Member States have successfully reprogrammed €34.6 billion of their 2021–2027 cohesion policy funds to address the European Union’s most urgent strategic priorities. The redirected funds focus on boosting competitiveness, enhancing defence and civil preparedness, promoting affordable and sustainable housing, improving water resilience, and advancing energy connectivity. This reallocation aims to strengthen Europe’s competitive edge, security, and energy supply, make daily life more affordable for citizens, and increase technological independence, while also supporting skills development in areas such as cybersecurity, civil preparedness, and decarbonisation.
Cohesion policy allows Member States flexibility to adjust investment priorities during the 2021–2027 implementation period, especially in the framework of the regulatory mid-term review scheduled for 2025. In response to rapidly changing geopolitical challenges since the launch of these programmes, the European Commission proposed in April 2025 that Member States and regions redirect investments toward evolving strategic priorities. By offering financial incentives, simplifying policy rules, and extending implementation periods for amended programmes, Member States were encouraged to adjust their investment plans to better meet urgent EU needs. This reprogramming covers funds from the European Regional Development Fund, the Cohesion Fund, the Just Transition Fund, and the European Social Fund Plus.
Since the proposal was adopted in September 2025, the Commission approved amendments to 186 national and regional cohesion programmes across 25 Member States, aligning local, regional, and national investments with EU priorities. These reallocated funds account for nearly 10% of the total €367 billion cohesion policy budget for 2021–2027 under the mid-term review. Funding allocations include €15.2 billion for competitiveness through critical technologies, innovation, and skills development; €11.9 billion to strengthen defence capabilities, military mobility, and civil preparedness; €3.3 billion for affordable and sustainable housing; €3.1 billion to improve water resilience; and €1.2 billion to enhance energy security and support industrial decarbonisation.
Member States and regions that reprogrammed funds benefit from enhanced pre-financing to accelerate projects and higher EU co-financing rates, easing pressure on national budgets. Regions bordering Russia, Belarus, and Ukraine received even more favourable support due to the challenges posed by the ongoing conflict in the region. The mid-term review demonstrates cohesion policy’s capacity to adapt swiftly to new circumstances, with the focus now shifting to effective implementation by Member States and regions, supported closely by the Commission to ensure the delivery of strategic priorities
