Beyond Bureaucracy, Towards a Better Life: A Liberal Cohesion Policy for Europe’s Future 

By Ellen van Selm, Mayor of Purmerend and Renew Europe coordinator for COTER at the European Committee of the Regions and Alva Finn, Executive Director, European Liberal Forum

The European Union’s cohesion policy is arguably one of the most effective development policies in history, lifting many regions to levels of development that they could not have dreamed of without it. For decades, it has served as a redistributive mechanism, building roads, digital networks, and public services across less-developed regions.  

But in an era of geopolitical tension, climate urgency, and technological disruption, a growing number of liberals— including Alva, one of the authors of this blog, who served  as an expert in the High-Level Group on the Future of Cohesion Policy—argue that this approach is no longer enough. The liberal response is not to abandon cohesion, but to fundamentally reimagine it—moving from a politics of scarcity to one of abundance. 

From scarcity to abundance  

This reframing echoes the “abundance narrative” articulated by thinkers like Ezra Klein, who argue that modern liberalism has, in some areas, become overly consumed by preventing harm rather than promoting progress. This “scarcity mindset” has manifested in well-intentioned regulations and bureaucratic processes that, over time, have made it incredibly difficult to build things—whether it be affordable housing or high-speed rail.  

Europe’s cohesion policy, with its labyrinthine administrative procedures and fragmented funding streams, represents a textbook case of this very problem. The report of the high-level group identified four structural weaknesses currently undermining cohesion policy: excessive fragmentation, uneven administrative capacity, politicized fund allocation, and repeated crisis-driven reprogramming that dilutes its strategic focus (report available here). 

A liberal politics of abundance would address these weaknesses by clearing the path for a “liberalism that builds.” This new approach, laid out in ELF’s publication “Beyond Bureaucracy, Towards a Better Life: A Liberal Cohesion Policy for Europe’s Future” would first tackle the issue of fragmentation.  

The current patchwork of overlapping funds—the ERDF, ESF+, Cohesion Fund, and others—is a bureaucratic nightmare for local and regional actors who must navigate different rules and reporting requirements. Our report proposed a unified cohesion architecture anchored by a single, consolidated fund.  

The European Commission’s recent proposal for the Multiannual Financial Framework, also known as the EU budget, imagines the merging of these funds into a European Fund for economic, social and territorial cohesion, agriculture and rural, fisheries and maritime, prosperity and security.   

However, mixed into this reform is the operationalisation of this bigger fund into one national plan. Without mandatory multi-level governance, ensuring that regional and local actors have a role in ensuring investments reflect real needs, not top-down directives, this reform might move away from a local approach to cohesion and further exacerbate politicisation of the use of EU funds.  

For citizens, the current planning of cohesion policy involves local and regional actors is one of the most tangible and visible expressions of the Union’s added value as they see and experience the positive impact of EU investments in their local communities. By eliminating the direct link between subnational authorities and the European Commission through the framework of national plans, and removing enforceable partnership obligations, the latest proposal sidelines the very actors — regions, cities, and local communities — who are closest to citizens and best placed to deliver results on the ground. 

Funding People not Power 

While there is a stronger emphasis on rule of law conditionalities in the proposal, it lacks information on how these will be strengthened and how end beneficiaries will be assured continued access. The concept of smart conditionality proposed by the Renew Europe would allow the Commission to bypass Member State governments who do not respect rule of law and allow direct granting to local actors or civil society. In our publication, we proposed a European Funds Office (EFO) in every Member State which could do communications around the use of funds and, if necessary, directly manage funds in cases where national governments are unwilling or unable to distribute them fairly. This would help to safeguard rule of law and protect the integrity of EU investments.  

ELF also suggests the creation of modern indicators beyond GDP to better capture inequality, exclusion, and environmental vulnerability, allowing for more targeted and effective interventions. The Commission has adopted a more territorial approach which continues to help less developed regions to catch up, as is originally intended for cohesion, and just transition regions to ensure that no one is left behind—but details about how they would be defined are not yet clear. Additionally, the funds will pay closer attention to the outermost regions. 

Beyond simplifying the framework, a liberal abundance agenda would invest in the capacity to build. The policy’s success is limited by the administrative muscle of regions and local actors, many of whom lack the expertise and resources to effectively absorb and manage EU funds. The report calls for investing directly in this institutional capacity, for example by allowing cohesion funds to cover the salaries of qualified technical staff. This move signals a crucial shift away from a purely redistributive focus and toward strengthening the governance systems that enable effective delivery of projects on the ground. This is the essence of an abundance mindset: not just allocating resources, but ensuring the systems are in place to actually use them to create new value. 

Extending the horizon 

A 10-year programming horizon for cohesion policy could also indicate a stronger capacity to build and deliver on the promises of Europe. The current short-term cycles are out of sync with the long-term nature of challenges like climate adaptation, digital transformation, and demographic change. By extending the programming horizon, the EU can align its funding with structural goals that require sustained effort and continuity. This is a rejection of the “sclerosis” of short-term thinking and a vote of confidence in long-term, ambitious projects.   

By moving past the bureaucratic red tape and embracing a “politics of plenty,” the EU can unleash its potential to address today’s challenges and build the infrastructure, human capital, and resilience needed for a better future. The path forward is to simplify, to invest, and to build—showing that a liberalism that creates can deliver a renewed sense of purpose and prosperity for all of Europe’s regions and people. Liberals must call on the EU institutions to bring the MFF closer to the founding principles and shared values of the Union.