101 UK Brexit Notes

Connemara Programme October 16 2018 pg. 101 Project Funding: European Social Fund (ESF) Purpose This notice sets out how organisations in receipt or applying for European Social Fund (ESF) grants would be affected if the UK leaves the European Union (EU) with ‘no deal’. Find out how this would affect you if you:  want to apply for funding from the European Social Fund  already get funding for European Social Fund projects Before 29 March 2019 The current European Social Fund in the UK provides funding for employment schemes, education and training, to support society’s most disadvantaged people and help them acquire relevant skills to support entry into employment and progression in work. Individual ESF programmes are managed by the Department for Work and Pensions in England, and by Devolved Administrations in Scotland, Wales and Northern Ireland, as well as HM Government of Gibraltar. The draft Withdrawal Agreement between the UK and the EU published in March 2018 would mean that the UK would continue to participate in the European Social Fund programme until programmes end in 2023, subject to a final negotiated agreement. This provides certainty to communities, who will continue to receive the same level of funding as they would have if the UK was a member of the European Union until the end of the 2014-2020 programme period. Potential grant recipients currently make applications to Managing Authorities (Department for Work and Pensions in England, the Devolved Administrations, and HM Government of Gibraltar), in accordance with the project and appraisal processes in place for the relevant administration or Managing Authority. After March 2019 if there’s no deal In the unlikely event of a no deal scenario, the UK’s departure from the EU would mean UK organisations would be unable to access EU funding for European Social Fund projects after exit day. We are committed to ensuring that there will be no gap in funding for regional growth in the event of a no deal. Th e Chancellor announced in August and October 2016 that the government would guarantee certain EU projects agreed before we leave the EU in order to provide more certainty for UK organisations over the course of EU Exit. This guarantee included European Social Fund projects. In July 2018 the Government extended the guarantee so that it would cover all projects, including European Social Fund Projects, that would have been funded by the EU under the 2014-2020 programme period. The extension means that the Department for Work and Pensions, the Devolved Administrations, and HM Government of Gibraltar, will continue to sign new projects after EU Exit until programme closure. This practical measure provides additional certainty, guaranteeing investment in skills and employment up to the end of the current European Social Fund programme period, in the unlikely event that the UK leaves the EU without a negotiated agreement. This will provide certainty to communities, businesses, charities, Local Enterprise Partnerships (in England), local authorities and other local partners. Actions for Businesses and Stakeholders In order to ensure stability and continuity, Managing Authorities will administer the guarantee through existing national and local arrangements, modified and simplified as appropriate in line with wider rules on public spending. Projects will be managed to ensure appropriate audit, monitoring and evaluation arrangements are in place, and that all spending delivers good value for money and fits domestic strategic priorities. Organisations should continue applying for and delivering funding under current arrangements with confidence that the funding guarantee applies if there is no negotiated agreement between the UK and the EU.