1. D2N2 LEP: European Structural and Investment Funds 2014-2020
Richard Kirkland
ESIF Coordinator
Introduce self, role,
Define ESIF
Purpose – few words about where D2N2 is with its ESIF work, the next steps and particularly the D2N2 ESIF Local Implementation Plan consultation document that you have in your papers.

2. Purpose of the Presentation
To give an overview of the D2N2 ESIF programme
To outline the nature, range and scope of activities
To explain the ‘route to market’ for applicants
To give an opportunity to seek further clarification through the workshop sessions

3. What are the European Structural and Investment Funds?
ESIF are the European Commission’s primary mechanism for
“reducing social and economic disparities across the EU”.
In England, these funds comprise the following elements:
European Regional Development Fund (ERDF)
supports research, innovation, business development and infrastructure investment
European Social Fund (ESF)
supports skills, enhancing access to employment and social inclusion.
European Agricultural Fund for Rural Development (EAFRD)
supports economic development in our rural areas .
The EU regional policy is financed by three main funds, the European Regional Development Fund (ERDF), the European Social Fund
(ESF), both referred to as “Structural Funds” and the Cohesion Fund (CF). These funds are based on the principles of co-financing and
shared management. EU financial support always runs alongside national public or private financing. Depending on a number of socioeconomic
factors, the co-financing may vary between 50% and 85% of the total cost of interventions. The guidelines for ERDF and ESF actions are designed at European level, whereas implementation on the ground is managed by the relevant national or regional authorities in each Member State.

4. Who is responsible for the Funds?
In England the accountable body (Managing Authority) for each funding element is:
ERDF - Department for Communities and Local Government. (DCLG)
ESF - Department for Work & Pensions (DWP)
EAFRD - Department for Environment Food and Rural Affairs (DEFRA)
All applications, monitoring, financial processing and change requests go through Managing Authorities.
Payments to projects on defrayment and in arrears (3 months)
Matched funding of 50% is required across the programme.

5. D2N2 ESIF Financial Allocations 2014-2020
ESIF is “funding of last resort” and intended to add value to the D2N2 area
ERDF - £104.4m
ESF - £104.4m
EAFRD - £5.5m
BIS have given guidance on levels of spending for LEPs

6. ESIF and Rural Areas
Mainstream delivery in rural areas through ERDF and ESF.
This will be enhanced through EAFRD
(European Agriculture Fund for Rural Development)
D2N2 has an allocation of £5.5m
Match funding is required but levels vary

7. ESIF and Rural Areas In D2N2 we have allocated funds to:
Rural Business Advice
Supporting processing/marketing of agricultural products
Business Start up non agricultural
Creation & Development of non agri activities
Small scale renewable energy
Broadband infrastructure & use of ICT
Small scale tourism infrastructure
Collaboration in joint work processes & developing marketing tourism

8. What we’re buying with EAFRD money…
Beneficiaries Advised 5,600
Jobs created
Supporting processing/marketing of agricultural products 2,500
Business Start up non agricultural
Small scale renewable energy
Broadband infrastructure
Small scale tourism infrastructure
Collaboration in joint work processes & developing marketing tourism

9. What we’re buying for the ERDF & ESF money…
ESIF has specific outputs and outcomes: D2N2 have
set the following broad targets for the programme
5000 businesses receiving support – e.g. ICT, low carbon, SME competitiveness
400 new enterprises supported
15,000 people supported to find employment
8,000 people supported in relation to social inclusion
2,500 businesses improving skill levels
ESIF ‘fuel in the tank’ for delivering the Strategic Economic Plan

10. Match Funding ESIF will fund 50% of the project costs
Some national bodies will provide the other 50% via ESF “Opt Ins”. In D2N2 the opt in organisations for are:
Skills Funding Agency
Department of Work and Pensions
The Big Lottery Fund
A small proportion of ESF activities require match from the applicant but most ESF projects are via “Opt Ins”
All ERDF & EAFRD requires match from the applicant
Mention some implications of use of opt ins – shared programmes with Opt in Organisations – influence delivery and selection of providers through prescribed application processes e.g. only providers registered on the Register of Training Organisations can apply for SFA – opted in provision

11. Routes into the ESIF 2014-2020 programme
2 routes for securing funding in the ESIF programme, via ‘Open Calls’ or ‘ESF Opt-Ins’
A call is an open invitation for applicants to submit proposals against a published specification.
Applications for funding from the ESlF may only be submitted in response to a published call for proposals issued by the Managing Authority.
The ESIF Programme Board will oversee the investment of ESIF in D2N2.

12. ESIF Priority Axes
Innovation
Promoting climate
Change adaptation
Enhancing access to Information
And
Communication Technologies
SME Competitiveness
Low-carbon economy
in all sectors
Environment and resource efficiency
Better education, skills
and Life long learning
Social inclusion &
combating poverty
Employment and labour Mobility
Prospective providers must outline in their applications how they intend to address the cross cutting themes of
Social inclusion
Sustainable Development and
Equality and Anti discrimination

13. D2N2 ERDF Priorities
Innovation – new products, new markets, business processes
Business Support – ICT, connectivity, incubation space
Access to Finance – early growth finance
Rural – Business Adviser/grants (EAFRD)
8 Priority Sectors – Actions Plans for Low Carbon, Construction, Visitor Economy, Food & Drink Manufacturing, Life Sciences, Transport Equipment Manufacturing, Transport & Logistics, Creative Industries
D2N2 Growth Hub
The EU regional policy is financed by three main funds, the European Regional Development Fund (ERDF), the European Social Fund
(ESF), both referred to as “Structural Funds” and the Cohesion Fund (CF). These funds are based on the principles of co-financing and
shared management. EU financial support always runs alongside national public or private financing. Depending on a number of socioeconomic
factors, the co-financing may vary between 50% and 85% of the total cost of interventions. The guidelines for ERDF and ESF actions are designed at European level, whereas implementation on the ground is managed by the relevant national or regional authorities in each Member State.

14. D2N2 ESF Priorities
Develop employer led, added value, flexible provision to support and enhance mainstream provision
Address market failure
Better prepare people to secure jobs
Remove barriers to employment
Engage with new businesses in skills
Coverage and coherence – D2N2 wide access

15. Social Inclusion Framework
D2N2 ESF Programmes
Social Inclusion Framework
Time2Change
YE (D2N2)
YEI (N)
CAREERS Local
EMPLOY
Local
SKILLS
EU Structural & Investment Funds Strategy (2014 – 2020)
Strategic Economic Plan for Growth
Skills for Growth Strategy
Skills & Employment Deal
Capital Skills Funds
D2N2 Growth Hub

16. ESIF ‘Early’ Calls Technical Assistance
ERDF
PA1: Innovation
£14,000,000
PA3: SME Competitiveness
£12,500,000
PA4: Low Carbon
£10,000,000
National Products – Business Support
£1,500,000
ESF
EMPLOY LOCAL (SFA Opt In)
£6,000,000
SKILLS LOCAL (SFA Opt In)
£7,000,000
Youth Employment Initiative
£3,200,000
Technical Assistance

17. Core Delivery Principles
Impact and Scale: 
Delivery Readiness:  
Added Value 
Local Value
Quality, Performance and Efficiency:.
Strategic Partnerships and Co-ordination of Market Engagement
Flexibility and Responsiveness
How will calls be assessed?
Government will do technical compliance
LEP will look at strategic fit, including adherence to our ‘core delivery principles’

18. Find out more… Employment and Skills/
Business Support, Innovation, Rural /
General ESIF / Strategy / /