Austria and Sweden were both relatively unaffected by the economic crisis, challenges of the provision of welfare still exist, at least in peripheries. Economic downturn and outmigration have limited demands and increased the costs for services of general interest. This paper aims to discuss welfare policy and planning strategies for peripheries from a planning cultural sensitive perspective. It will answer how much the value of territorial cohesion is under pressure for peripheries in traditional welfare states, identifying a mismatch between policy levels. The results indicate a stepwise mainstreaming of competitiveness goals in favour of urban regions, leaving the challenges of peripheries to policy responses of single municipalities.