Brussels, 02/06/2016 (Agence Europe) - The number of local authorities has remained virtually unchanged in the EU since 2012 but their resources have declined, said the Council of European Municipalities and Regions (CEMR) in its study on the “Structures and Competences” of local and regional governments in Europe, published on Wednesday 1 June.
The study reveals that, since 2012, the number of local entities has remained virtually unchanged in Europe. For example, in Germany, the number of local authorities between 2012 and 2016 has only very slightly fallen, from 11,481 to 11.313. In France, the fall has been from 36,700 to 36,658. While in Poland, the numbers have remained exactly the same, at 2,479. The only notable change indicated in the study is the significant fall in the number of local authorities recorded in the Turkey.
When questioned by EUROPE, the CEMR also expressed its concern at the budgetary pressure being felt by numerous local authorities over a period of many years. The explanation for this can be found in the reduction in own-source tax revenues and state transfers. Borrowing conditions similarly are less advantageous and European accounting standards severely restrict local public sector investment. Lastly, some areas of responsibility have been transferred from the national to the local level without additional financing necessarily having been put in place. The effect of this has been to reduce the ability of local authorities to invest and to manage local public services, the CEMR states.
The concern at local level of this reduction in the ability to take action is all the keener as the local level contributes to achieving the goals set by the United Nations, for example, in the areas of climate change and international cooperation. It also plays a key role with regard to the challenges that Europe has to deal with, such as the refugee crisis. The CEMR points out that 60% of the decisions taken by cities, municipalities and regions are influenced by European legislation and that close to 70% of public sector investment in Europe is by local authorities.
The recent adoption of the Pact of Amsterdam (see EUROPE 11561) is seen by CEMR Secretary General Frédéric Vallier as “a remarkable step towards a system of governance in partnership” which the CEMR has been calling for. He says that publication of this study could not have been better timed after the adoption of the Pact of Amsterdam. “With the ink barely dry on the promises contained in the Pact”, he says, “it is certainly instructive to take a detailed overview of the various components that make up the local and regional spheres”. (Original version in French by Maëlle Didion)