INFORMATION SHEET
NO: 041/2015
DATE OF ISSUE: 02 OCTOBER 2015
Subject:
European Structural and Investment Funds (ESIF)
Lead Officer:
Dave Webb
Contact on 01789 260900
Ward Members:
N/A
1.
Background
1.1
The European Structural and Investment Funds (ESIF) are the combined term
for European Regional Development Funds (ERDF), European Social Funds
(ESF) and European Agricultural Fund for Rural Development (EAFRD). The
ESIF growth programme funds projects that create jobs and support local
growth. 1.2 Local partners have been given some influence over this money
by the Government. LEPs have worked with local partners to develop
investment strategies to use the funds to promote growth and jobs in their
local areas. The ESF will fund employment, skills and social inclusion activities.
LEPs have been tasked with identifying what priority provision ESF should
support in their area to address local needs, in a way that complements but
does not duplicate Government policies and programmes.
1.2
LEPs submitted initial drafts of their strategies in October 2013 and revised
strategies in January 2014. A LEP Area ESIF Committee made up of local
partners has also been established to advise Government on the use of the
funding and the ‘strategic fit’ of projects seeking funding.
1.3
A ‘notional sum’ of £98.9 million has been made for
Warwickshire for:-
Coventry and
 £48.1 million ERDF (European Development Fund)
 £48.1 million ESF (European Social Fund) which relates to the 3 themes of
Employment, Skills and Social Inclusion contained within the ESIF
 In addition, £2.7 million for EAFRD (European Agriculture Fund Rural
Development)
2.
European Regional Development Funds (ERDF)
2.1
The local ERDF structure has 5 priorities: Research and innovation
 ICT
 SME Competitiveness
 Low Carbon economy
2.2
Research and Innovation
This priority aims to promote business investment in research and innovation,
including through the attraction of new companies and inward investment.
2.3
ICT
2.3.1 This has the specific objective of increasing the coverage and take up of
superfast and ultrafast Broadband in areas where the market is failing,
particularly where this is creating a barrier to SME growth.
2.4
SME Competitiveness
2.4.1 Focuses upon the provision of advice, consultancy, mentoring and peer-to-peer
support to indigenous businesses and inward investors (SMEs from outside the
EU who will move to England).
2.4.2 This encompasses outreach, coaching, mentoring, networking and consultancy
support to promote business start-up, survival and growth. Grants to support
productive investment including the provision of non-grant finance to support
start-ups or entrepreneurs where there is a clearly evidenced market failure.
Provision of land and premises for employment sites including incubator space,
managed workspace, or grow-on space.
2.5
Low Carbon economy
2.5.1 Covers R&D, innovation, supply chain work for low carbon technologies and
materials, including carbon capture and carbon storage, wave and wind
energy, smart grids, distributed generation, solar and photovoltaics, heat
networks, heat pumps and low carbon heat for energy intensive industries.
3.
European Social Fund (ESF)
3.1
Alcester, Stratford Avenue and New Town and Stratford Mount Pleasant are
priority wards in ESF. Where possible we are asking for a target of 60%
delivery in the 38 priority wards across Coventry & Warwickshire.
3.2
The ESF focuses on 3 thematic objectives: Promoting employment and supporting labour market mobility
 Promoting social inclusion and combating poverty
 Investing in education, skills and lifelong learning
3.3
Promoting sustainable/quality employment and supporting labour mobility
3.3.1 This is concerned with access to employment for jobseekers and economically
inactive people, and on the sustainable integration of young people into the
labour market, particularly those who are not in employment or training
(NEET).
Local priorities include:
 access to employment for jobseekers and inactive people
 sustainable integration of young people
3.4
Promoting social inclusion, and combating poverty
3.4.1 This priority is concerned with the active inclusion of disadvantaged people
who are furthest from the labour market in order to improve their
employability. It is intended to help remove barriers to work in a holistic and
integrated way, including through supporting early action, outreach activities
and access to locally provided services.
Local priorities include:
 Increasing employability through financial literacy
 Tackling barriers to work
 Sustainable integration of young people
3.5
Investing in education, training and vocational training for skills and lifelong
learning
3.5.1 This is concerned with improving access to lifelong learning, upgrading the
skills and competences of the workforce, and increasing the labour market
relevance of education and training systems. It will include support for
intermediate, technical and higher level skills, and skills needed by SMEs, as
well as helping low skilled people to progress at work.
Local priorities:
•
Developing skills to tackle unemployment
•
Using skills to support and drive growth
•
Getting a better fit between education and employment
4.
Supporting Tourism in rural areas
4.1
The RDP Growth Programme can fund a variety of investments in rural tourism
to promote growth in the sector, including the development of businesses;
support for visitor attractions and tourism infrastructure; and promoting local
cooperation in order to develop and market tourism destinations. The aim is to
support the creation of distinctive and high quality destinations, based on what
each individual destination can offer.
4.2
LEPs and local partners have identified their key priorities for economic growth
using ESIF funds within their ESIF strategies, including in many cases their
local strategic priorities for investment in the tourism sector.
