Strategic Board Meeting South East LEP’s Strategic Board Meeting 23rd September 2016

European Structural and Investment Fund Up Date Strategic Board meeting 23rd September 2016

ESIF Purpose and SELEP allocation SELEP area allocated €200 million for 2014-2020 for Jobs and Growth Three funds ESF, ERDF and EAFRD and three Government Departments Slow start!(despite our best efforts due to purdah and external process imposed) Brexit decision 23 June 2016

SELEP ESIF commitment progress at May 2016 South East LEP Source: Department for Work and Pensions

Post Brexit impact on the funds – information so far Projects in the pipeline contracted before the autumn statement – 23 November 2016 Pre-autumn statement government guidance on future of ESIF programmes expected including new criteria “national priorities” Information on project pipeline ESF and ERDF to Government by Friday 30 September 2016 Calls for applications for all three funds anticipated LEP involvement in design of the funds replacing ESIF

European Social Fund (ESF) Update for Strategic Board meeting 23rd September 2016

SELEP area was allocated €80.5 million for 2014-2020 ESF Purpose and SELEP allocation ‘The European Social Fund (ESF) focuses on improving the employment opportunities, promoting social inclusion and investing in skills by providing help people need to fulfil their potential.’ (UK Government Guidance) SELEP area was allocated €80.5 million for 2014-2020

Of the original allocation… £10 million - Department for Work and Pensions (DWP) contract to support people into work – successful bidder to be announced soon £24 million – Skills Funding Agency contracts to deliver more apprenticeships, higher level skills and improved numeracy and meeting the needs of growth sectors - bids undergoing moderation and evaluation

Of the original allocation… £8 million for Big Lottery Social Inclusion (Building Better opportunities) matched with £8 million Big Lottery Funding supporting hardest to reach people into employment –various bidding rounds and evaluations underway £1.3 million for the Youth Employment Initiative ‘On Track Thurrock’ supporting NEET young people into work Big Lottery, Skills Funding Agency and Department for Work and Pension matched European money by 50% levering in significant funding for this SELEP area

This £43.3 million ESF will be: New and additional funding for SELEP area Informed by local priorities and economic growth needs and shortages Adding to increased productivity, reduced unemployment and increased skills levels Reduce state benefit costs Contributing to the UK Government Industrial Strategy likely focus on growth sector and a trained and skilled workforce Helping to deliver the Prime Minster’s ambition for a more inclusive society

UK Government to confirm remaining funding for SELEP area Next steps for allocated funding: SELEP and partners to work with successful applicants to ensure delivery happens where it is needed and aligns to local priorities SELEP to monitor expenditure and impact on local areas and to build case studies of success UK Government to confirm remaining funding for SELEP area

UK Government to confirm remaining funding for SELEP area Next steps for allocated funding: SELEP and partners to work with successful applicants to ensure delivery happens where it is needed and aligns to local priorities SELEP to monitor expenditure and impact on local areas and to build case studies of success UK Government to confirm remaining funding for SELEP area

PENDING GOVERNMENT CONFIRMATION, up to £14 million for: Potential new funding and focus: PENDING GOVERNMENT CONFIRMATION, up to £14 million for: Access to employment for job seekers and inactive people Sustainable integration of young people into the labour market Improving labour market relevance of education and training systems Requires 50% match funding Potential activity ideas up to 2020 to be prepared imminently – that might be signed following Autumn Statement

Putting in place systems to deliver this Such funding could be used to assist: 40,000 adults claiming out of work benefits across the SELEP area Nearly 9,000 18-24 year olds claiming benefits across the SELEP area Supporting cohorts such as homeless and ex offenders to become economically active Ensuring more adults and young people are entering SELEP’s priority sectors, responding to growing need in sectors such as construction, health, care, logistics, advanced manufacturing & IT Putting in place systems to deliver this

In Summary: £43.3 million about to be deployed across SELEP and against SELEP priorities Remaining funding of approximately £14m (PENDING AUTUMN STATEMENT) to be confirmed up to 2020 SELEP Board to be informed regarding progress of new contracts and forthcoming delivery

Update for Strategic Board meeting 23rd September 2016 ERDF Update Update for Strategic Board meeting 23rd September 2016

Breakdown of £74.1m £19.4m (26%) contracted 6 projects supporting 1,500 businesses £5.3m (7%) likely 2 projects supporting 1,200 businesses £5.6m (8%) seeking contract 2 projects supporting 626 businesses £43.8m (59%) unallocated (pipeline)

SELEP Growth Hub SCORE KEEP+ £0.5m £3.3m Better off in Business £0.4m South East Business Boost £6.1m KEEP+ £3.3m Essex Growth Programme 1.6m Better off in Business £0.4m SECCADS £3m LoCASE £9m Get Exporting 2 £2m Kent Inward Investment £1.7m SCORE £0.5m South East Invest £2.2m SELEP Growth Hub BEST Kent & Medway SEB

Pipeline projects Pipeline Information Request 8 projects currently in the pipeline Current total of c.£11m (15%) 3 projects are place based/ capital

SELEP Growth Hub BEST New Energy £2.5m SEB Harwich Centre £0.75m Transportation and Logistical efficiencies £3m New Energy £2.5m Betteshanger Health Complex £1.5m Advanced Manufacturing £1.1m Health & Social Care £? Colchester Northern Gateway Heat Network £2.2m SME Growth Fund £? Harwich Centre £0.75m SELEP Growth Hub BEST Kent & Medway SEB

Community Led Local Development Discrete, deprived areas ERDF and ESF combined £60k has produced 3 excellent strategies Strategy appraisal → further funding for interventions Tilbury (Thurrock) Folkestone (Kent) Hastings (East Sussex)