Position Paper on the next Multiannual Financial Framework (MFF) 2028-2034

On the Next Multiannual Financial Framework (2028–2034)

The upcoming 2028–2034 Multiannual Financial Framework (MFF) will define the European Union’s strategic investment priorities in a period marked by geopolitical uncertainty, climate transition, digital transformation, and growing territorial disparities. With a proposed volume of almost €2 trillion, representing approximately 1.26% of EU Gross National Income, the new framework must reconcile competitiveness, security, and resilience with cohesion, sustainability, and social fairness.

The Airport Regions Council (ARC), representing cities and regions hosting airports across Europe, welcomes the ambition of the new MFF proposal and its focus on flexibility and investment. Airports are strategic nodes for European connectivity and economic competitiveness. At the same time, airport regions face significant environmental and social challenges, particularly noise and climate-related impacts, which must be addressed through balanced and inclusive policies.

ARC believes that competitiveness and cohesion are not competing objectives but mutually reinforcing pillars of Europe’s future. A strong and fair MFF must place territorial balance and multilevel governance at its core.

1. Cohesion Policy as a Cornerstone of Competitiveness

Cohesion policy remains one of the European Union’s most effective instruments for reducing regional disparities and strengthening territorial resilience. Europe’s long-term competitiveness depends on unlocking the full potential of all territories and citizens.

ARC therefore calls for:

• Making regional and territorial chapters mandatory within National and Regional Partnership Plans (NRPPs).

• Increasing the overall budget allocation for cohesion instruments.

• Earmarking at least 30% of funding for sustainable territorial development, including 15% specifically dedicated to urban development.

• Ensuring a genuine place-based approach that empowers cities, towns, rural areas, and outermost regions with flexibility and adequate resources.

2. Strengthening Multilevel Governance and Partnership

The partnership principle and shared management are foundational pillars of cohesion policy and must be preserved in the next programming period. Active involvement of regional and local authorities, social partners, and civil society ensures democratic legitimacy and more effective implementation.

ARC proposes:

• Establishing a permanent multilevel governance platform within NRPPs.

• Reforming the European Semester to fully integrate multilevel governance mechanisms.

• Ensuring Local and Regional Governments are represented in the European Competitiveness Fund Stakeholder Board.

• Maintaining the European Code of Conduct on Partnership.

• Decentralisation must translate into real structural reform, granting local and regional authorities genuine financial autonomy and direct access to EU funds, even in cases where national-level constraints may arise.

3. Financing the Green, Digital, and Social Transitions

Europe’s green and digital transitions require ambitious public investment while leveraging private capital. However, these transformations must remain fair, inclusive, and territorially balanced.

ARC emphasizes:

• Direct access for regions to funding for clean technologies, infrastructure modernisation, circular economy initiatives, and urban mobility under the Connecting Europe Facility (CEF).

• Airport regions play a strategic role in European competitiveness and connectivity. Investments in innovation ecosystems must combine top-down coordination through EU framework programmes with bottom-up territorial initiatives. Integrated regional innovation strategies (RIS3/4), cross-border cooperation, and sustainable urban mobility should be strengthened to ensure that connectivity directly contributes to economic transformation and resilience.

4. Urban Nodes, Mobility and the TEN-T Network

Urban nodes and multimodal hubs are the starting and ending points of most journeys within the Trans-European Transport Network (TEN-T). Their efficient functioning is indispensable for the overall performance and resilience of European transport systems.

While the revised TEN-T regulation recognises the importance of urban nodes, the current draft of the Connecting Europe Facility (CEF III) does not guarantee their full eligibility as projects of common European interest.

ARC supports the following improvements:

• Explicit recognition of urban nodes and multimodal hubs as eligible projects of common European interest under CEF III, even when not directly linked to TEN-T corridors.

• Safeguarding and increasing funding for civilian public transport within CEF III, ensuring it is not overshadowed by military mobility priorities.

• Simplifying procedures and facilitating direct access to CEF grants and blended finance instruments (including InvestEU and Catalyst Europe loans) for cities and public transport operators.

• Ensuring full coverage of railway investment needs, including modernisation of regional lines and deployment of ERTMS under all implementation pathways.

• Public transport is essential for climate neutrality, social inclusion, and economic growth. The new EU mega-Fund and National Reform/Recovery Plans must guarantee predictable and substantial support for urban mobility.

ARC therefore recommends:

• Defining clear European-level priority areas, including public transport, to guide Partnership Plans.

• Establishing a dedicated “urban and local mobility envelope” within NRPPs and the mega-Fund.

• Mandating urban and regional mobility chapters in all NRPPs with minimum spending targets.

• Ringfencing a fixed percentage of ERDF and Cohesion Fund allocations for sustainable public transport.

• Using the Social Climate Fund to support affordable public transport and tackle transport poverty through a dedicated “social mobility facility.”

• Improving coordination between the mega-Fund and other EU instruments, such as the Just Transition Fund and Recovery and Resilience Facility.