EUROPEAN STRUCTURAL INVESTMENT FUND SETTING THE SCENE

EUROPEAN STRUCTURAL INVESTMENT FUND – SETTING THE SCENE Jo Lappin

The Funds • ERDF – European Regional Development Fund • ESF – European Social Fund • EAFRD – European Agricultural Fund for Rural Development

Funding Available Total ESIF Funding of € 7. 2 BN, made up of: • ERDF € 3. 6 BN (NEP £ 23. 0 m) • ESF € 3. 5 BN (NEP £ 23. 1 m) • EAFRD € 221 M (NEP £ 2. 2 m)

Governance • National Operational Programmes ▪ Built up from Local Enterprise Partnerships’ ESIF Strategies which set out local strategic needs & priorities • Growth Programme Board (Programme Monitoring Committee) ▪ Supported by LEP Area ESIF Sub Committees

ESIF Sub-Committee • Calls - Provide advice to Managing Authority on the local strategic focus of calls for projects • Applications - Provide advice to Managing Authority on local strategic fit of applications

Delivery Principles • Strategic – making a strong contribution to the delivery of the priorities within the SEP • Concentrated – on those activities that are most important to Northamptonshire, its people and its economy • Additional –providing assistance where activities would not otherwise proceed or would do so on a smaller scale or at a later date • Catalytic – delivering exemplary projects that genuinely drive forward Northamptonshire’s economy • Ambitious – delivery pace to ensure early performance to unlock the Performance Reserve

Delivery Principles • Aligned – with strategic partners investment priorities to maximise the availability of match funding and return on investment • Responsive – sufficiently flexible to respond to the changing and emerging needs of the local economy; and guidance from the European Commission and the Managing Authority • Compliant – developed and delivered in line with all regulatory requirements • Cross Cutting – genuinely embeds themes of sustainable development and gender equality, equal opportunities and non-discrimination in the commissioning and delivery of activities

Challenges • Compliance ▪ Procurement ▪ State Aid ▪ Publicity ▪ National Eligibility Rules • Match Funding - must be available from the outset; identified & secured by the applicant during the application process

Eligibility Criteria • Each fund has a different set of criteria for applicant eligibility for example; • ESF SFA registered provider status • ERDF Direct and Indirect opportunities for Businesses to respond to calls

ESIF Targets ERDF: • 1, 200 enterprises supported • 640 new enterprises supported • 1, 394 jobs created ESF: • 5, 112 unemployed people supported • 5, 785 inactive people supported • 4, 742 employed people trained • 1, 428 young people trained

ERDF Allocation Activity Total ESIF allocation Allocation to 2018 £m £m ERDF TO 1: Innovation Northamptonshire Innovation Programme 4. 9 2. 5 TO 2: ICT SME Digital Improvement 1. 5 0. 75 TO 3: SME Competitiveness 5. 0 2. 5 International Trade 1. 0 0. 5 High Growth 1. 0 0. 5 Manufacturing Growth 1. 0 0. 5 Access to Finance Fund 4. 0 N/A 12. 0 4. 0 SME Resource Efficiency 1. 6 0. 8 Low Carbon and Energy Revolving Fund 3. 0 1. 5 TO 4 totals 4. 6 2. 3 23. 0 11. 5 TO 3 totals TO 4: Low Carbon ERDF total

ESF Allocation ESF* TO 8: Employment and Labour Mobility Support for the Unemployed 6. 5 Northamptonshire NEET and young people Support TO 8 totals TO 9: Social Inclusion Return to Work Northamptonshire Community Grants TO 9 totals TO 10: Skills 0. 3 6. 5 5. 1 Workforce Skills Programme Local Responsiveness Fund 3 3. 3 1. 5 0. 3 1. 8 3. 0 11. 5 Enterprise Skills Development 0. 4 0. 6 TO 10 totals 11. 5 4. 1 ESF total 23. 1 9. 2 * ESF allocations by activity have only been determined for 2014 -18.

EAFRD Allocation EAFRD Activity Art 36 Tourism Full Allocation to 2018 Support for Quality Rural Tourism 0. 25 Tourism Promotion 0. 1 Art 36 totals Art 20 business 0. 35 Support for Increasing Rural Business Productivity Business Support for Micro Businesses and SMEs 0. 1 0. 25 0. 3 Art 20 totals EAFRD total 0. 45 0. 25 0. 15 1. 9 Energy Efficiency for SMEs 0. 15 0. 25 Support for SMEs to grow 0. 3 Grant Support for Micro Businesses and SMEs 0. 6 0. 15 1. 0 2. 2 1. 25

