7 Developing an EU Urban Agenda
| Committee's assessment
| Politically important |
| Committee's decision | Not cleared from scrutiny; further information requested; drawn to the attention of the Business, Innovation and Skills and Communities and Local Government Committees
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| Document details | Commission Communication: The Urban Dimension of EU Policies — Key Features of an EU Urban Agenda (36244), 12116/14, COM(14)490
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| Legal base | —
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| Department | Business, Innovation and Skills
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Summary and Committee's conclusions
7.1 The purpose of this Commission Communication
is to launch a public consultation on the need for an EU urban
agenda, in recognition of the important role that cities can play
in addressing the economic, environmental and societal challenges
confronting the EU. It seeks views on the objectives of an EU
urban agenda, and how it would operate in practice, whilst recognising
at the outset that any new initiatives should not take the form
of legislation and must respect the principle of subsidiarity.
7.2 Cooperation between Member States on urban
development currently takes place on an intergovernmental basis.
The development of an EU urban agenda would, therefore, be a significant
step and we consider that it should only be taken if there are
compelling reasons to do so. We urge the Government to submit
a response to the Commission consultation which addresses the
need for and added value of an EU urban agenda.
7.3 Although no legislative initiatives are envisaged,
the Communication makes frequent reference to the principle of
territorial cohesion which was introduced by the Lisbon Treaty
and forms part of the EU's regional development policy.[27]
The EU Treaties give no indication of the meaning and scope of
the concept of territorial cohesion. We consider that its development
should be approached with caution and that it should be viewed
within the broader context of Article 4 of the Treaty on European
Union which requires the EU to respect the national identities
of Member States, including "their fundamental structures,
political and constitutional, inclusive of regional and local
self-government".
7.4 We consider it premature for the Government
to assert that the strategies proposed for an EU urban agenda
are consistent with the principle of subsidiarity, given that
one of the objectives of the Commission's consultation is to establish
the precise form and content of the agenda. We suggest that, in
formulating its response, the Government should place particular
emphasis on compliance with the subsidiarity principle and the
importance of ensuring that EU action does not encroach unnecessarily
on action at national, regional or local level.
7.5 We ask the Government to provide us with a
copy of its formal response to the Commission consultation or,
if it decides not to respond, to tell us how it intends to address
the concerns we have raised. Meanwhile, the Communication remains
under scrutiny and we draw it to the attention of the Business,
Innovation and Skills Committee and the Communities and Local
Government Committee.
Full details of the documents:
Commission Communication: The Urban Dimension of EU Policies
— Key Features of an EU Urban Agenda: (36244), 12116/14,
COM(14) 490.
The Commission Communication
7.6 The Communication notes that the population of
the EU is predominantly urban — 72% live in cities, towns
and suburbs — and that metropolitan regions generate 67%
of the EU's GDP. Cities and urban conurbations are at the heart
of many of the social, economic and environmental challenges facing
the EU, including, in recent years, high rates of unemployment,
social exclusion and segregation, traffic congestion, bad air
quality, and poorly planned urban sprawl. The economic crisis
has significantly weakened many cities and diminished the resources
available to reverse economic and social decline.
7.7 Despite these challenges, cities are also a source
of innovative solutions on such matters as resource efficiency
and more sustainable forms of development. Although there are
significant differences in how cities are governed across the
EU, Member States have developed forms of intergovernmental cooperation
to inform their understanding of the principles on which urban
development should be based. There is, however, no Council formation
responsible for urban policy and the Commission describes the
impact of intergovernmental cooperation on national and EU policies
as "variable".
7.8 EU regional policy provides a significant source
of investment funding — the Commission estimates that around
?80-90 billion will be invested in urban areas from the European
Regional Development Fund during the period 2014-20 — but
there are many other policy areas which have a direct impact on
cities or which require the involvement of cities to implement
agreed policies. These include, amongst others, policies on migration,
energy, transport, environment, education, culture, and the information
society, as well as the broad social and economic objectives set
out in the Europe 2020 Strategy on jobs and growth.
