Three objectives

The aim is to reduce regional disparities in Europe by helping those regions whose per capita gross domestic product (GDP) is less than 75% of the EU to catch up with the ones which are better off.

Some regions in the EU as constituted before the two most recent enlargements are now above the 75% threshold simply because the EU average GDP has fallen with the addition of the newest member countries. Those regions still need help from the cohesion policy, so they now receive "phasing out" support until 2013.

The aim is to create jobs by promoting competitiveness and making the regions concerned more attractive to businesses and investors.

This objective covers all regions in Europe not covered by the convergence objective. In other words, it is intended

• to help the richer regions perform even better with a view to creating an knock-on effect for the whole of the EU
• to encourage more balanced development in these regions by eliminating any remaining pockets of poverty.

Some regions, which used to be under the 75% threshold that would qualify them for inclusion in the convergence group, receive extra funding to help them "phase in" to their new objective.

The aim is to encourage cooperation across borders - be it between countries or regions – that would not happen without help from the cohesion policy. In financial terms, the sums concerned are negligible in comparison with the other two objectives, but many countries and regions would like to see that change in future.