APPLYING FOR FUNDING – THE CALLS Sajeeda Rose

Calls – Proposed Timetable

ERDF Calls ERDF – National and Local Calls 4 Local Calls: • PA 1 Innovation (currently open) • PA 2 ICT • PA 3 SME Competitiveness (currently open) • PA 4 Low Carbon 3 National Calls all open: • Manufacturing Growth • High Growth • International Trade

PA 1 - Innovation ERDF Operational Programme Priorities • Specific objective 1. 1 - Increase investment in research and innovation by small and medium enterprises, particularly in sectors and technologies identified through smart specialisation • Specific objective 1. 2 - Increase the number of SMEs engaged in knowledge exchange, collaborative and contract research and innovation with research institutions, public institutions or large enterprises in order to help bring new products and processes to market

Local Innovation Priorities • Support for smart specialisation collaborative research between enterprises, universities/research institutions, and public institutions across a pan LEP geography • Support for the commercialisation and enterprise of new products and business processes

PA 2 - ICT ERDF Operational Programme Priorities • The Digital Agenda for Europe includes the following goals: ▪ The entire EU to be covered by broadband above 30 Mbps by 2020 ▪ 50 % of the EU to subscribe to broadband above 100 Mbps by 2020 • The support provided through this specific objective will improve ICT connections, so they are no longer a barrier to growth for businesses and will help them to improve their productivity, growth and create jobs, in turn increasing the percentage of businesses which use superfast broadband.

Local ICT Priorities • Encourage SMEs to take up the opportunities and exploitation for commercialisation of ICT. • Provide intensive support to target those individuals and businesses that either live or trade within Northamptonshire

PA 3 – SME Competitiveness ERDF Operational Programme Priorities: Investment priority 3 a -Promoting entrepreneurship, in particular by facilitating the economic exploitation of new ideas and fostering the creation of new firms, including through business incubators. Specific objective - Increase entrepreneurship, particularly in areas with low levels of enterprise activity and amongst under-represented groups Investment priority 3 c - Supporting the creation and the extension of advanced capacities for products, services and development Specific objective - Increase the growth capacity of SMEs Investment priority 3 d - Supporting the capacity of small and medium sized enterprises to grow in regional, national and international markets and to engage in innovation processes Specific objective - Increase growth capability of SMEs

Local Competitiveness Priorities • Targeted Entrepreneurship Programme to support new start ups • Extension of support for established companies through the Northamptonshire Growth Hub; • Sector specific support to address barriers to growth for priority sectors – HPT, Logistics, Food & Drink, Creative and Cultural Industries

SME Manufacturing Growth ERDF Operational Programme Priorities • 3 c) supporting the creation and the extension of advanced capacities for products, services and development • 3 d) Supporting the capacity of small and medium sized enterprises to grow in regional, national and international markets and to engage in innovation processes Local ESIF Priorities • Smart Specialisation - focussing pro-active public investment on key SME market segments • Stimulating manufacturers to innovate - to improve competitiveness and drive business growth • Growth support for rural based manufacturing businesses • Supporting SME manufacturers to grow - create jobs/GVA and expand into larger premises within the LEP area

High Growth SMEs ERDF Operational Programme Priorities • 3 c) supporting the creation and the extension of advanced capacities for products, services and development • 3 d) Supporting the capacity of small and medium sized enterprises to grow in regional, national and international markets and to engage in innovation processes Local ESIF Priorities • Raise awareness of growth opportunities within target sectors • Identify and target growth potential companies • Intensive Growth Coaching for growth potential companies

International Trade ERDF Operational Programme Priorities 3 d) Supporting the capacity of small and medium sized enterprises to grow in regional, national and international markets and to engage in innovation processes Specific Local ESIF Priorities • Stimulation activity - business engagement activity targeting companies that could but currently don’t export stimulating them to consider and pursue an internationalisation strategy as a mechanism for growth • Early Stage Coaching - provision of intensive support to work with early stage companies supporting them with ‘export readiness’ • Additional advisory resource - specialising in key sectors that are important to the local economy

PA 4 – Low Carbon • Investment priority 4 a - Promoting the production and distribution of energy derived from renewable sources • Investment priority 4 b - Promoting energy efficiency and renewable energy use in enterprises • Investment Priority 4 c - Supporting energy efficiency, smart energy management and renewable energy use in public infrastructure, including in public buildings, and in the housing sector • Investment Priority 4 e - Promoting low-carbon strategies for all types of territories, in particular for urban areas, including the promotion of sustainable multimodal urban mobility and mitigation-relevant adaptation measures • Investment Priority 4 f - Promoting research and innovation in, and adoption of, low-carbon technologies

