European Structural Funds in London 2014-2020

Pre-consultation Event

2 October 2012

Briefing paper and Questionnaire

The European Commission has published draft regulations for the next Structural Funds programming period 2014-2020. While the negotiations about the final form and size of the regulations package are ongoing at EU level both national and regional authorities are starting preparations for the next round of programmes, in consultations with stakeholders.

This seminar is a pre-consultation event which kicks off the discussion about how ERDF and ESF should be invested in London, from 2014-20. The event is part of the Open Days, an initiative organised every October by the European Committee of Regions (CoR) and the European Commission in partnership with regions and cities from all over Europe. Although the majority of events take place in Brussels, the CoR encourages cities and regions to organise local events. It is an opportunity for politicians, officials, academics, private sector representatives and experts from around Europe to meet to discuss and debate about the future of the European Union Cohesion policy.

Objectives for the event:

1. Provide an opportunity to examine the implications of the new Structural Funds regulations on the future programmes in London. The views of national policy makers will be presented

2. Discuss possible thematic investment priorities and delivery arrangements, including London’s proposal to become a ’Managing Authority', in line with Mayor’s strategic role in economic development and the Government's localism agenda

3. Present the findings and recommendations for post-2014 from the 2007-13 independent interim programme evaluation carried out by Regeneris

4. Establish a platform for ongoing consultations between the GLA and partners, to inform the future shape of the EU investment in London

A questionnaire is attached at the end of this briefing paper. An electronic copy will also be circulated after the event. Please send your responses to:

European Programmes Management UnitCity Hall The Queen's Walk London SE1 2AA Greater London AuthorityEmail: erdf@london.gov.uk

Background

ERDF and ESF are delivered through 7-year programmes. Unlike many other EU funding sources, structural funds programmes are not directly managed by the European Commission but by national and regional authorities. For 2007–2013 London was awarded £409 million ESF and £151 million ERDF.

The GLA manages and monitors the delivery of London’s ERDF and ESF 2007-2013 programme on behalf of the Mayor through the European Programmes Management Unit (EPMU). The English ERDF Managing Authority is the Department for Communities and Local Government (DCLG). The Department for Work and Pensions (DWP) is the Managing Authority for the ESF National Operational Programme

The ESF programme contributes to sustainable economic growth and social inclusion by extending employment opportunities and by developing a skilled and adaptable workforce. The ERDF programme is focused on SMEs support. It promotes greater innovation, collaboration and environmental efficiency. ERDF provides support in accessing new markets, including in the emerging Asian economies, and in accessing the finance for investment that is often a major difficulty for small businesses in London. Another major investment priority is the development of high-quality working environments and low/zero carbon employment sites.

Key 2007 -13 ERDF expected outputs/results include 15,400 businesses assisted, 4,000 jobs created and 5,000 jobs safeguarded. The London 2007-13 ESF Programme has engaged over 450,000 Londoners to date. Almost 20% have entered into employment and 75% of participants that are young people not in education employment or training (NEET) have gained employment or moved into further education or training.

Outlook for the 2014-2020 Programme Investment Priorities

The EU ‘Common Strategic Framework’ investment themes are:

1. Innovation and R&D2. ICT: Improving access; quality and

usage3. SMEs: Improving competitiveness,

incl. in the agricultural and aquaculture sectors

4. Shift to low carbon economy5. Climate change adaptation and

risk management6. Environmental protection &

resource efficiency

7. Sustainable transport and unblocking key networks

8. Employment and labour mobility9. Social inclusion and fighting

poverty10. Education, skills and lifelong

learning11. Improving institutional capacity

for efficient public administration (‘Technical Assistance’)

In the UK, at least 80% of the ERDF funding allocated at national level needs to be allocated to four themes: research and innovation, SME competitiveness, low carbon & energy efficiency and ICT. A minimum of 5% of ERDF resources will be earmarked for sustainable urban development.

ESF will concentrate on four ‘thematic objectives’, each of which has ‘investment priorities’: promoting employment & supporting labour mobility; investing in education, skills and life-long learning; promoting social inclusion & combating poverty and enhancing institutional capacity and efficient public administration. A minimum share of 20% of the ESF will be dedicated to the social inclusion action.

Pre-consultation questions:

Name: Organisation:

Contact email:

1. Which of the EU's 11 priorities/themes for structural funds investment are best aligned to your organisation’s long term objectives and plans?

2. Should the next ERDF programme be place based or theme based?

3. What provisions and delivery arrangements should be put in place to ensure that local priorities are taken into account in the next ERDF and ESF programmes? How would this improve results?

4. To what extent should ERDF and ESF be combined in the next programmes? Are there any specific themes which would allow these funds to operate in a more integrated way without compromising efficiency of delivery?

5. Would your organisation be considering some of the options proposed by the European Commission to promote more localised and co-ordinated programming, such as Joint Action Plans, Integrated Territorial Investments and Community-Led Local Development?

6. What lessons from the 2007-13 programmes should be taken forward to 2014-20?   

7. What good practices from the 2007-13 programmes should be taken forward to 2014-20?

8. The proposed 2014-20 regulations put more emphasis on financial engineering instruments. Would this approach ensure better use of funds for London?

9. Are there any other specific points you wish to make which are not covered by these questions?

You can write your answers on the back of this sheet. Please leave this paper on the chair before you leave or hand it to a member of staff.

An electronic copy will also be circulated after the event. Please send your responses to:

European Programmes Management UnitCity Hall The Queen's Walk London SE1 2AA GREATER LONDON AUTHORITYEmail: erdf@london.gov.uk