Skip to content

Strong Villages and Towns in Europe: Lessons from the EU Rural Observatory

A new EU study sheds light on the demographic trends influencing rural areas and the local policies that can support long-term growth.

Rural settlement nestled at the base of rocky mountains surrounded by dense green forest and scattered farmland.

New research from the EU Rural Observatory highlights how population patterns are changing across Europe’s villages, towns and cities, and identifies the factors most closely linked to local growth. The study, based on an analysis of around 40,000 settlements between 2011 and 2021, provides valuable insights for policymakers seeking to strengthen rural communities.

While city populations grew by 2.6% and towns by 0.6% over the decade, villages experienced a small decline of 0.4%. However, the picture is more complex than a simple urban-rural divide. Population growth is increasingly concentrated in urban areas, particularly in places surrounding cities, while many rural areas are shrinking overall but seeing population concentrate in their market towns. Significant regional differences also exist, with many north-western EU regions continuing to grow while rural areas in southern and eastern Europe face greater demographic challenges.

The research suggests that improving connectivity and access to services can play a major role in making rural settlements more attractive. Strong transport links, broadband connectivity, rail access, schools and healthcare services are all associated with higher rates of population growth. Investing in these areas can help smaller settlements retain residents and attract newcomers.

Regional centres, often the largest settlements in a wider area, tend to grow more quickly and can act as anchors for surrounding villages. Concentrating key services in these centres, while maintaining good accessibility from nearby communities, can strengthen service delivery across rural regions. Settlements located close to cities also benefit from access to wider labour markets, higher wages and stronger social, cultural and business networks.

Demographic and economic factors are equally important. Settlements with a higher share of working-age residents and migrant populations generally show stronger growth, underlining the contribution migration can make to local development. Areas with higher employment rates are also more likely to experience population growth, highlighting the importance of economic opportunities in retaining and attracting residents.

The study further notes that lower-density settlements often grow faster because they have greater capacity for new housing. In contrast, remote locations and areas close to national land borders are more likely to lose population. Geographic factors such as a mild climate and coastal location are also associated with stronger demographic performance.

For further information:
https://ruralpact.rural-vision.europa.eu/news/strong-villages-and-towns-europe-insights-eu-rural-observatory_en

  • Find more funding

    There are many other organisations who may be offering funding that will help you, and our handy funding search tool brings them all together. 

Stay informed and get involved