Local Low Carbon Priorities • Voucher schemes - to support SMEs to research and implement practical resource use planning/energy efficiency improvements • Energy efficiency in enterprises - including industrial processes, designing out waste, recovery of ‘waste’ heat energy and CHP • Move to renewable and low carbon fuels - to generate heat and power • Structural retrofit - for energy efficiency of commercial buildings • Non-domestic retrofit - demonstrator projects for whole building solutions exemplifying technologies which are near-to-market

ESF Calls • 3 Opt-in Partners: 1. SFA 2. DWP 3. Big-Lottery

SFA Calls • Community Grants - Improving the employability and skills of unemployed and economically inactive people through a Community Grants Programme to deliver support for those groups furthest from the labour market • Local Responsiveness Fund - pilot new solutions to existing and emerging skills issues especially within key sectors of growth • Workforce Skills Programme - respond to local skills priorities identified within the SEP and ESIF to meet the needs of employed adult and young people in the local workforce by adding value to existing provision • Support for Young People and NEETs - The aim is to reduce the number of young people, aged 14 -18 in the Northamptonshire area who are not in education, employment or training (NEET), or are at risk of becoming NEET

DWP Calls Overarching Package of support to target those that out of work to enter into employment or training. With a specific focus on: • Support for the Unemployed (incorporating support for Young People, Older Clients and Vulnerable Adults) • Support for Troubled Families • Support for Carers • Support for Self Employment

Big Lottery Calls • Overcoming Barriers to Work - support long term unemployed people and with complex needs to overcome specific barriers to employment • Improving Social and Economic Inclusion - improve engagement of disadvantaged groups by targeting our most deprived areas by developing a package of sustainable support to residents to progress to learning, employment and enterprise with wraparound support • Targeted Financial Inclusion - provide wraparound support, targeting in particular those who will be affected by the rollout of Universal Credit, to improve financial inclusion and reducing debt, with clear progression routes into skills and employment provision

EAFRD Priorities

Business Process • Calls for Proposals ▪ ESIF Funding Finder, all call templates, guidance & application forms available at www. gov. uk/european-structural-investment-funds ▪ NB register as an applicant via LOGASnet • Two Stage Process ▪ Outline Application, assessed against gateway and core selection criteria and local ESIF Strategy ▪ Full Application, full technical appraisal against selection criteria, assessment of strategic fit with Operational Programme & local ESIF Strategy • Funding Agreement ▪ Between applicant organisation and the Managing Authority ▪ Effective date for expenditure normally date of approval ▪ Retrospection: May go back to date project invited to submit a full application, considered on case by case basis

Further Information • ESIF Funding Finder – www. gov. uk/european-structural-investmentfunds • A number of documents are available on the website www. gov. uk/government/publications: – ERDF State Aid Law Requirements – ERDF Eligibility Rules – ESF Eligibility Rules – ERDF/ESF Selection Criteria – ERDF/ESF Branding and Publicity Requirements – ESIF Logos and Publicity Templates – ERDF / ESF Technical Assistance Guidance and timesheet example – ERDF / ESF Outline Application Form and Guidance – [Procurement Law] • If there are issues accessing this guidance, email EM. ERDFEnquiries@communities. gsi. gov. uk

Catalysing Better Business Learning From Experience Phoebe Edwards www. emb-group. co. uk

Catalysing Better Business Catalysing Growth - Vital Statistics • • • Partnership project funded from the 2007 -13 programme Total project value £ 17. 5 m £ 10. 5 m match from RGF projects and £ 7 m ERDF Project commenced in June 2013 Delivers in 3 LEP areas (NEP, LLEP and D 2 N 2) Co-investment support for eligible SMEs with significant growth projects.

Catalysing Better Business Chambers, Universities, LLEPs, Busnes Cymru, Others Catalysing Growth – Rationale Enhances existing RGF programmes by: • increasing the overall funding pot, and • more support to applicants to increase access to funding. “The Scotch Egg Principle”

Catalysing Better Business Catalysing Growth - Outputs/Impact • • Businesses assisted Jobs created Private sector funding leveraged Businesses improving their performance

Catalysing Better Business Catalysing Growth in Northamptonshire • £ 2. 33 m • Supporting job creation projects valued between £ 20, 000 and £ 100, 000 • Helping local SMEs grow faster

Catalysing Better Business Introducing your new favourite word… Compliant Relates to any money you spend whether it’s match funding or from the EU • Anything you buy or procure • Any publicity material To avoid claw back, keep every piece of evidence and have very organised files, these will be checked and checked … and checked

Catalysing Better Business Successful Collaboration • Clearly define and document roles and responsibilities • Have a formal mechanism to oversee the project and monitor performance • Share best practice • Continually review to ensure compliance • Involve your CLG project officer • …keep talking to each other!

