Network for EuropeEuropean Funding - Good Practice and

Preparing for the Next Programme event

Tuesday 3 July 2012

EUROPEAN SOCIAL FUND

James RitchieSenior Policy and Publicity Manager

European Social Fund Division

ESF in England 2007-2013

£2.5 billion focused mainly on two priorities:

extending employment opportunities

employability & skills for disadvantaged people

families with multiple problems

community grants

developing a skilled & adaptable workforce

training low skilled workers, especially in SMEs

Civil Society participation

National level strong focus on delivering localised, specialised, voluntary

services 2007-2010 phase – 211 voluntary sector organisation sub-

contractors in DWP ESF CFO provision (60% of sub-contractors)

2011 ESF Community Grant delivery over 800 grants awarded average value – c. £10,000 participants supported – c. 22,000

networks to raise awareness, involvement and achievements

ESF 2014-2020 thematic objectives

European Commission proposes enhanced focus on Europe 2020 growth strategy:

• promoting employment & labour mobility

• investing in education, skills & lifelong learning

• promoting social inclusion & combating poverty

• enhancing institutional capacity & efficient public administration

European Commission investment priorities 18 investment priorities including:

Access to employment for job-seekers and inactive people, including local employment initiatives and support for labour mobility;

Sustainable integration of young people NEET into the labour market; Adaptation of workers, enterprises and entrepreneurs to change; Active and healthy ageing; Improving the quality, efficiency, and openness of tertiary and equivalent education

with a view to increasing participation and attainment levels; Enhancing access to lifelong learning, upgrading the skills and competences of the

workforce, and increasing the labour market relevance of education and training systems;

Combating discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation;

Active inclusion; Promoting the social economy and social enterprises.

European Commission delivery options

Options in regulations to encourage local engagement:

• Integrated Territorial Investments

• Community Led Local Development

• Role of cities

New financial instruments to encourage social investment

ESF 2014-2020: initial policy thinking

Focus on disadvantaged groups, particularly those not eligible for, or not well served by existing mainstream provision.

Opportunities to support recently published Social Justice strategy.

Groups likely to include: young people not in employment, education or training; troubled families; ex-offenders; unskilled people.

Also scope to support growth agenda through funding self-employment and entrepreneurship, and upskilling employees, particularly in SMEs.

ESF 2014-2020: delivery issues

Existing arrangements are effective: coherence with national policy priorities – ensures that ESF

complements and does not duplicate or support local alternatives to the Work Programme or skills strategy;

match funding comes from national programmes; delivery is efficient (low national overheads); sound financial management through standardised national

procurement and control systems.

But are they responsive enough to local needs, particularly given Government’s localism agenda and focus on cities ?

ESF 2014-2020: challenges

How can we get more local input into strategic planning of how the funds are spent ?

What advantages could closer alignment of funds (especially ESF and ERDF) bring ?

Are there arguments for different local delivery models ? Which sub-national organisations have the capacity and capability to make a difference and take on financial risks ?

If some national elements remain, can we put in place effective mechanisms for local engagement ?

ESF 2014-2020: possible options

Separate Operational Programmes for (a) Helping disadvantaged groups; and (b) Supporting Growth, with the second aligned with ERDF (and therefore “regionalised”).

Different arrangements for engaging Voluntary and Community Sector, particularly in delivering social inclusion activities ?

Some core cities having greater local control. Is London a model to copy ?

Improved procurement arrangements through CFOs, with greater local consultation.