emphasize the vital role of cities and regions in making Europe a climate-neutral, competitive, and secure place where people want to live, work, and thrive. The publication comprehensively evaluates current funding programmes and provides actionable recommendations and financing principles to build resilient local economies, create jobs, and enhance quality of life.


Key insights

As Europe faces unprecedented turmoil and intertwined challenges in this critical decade, the Local Alliance will continue stressing that no EU-wide goal can succeed without cities and regions as full partners. Drawing on their knowledge and experience, the key insights of this new Local Alliance's paper are:

  • A place-based approach: Investments must reflect the unique needs of local territories, creating jobs, fostering innovation, and improving quality of life;
  • Strengthened governance: Multilevel governance and meaningful partnerships between all levels of government will be critical to mobilizing resources effectively;
  • Cohesion and competitiveness: Cohesion Policy must remain at the heart of the EU budget, addressing inequalities while enabling the green and digital transitions;
  • New indicators for success: Future-proof indicators must prioritize planetary boundaries, citizens' rights, and equitable access to essential resources like clean air, water, and nature.

As the leading EU network of cities and regions working together on sustainable transport innovative solutions, POLIS invites all relevant stakeholders to join the conversation and amplify this call to action for a new budgetary framework that empowers cities and regions to tackle Europe’s challenges and build a better future for its citizens.