Catalysing Better Business

Catalysing Better Business The benefits of collaboration • Economies of scale • Centralisation of mandatory administrative processes • Directs more resource to the front line The downside is that it can increase risk so ensure you plan, discuss, agree and document first so everyone clearly understands their responsibilities.

Nick Bolton: Co-Founder, Electric Corby

Growing Corby • 12 years into a 30 year journey • Growing from 50, 000 to 100, 000 people by 2030’s – Already at 64, 000 • Top 5 fastest growing places in the UK • £ 250 m of public funding has leveraged over £ 2 billion of private investment in place making

20 th Century Corby

21 st Century Corby

The past

The present…

The near future… New Cinema 2015 Northern Orbital 2015 completing Midland Mainline Electrification 2017 dual carriageway link from M 1 to heart of Corby

Community Interest Company set up by private and public sector • Supporting economic growth; Developing jobs opportunities; Building a better place Doing this by… • Promoting Corby as a future focused place to live and a first choice location for inward investment, particularly from green, clean and high performance technology sectors • Delivering leading edge projects that have a direct and beneficial impact on the working and living environment in Corby • Leveraging major growth to offer a community scale proof of concept location

Partnership

The whole is greater than the sum of the parts

What it’s about… Embedding and supporting an enterprising culture into the Corby community and raising the profile of the town as a location for business investment… through; • Working together • Collaboration • Creating a Sustainable Legacy

Working together Growing Corby is a coordinating project to secure a higher level of service, support and impact for Corby than the individual strands might otherwise achieve

Collaboration • Breadth of experience • Depth of engagement with stakeholders and communities • Strength from combined skills mix • One agency rarely has all the required skills and experience

Sustainable legacy • Developing partnerships and approaches that can be carried forward • Delivering for the private sector…and securing its support and commitment • Establish Corby as a “partnering” location

‘Growing Corby’ Programme Market Insight and Intelligence Research and reports for start-ups and established businesses to access markets and improve performance Start-Up and Growth Grants Grant funding to support business growth plans Invest in Corby A cost-effective, competitive location for your business, we offer the help you need to move and grow your business in Corby, Northamptonshire

‘Growing Corby’ Programme 2 Internship Service Skilled staff time for local start up and existing businesses to develop and implement growth plans Creativity & Innovation Coaching Supporting businesses to grow through creativity and innovation. Helping businesses to access new markets or launch new products or services Social Enterprise & Co-operative Coaching Support for starting or growing a social or cooperative business

Budget - £ 1, 114, 528 Businesses assisted 244 People assisted to start business 115 Jobs created 161 GVA £ 580 k Businesses improving performance 78 Businesses created/attracted 75 Jobs Safeguarded 350

Delivery so far • Outputs - over performing in most • Results/outcomes on target to overachieve • Oversubscribed in Market Research, Grants and big demand for social enterprise coaching • Various workshops, seminars, events

Marketing and PR • • • Bespoke Website for project Case Studies eg UR Tubes, Hair Geeks Facebook, Linked. In, Twitter CRM Various events and workshops

Delivery issues • • • Full scale delivery started 6/8 months late Initial claims from some partners Staffing at strand level and PMO SLA signing – partners and CBC Businesses spending/claiming grant

Successes • • Partners hit the ground running Beneficiaries – rapid service take up Marketing, promotion and PR Collaboration - partners in the area

How it all works • Partnership Board - quarterly • Operational monthly partner meetings • Performance monitoring/checks by project leads and PMO • Evaluation – Q 2 2015 • Audit - Article 13 Visit Nov 2014

Lessons and Opportunities 1 • Clearly define and document roles and responsibilities • Have a formal mechanism to oversee the project and monitor performance • Share best practice • Identifying and recruiting the right staff early is a key success factor • Continually review to ensure compliance • Involve your CLG project officer • …keep talking to each other!

Lessons and Opportunities 2 • Do not underestimate the task of compliance • Relates to any money you spend whether it’s match funding or from the EU • Anything you buy or procure • Any publicity material • To avoid claw back, keep every piece of evidence and have very organised files, these will be checked and checked and checked …

Lessons and Opportunities 3 • Economies of scale • Centralisation of mandatory administrative processes • Directs more resource to the front line The downside is that it can increase risk so ensure you plan, discuss, agree and document first so everyone clearly understands their responsibilities.

Lessons and Opportunities 3 • Partnership is tough and requires continuous effort • It’s worth it… • You don’t have to be a Core City or large authority to make it work. Collaboration means you can punch above your weight • Confidence and experience to engage with more European funding opportunities – Corby is now a partner in two EU projects, with partners in Spain, France, Italy, Finland Romania, collectively worth over € 8 m

Thank you for listening Find out more at www. growingcorby. co. uk and www. electriccorby. co. uk