GM calls for European Regional Development Fund projects European Funds - Programme Updates 31st January 2017 Andy Churchill First slide

ESIF European Structural Investment Funds These are for Smart, Sustainable and Inclusive Growth European Regional Development Fund Starting with enterprise Capital & Revenue, buildings, loans, training European Social Fund Starting with people Revenue fund, human resources, training and job subsidy European Agricultural Fund for Rural Development

National Programmes delivered at Local Level National ESF, ERDF and EAFRD Operational Programmes National Programme Monitoring Committee (Growth Board) Strategies at LEP level (39 sub-committees) LEP level ESIF Committee Must have Third Sector involvement at all stages of the Programme Regulations UK Partnership Agreement

2014-20 Seven year programmes N+3 Final Claims to Europe before end of 2023 Very late start, slow appraisals First calls March 2015, first projects agreed March 2016 Then more changes and delays - due to Development of devolution Pause after referendum vote Now building up steam GM often leading the way

Post Referendum Pause - calls stopped 31st July, committees postponed Value for Money and fit with Domestic Strategies ESF calls 25th Oct - 30 Nov. 22 calls for £53m (no GM) ERDF calls restarted - 89 calls for £348 - all on 16th Dec Two for GM (P1 and P3) EARDF calls restarted 25th January Change to forms and appraisals VfM and fit with Domestic Strategy now at beginning Local ESIF committee now to comment on VfM VfM does not mean cheapest, but best economic return (like Social Value Act)

Managing Authority Runs the Operational Programme Agrees Projects Makes claims to the European Commission

Devolution Local LEP level ESIF committee is advisory only Run by DCLG on behalf of the Managing Authorities DCLG is MA for ERDF and DWP is MA for ESF SUD (10% of ERDF for Sustainable Urban Development) All eight core cities Co-Financing Organisation GM is first non-national body Intermediate Body (some powers devolved from MA)

Bidding Direct Bidding for ERDF, EAFRD and some of English ESF Co-Financing for some of English ESF Skills Funding Agency (only until July 2018) DWP NOMS Big Lottery Fund and now, G Manchester (through Trafford)

English ESF Co-financing Large (national) body Identifies its own match Allocated an amount of ESF Carries out its own bidding rounds to commit the ESF and deliver outputs and results BLF gives out ESF and Match. SFA/DWP/NOMS just provides ESF

Referendum vote Prime Minister says will trigger Article 50 at end of March 2017 We then have two years to agree, or an agreement is imposed So we would leave by March 2019 or Later Chancellor’s statement October 3rd - all projects signed before we leave EU will be guaranteed funding Most projects are three years, so takes us to 2022 (for the 2014-20 programme) Thus we have funding for about the next five years

Referendum vote Prime Minister says will trigger Article 50 at end of March 2017 We then have two years to agree, or an agreement is imposed So we would leave by March 2019 or Later Chancellor’s statement October 3rd - all projects signed before we leave EU will be guaranteed funding Most projects are three years, so takes us to 2022 (for the 2014-20 programme) Thus we have funding for about the next five years

Simplification Programmes have become much too bureaucratic Focus on recording money spent and checking eligibility Less concern for what is being delivered Gold Plating European Commission is determined to change this Simplification Agenda High Level Group ESF Platform on Simplification Delegated Acts in 2017 - standard costs

Simplification Programmes have become much too bureaucratic Focus on recording money spent and checking eligibility Less concern for what is being delivered Gold Plating European Commission is determined to change this Simplification Agenda High Level Group ESF Platform on Simplification Delegated Acts in 2017 - standard costs

Devo and GM Co-Financing Organisation Agreed April 2016 First non-national Co-Financer Devolved Education and Skills Budget Match for ESF

ESF in GM P1 (unemployed) £81.85m Total available £30.0m Awarded through SFA and BLF £32.7m CFO proposal (Working Well, and Work and Health) £19.1 m Still to be allocated (2018 onwards?) P2 (employed) £64.1m Total available £10.9m 2 SFA contracts awarded £17.4m Employer engagement £35.0m Future calls (likely higher skills P3 and above)

ERDF in GM - next steps Much of ERDF through Financial Instruments (loans). British Business Bank runs N P’hse Investment Fund (loans to enterprises). launch expected mid February local Fund Managers. Also GM Fund of Funds (capital development - urban and low-C) Current Calls P1 Innovation and P3 Enterprise (start-ups) Previous P3 bid cancelled (New Enterprise Allowance match not allowed), so new call Call due soon - P4 Low Carbon Economy with Energy Efficiency in Public Buildings, small scale low-C renewables in community centres etc, perhaps with loan

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