Charities condemn uncertainty over loss of £850m EU funds
Scottish organisations hit by the looming withdrawal of lifeline EU Structural Funds say they need certainty over the replacement being provided by the UK government.
EU Structural Funds were worth over £850 million to Scotland between 2014 and 2020, but no new money will be awarded after Brexit takes effect on 1 January.
Westminster has yet to set out the detail of the UK Shared Prosperity Fund that will replace it, although there has been a pledge to match the funding that was provided by Brussels. There are also concerns that any new scheme will be distributed by UK ministers, instead of Holy rood, which had responsibility for the scheme previously.
Organisations dealing with young people seeking to improve their life chances and offenders trying to get into work are among those reliant on the vital EU funding sources.
Professor David B ell, who heads up the Scottish Government’ s Steering Group on the replacement for EU Structural Funds, has said any replacement must meet the needs of local businesses and communities in a column for today's Scotsman.
“Timing is now critical -there are less than three months togo until the end of the transition period and therefore of the existing EU funding schemes,” he writ es.
“At present, there is no signal of interest from the UK government, nor of any design proposals that would constitute an appropriate use of taxpayers’ money.
”The Brexit transition period end son 1 January, although the existing structural funding streams will be in place for organisations for the bulk of next year. Among the organisations in Scotland affected are Right Track based in the east of Glasgow, which helps up to 500 youngsters aged between 15 and 18 who have learning, emotional and educational challenges, with a view to getting them into work or college.
A UK ministry of ho using, communities and local government spokesperson said: “We’re committed to creating a UK Shared Prosperity Fund that binds together the whole of the UK while tackling inequality and deprivation. We’ll target the fund at the UK’S specific needs, driven by domestic priorities .”