4.3
In providing advice to inform the development of EAFRD Growth Programme
tourism Local ESIF sub-committees are encouraged to work with Destination
Management Organisations (DMOs), where there is one established, to shape
their advice to ensure that it is best suited to meeting local needs as set out in
local Destination Management Plan (DMP). Where a DMO is not established,
the Growth Programme can support the establishment of a DMO and the
drawing up of a DMP.
4.4
Three measures are available to support tourism through the RDPE Growth
Programme:
4.4.1 Support for investments in the creation and development of non-agricultural
activities
These grants are intended to help develop and grow existing rural tourism
micro and small enterprises and help farms to diversify through rural tourism
activities. Project applicants must demonstrate how their proposed activity
brings about both direct economic benefits, for example job creation and
visitor spend, but also how it contributes to development of the destination
and wider rural growth.
4.4.2 Support for investments in visitor attractions, tourist information, recreational
infrastructure and small scale infrastructure
The grants are intended to help rural businesses and communities benefit from
the value of tourism and attract visitors through activities and the
management and development of rural assets including cultural, tourism and
heritage amenities.
4.4.3 Co-operation for the development and marketing of tourism
These grants are intended to support local co-operation and partnerships that
improve the attractiveness of the destination, for example through developing
the supply chain in the visitor economy and supporting businesses working
together in the marketing and development of a destination.
5.
Local impact
5.1
SME Competitiveness
5.1.1 Warwickshire County Council has submitted an outline application on behalf of
partners. Stratford on Avon District Council is a delivery partner. The funding
submission focuses upon gaps in provision, to complement rather than
duplicate the activities of other partners and to build on some of the learning
from current programmes. This is also guided by the findings of the subregional report ‘CW Business Support Review’ carried out by Regeneris
Consulting. The £3.35 million project has been approved at outline and the full
application will be submitted by the end of October. The project is part of a
much wider £16 million Coventry and Warwickshire SME Growth Programme
also involving Coventry City Council, the Growth Hub and other partners.
5.2
Broadband
5.2.1 The Coventry Solihull and Warwickshire team (CSW Broadband) has almost
completed the rollout of Contract 1 under the BDUK programme. This was a
£15.47m contract, to which Stratford District Council contributed £473,700.
Under Contract 1 Stratford District will move from 45% to 75% superfast
coverage. Contract 2, Part 1 will commence rollout later in 2015 and will
continue to 2018. This is a £9.66m contract, funded by Warwickshire County
Council and BDUK. Stratford will move from 75% superfast to around 89%
superfast. Stratford District Council are being invited to contribute to Contract
2, Part 2 in order to take the superfast coverage still further. CSW Broadband
is also in the process of applying for £3.8m ERDF. This application has also
been approved at outline.
5.3
Other Projects
5.3.1 Warwickshire County Council are also a partner in two further projects: A
£13.5m Coventry and Warwickshire Low Carbon Programme (which includes a
cycling scheme in Stratford upon Avon) and a £5.1 million innovation project
which will test emerging technologies and support collaboration between
universities, SMEs and local authorities.
5.4
Social Inclusion
5.4.1 The local Social Inclusion Partnership is working to identify projects which may
benefit from funding and submissions will be worked up in due course.
5.4.2 The Big Lottery Social Inclusion opt-in calls were launched and the outline
application stage has now closed. Total value is approximately £7m split
between £1.2m financial inclusion, £2.8m for young people (minimum £1.9m
for Warwickshire) £3m tackling barriers to work. Delivery will need to cover
the whole of Coventry and Warwickshire and will be 100% funded.
Big
Lottery received 10 applications for the Coventry & Warwickshire LEP area; 3
for financial capability, 4 for tackling barriers to work and 3 for sustainable
integration of young people.
5.4.3 From the partnership events that CAVA organised we know we have a group of
Citizens Advice Bureaux bidding for financial inclusion, both RightStep and the
Groundwork have put themselves forward to lead on the young peoples' bid
and CWCDA are leading a tackling barriers to work application. We do not
have information on the other bidders at this point in time.
5.5
Rural Tourism
5.5.1 On behalf of the local tourism industry, Shakespeare’s England DMO is
currently discussing opportunities to access funding to support rural tourism. A
call for small-scale tourism infrastructure projects is open at the moment with
a deadline of 30th October. A call for tourism co-operation projects was also
published on 30th September with a deadline of 6th January 2016.
5.6
Employment and Skills
5.6.1 Calls for fully funded programmes for Skills and Employment are now not
expected until the Autumn. These will also be large contracts across the whole
of Coventry & Warwickshire. Invitations to tender expected to be worth £2.4m
for the Employment theme commissioned by DWP and £7m for the Skills
theme commissioned by the SFA, this will include £2.2m that is ring fenced for
Warwickshire only.
5.7
Sustainable integration of young people
5.7.1 There will also be a specific open call for projects to support young people in
Warwickshire. This is because Coventry is eligible for additional funding under
the Youth Employment Initiative which Warwickshire is not. This call will be
worth £1.5m and will need to be 50% match funded.
Dave Webb
HEAD OF ENTERPRISE, HOUSING AND REVENUES