post 2013 euro funding programmes

European Structural Funds:2014 -2020

Rob Halford

Wales European Funding Office

Content:

- Parameters / Expectations

- Planning Process

- Priorities

Commission Expectations

• Delivery on Policies: Europe 2020,Flagship Initiatives etc.

• Links to EU policy Strategic Architecture• Integration of funds. Domestically (ERDF, ESF, EAFRD,

EMFF) and EU delivered (Horizon 2020, Connecting Europe, LIFE+)

• Stronger focus on performance and achieving outcomes and results.

• Clear intervention logic• Use of stronger (contractual) conditions i.e. sanctions

for missing agreed specific targets in programme.• Concentration of resources on fewer activities.

Ewrop & Chymru: Buddsoddi yn eich Dyfodol Europe and Wales: Investing in your future

Ewrop & Chymru: Buddsoddi yn eich dyfodol Europe & Wales: Investing in your future

Thematic Objectives



SMART• strengthening research, technological development and innovation;• enhancing access to, and use and quality of, information & communication

technologies;• enhancing the competitiveness of SMEs, the agricultural sector (EAFRD)

and the fisheries / aquaculture sector (EMFF);SUSTAINABLE• supporting the shift towards a low-carbon economy in all sectors;• promoting climate change adaptation, risk prevention and management;• protecting the environment and promoting resource efficiency;• promoting sustainable transport and removing bottlenecks in key network

infrastructures;INCLUSIVE• promoting employment and supporting labour mobility;• promoting social inclusion and combating poverty;• investing in education, skills and lifelong learning;• enhancing institutional capacity and an efficient public administration

Investment Focus: ERDF



Commission’s Draft Regulations puts clear focus on:

•Research & Innovation•Energy efficiency & Renewable Energy,•SME competitiveness

Concentration of ERDF resources on the above themes:

•80% in more developed and transition regions (EW)•50% of resources in less developed regions (WWV)

•Remaining resources must be applied to themes in Commission list

Investment Focus: ESF



ESF draft regulations also focus on Europe 2020 goals:

• Promoting employment and supporting labour mobility

• Investing in education, skills and life-long learning• Promoting social inclusion and combating poverty – min. 20% of

ESF

• Enhancing institutional capacity and efficient public administration

• Greater emphasis on fighting youth unemployment• Strengthened provision for transnational co-operation, social

innovation, gender equality and equal opportunities.

Planning Process:

We must all face up to the challenge of making tough choices about how and where we should invest resources. Resources cannot be spread thinly across a broad range of interventions. We need to invest in areas which have genuine potential to transform our economic prospects…...A whole-Government approach is needed to integrate interventions to deliver realistically on our ambitions.

Deputy Minister’s Oral Statement 8 May 2012

Next Steps: Welsh Government Guiding Principles



• Creation of sustainable jobs and growth: facilitating role of business.

• Balance between greater thematic concentration and more effective spatial targeting- essentially greater concentration in fewer geographic areas- to maximise impact.

• Alignment of programmes with relevant Welsh Government strategies and policies.

• Contribution to a transformational impact on the Welsh economy.

• Ensure sustainability of future investments: clear exit strategies, takes account of role of private sector, building social resilience etc.

• Demonstrate clear added value and based on sound evidence.

ERDF

• SME Competitiveness

• R&D and Innovation

• Infrastructure

• Energy

ESF

• Young People

• Employment

• Skills

EAFRD & EMFFRural and Fisheries

Structural Fund: Proposed Priorities and Cross Cutting Themes

Cross-Cutting Themes

• Sustainable Development

• Tackling Poverty

• Equal Opportunities


‘Presumption Against’:



• General Business support and grant-based business support -

other than for R&D or targeted interventions.

• Primary or ‘blue-skies’ research.

• Engagement and support measures where support could restrict

the ability of the private or third sectors to operate.

• Labour market interventions that are more social in nature with

little prospect of outcomes that enhance employability.

• Managed access to countryside and coast and initiatives

developing the natural , historic or cultural environment.

• Building more integrated and effective public services. (Not an exhaustive list)



Planning the new Programmes: Partner Engagement

• European Programmes Partnership Forum (2014-2020)

• Key mechanism for partnership engagement – all sectors represented.

• Workstreams

• Development of detail for Operational Programmes, Evaluation, Delivery and Compliance, and Territorial Co-Operation.

• Public Consultation:

• Two stage process – ‘direction then detail’• Reflection Exercise – 80 responses – informed Ministerial Statement on

Principles and Priorities (8th May 2012)• Formal consultation on the detailed content of the Operational

Programmes - early 2013.



Planning ProcessPublish draft regulations & draft financial perspective (2014-2020?)

