From local networks to lasting impact: how LEADER builds social capital

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Green background with seven white speech bubbles arranged in two rows. The top row reads: “More Collaboration,” “More Networks,” “More Cooperation,” and “More Local Development.” The bottom row reads: “More Social Resilience,” “More Investments,” and “More Trust.”

1. Creating long-lasting networks

Traditional rural development programmes primarily fund individual projects and tangible outputs, such as equipment, facilities, and services, while the creation of new or strengthened relationships among local actors is not their main objective. In contrast, LEADER - through its bottom-up and partnership-based approach - intentionally fosters cooperation across municipalities, associations, businesses, and local stakeholders from different sectors by building shared norms and values, thereby encouraging new habits of collaboration, trust, and shared responsibility within and beyond the local level. At the same time, LEADER connects local partnerships to wider regional, national and EU networks of cooperation, linking locally driven initiatives with broader policy frameworks, resources, and learning processes.

“The members told me that they have found themselves well and that no one ever felt unheard, there was never any envy or jealousy between representatives of different sectors, they immediately created a positive community. They have worked very well, individuating concrete projects while never losing sight of the objectives they had set themselves.” – LAG Manager, Italy

Source: Autonomous Province of Bolzano, ‘Ricerca valutativa - l'approccio LEADER nella programmazione 2014-2022 del PSR’ (2023)

2. Transforming individual beneficiaries into community-level actors

When citizens, farmers, SMEs and local associations cooperate, they build cognitive social capital (i.e. shared visions, common identity, common understanding) and structural social capital (new connections).

“LEADER has always viewed local people as the main asset of rural areas, and the distinctive characteristic of LEADER projects was the reliance placed on the people who live in rural areas and on their ability to discover what best suit their environment … Networking structures should bring people together to exchange experience and knowledge, inform and promote rural development actions, find project partners and make people feel stronger because they are part of a larger unit.”

Source: EU project FUSIONS (2016)

3. Making local development more efficient by leveraging trust and cooperation

Trust and stable relationships reduce conflicts, delays, coordination and control costs, and information asymmetries. This is essential in rural areas where resources are scarce, and cooperation is necessary to reach a critical mass.

“The basic idea is that increasing cooperation and trust between private and public members of the LAGs may influence the development process… enhancing a more efficient utilisation of available resources and an improvement in the exploitation of development opportunities.”

Source: A. Costa and others, What impact of Local Action Groups on social capital and local development?, in Journal of Public Administration, Finance and Law (2016)

4. Turning isolated ideas of individual actors or institutions into coherent territorial strategies

Because LEADER actors collaborate more, projects tend to be better integrated across sectors, more consistent with territorial needs, more sustainable in the long term and more likely to generate spillovers (tourism, local products, cultural activities). This is why LEADER often produces more innovative and community-rooted interventions than mainstream programmes.

In the EU-wide evaluation of LEADER, case-study stakeholders underline that LAG activities which promote collaboration and networking “create social trust and faith for the future”, and that networking and collaboration between local actors “started… thanks to LEADER”.

European Commission, Evaluation support study of the costs and benefits of the implementation of LEADER – Final report

5. Improving local governance, not just funding delivery

The LAG partnership creates transparent decision-making, checks and balances between public, private and civil actors, more accountable local institutions, and conflict-resolution mechanisms. These governance improvements extend beyond the LAG membership itself, stimulating better local democracy.

“The analysis shows that a governance added value of the LAG is that of being a mediator between people and regulations by translating national/regional authorities and EU requirements to the citizen level. Even though challenges with administrative burden exist, aspects contributing to overcoming challenges and involving the population are activated such as working groups and communication. In this way the LAG lowers the barriers to participation in a successful way.”

European Commission, Evaluation support study of the costs and benefits of the implementation of LEADER – Final report

6. Building territorial capacity to connect beyond local borders

Networking and cooperation and relations with regional/national and EU institutions make it easier to exchange good practices, collaborate with other LAGs, and rejoin EU networks and participate in transnational projects.

