This comes as Brussels is to demand a hike in budget contributions for members of the bloc to fill in a £9 billion annual hole after the UK’s departure.
The demands come before a push to draft the EU’s next long-term budget plan and were revealed by Politico following a survey by the EU’s Committee of the Regions.
The official who responded to the questionnaire for Cyprus, Stavros Stavrinides, said: “If the EU establishes a special fund for local cities and regions, it will be a good measure to avoid any negative consequences of Brexit in other EU countries.”
A submission from the Andalusia region in Spain called on the EU to “create a fund for areas especially affected by Brexit”.
An official from Madeira said that the region “strongly recommends” the EU using its budget to “offset the consequences” for its regions.
The European Council has demanded there should be more money addressed to migration issues, which will also take money out of the budget.
Following the UK’s departure from the EU, countries will have to contribute more than one per cent of their gross national income (GNI), to make up the difference.
Britain is one of the biggest contributors to the bloc’s budget, giving around 11 per cent of the entire amount, but these regular contributions will come to an end at the end of 2020.
European Union leaders are expected to discuss the next long-term budget at a summit in February.
Agriculture commissioner Phil Hogan last month asked whether member states would be prepared to increase their contribution from one per cent to 1.1 or 1.2 per cent of their GNI.
Budget negotiations have been delayed for months due to uncertainty of Brexit.
The Budget Commissioner Gunther Oettinger has warned that spending cuts and increased budget payments by EU countries will be required to fill in the gap after the UK’s withdrawal.