BriefingEuropeanStructuralandInvestmentFunds.pdfVIP

Briefing: European Structural and Investment Funds Understanding the opportunities for Key Cities April 2015 European Funding: how does it work? The European Commission (EC) supports the economic, social and environmental needs of member states through funds (grants) and financial instruments (loans and equity investments). The EC sets objectives for each of the funds and financial instruments for each spending round. The current spending round funds projects in member states between 2014 and 2020, with the ability to spend funds allocated before 2020 through 2023. The UK has been allocated €16.4 billion in total European Commission funding over the funding period.1 Those funds have been allocated between nine “thematic objectives” in an agreement between the EC and the managing body within UK Government. Of the money for England, €6.5 billion has also been divided into “indicative allocations” across LEP areas (Annex 1). As of February 2015, the design of how individual projects will be chosen, funds will be allocated and the role of local government and LEPs has not been finalised. Government has encouraged local authorities to continue with the projects they have proposed with the understanding that Government should reach an “in-principle agreement with the European Commission” by the end of February and launch calls for proposals in March 2015. In addition, qualifying 2007-2013 ERDF projects will continue to deliver during 2015, and Government is working to “ensure there is no break between funding streams.”2 1 Cable, Vince. Secretary of State for Business, Innovation and Skills. 17 April 2014. Letter: European Regional Development Fund and European Social Fund: UK allocations 2014 to 2020. .uk/government/uploads/system/uploads/attachment_data/file/307492/bis-14-772-uk-allocations-eu-structural-funds-2014-2020-letter.pdf 2 Department for Communities and Local Government. Lord Ahmad of Wimbledon. 17 February 2015. Letter: European Structural and