“[…] cooperation enables stakeholders to work across territorial boundaries and build networks that respond to both national and transnational development issues.”

Source: G. Gargano, A. Del Prete, LEADER Territorial Cooperation in Rural Development: Added Value, Learning Dynamics, and Policy Impacts (2025)

7. Creating long-lasting territorial capacity, not only temporary outputs

Investments may depreciate, but relationships do not. In the long term, LEADER territories report stronger local networks, more collaboration, improved local leadership and higher resilience during crises (economic, demographic, climate).

Clear communication and accessible information

With potential beneficiaries

• Organise open days and information meetings to explain LEADER opportunities and procedures using non-technical language.
• Publish short guides, videos and infographics explaining how to apply, common mistakes and key requirements.
• Provide a single, clearly identifiable and user-friendly entry point (online and/or physical) where potential beneficiaries can easily access all key information on LEADER opportunities, including contacts, office hours, FAQs, call calendars and application forms.

With actual beneficiaries

• Provide timely and clear information on project deadlines, timelines, required documentation, or upcoming calls.
• Offer standardised guidelines, templates and checklists to support beneficiaries in project management and reporting.
• Activate a traceable helpdesk channel (e.g. a ticketing system or dedicated email address)

With other local stakeholders

• Communicate regularly on LAG activities, funded projects and results through newsletters, websites and public events. Communicate the targets reached in relation to the Local Development Strategy (LDS).
• Publish regular LAG newsletters and social media communications with good practices and examples of local projects financed and implemented, with direct interviews with beneficiaries. Present the LDS and calls in locations and fora where local actors are already active (municipalities, associations, networks).
• Make information on funded projects publicly available to increase transparency and awareness of LEADER actions in the territory. A repository of project descriptions should be included on the LAG website to inspire local stakeholders.

With regional or national authorities

• Share clear feedback on administrative bottlenecks or unclear rules.
• Ensure regular and structured communication on implementation progress and emerging issues.
• Participate in joint meetings to improve mutual understanding and coordination.

With EU institutions

• Contribute to explaining the role and added value of the EU at local level in a practical and non-institutional way. Clearly communicate the role of the EU in supporting LEADER (visuals, websites, oral communication)
• Support trusted spaces for information and dialogue that help counter disinformation through clear, accessible, and factual communication.

Supportive services for project development and training

With potential beneficiaries

• Provide preliminary guidance and pre-screening of project ideas to assess coherence with the local development strategy.
• Offer training and advisory support on project design, budgeting and partnership building.
• Help applicants understand evaluation criteria and quality requirements, without drafting proposals on their behalf.

With actual beneficiaries

• Assign a dedicated contact person to support beneficiaries during project implementation.
• Provide technical assistance and coaching to address implementation challenges.
• Promote peer learning among beneficiaries by facilitating exchanges of experience and good practices (i.e. successful applicants mentor newcomers).

With other local stakeholders

• Organise capacity-building activities for NGOs, youth groups, cooperatives, and micro-businesses to strengthen their organisational capacities.
• Facilitate partnerships between different types of actors (public, private, civil society) within the territory.
• Provide spaces and facilitation tools to help stakeholders jointly develop integrated project ideas.

With regional or national authorities

• Align training and support activities with administrative rules and procedures to reduce errors and inconsistencies.
• Clarify recurrent administrative or regulatory issues to regional or national authorities.
• Share feedback with regional or national authorities on recurring capacity gaps among applicants, based on support activities carried out by the LAG.

With EU institutions

• Leverage EU-level networks and initiatives to exchange methodologies, tools and good practices.
• Support the uptake of EU-level guidance via National Rural Networks by showcasing relevant resources locally.
• Use EU-level exchanges as opportunities for peer learning and trust-building without creating additional burdens.

