101 UK Brexit Notes

Connemara Programme October 16 2018 pg. 107 Project Funding: UK guarantee for EU-funded programmes Purpose The purpose of this notice is to provide an overview of the scope of the government’s guarantee for EU-funded programmes and to link external stakeholders to the parts of government responsible for overseeing the application of the guarantee for specific programmes. Before 29 March 2019 Until our departure from the EU, we remain a Member State, with all the rights and obligations that entails. This means that the UK will continue to participate in all EU programmes while we remain a member of the EU. As agreed as part of the Financial Settlement, the UK will continue to take part in all EU programmes post 29 March 2019 for the rest of the 2014-2020 Multiannual Financial Framework. This Financial Settlement has been signed off by both UK and Commission negotiators in a draft Withdrawal Agreement and welcomed by the other 27 EU countries at March European Council. After 29 March 2019 if there’s ‘no deal’ In the unlikely event of a ‘no deal’, the UK will leave the EU Budget in March 2019 meaning UK organisations would no longer receive future funding for projects under EU programmes, such as the European Regional Development Fund and Horizon 2020, without further action. However, the Chancellor announced in August a n d October 2016 t hat the government will guarantee EU projects agreed before we leave the EU, to provide more certainty for UK organisations over the course of EU Exit. In July 2018, the Chief Secretary laid a Written Ministerial Statement (HCWS926) extending this guarantee t o provide further stability for UK organisations in a ‘no-deal’ scenario. The guarantee now covers the following:  the full 2014-20 Multiannual Financial Framework allocation for structural and investment funds  the payment of awards where UK organisations successfully bid directly to the European Commission on a competitive basis while we remain in the EU  the payment of awards under successful bids where UK organisations are able to participate as a third country in competitive grant programmes from Exit day until the end of 2020  the current level of agricultural funding under CAP Pillar 1 until 2020. For awards where UK organisations successfully bid directly to the European Commission on a competitive basis, we will work with the Commission to ensure that UK organisations will be able to continue to participate. Implications This guarantee ensures that UK organisations, such as charities, businesses and universities, will continue to receive funding over a project’s lifetime if they successfully bid into EU-funded programmes before the end of 2020.