Caldas da Rainha wins “European Capital of Small Retail 2026” title

Caldas da Rainha has been named European Capital of Small Retail 2026 in the “Vibrant City” category (cities with 50,000–250,000 inhabitants), following the final stage of the competition held in Brussels on 28 January 2026.  

The award is part of the European Capitals of Small Retail (ECoSR) initiative promoted by the European Commission, designed to recognise cities that deliver strong results in supporting small retailers and maintaining vibrant, resilient city centres—especially through sustainability, digitalisation, entrepreneurship/community engagement, and urban vitality.  

From shortlist to winner

Caldas da Rainha reached the final alongside Braga and Fuenlabrada in the Vibrant City category. The competition attracted 28 applications from 13 countries, with finalists presenting their programmes and results to a European jury during the awards ceremony in Brussels.  

The other 2026 winners

One city is awarded per size category. Alongside Caldas da Rainha, the 2026 titles went to:

• Silandro/Schlanders (small cities)
• Barcelona (large cities)

What the title means in practice

According to EU information about the initiative and the awards, the “title year” brings a year of European-level visibility and structured support, including showcasing best practices, networking and peer learning opportunities, and communication/storytelling around retail-led urban revitalisation.  

For Caldas da Rainha, the recognition is both symbolic and strategic: it places the city on a European map of urban policies that treat small retail as critical infrastructure—supporting local income, street life, walkability, and community cohesion.  

Why this matters for the Oeste

In an era where independent commerce faces pressure from rising costs and changing consumer habits, the award highlights approaches that help local shops remain competitive while keeping city centres active and attractive. Caldas da Rainha’s win signals that a medium-sized Portuguese city can compete at European level by strengthening the fundamentals: a dynamic urban core, a resilient retail ecosystem, and initiatives that connect commerce to everyday community life.