ESIF Funds Programme 2014-2020Focus on Social Inclusion

SELEP Consultation Event

27 May 2014

sandra.turner@ncvo.org.uk

Content

1. Policy Context

2. Key Objectives and Priorities in England

3. Focus on Social Inclusion

4. Business Process/Match Funding

5. Timetable

European Policy ContextEurope 2020 & EU Proposals

Smart, Sustainable and Inclusive Growth 2014- 2020 - 5 EU targets: employment 75%;

innovation 3%; education reduce early school leaving by 10%; social inclusion; 20m less people at risk of poverty

climate/energy: 20%/ 20%/20% (less greenhouse emissions, more renewable energy, more energy efficiency)

- More flexibility to align the funds (ESF, ERDF, EAFRD, EMFF)

- Thematic concentration, intervention logic, results driven, performance framework and reserve,

- Placed-based approaches (for instance community-led local development)

- Simplification (eg flat rates, lump sums, limited audits for small projects)

- Reinforced partnership arrangements: regulatory requirement accompanied by a European Code of Conduct on Partnership

- Promoting Equality, combating discrimination and promoting sustainable development are cross cutting themes

EC position paper 2012National Reform Programme & Country Specific Recommendations for the UK

The Challenges:

Decreasing labour market opportunities

Increasing risk of social exclusion

Stagnant investment in R&D&I

Low availability of finance to SMEs

Inefficient use of resources

EU funds focus:

-Employability of young people

-Raising skills’ levels to match economy’s demand

-Labour Market Integration of people form jobless household

-Child poverty/childcare

AND PROMOTE Active inclusion by:

•Reducing the number of people at risk of poverty and exclusion by supporting the employability of disadvantaged individuals and reinforcing measures to help people at risk to return to employment.

•Increasing the employability of inactive and unemployed individuals facing multiple disadvantages.

•Supporting the training of low-skilled workers, including those receiving Universal Credit benefits, in order to increase their chances of better paid work and to reduce poverty.

•Facilitating access to childcare services

ESI FUNDs GROWTH PROGRAMME -TOP PRIORITIES

Thematic Objective Minimum spending levels at national level required by the regulations

Less Developed Transition Regions More Developed

InnovationAt least 50% ERDF

must be spent on these 4 objectives, of which at

least 10% on low carbon

At least 60% ERDF must be spent on

these 4 objectives, of which at least 15% on

low carbon

At least 80% ERDF must be spent on these 4 objectives, of which at

least 20% on low carbon

ICT

SME Competitiveness

Low Carbon

Climate Change Adaptation

Environmental Protection

Sustainable Transport

Employment

at least 60% of ESF allocation per

programme on up to 4 investment priorities

within these 4 thematic objectives.

at least 70 % of ESF allocation per

programme on up to 4 investment priorities

within these 4 thematic objectives.

at least 80 % of ESF allocation per

programme on up to 4 investment priorities

within these 4 thematic objectives.

Skills

Social Inclusion(At least 20% of ESF must be dedicated to this)

Institutional Capacity

7

ENGLAND MANAGEMENT ARRANGEMENTS 2014-2020

Projects/Operations

Community Led Local Development, including Leader and FLAGs

Maritime and FisheriesProgramme(EMFF) £118m to the UK

RuralDevelopmentProgramme(EAFRD) £3.3 billion and 5% to LEADER

ESI Funds Growth Programme(ERDF, ESF & EAFRD)£5.8m for ESF & ERDF + £177m EAFRD

Governance arrangements

Growth Programme Board (PMC)

National ‘thematic sub-committees

39 Local sub-committees for each LEP area:-LEPs: convene partners and organise Chair; fit with the SEP; pipeline development; -LSCs: implementation plan; prioritise operations; test fit with ESIF; operations recommendations; monitoring role

EAFRD contribution to EU Growth Programme

£177m to ESIF Growth Programme and £14.4 m to SELEP Area

Activities:

1.Building knowledge and skills in rural areas

2.Funding and developing micro, small & medium sized rural businesses;

3.Supporting small scale renewable and broadband investment in rural areas

4.Support for tourism activities

Programming for Social Inclusion

ESF DRAFT Operational Programme:

Priority Axis 1: Inclusive Labour MarketsTO9: Active Inclusion + CLLD

To address the root causes of poverty which create barriers to work so more people move closer or into employment. Focus is on the most disadvantaged.

TO 8: access to employment for inactive people & job Seekers + integration of young people & Youth Employment Initiative

Programming for Social Inclusion

ERDF DRAFT Operational Programme

Targeting of regeneration on a specific geographic area through…

Community Led Local Development

Evidence of need….

From ESF DRAFT OP:

24.1% of population in UK at risk of poverty or social inclusion;

11% of adults experience 3-6 areas of disadvantage (education, health employment, income, social support, housing and local environment)

2.8m workless households

In-work poverty on the rise

Added Value of ESF

• Help more people progress towards work or into employment

• Additional and more intensive support

• Gaps in provision

• Integrated/holistic packages of support

• Prevention, outreach, tailored to the needs of target groups

• Responsive to local needs

Social Inclusion target groups- People with multiple disadvantage/those furthest from the labour

market- Lack of or poor basic skills- Ethnic minorities & migrants- Those with disability, learning difficulties/mental health problems- Substance/alcohol abusers- Lone parents- The homeless- Participants from workless households- Helping workers with disabilities and health conditions stay in work- Over 50’s- Disadvantaged young people- Carers- Those leaving care- Ex-offenders

Examples of activitiesBasic skills and ESOL

Financial literacy programmes

Digital literacy

Community Grants

Soft skills

First Engagement activities

Volunteering

Investment Readiness (Local Impact Funds)

Community Led Local Development

Results

Greater focus on progression….

•Engaged in job search

•In education/training upon leaving

•In employment

•Engaged in positive activities including volunteering and work experience????

Business Process/Match funding

• Non- Optins: Local commissioning and procurement, direct bidding?

• Opt-ins and Co-finance (ESF)• Contracts and/or Grants?• Large and small interventions?

Match: primarily CASH from public (DWP, SFA, BIG, NOMS BIS programmes), private (including volunteer time for ESF???) and VCSE

Timetable

17 April 14: Partnership Agreement submitted

August 14: EC should approve PA

June/July 14: OPs Submitted

Dec 14 or Jan 15 at the latest : OPs adopted

1st Q of 2015: ESIF Programme begins

2015 : Growth Deals and EAFRD begin

For more information

www.gov.uk/government/policies/making-european-funding-work-better-for-the-uk-economy

www.europfundingnetwork.eu

European Code of Conduct