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The 8th Cohesion Report, published by the European Commission in February 2022, paints a mixed picture of cohesion policy. On the one hand, since the 2008 financial crisis and the contraction of public spending, cohesion policy has played an increasing role iBriefing - Cohesion in the EU towards 2050: 8th Cohesion Report and stakeholder views - 24-11-2022
The 8th Cohesion Report, published by the European Commission in February 2022, paints a mixed picture of cohesion policy. On the one hand, since the 2008 financial crisis and the contraction of public spending, cohesion policy has played an increasing role in maintaining territorial integrity and public services. On the other hand, many less developed and middle-income regions, especially in the southern and south-western parts of Europe, are stagnating or falling behind. The report highlights that while it is relatively easy to increase growth in less developed regions, which benefit from low-cost labour, regions in transition often face several obstacles. Their industrial fabric is weak and their population numbers are in decline, with young people fleeing to more promising regions and urban nodes. There is a risk that distrust of the established institutional order – a 'geography of discontent' – may emerge. Taking the above into account, the report proposes the development of a more sophisticated strategy focused in particular on offering people training and education aligned with the needs generated by the dual digital and green transition. The report calls for ensuring a better diffusion of innovative practices and knowledge at national and regional levels, to help bridge the divide between more developed and less developed/transition regions. Smart specialisation strategies should address this divide, but will need to focus more on building regional potential. Various stakeholders have assessed and debated the findings of the 8th Cohesion Report and made their own proposals for the future of cohesion policy. The European Parliament's own proposals include separating the political aspects of the Common Provisions Regulation from its financing, establishing a new Just Transition Fund II, and integrating the Agricultural Fund for Rural Development (EAFRD) into cohesion policy. The debate on cohesion policy reform for the post-2027 period has already begun. Cohesion policy post-2027 could be radically different from today and potentially serve as the engine of economic transition and policy integration. Various think-tanks envisage thought-provoking scenarios for the possible future of cohesion policy. The present analysis suggests that compelling and intriguing times lie ahead for regional economic cohesion in the EU. Source : © European Union, 2022 - EP Read more
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