7.9 The Communication suggests that "compartmentalised
policymaking is entrenched at all governance levels" and
that policy making at both national and EU level often fails to
"fully exploit expertise available at city level or recognise
the essential role that local authorities can play in delivering
on policy objectives set at other levels of governance",
such as air quality standards.[28]
The Commission notes that the Lisbon Treaty includes a new reference
to territorial cohesion, alongside social and economic cohesion,
as a component of the EU's regional policy, but adds:
"Policy fragmentation persists, the complexity
of urban challenges has increased, and the role of the local level
in EU policymaking and implementation continues to be an issue
for debate."[29]
7.10 The Communication suggests that there is significant
demand for the development of an EU urban agenda, particularly
within the European Parliament and the Committee of the Regions
and amongst Eurocities, a network of major European cities including
12 members in the UK.[30]
It also highlights the global dimension of urban development and
its importance in informing the EU's external relations, international
cooperation and development aid policies.
7.11 The Commission concludes its Communication with
a series of questions which are intended to help it to define
a clear rationale for an EU urban agenda, the form it should take,
and it how it should operate in practice. It seeks views on:
· the need for, and added value of,
an EU urban agenda: the Commission suggests that an EU
urban agenda could contribute to better coordination of policies
and a better understanding of different actors and governance
levels, ensure a clearer focus on urban policy priorities and
stronger involvement of cities in developing and implementing
policies, encourage the sustainable development of urban areas,
and bring policy-making closer to citizens;
· the content of an EU urban agenda:
this could take the form of a new working method to ensure
greater policy coherence and closer interaction between different
levels of governance, or a strategy establishing a set of priorities
and operational guidelines;
· the scope and focus of an EU urban
agenda: this could build on existing intergovernmental
processes which have developed a European model of urban development
("Cities of Tomorrow");
· strengthening the involvement of
cities in EU policy making and implementation: possible
options include the creation of a stakeholder platform or better
use of existing tools and processes to consult stakeholders on
the development of policies;
· building a more comprehensive knowledge
base for understanding urban development processes:
the Commission suggests that there is a need to share knowledge
and experience more effectively; and
· ensuring effective implementation
of an EU urban agenda: the Commission recognises that
an EU urban agenda will need to involve many actors at local,
regional and national level, will affect different policy areas
and cover a wide range of competences, some of which will be solely
the responsibility of Member States.
7.12 Responses to these questions are invited by
26 September 2014.
The Minister's Explanatory Memorandum of 4 August
2014
7.13 The Minister of State for Cities at the Cabinet
Office and for Universities and Science at the Department for
Business, Innovation and Skills (Greg Clark) says that the Government
has not yet decided whether to submit a formal response to the
Commission consultation. He recognises the strong role that cities
can play in economic development and welcomes the Communication,
in particular, its emphasis on improving the effectiveness of
urban policies across the EU without the need for new legislation.
He adds:
"The need for appropriate actions to be
taken at Member State level, with the Commission restricted to
a coordinating role, is also welcome.
"The UK Government believes it is important
that EU policies support, and do not hinder, the development of
cities. As such, their views need to be heard and considered properly,
but the UK Government does not believe this requires new structures
and the main channel for views to be expressed should continue
to be through Member States."[31]
7.14 In his assessment of the subsidiarity implications
of the Communication, the Minister observes:
"The strategies proposed for an EU Urban
Agenda are consistent with the principle of subsidiarity as set
out in Article 5 of the Treaty on European Union because the objective
of such an agenda can be best achieved through the EU working
in cooperation with the Member States."
Previous Committee Reports
None.
27 See Article 3 of the Treaty on the European Union
which cites "economic, social and territorial cohesion"
as an objective of the European Union, and Article 174 of the
Treaty on Functioning of the European Union which provides the
legal base for the EU's regional development policies. Back
28
See pp 7-8 of the Communication. Back
29
See p 8 of the Communication. Back
30
Full UK members are Belfast, Birmingham, Brighton & Hove,
Bristol, Edinburgh, Glasgow, Liverpool, London, Manchester, Newcastle
Gateshead, Sheffield and Sunderland. Back
31
See paras 23-24 of the Minister's Explanatory Memorandum. Back
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