STEP, IPCEIs and the Alignment of EU Cohesion with Defence Technologies
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About this report
The 2025 amendments to cohesion policy explicitly align EU structural funds with the Strategic Technologies for Europe Platform (STEP) and with Important Projects of Common European Interest (IPCEIs).
Recital (11) states that investments contributing to STEP objectives, including advanced defence and dual-use technologies, should not face limits on ERDF contributions and should qualify for enhanced pre-financing. This change redefines cohesion policy as a catalyst for strategic technologies, encouraging Member States to allocate substantial portions of their cohesion budgets to critical innovation projects.
Key questions this report answers
- How do the 2025 cohesion policy amendments align EU structural funds with the Strategic Technologies for Europe Platform (STEP) and IPCEIs?
- What does Recital (11) establish about ERDF contribution limits and enhanced pre-financing for investments in advanced defence and dual-use technologies?
- How does this change redefine cohesion policy from a redistribution tool into a catalyst for strategic technologies?
- What trade-offs do member states face when encouraged to allocate substantial portions of their cohesion budgets to critical innovation projects?
Who it's for
Strategy, corporate-development and investment teams that need an ecosystem-level view — budgets, industrial capacity and technology landscapes — before committing capital or capacity.
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DFM reports are built from primary and official sources — TED procurement notices, CORDIS and the EU Funding & Tenders Portal, EIB operations, the NATO Innovation Fund portfolio, SIPRI data, official budget documents and company disclosures — read together with the underlying legal texts. Sources are cited in the document; it reflects them as of its publication date (22 September 2025). You receive a 5-page PDF, watermarked to you on every page, delivered on the confirmation page and by e-mail immediately after checkout (personal link valid 72 hours, up to 5 downloads). Guest checkout, single-user licence — Terms of Sale.
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