Funding for Regional Policy under the Financial Framework

For this research project, decisions and decision-making processes in EU Regional Policy have been analyzed from the perspective of the Financial Framework, the multi-annual budgetary plan of the EU. The main goal of the project was to find an explanation for the allocation of Regional Policy funding, i.e. the budget for the policy and its allocation across different funding categories and countries. An analytical framework based on New Institutionalism has been developed. It was tested on the decision-making process for Regional Policy for the funding period of 2007-2013. Independent variables based on a Sociological Institutionalist ‘logic of appropriateness’ and Rational Choice Institutionalist ‘logic of consequences’ were found to have a combined impact on the decision-making process, while the Historical Institutionalist concept of ‘path dependence’ has not been found very important. On the basis of this outcome, a forecast on the future of Regional Policy funding has been made.