Scottish Rural Communities Policy Review: stage 2 - Finland case study

8. CLLD beyond the LEADER approach in Finland

8.1 CLLD in the European Maritime, Fisheries and Aquaculture Fund (EMFAF)

As it was in the 2014–2020 programming period, CLLD in Finland continues to also be implemented with the support of the European Maritime, Fisheries and Aquaculture Fund (EMFAF). Currently, there are ten Fisheries Local Action Groups (FLAGs) operating in mainland Finland and one in Åland. Each FLAG typically manages a budget of between €700,000 and €900,000, depending on local needs and strategic priorities.

The aim of FLAG activities is to support the objectives of the EMFAF from local or regional perspectives. FLAGs fund projects within their territories based on locally defined strategies just like LEADER. In addition, they provide support for project development, EMFAF funding applications, network-building, and various practical matters related to initiating or practising fisheries activities (EMKVR 2025).

8.2 FLAGs in relation to LEADER LAGs

Fisheries Local Action Groups (FLAGs) operate in close connection with existing LEADER Local Action Groups (LAGs) in Finland, however, they cover larger geographical areas than a single LAG. For example, FLAG Kuha-Suomi – FLAG Zander – covers the area of eight LAGs. FLAGs are not separate legal entities but function under the administrative umbrella of a parent LEADER association. In this case, the parent LAG is LAG Kantri ry. (FLAG Kuha-Suomi 2025).

The governance of FLAGs typically involves representatives nominated by participating LEADER groups, ensuring local ownership and broad regional representation. Project selection and strategic guidance are handled by a fisheries-specific subcommittee or working group, which evaluates applications and promotes the emergence of new projects. The FLAG activators or coordinators support applicants, facilitate stakeholder engagement, and manage day-to-day operations. This integrated model fosters synergy between rural and fisheries development, leveraging shared expertise, resources, and administrative systems. FLAGs also have a National Fisheries Network to promote networking in fisheries development.

8.3 Multi Fund CLLD is yet to come

In Finland, CLLD is not applied programmatically under the European Regional Development Fund (ERDF) or the European Social Fund (ESF). However, as set out in Finland’s CAP Strategic Plan 2023-27 (pp. 915-920), these funds can still be used to support individual projects that align with existing local development strategies.

One illustrative case is the Sepra LAG, active in the city of Kotka and its surrounding rural areas along Finland’s southern coast. The LAG has traditionally engaged in local development without drawing strict boundaries. Thus, Sepra also operates in the city centre of Kotka. While the core urban area cannot be funded with the EAFRD projects, the area is still included in the LAG’s strategy.

To strengthen the social inclusion of immigrant populations across the whole area of the LAG, it has applied several ESF-funded projects. Administering and implementing ESF projects enables the LAG to serve diverse target groups in different locations, and to build its own expertise in social issues that require both local and wider social action.

8.4 CLLD Working Group

A thematic CLLD Working Group was originally established by the Rural Policy Committee (the predecessor of MANE, the Rural Policy Council) in 2014 with a specific focus on advocating for multi-fund LEADER. The aim was to secure complementary financing for LAGs and to extend the CLLD/LEADER approach to urban areas that were either included in or adjacent to existing rural LAG territories. At the time, this initiative was referred to as "urban LEADER."

However, the managing authorities responsible for the ERDF and ESF funds in Finland chose not to implement the CLLD approach. In 2017, the CLLD working group was re-established in cooperation with the Urban Policy Committee, a governance network coordinated by the Ministry of Economic Affairs and Employment (TEM). This reconfiguration brought a broader composition and an expanded mandate: to promote and develop diverse local development models grounded in the principles of CLLD across all regions and levels of governance.

In addition to the regular composition of MANE’s networks, which bring together actors from various sectors and administrative levels, the working group also recognises the “fourth sector” as equally legitimate actors in the multifaceted landscape of local development. The Fourth Sector in this context refers to proactive, citizen-driven action that is less formalized than established non-profit associations (Rask et al. 2020). Such citizen initiatives are often ad hoc or “pop-up” in nature and tend to be more common in urban than in rural Finland. (Mäenpää & Faenhe 2021) Nevertheless, MANE also acknowledges representatives of the Fourth Sector within its networks; for instance, the CLLD working group includes a representative specifically from the Fourth Sector movement.

The group operates through soft measures such as peer learning, exchange of experiences, and information dissemination. Most recently, it prepared a joint contribution for the public consultation on the EU’s next Multiannual Financial Framework (MFF), presenting the CLLD Vision for 2028+.