Publish draft Common Strategic Framework

Agreement of Financial Perspective and budget allocations

Agreement of Structural Fund Regulations

EU Negotiation of Budget / Regulations

Establish workstreams

Early programme development & consultation

Detailed programme development

Public consultation on draft documents

Negotiation of Operational Programmes

Begin programme implementation

WEFO key stages / milestones

2013

Negotiations

20122011 2014

First meeting of Post-2013 Partnership Forum

New EU Programmes: Priorities

ERDF

• SME Competitiveness

• R&D and Innovation

• Infrastructure

• Energy

ESF

• Young People

• Employment

• Skills

EAFRD & EMFFRural and Fisheries

Structural Fund: Proposed Priorities and Cross Cutting Themes

Cross-Cutting Themes

• Sustainable Development

• Tackling Poverty

• Equal Opportunities




ERDF - SME Competitiveness Aim: Business growth and jobs• Core performance indicators: New businesses created; and New jobs

created. • Regulatory Restrictions: only SMEs eligible• Commission expectations: use of loans and equity vehicles; more

targeted and focussed support; clear focus on improving access to finance

• Rationale: – SMEs key source of private-sector employment, – comparatively low levels of entrepreneurship in Wales, – management skills and experience; business innovation; access to finance;

effective networks are barriers to growth– Evidence on the economic benefits of direct support to businesses by

government is mixed. – Businesses are best placed to advise other businesses.



ERDF – Research and Innovation Aim: address productivity gap: increased capacity and attract funding for

research and innovation; embedding a culture of innovation; and increasing the economic exploitation of R&I

• Core performance indicators: R&D jobs created; Enterprises introducing new / improved products; Private investment induced; Enterprises co-operating with Research Institutions.

• Regulatory restrictions: State Aid issues with larger organisations• Commission expectations: clear link to economic outcomes; smart

specialisation; focus on Grand societal challenges.• Rationale:

– Exploitation of new technologies and research, and networking, of critical importance in boosting productivity.

– Greater specialisation and focus on world-class excellence is required to remain competitive for increasingly over-subscribed UK, EU and global research funds.

– Access to finance remains the main barrier for innovative businesses.



ERDF: Renewable Energy and Energy Efficiency• Aim: address climate change objectives and support the development of a

low-Carbon economy and green jobs.

• Core performance indicators: jobs created; renewable energy generated; users connected to smart grids.

• Regulatory restrictions: renewable energy only; only existing housing for energy efficiency; issues of State Aid and where Government schemes exist (e.g. feed-in tariffs, Green Deal).

• Commission expectations: consideration of planning issues• Rationale:

– Strong case on environmental and economic grounds– immediate job impacts of energy efficiency investments deliver and longer term

gains through renewable energy generation, research, and demonstration.– Natural resources and existing expertise



ERDF –Infrastructure• Aim: improved environment for business creation and growth through:

better connections for business and employment; completion of digital networks; strategic infrastructure to drive economic development

• Core performance indicators: new jobs created; km road / rail created / improved; increase in use of supported transport; population covered by broadband

• Regulatory restrictions: roads need to be linked to TEN-T networks

• Commission expectations: very limited infrastructure in UK; addressing “bottlenecks”, “sustainable” transport; urban congestion

• Rationale:– Peripherality has major impacts on levels of productivity– Need for other components of growth other than transport– ICT infrastructure essential for growth– Mixed evidence of the economic impact of regeneration



ESF – Skills

• Aim: to invest in skills as a driver of productivity and growth, tackling identified skills gaps, supporting progression in employment

• Rationale:– Basic skills requirements remain including as a pathway to higher skills– Higher levels of qualification are associated with higher levels of

employment and higher wages.– Higher skilled jobs set to increase, lower skills jobs set to decrease– Skills development of a workforce offers employer flexibility and

adaptability– Skills development can facilitate career progression and help address in-

work poverty



ESF – Young People

Aim: To address rising levels of youth unemployment and tackle poverty, inclusion and disadvantage through investing in the development of children and the education, training and employment of young people.

Rationale Significant impact of economic downturn on youth employment. More competitive labour market – with people working longer. Early interventions can help prevent individuals becoming NEET. Possible Themes:1 Early Years – Improving the life chances of children from early years.2 Youth Attainment and Engagement- increasing skills and educational attainment amongst young people3. Youth Employment - supporting the progression of young people ( up to age 25) into employment



ESF – Employment

Aim: To contribute to increasing the employment rate and to tackle poverty and social inclusion in Wales through supporting people in finding and maintaining sustained employment. RationaleChallenging labour Market environment.Decline in low skilled occupations/ higher skilled more insulated from effects of recession.Getting a job – or progressing within employment are best means of combating poverty and in work poverty.

Possible ThemesHelping People into WorkInclusion and Engagement in the Labour MarketHelping People stay and Progress in Work

Thank You.

Rob Halford

Wales European Funding Office

post 2013 euro funding programmes

Documents

future europe

fisheries ewrop chymru

labour mobility investing

commission listewrop

exhaustive listewrop

clear focus

concentration of resources

stronger focus