1. Matching health with growth: will the NHS seize the €6bn opportunity? Michael Wood NHS Confederation Annual Conference 4 June 2015

2. NHS European Office Who are we? –Established 2007 –Part of the NHS Confederation –Funded by national NHS bodies What do we do? –Represent NHS organisations in EU policy-making and legislation –Assist the NHS with the implementation of EU law –Offer strategic advice on EU funding opportunities –Promote partnerships between NHS organisations and bodies from other sectors/countries.

3. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

4. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

5. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

6. Your local economy How connected is health? TransportPlanningHealthHousingEducation Inward investment Social inclusion SME growth

7. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

8. Background to the funding ESIF supports economic and social development projects – ‘jobs, growth and regeneration’ EU funding devolved to EU member states to spend Has to be match-funded NHS not traditionally sought this funding 2006-13 round of European Structural Funding saw c€7bn devolved to England to spend National Graphine Institute in Manchester Campus for Ageing and Vitality in Newcastle (Albert Docks!) plus Over 20,000 business start-ups Over 50,000 jobs

9. Background to the funding Main funding pots are ERDF and ESF: The European Regional Development Fund (ERDF) focuses on regional development, economic change and enhanced competitiveness. The ERDF’s priorities are to: support innovation and the knowledge-based economy stimulate enterprise and support successful businesses ensure sustainable development, production and consumption build sustainable communities. The European Social Fund (ESF) focuses on training, access to employment and social inclusion. The ESF was set up to: improve employment opportunities and help raise standards of living help people to get better skills and job prospects, particularly for those not in education, employment or training help equip the workforce with the skills needed by business in a competitive global economy combat social exclusion.

10. Background to the (new) funding Government wanted to change the way money is spent and priorities determined for 2014 – 2020 Role of LEPs replaced role of RDAs, with much more devolved responsibility for leadership of local growth England given €6.2bn for 2014 – 2020 for ESF and ERDF, split notionally across all 39 LEP areas, largely based on levels of depravation New priorities for ESIF investments in England are: innovation and research and development support for small and medium-sized businesses low carbon skills employment and social inclusion

11. Why now for NHS? New ESIF investment priorities more relevant to where NHS is now, i.e. innovation, Talent for Care, public health Regional NHS bodies well placed to open NHS up to LEPs Core Cities agenda, e.g. Devomanc, links to this wider form of local economic integration Need to look for supplementary and complementary forms of funding in current climate and as NHS becomes bigger player in local economy

12. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

13. Local Enterprise Partnerships (LEPs) “LEPs are partnerships between local authorities and businesses. They decide what the priorities should be for investment in roads, buildings and facilities in the area.” Govt “The 39 Local Enterprise Partnerships in England bring the Private and Public Sectors together to drive economic growth from the bottom up.” LEP Network “LEPs are the vehicle though which the government seeks to drive jobs and growth on the ground – they understand the strengths/gaps in the local economy, lead the strategic thinking and prioritise investment.” Me!

14. Local Enterprise Partnerships (LEPs) All business led, with support from both public and private sector Local priorities differ but all LEPs working in areas of: - business support for SMEs - inward investment - skills and employment - infrastructure Usually have dedicated sub-boards looking at key issues Who is your LEP? - www.lepnetwork.net or ask mewww.lepnetwork.net

15. Equipping Local Enterprise Partnerships All England ESIF money allocated notionally to LEPs, ranging from London (€750m) to Bucks Thames Valley (€14m) Government published list of key investment areas, national policies and generic activities the funds could support LEPs drew up local ESIF strategies on how to invest money in their geographic area – strategy also a ‘partnership’ and way of securing future funding ideas and partners Strategic relationship for NHS with LEPs goes well beyond ESIF – eg Regional Growth Funds, strategic leadership of local growth, building a local investment plan…

16. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

17. Key ESIF areas of NHS focus Commercialisation of R&D Social inclusion Skills and employment

18. Key areas of NHS focus Research, development and innovation Supporting SMEs to commercialise R&D, especially those linked to health science technologies Creating physical infrastructure for innovation, including ‘incubation space’ for new businesses active in innovation Building higher level workforce skills to support R&D Supporting innovation actors inc SMEs, social economy, research centres/universities to promote social innovation & innovation in health Facilitating networks of SMEs seeking to commercialise R&D to bring new products/services to the market, esp through open innovation Who: AHSNs HEIs Acutes Entrepreneurs

19. Key areas of NHS focus Skills and employment Innovative approaches to training for the unemployed Supporting low-skilled people in low-paid work to help them progress, and for apprenticeships Innovative approaches to pre-employment training Supporting intermediate and high-level vocational provision for the unemployed and for career progression Who: LETBs NHS employers CCGs FE DWP

