ABSTRACT

This chapter explores the background to Directorate-General for Regional Policy (DG XVI's) involvement in urban policy measures. It reviews the major developments in regional policy since the creation of the European Regional Development Fund (ERDF) in 1975. The chapter assesses the Commission's attempts to create a supra-national regional policy and progress made in this area. It then explores the different instruments of urban policy as well as the Commission's proposals to gain formal competence in this area. The Commission had a limited role in the early period of regional policy. The Commission had some influence over approving applications and it also had responsibility for ensuring that the funds were additional to any planned domestic expenditure of the Member States. The chapter aims to highlight issues which can arise in the practical implementation of regional policy. It explains the four principles of regional policy such as concentration, programming, additionality and partnership.