Multiannual Financial Framework

1. Multiannual Financial Framework Update on the Multiannual financial framework and funding programmes 11 May 2012

2. Multiannual Financial Framework • MFF – the ultra short intro • A €1.025 bn budget frame for 2014 – 2020 • Focus on delivering Europe 2020 • Reformed system of own resources • Our position • A genuine partnership approach • Support for integrated development • Equip cities to meet the future challenges

4. Connecting Europe Facility Overall budget: €40 bn, of which: • €21.7 bn on transport networks • €9.1 bn on energy networks • €9.2 bn on digital networks (ICT and Telecommunications) For transport, an additional €10 billion is set aside from the Cohesion Fund to finance large infrastructure projects of the core network Main objectives - To deliver the Europe 2020 strategy objectives of smart, sustainable and inclusive growth by promoting cleaner transport modes, high speed broadband connections and facilitating the use of renewable energy - Improved coordination of funding between transport, energy and ICT infrastructure Opportunities for cities - Urban areas = major nodes on the core network - For urban transport: funding for multi-modal platforms / hard infrastructure (cities as « interconnectors »), traffic management systems, innovation (clean vehicles charging infrastructure, etc.)

5. Horizon 2020 – Research and Innovation • Overall budget 2014-2020: Euro 90 bn • 43% of funding for tackling societal challenges • 28% of funding for excellence in the science base • 28% of funding for industrial leadership • Main objectives • Integrate Framework Programmes (mid- to long-term research), Competitiveness and Innovation Programme (demonstration and research-to-market) and European Institute of Technology • Single set of participation rules • Strong focus on societal challenges, EU2020 goals and SMEs • Opportunities for cities • Key funding programme for urban issues such as ICT, Climate Change&Energy, Mobility&Transport as well as Health and Inclusion • Earmarking of sustainable development (60%) and climate (35%) • Easier access and project management • Diverse catalogue of funding instruments (grants, prizes, equity and debt finance facility, pre-commercial procurement)

6. LIFE+ (Environment and Climate Action) • Overall budget: € 3.2 billion • Main objectives • € 2.4 billion for environment (up from € 2.1 bn) • Environment and resource efficiency • Biodiversity • Environmental governance and information • € 800 million for climate action (new) • Opportunities for cities • Priority areas correspond very well to measures taken in cities • However: programme somewhat less open

7. Competitiveness of enterprises and SMEs Objective : Strengthening the sustainable competitiveness of EU enterprises • Access to finance for enterprises, especially SMEs • Access to markets inside and outside the EU • Encouraging an entrepreneurial culture in Europe Beneficiaries • Entrepreneurs and SMEs • Citizens who want to become self-employed • National, regional and local authorities Proposed budget €2,5 bn, of which: € 1,4 bn for Financial instruments € 1,1 bn for Enterprise Europe network International industry cooperation Entrepreneurship education Opportunities for cities • Supporting entrepreneurship in cities • Cities to work transnationally • Assisting cities in their efforts to implement effective policies • Funding for studies and data collection to improve evidence base for policy making

8. Creative Europe Objectives : Support the European cultural and creative sectors • Safeguard and promote European cultural and linguistic diversity • Strengthen the competitiveness of the cultural and creative sectors with a view to promoting smart, sustainable and inclusive growth Proposed budget - 37% increased compared to 2007-2013 - €1,6 bn, of which: • €900 m for media • €500 m for culture • €270 m for financial facility guarantee and policy cooperation (NEW) Actions supported / Opportunities for cities • Cities/local actors to work transnationally • Strengthening the financial capacity of local cultural and creative sectors • Funding for studies and data collection to improve evidence base for policy making • Easier access and project management

9. Programme for social change and innovation • Overall budget : €958 mio • Main objectives: • addresses, among others, policy development and practice in such areas as employment, social policy, cross-border movement of workers, micro-finance and support for social enterprises; • Opportunities for cities: • support for social innovation and social experimentation activities • support for mutual learning and exchange of experience

10. Erasmus for All • Overall budget: €16.8 bn (approx. further €2 bn from other funding instruments, such as European Neighbourhood Instrument) • Main objectives: • focused on mobility of students, pupils, youth and staff working in the education sector, transnational cooperation and policy development; • aims to improve the performance of the EU education systems. • Opportunities for cities: • support for transnational cooperation projects; • support for mobility (exchanges) for staff in the youth and education sector.

11. Asylum and Migration • Overall budget : Euro 3.9 bn • Main objectives • national programmes (European Asylum system, pre-departure measures, capacity building, voluntary return…) • transnational cooperation on (benchmarking, return, resettlement) • Union Actions (currently Community actions – cooperation networks, with third countries, etc) • Emergency assistance • European Migration Network • technical assistance by EC • Opportunities for cities • Simplified management • more coherent funding - Joining of funds – target groups – • incentive to transnational collaboration • governance – partnership with local authorities (is this enough)

12. Cohesion Policy • Proposed budget: Euro 336 bn • 162.6 bn for convergence regions • 38.9 bn for transition regions • 53.1 bn for competitiveness regions • 11.7 bn for territorial cooperation • 68.7 bn for the Cohesion Fund • 84 bn for the European Social Fund • Main objective: • Tackling disparities between regions; an investment policy for all regions; a driver for delivering Europe 2020 • Opportunities for cities and urban areas: • Ring fencing of funds for sustainable urban development • Direct dialogue between the Commission and cities • Instruments to support sub-regional development • Involvement in partnerships

13. Questions please!