Ex-Deputy Mayor of Budapest Kata Tüttő Warns: Orbán’s Rule ‘Devastated’ Hungary-Now She Fights Europe’s ‘Centralization Wave’ as ECR President

Sofia, Bulgaria — Kata Tüttő, the newly elected President of the European Committee of the Regions, has declared her determination to “do everything in her power” to unfreeze European Union funds for Budapest, a move that could mark a turning point in the city’s financial recovery and political landscape. In her first major policy statement since taking office, Tüttő—who previously served as Deputy Mayor of Budapest—warned of a “wave of centralization” threatening Europe’s regional autonomy, framing her efforts as both a local necessity and a broader defense of decentralized governance.

Tüttő’s comments come as Budapest continues to grapple with the aftermath of a decade under Viktor Orbán’s leadership, during which the city experienced significant financial constraints, including the freezing of EU cohesion funds. While Orbán’s government has maintained that these measures were necessary for fiscal discipline, critics—including Tüttő—argue that the restrictions disproportionately affected municipal services, infrastructure projects, and social programs in Budapest and other Hungarian regions.

The stakes are high not only for Budapest but for the broader EU, where debates over regional autonomy versus centralized control have intensified. Tüttő’s leadership at the European Committee of the Regions—an advisory body representing local and regional authorities—positions her to influence EU policies that directly impact municipal funding. Her pledge to prioritize the unfreezing of funds signals a potential shift in Brussels’ approach to Hungary, where relations between the national government and EU institutions have been strained for years.

Why it matters: The unfreezing of EU funds for Budapest could serve as a litmus test for the EU’s ability to balance fiscal oversight with regional needs. For Tüttő, it represents an opportunity to reverse what she has described as a “systematic weakening” of local governance under Orbán’s administration. Meanwhile, her warnings about centralization resonate across Europe, where similar tensions are playing out in countries like Poland, Italy, and even France.

From Budapest to Brussels: Tüttő’s Political Journey and New Role

Kata Tüttő’s rise to prominence reflects the shifting political dynamics in Hungary and the EU. A former Deputy Mayor of Budapest under the opposition-led local government, Tüttő was elected President of the European Committee of the Regions in January 2024, a role that grants her a platform to advocate for regional interests at the highest levels of EU decision-making. Her election was widely seen as a victory for pro-EU, pro-decentralization forces within Hungary.

Tüttő’s background in urban policy and her experience navigating Budapest’s financial challenges under Orbán’s centralizing reforms make her a formidable advocate for municipal autonomy. During her tenure as Deputy Mayor, she oversaw initiatives aimed at revitalizing Budapest’s public transportation, cultural heritage sites, and social housing programs—all areas that suffered from reduced funding during Orbán’s tenure. Her first-hand experience with the impact of centralized financial controls gives her credibility in Brussels.

In a statement outlining her presidency priorities, Tüttő emphasized three key areas: restoring financial autonomy to local governments, combating climate change at the regional level, and strengthening democratic participation. The unfreezing of EU funds for Budapest is central to her first priority, which she frames as essential for “revitalizing Europe’s cities and towns.”

The EU Funding Crisis: What’s at Stake for Budapest?

The freezing of EU cohesion funds for Hungary—part of a broader conditional allocation system—has had tangible consequences for Budapest. According to EU Regional Policy reports, Hungary was allocated approximately €16.3 billion in cohesion funds for the 2021–2027 period, but disbursements have been delayed due to concerns over rule-of-law violations, corruption risks, and mismanagement in public procurement. Budapest, as the country’s capital and largest city, was particularly hard-hit, with projects in public transport, waste management, and digital infrastructure stalled or scaled back.

For residents, the impact has been visible: delayed subway line expansions, reduced maintenance of historic sites, and slower rollouts of smart city technologies. Tüttő has repeatedly cited these delays as evidence of how centralization—both in Budapest and at the national level—has failed to deliver results. “We’re not talking about luxury projects,” she told reporters. “We’re talking about basic services that keep cities functional and livable.”

The situation is further complicated by Hungary’s ongoing negotiations with the EU over the rule-of-law conditionality attached to its funds. While Orbán’s government has argued that the delays are politically motivated, Tüttő’s appointment offers a potential path forward. As President of the Committee of the Regions, she can leverage her network to push for a more flexible approach to funding disbursements, provided Hungary meets specific benchmarks in transparency and governance.

Centralization vs. Decentralization: A European Divide

Tüttő’s warnings about a “wave of centralization” strike a chord across Europe, where debates over governance structures have intensified in recent years. In reports from the European Parliament, scholars and policymakers have highlighted how centralized decision-making can lead to inefficiencies, reduced innovation, and diminished civic engagement. Tüttő’s case illustrates this dynamic in action.

Under Orbán’s leadership, Hungary has seen a consolidation of power in Budapest, with national policies often overriding local priorities. This approach has drawn criticism from the EU, which has increasingly emphasized the importance of subsidiarity—the principle that decisions should be made at the lowest possible level of government. Tüttő’s advocacy aligns with this principle, but her success will depend on her ability to navigate complex political alliances within the EU.

Her stance also contrasts with other European leaders who have embraced centralized reforms, such as Italy’s Giorgia Meloni or Poland’s Donald Tusk. While these leaders have prioritized national cohesion, Tüttő’s focus on regional autonomy reflects a growing movement within the EU to empower local governments. “The future of Europe lies in its regions,” she has stated. “When regions thrive, so does Europe.”

What Happens Next? Key Checkpoints and Reader Resources

The next critical checkpoint for Tüttő’s initiative will be the June 2024 European Parliament plenary session, where she is expected to present her proposal for unfreezing Hungarian funds. The session will include discussions on the EU’s long-term budget and rule-of-law conditionality, providing an opportunity for Tüttő to advocate directly to MEPs.

For readers interested in following this story, the following resources provide official updates and background:

• European Committee of the Regions: Official statements and press releases from Tüttő’s presidency.
• EU Cohesion Fund Portal: Detailed information on Hungary’s allocated funds and disbursement status.
• European Parliament Research Service: Reports on decentralization and governance in the EU.
• Hungarian Public Foundation for International Services (KOR): Analysis of Hungary-EU relations and local governance.