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What Is the LEADER Programme? EU Rural Development Guide

Discover what the LEADER programme is and how it supports rural development. Learn about Local Action Groups, funding, and community-led initiatives.

Written by Laura Bouttell • Sat 10th January 2026

The LEADER programme is a European Union initiative for rural development that operates through a bottom-up approach, bringing together farmers, rural businesses, local organisations, public authorities, and individuals to form Local Action Groups (LAGs) that design and implement joint local development strategies addressing their specific regional needs. The name stands for "Liaison entre actions de développement de l'économie rurale" (Links between actions for the development of the rural economy).

Since its introduction in 1991, LEADER has transformed how Europe approaches rural development. Rather than imposing solutions from above, the programme recognises that local communities possess the deepest understanding of their own challenges and opportunities. This philosophy has proven so successful that after three decades, the LEADER approach has been adopted across multiple EU funding streams.

This guide examines what the LEADER programme involves, how it operates, and how rural communities can benefit from this distinctive approach to local development.

Understanding the LEADER Approach

Philosophy shapes practice.

What Is LEADER?

"LEADER is a 'bottom up' approach, in which farmers, rural businesses, local organisations, public authorities and individuals from different sectors come together to form local action groups (LAGs). LAGs prepare their own local development strategies and manage their own respective budgets."

Programme fundamentals:

The Bottom-Up Philosophy

"The bottom-up approach is at the heart of LEADER. LEADER conceives that local people are the best experts to drive the development of their territory."

Philosophy principles:

Historical Development

"The EU introduced the LEADER programme in 1991 as a bottom-up initiative to support the development of disadvantaged rural regions."

Programme evolution:

Phase Period Coverage
LEADER I 1991-1993 217 disadvantaged areas
LEADER II 1994-1999 ~900 LAGs, disadvantaged focus
LEADER+ 2000-2006 All rural areas
Mainstream integration 2007-2013 Mandatory in rural development
CLLD expansion 2014-2020 Extended to other funds
Current period 2023-2027 CAP Strategic Plans

How LEADER Works

Structure enables local action.

Local Action Groups (LAGs)

The operational heart of LEADER:

LAG characteristics:

LAG composition:

Local Development Strategies

Communities design their own pathways:

Strategy elements:

  1. Territory analysis
  2. Needs assessment
  3. Opportunity identification
  4. Priority setting
  5. Action planning
  6. Implementation approach
  7. Evaluation framework

Funding and Budgets

"In the 2014-2020 period, the EU planned to provide funding of up to €9.2 billion for LEADER and community-led local development. Total public funding (including national funding) was expected to reach €12.5 billion."

Funding structure:

The Seven LEADER Principles

Core principles guide implementation.

1. Area-Based Approach

Focus on defined local territories:

Area approach elements:

2. Bottom-Up Development

"This bottom-up approach means that the local community and local players can help define a development pathway for their area consistent with their needs, expectations and plans."

Bottom-up practices:

3. Public-Private Partnership

Bridging sectors through LAGs:

Partnership elements:

4. Innovation Facilitation

Encouraging new approaches:

Innovation support:

5. Integrated Multi-Sector Actions

Connecting across boundaries:

Integration dimensions:

6. Networking

"The LEADER approach strengthens bonds in local communities, encourages innovations across sectors, and facilitates knowledge sharing amongst LAGs at national and EU-wide levels."

Networking benefits:

7. Cooperation

Working across territories:

Cooperation types:

Community-Led Local Development (CLLD)

LEADER's expanded application.

Extension Beyond Agriculture

"For the 2014-2020 funding period, the applicability of the LEADER approach was further extended as Community-Led Local Development (CLLD) in rural, fisheries and urban areas."

CLLD funds:

Multi-Fund Approaches

Combining resources for impact:

Multi-fund benefits:

Urban Application

CLLD principles in urban contexts:

Urban CLLD:

Current Programming Period

Contemporary implementation.

2023-2027 Framework

"LEADER is funded by the European Union's Common Agricultural Policy (CAP) investment pillar (Pillar II) and is implemented by the Member State's CAP Strategic Plans during the 2023-2027 programming period."

Current period features:

Member State Implementation

National approaches vary:

Implementation elements:

Success Factors

What makes LEADER effective.

Strong Local Engagement

Community ownership drives success:

Engagement indicators:

Quality Strategy Development

Effective strategies enable impact:

Strategy quality factors:

Effective LAG Management

Operational excellence matters:

Management capabilities:

Productive Networking

Connections amplify impact:

Networking practices:

Challenges and Considerations

Obstacles require navigation.

Administrative Burden

Complexity can impede effectiveness:

Administrative challenges:

Funding Limitations

Resources constrain ambitions:

Funding issues:

Capacity Building

LAGs need support:

Capacity needs:

Impact and Outcomes

LEADER produces measurable results.

Economic Development

Rural economies benefit:

Economic impacts:

Social Cohesion

Communities strengthen:

Social outcomes:

Environmental Sustainability

Green development advances:

Environmental results:

Frequently Asked Questions

What is the LEADER programme?

The LEADER programme is an EU initiative for rural development using a bottom-up approach. Local Action Groups (LAGs) bring together community stakeholders to design and implement local development strategies. The name stands for "Liaison entre actions de développement de l'économie rurale"—Links between actions for the development of the rural economy.

How does LEADER funding work?

LEADER funding comes from the EU's Common Agricultural Policy (Pillar II), combined with national co-financing. Local Action Groups receive budget allocations to implement their local development strategies. They select and fund projects that align with their priorities, managing approximately €9-12 billion across EU programming periods.

What are Local Action Groups?

Local Action Groups (LAGs) are public-private partnerships that govern LEADER at the local level. They include farmers, businesses, local authorities, community organisations, and citizens working together. LAGs develop local strategies, manage budgets, and select projects for funding based on community-defined priorities.

What projects can LEADER fund?

LEADER can fund diverse rural development projects including business creation, tourism development, service improvement, environmental initiatives, cultural heritage preservation, and community facilities. Eligible projects must align with the Local Action Group's strategy and demonstrate contribution to territorial development priorities.

How has LEADER evolved since 1991?

LEADER began in 1991 covering 217 disadvantaged areas, expanded to 900 LAGs by 1999, and became applicable to all rural areas from 2000. The approach was integrated into mainstream rural development from 2007 and extended to urban and fisheries areas as Community-Led Local Development (CLLD) from 2014.

What is Community-Led Local Development (CLLD)?

CLLD extends the LEADER approach beyond rural and agricultural contexts. It applies the same bottom-up, Local Action Group methodology to fisheries areas (through EMFF), urban neighbourhoods (through ERDF/ESF), and enables multi-fund approaches that combine resources from different EU programmes for integrated development.

How can communities get involved with LEADER?

Communities can get involved by contacting their Local Action Group, participating in strategy consultations, joining LAG membership, proposing projects, or volunteering with local initiatives. National rural development networks and LEADER contact points can provide information about opportunities in specific territories.