Focus: New EU regional aid rules have inbuilt ‘tensions’

An analysis feature which looks at the challenges facing EU local and regional authorities in preparing for and administering EU cohesion funds under the new rules for cohesion policy for the period 2014 - 2020.

Overall, the reformed cohesion policy makes available up to €351.8bn to invest in Europe's regions, cities and the real economy. It will be the EU's principle investment tool for delivering the Europe 2020 goals: creating growth and jobs, tackling climate change and energy dependence, and reducing poverty and social exclusion.

This will be helped through targeting the European Regional Development Fund at key priorities such as support for small and medium-sized enterprises where the objective is to double support from €70 to €140bn over the 7 years.

There will be stronger result-orientation and a new performance reserve in all European Structural and Investment Funds that incentivises good projects. Finally, efficiency in cohesion policy, rural development and the fisheries fund will also be linked to economic governance to encourage compliance of Member States with the EU's recommendations under the European Semester.

Local and regional authorities suggest that the rules remain complicated and bogged down in red tape.

European Commission: DG Regional Policy: InfoRegio: Regional Policy: Cohesion policy 2014 - 2020 http://ec.europa.eu/regional_policy/what/future/index_en.cfm

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