Structural Funds

Mrs. Curtis-Thomas
To ask the Secretary of State for Trade and Industry if he will take steps to ensure that the North West is a priority for the allocation of structural funds.

Margaret Hodge
As set out in the written statement to Parliament of 20 December 2005, Official Report, columns 203-06WS. Merseyside will receive phasing-in funding under the Regional Competitiveness and Employment Objective for 2007-13. This will amount to approximately one-third of its allocation as an Objective 1 area over the period 2000-06.

The rest of the North West, along with the other areas of the UK not eligible for Convergence funding (the successor to Objective 1) under the next round of Structural Funds from 2007-13, will be eligible for support under the Regional Competitiveness and Employment Objective. These areas will receive a total of approximately €6.2 billion in Structural Funds over this period.

The Department of Trade and Industry has recently carried out a public consultation on a draft National Strategic Reference Framework for future Structural Funds spending. As part of the consultation, we sought stakeholders’ views on the methodology for allocating part of the UK’s Competitiveness funds. In reaching a final decision on this issue, the Government will, of course, want to take full account of the needs of the North West and all other eligible regions.