20. Key areas of NHS focus Social inclusion Tackling barriers to work, including mental health issues Targeting specific communities or ethnic minorities Developing the capacity of social entrepreneurs to address the needs of their local communities Developing the capacity of community groups to participate in the delivery of services to those furthest from the labour market Who: Charities Public Health LETBs/AHSNs HWBs/CCGs Mental Health providers

21. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

22. Eligibility “Potential applicant organisations include, but are not limited to:  Local Authorities;  Statutory and non-statutory public funded organisations/bodies;  Higher and Further Education Institutions;  Voluntary/community organisations;  Private sector companies;  Registered charities;  Not for Profit organisations.”

23. https://www.gov.uk/european-structural-investment-funds

24. Gateway Assessment REGISTER! 2 month deadline from call advertised On-line application form MA confirms eligibility etc Local ESIF Committee recommends which projects should be sifted for next stage Core Assessment 2 months to hear back about success of initial application Further 2 months to assemble full application bid They want to see details on: strategic fit; deliverability; procurement; management etc. Start of Project? Final decisions made by MA on projects to be funded Time needed to finalise contracts with partner(s) Due diligence on private sector partner(s)

25. Published calls Seven year programme, with LEPs planning calls across timeline – how is your LEP prioritising areas and money? Real range in scope of projects expected, e.g. in R&I Brighton, Bucks TV with £500k to spend, Manchester with £19m to match Projects often referencing minimum size of grant of £500k and timeline of three years Projects starting usually within c3months following approval

26. Local and national Projects focusing on research and innovation require 50% direct match funding However, for skills and employment and social inclusion, national bodies match EU monies and work with LEPs These bodies are DWP (JCP), SFA, Big Lottery, NOMS DWP and SFA = existing programme funds, BLF = cash They will run their own calls from June onwards – so one national application process for local projects

27. Call specification Local context “This call for projects is for capital projects based in Greater Manchester which will aid Greater Manchester in developing technologies in the priorities identified above. There will be a later call for revenue projects looking at the commercialisation of these technologies. Applications should ensure that Greater Manchester continues to develop its influence in these and related areas, and in particular projects which address these five priority areas:  Increasing entrepreneurship and business growth  Improve the productivity of existing science base  Expand and accelerate the commercialisation of research  Improve the profile of Greater Manchester science  Improve Greater Manchester’s Science and Technology skills base1 Applications should be led by or have close links to local Higher Education Institutions and have strong private sector partner involvement and investment. Specific areas of focus are Advanced Materials (including graphene) and Health Innovation (including e-health, stratified medicine and cancer research) as these have been identified as key areas of local strength for which there is global demand.”

28. Call specification Call Requirements  An indicative budget of £18.905 million (£15 million capital and £3.905 million revenue) has been allocated to this call. This is intended as a guide and may be reviewed;  All applications are competitive. Proposals can only contain activities which are eligible for European Regional Development Fund;  Proposals should be for a minimum of £500,000 European Regional Development Fund;  Applicants will need to have eligible match funding for the balance of costs which must be from a source other than the European Union  Projects should be capable of providing coverage of the Greater Manchester Local Enterprise Partnership area;  All procurement must demonstrate compliance with European Union regulations;  Applicants must demonstrate compliance with State Aid law; and  All expenditure and activities will be subject to rigorous audit and non- compliance may lead to financial penalty.

29. Call specification Required deliverables C1 Number of enterprises receiving support C2 Number of enterprises receiving grants C4 Number of enterprises receiving non-financial support C5 Number of new enterprises supported C6 Private investment matching public support to enterprises (grants) C26 Number of enterprises cooperating with research entities C28 Number of enterprises supported to introduce new to the market products C29 Number of enterprises supported to introduce new to the firm products P1 Number of researchers working in improved research or innovation facilities P2 Public or commercial buildings built or renovated

30. Matching Health with Growth - ESIF and the NHS Local Growth Background to the funding Introducing LEPs Key areas of NHS focus A glance at the process Making the connections

31. Value in NHS and LEPs understanding each other better, at both national and local level Do we have any links to your LEP? Can we get the NHS on the LEP board/subgroup? Do they ‘understand’ the NHS? lobbying Awareness of scheduled ESIF calls Discussion with likely partners about areas to focus on Pooling of ‘match’ funding process

32. Thank you for listening Contact me to discuss ESIF and establishing relations with your local LEP… Michael.wood@nhsconfed.org www.nhsconfed/esif @NHSConfed_EU