Networking and collaboration opportunities

With potential beneficiaries

• Organise networking events and animation activities to connect potential beneficiaries with other local actors.
• Promote awareness of cooperation opportunities and partnership-based projects under LEADER.
• Actively link potential beneficiaries with municipalities, associations or enterprises to encourage joint or integrated project ideas.

With actual beneficiaries

• Facilitate thematic working groups or networks among beneficiaries operating in similar fields (e.g., cultural heritage, short food supply chains, rural tourism).
• Encourage cooperation between beneficiaries to enhance complementarities and territorial impact.
• Support participation in interterritorial or transnational exchange activities.

With other local stakeholders

• Promote cross-sector collaboration through targeted networking events.
• Support the creation or consolidation of local clusters and informal cooperation networks.
• Organise cross-sector events to identify synergies and shared development opportunities.

With regional or national authorities

• Participate in cooperation initiatives coordinated at regional or national level.
• Share experiences and lessons learned from local networking activities.
• Facilitate the involvement of local actors in wider regional or national networks.

With EU institutions

• Serve as a local entry point for EU-level networking opportunities by signposting relevant calls, events or initiatives.
• Facilitate access to selected EU-level opportunities on a case-by-case basis, considering language and resource constraints.
• Provide reliable information spaces that help local actors understand EU cooperation opportunities.

Trust and conflict-resolution mechanisms

With potential beneficiaries

• Use practical examples (‘what works/what does not’) alongside formal rules.
• Ensure transparency of selection criteria and evaluation procedures.
• Clearly explain decisions, including reasons for rejection where relevant.

With actual beneficiaries

• Establish clear and accessible procedures for handling complaints and requests for clarification.
• Respond promptly and consistently to beneficiaries’ questions or concerns.
• Apply conflict-of-interest rules and ensure traceability of decisions throughout the project cycle. Ensure the rotation of members in the LAG’s decision body.

With other local stakeholders

• Facilitate dialogue and mediation when conflicts arise.
• Use participatory methods to manage divergent interests and expectations.
• Clearly explain how strategic and funding decisions are taken and by whom.

With regional or national authorities

• Share aggregated feedback on recurring implementation challenges through structured or collective channels (e.g. regular coordination meetings, network exchanges or contributions via National Rural Networks).
• Collaborate with authorities to identify solutions that enhance fairness and procedural clarity.
• Document decisions and processes to strengthen accountability and institutional trust.

With EU institutions

• Use simple, face-to-face moments to clarify EU frameworks relevant to LEADER in plain language.
• Help relate EU rules and procedures to everyday local projects and experiences.
• Use trusted local settings as safe spaces for questions, clarification, and reliable information.

Shared values of solidarity and territorial identity

With potential beneficiaries

• Promote project ideas that valorise local assets, heritage, and territorial identity and promote calls aligned with territorial strengths (heritage, landscapes, gastronomy).
• Encourage applicants to consider collective and community-level benefits in project design.
• Organise seminars helping potential beneficiaries to jointly identify project objectives.

With actual beneficiaries

• Support initiatives that strengthen local identity, solidarity and community cohesion.
• Maintain a web catalogue of funded projects highlighting how territorial identity and solidarity are valued.
• Share beneficiary stories showing innovative ways of working together.

With other local stakeholders

• Co-create a ‘Territorial Charter of Values’ outlining commitments to sustainability, cooperation, integrity and community benefit.
• Boost the culture of monitoring and evaluation as a shared value for learning.
• Organise exchanges reflecting on local identity and lessons from other European territories.

With regional or national authorities

• Align LAG strategy with regional, national and European strategic goals (e.g. green transition, smart villages, Pact for Eastern Border Regions).
• Participate in all the meetings organised by regional and national authorities. Support the visibility of LEADER territories at regional, national and European level.
• Promote exchanges with other regions to compare territorial approaches.

With EU institutions

• Encourage projects to reflect shared European values through concrete practices, not abstract statements.
• Use EU themes (e.g. cohesion, participation, transparency, science-based policy) as contextual framing where relevant.
• Present local identity as part of Europe’s territorial diversity.

