Government guarantee on millions in EU funding welcomed by D2N2

A Government commitment to honour funding for projects due to receive European Union investment – worth millions of pounds to Derbyshire economy – has been warmly welcomed by the D2N2 Local Enterprise Partnership.

D2N2 – the private sector-led partnership of business, local authorities, education providers, and community and voluntary services – has been allocated € 251million in European Structural and Investment Funds (ESIF); to promote economic growth and employment in its area of Derby, Derbyshire, Nottingham and Nottinghamshire up to 2020.

Following the UK’s June 23 vote to leave the European Union, the Government had agreed to honour funding already earmarked for ESIF projects, if their contracts had been signed off by the time of next month’s Autumn Statement (on November 23).

Now Chancellor Philip Hammond has made a longer commitment; that ESIF projects approved and signed after the Autumn Statement, and which are due to continue beyond the time the UK leaves the EU – currently expected to happen around summer 2019 – will also be honoured by the Government.

ESIF funding includes various EU funding streams, such as:

• European Regional Development Fund
• European Social Fund
• European Agricultural Fund for Rural Development.

Mr Hammond said projects would need to seen as good value for money and in line with UK economic aims, to have their funding honoured.

D2N2’s €251m in ESIF funding is currently supporting projects which help small and medium-sized businesses innovate, be more competitive and reduce their environmental impact; funding also supports a wide range of employment and skills programmes, often helping those in the most deprived areas or with fewer qualifications.

Over the 2014-2020 period of D2N2’s current ESIF funding allocation – one of the largest amounts allocated to any of the UK’s 39 Local Enterprise Partnerships – its targets include:

• supporting 5,000 businesses, particularly in sectors such as information communication technology (ICT), and low carbon and ‘green’ energy;
• helping 400 start-up businesses;
• enabling 15,000 people to find employment;
• helping 8,000 people overcome social exclusion;
• assisting 2,500 business in improving their employees’ skills levels.

Welcoming the Government’s new commitment David Ralph, Chief Executive of the D2N2 Local Enterprise Partnership, said:-

“This clearly shows the Government’s recognition that the ESIF programmes run by D2N2 and its fellow LEPs in the UK are a significant component of its economic strategy.

“Projects submitted for ESIF funding go through a robust assessment by ourselves and the Department for Communities and Local Government, with whom we work. Regular checks will be made throughout the life of the projects, to ensure they meet their promises to make a difference to the local economy and our communities.

“This commitment from Government will mean Derby, Derbyshire, Nottingham and Nottinghamshire can benefit fully from millions of pounds allocated to help their economy.”