The Road to the Future of EU funds

Towards a People-Based Cohesion Policy and Resilience and Recovery Funds

Executive Summary

The European Union’s Cohesion Policy has evolved through distinct phases: from its initial geographical focus on regional convergence to a policy-driven approach supporting innovation and competitiveness. Now, facing new challenges with the temptation to focus on National plans more based on reforms and Milestones than on a common European Strategy involving States and Regions, we propose a third wave: a people-based approach that integrates cohesion, innovation, and resilience in a more visible and collectively motivating framework.

Context and Considerations

The need for reform is driven by several key factors:

  • Growing disparities in innovation and competitiveness between Europe and other global powers
  • Demographic challenges across the continent
  • Lessons learned from Brexit for both the EU and UK
  • Limited public awareness and recognition of cohesion policy
  • Need for tangible reforms that impact citizens’ daily lives
  • Fragmentation of instruments, frameworks, funds, and programmes
  • Huge delays in preparation, negotiation and adoption of Operational Programmes
  • Necessity to establish clear objectives before addressing national/regional fund allocation

Key Proposals

  1. Single European Programme Approach

Vision and Strategy

We propose establishing a Single European Programme incorporating new flagship indicators that directly reflect EU policies, projects, and citizens’ needs. This approach prioritizes strategic direction and resource mobilization before addressing management structures. In this Programme, based on the same menu of priorities, each State and Region can adapt it through its baselines and targets.

Flagship Indicators

We recommend developing human-scale indicators that demonstrate direct impact on citizens:

Core Sectors Core Indicators
Innovation Commercialized university patents
Energy Energy prices (residential and commercial)
Housing Access to affordable housing
Education PISA ranking
Employment Median salaries

Additional sectors may include transport and healthcare, maintaining focus on limited, visible metrics that reinforce European-level accountability.

Integration Framework

The program should feature:

  • Common European-wide goals and rules
  • Specific national and regional implementation paths
  • Designated contact points for each priority
  • Integrated management of Cohesion, Resilience, and Innovation programs (FP10)
  1. Clarified Definitions

We propose redefining key terms to better reflect a people-centred approach:

  • “Beneficiaries”: The citizens who ultimately benefit from EU interventions
  • “Contributors”: Organizations implementing projects and receiving funds
  • Clear distinction between outputs (delivered by contributors) and results (effects on beneficiaries)
  1. Reformed Public Aid Framework

Proposed Changes:

  • Adopt more positive framing of state aid regulations : Europe is supportive not defensive!
  • Rename “State Aid” to “Public Aid” for clarity
  • Streamline coordination and rules between Horizon and other programs
  • Establish common rules based on strategic goals
  • Implement fast-track procedures with ex-post auditing
  1. Ready-to-Use European Instruments

We recommend developing standardized tools:

  • European-level “ready-to-use” minimum support calculations for SCO/FLNC
  • Ready-to-implement voucher systems (e.g., for energy renovation)
  • Integrated grant and financial instrument packages
  • Flexibility for national-level supplementary support
  1. Constitutional Framework

Key recommendations:

  • Enhance EU’s foundational principles beyond subsidiarity
  • Incorporate explicit political goals for climate, inclusion, and health
  • Establish Europe as the world’s most inclusive, protective, and respectful economy
  • Decentralize European Council meetings beyond Brussels

Implementation Strategy

Success requires:

  1. Clear communication of objectives and benefits
  2. Streamlined administrative processes
  3. Regular stakeholder engagement
  4. Continuous monitoring and adjustment
  5. Focus on tangible outcomes for citizens

This framework aims to create a more integrated, efficient, and citizen-focused approach to European development while maintaining the flexibility needed for diverse regional contexts.