Inclusive, transparent and representative LAG governance

With potential beneficiaries

• Involve local actors in designing and revising the local development strategy.
• Ensure that participation opportunities are accessible in terms of language, timing and location.
• Clearly explain governance structures and decision-making processes to potential beneficiaries.

With actual beneficiaries

• Engage beneficiaries in consultative and thematic groups to improve future calls.
• Collect structured feedback from beneficiaries on governance and implementation processes.
• Use beneficiary input to adjust procedures and improve inclusiveness.

With other local stakeholders

• Ensure balanced representation of public, private and civil society actors in LAG governance bodies and participation of young people and gender balance in decision-making bodies.
• Promote rotation of roles and responsibilities to avoid dominance by a limited group of actors.
• Foster a culture of openness and accountability within governance structures and keep LAG membership open to new stakeholders.

With regional or national authorities

• Participate in strategic dialogue with regional and national authorities on governance arrangements and decision-making processes.
• Engage in regular strategic dialogue with regional or national authorities to ensure that local priorities and bottom-up perspectives are reflected in higher-level programming choices.

With EU institutions

• Introduce moments of self-assessment inspired by EU monitoring and evaluation practices.
• Share good practices locally and, where appropriate, through national or EU CAP networks.
• Encourage continuous feedback throughout the project cycle, treating it as a learning tool.

Innovation and learning capacity

With potential beneficiaries

Encourage innovative and experimental ideas aligned with territorial needs by planning and delivering capacity-building activities for local communities (e.g. training courses on digital skills, operational tools to support the green transition and community facilities to promote social resilience).

Provide opportunities to learn from innovative experiences elsewhere.

Encourage experimentation and learning by doing, allowing applicants to test new ideas within LEADER projects.

With actual beneficiaries

• Support experimentation (pilot actions, prototypes, test phases).
• Offer coaching on digitalisation, circular economy or new business models.
• Disseminate lessons learned from innovative projects within the territory.
• Offer capacity building in digital literacy and awareness raising on disinformation.

With other local stakeholders

• Facilitate innovation labs where local actors co-design solutions to territorial challenges.
• Promote inter-LAG exchanges of innovative practices.
• Facilitate co-design and innovation workshops addressing local challenges.

With regional or national authorities

• Share innovative project models that could be scaled up regionally or nationally.
• Participate in regional and national innovation clusters.
• Contribute to discussions on digitalisation, innovation and skills development, including the role of digital literacy in addressing disinformation and strengthening informed engagement with public policies.

With EU institutions

• Draw on EU-level experience and knowledge on rural innovation.
• Support learning and exchange beyond the local context, where feasible, by facilitating selective access to EU-level learning opportunities.
• Use EU-level reflections to assess how LEADER projects contribute to learning-by-doing, long-term innovation at territorial level and social resilience (including crisis response).

Monitoring, accountability and responsiveness

With potential beneficiaries

Make monitoring requirements proportionate and understandable.

Publish annual reports showing how funds were used and who benefited.

Ask applicants to explain how project results contribute to the LDS.

With actual beneficiaries

• Use simple digital monitoring tools for reporting (dashboards, templates).
• Support beneficiaries in addressing monitoring and evaluation challenges.
• Collect feedback after project completion to improve future implementation.

With other local stakeholders

• Share information on the overall progress and results of the local development strategy.
• Involve stakeholders in discussions on monitoring results and strategic adjustments.
• Share and discuss monitoring results with local stakeholders using indicators.

With regional or national authorities

• Align local monitoring systems with regional or national reporting requirements.
• Provide evidence-based information on LEADER performance and impacts.
• Use results to inform policy dialogue.

With EU institutions

• Use EU-level approaches as inspiration to keep monitoring meaningful and proportionate.
• Situate local results within broader EU objectives where helpful.
• Contribute selectively to EU-level learning through aggregated insights.