New EU City Agenda Sets Out Role for Finance

In December 2025, the European Commission published its new EU City Agenda, which puts cities at the heart of Europe’s future growth, competitiveness, and social cohesion ambitions.    The Agenda recognises that today’s urban challenges – from resilience and security to affordable housing and the climate transition – cannot be addressed through policy alone. They require coordinated investment strategies that connect EU priorities with real, bankable initiatives on the ground.    Crucially, the Agenda highlights the need to:  • Leverage existing EU funding more effectively  • Reduce fragmentation across programmes and actors  • Support small- and medium-sized cities, and not just the usual frontrunners    The Climate City Capital Hub helps turn strategic agendas into implementable, investable pipelines by connecting EU policy objectives with city-level project preparation, financial structuring, and investor engagement.     “The Agenda conveys a clear message: Europe’s urban future depends on bridging policy, finance, and delivery, and on creating neutral, collaborative spaces where cities can access the expertise they need to act and unlock relevant capital sources,” comments Capital Hub Director Delphine Queniart.    To find out more about how the Capital Hub supports the net-zero ambitions of European cities, visit the first link in the comments below.