Study on the Settlement of (Federal) Authorities/Institutions in Regions with Special Funding Requirements

Tasks

The decentralization of authorities and public institutions is an element of active structural policy. By locating public authorities and institutions in structurally weak regions, policy makers aim to relieve the burden on urban centers and strengthen structurally weaker regions, thus contributing to the creation of equal living conditions. This can be triggered, for example, by new employment opportunities in the regions where the companies are located. The study examines to what extent the (re)location of authorities is a suitable instrument for the creation of equal living conditions and an equal sustainable spatial development.

Methods

The study examines the relevant scientific literature and available data on the location of public authorities in Germany.  In addition, four case studies on the establishment of public authorities in structurally weak regions were prepared. For this purpose, 34 semi-structured interviews were conducted with employees of the selected authorities as well as with stakeholders from the regional economy and politics. In addition, online surveys were conducted in two authorities.

Data and other sources

Geodata of the Federal Agency for Cartography and Geodesy, indicators and maps on spatial and urban development (INKAR, BBSR), regional database (Federal Statistical Office).

Results

The academic literature discussed in this study provides initial evidence for assessing the effects of public authority relocations in Germany. Empirical evidence, especially for German regions, is limited due to challenges in research design, but some research demonstrates positive multiplier effects for regional employment.

For Germany, there is currently no detailed database on the total number of people employed in federal and state facilities with a breakdown of locations at the municipal level. With the available data, the geographic distribution of federal facilities can be approximated. The cartographic representation shows that federal facilities have rarely been located in rural areas. Of the total federal workforce, only 6% were located in a peripheral or very peripheral location in 2020, even though 25% of the population lives there.

The findings from the semi-structured interviews and the surveys highlight opportunities and challenges.  A key finding is that new locations of public authorities are preferable to relocating existing authorities.  For finding future locations, various parameters must be considered, such as the possibilities for recruiting staff at the new location, cooperation with other public institutions, e.g. universities, and the private relocation of employees in the target region.

Publication (in German)

Bundesinstitut für Bau-, Stadt- und Raumforschung (BBSR) im Bundesamt für Bauwesen und Raumordnung (BBR) (Hrsg.): Ansiedlung von Behörden in strukturschwachen Regionen. BBSR-Online-Publikation 12/2022, Bonn 2022 (PDF Download)