CHANGES TO DTI REGIONAL GRANTS

With effect from 1 April 2004, a new product is being introduced to replace Regional Selective Assistance (RSA) and Enterprise Grants (EG) in England. Both of these schemes will close to new applications at 18.00 hours on 31 March 2004. The new product, "Selective Finance for Investment in England" , will replace RSA/EG in the English Assisted Areas and offer a more limited form of ass istance in "Tier 3" areas, similar to that available under EG. In future, both will be delivered by the Regional Development Agencies, except for a very few of the largest applications which will continue to be appraised by DTI in London.

The key changes the new product is aiming to secure, in addition to the existing criteria, are growth in productivity, measured by Gross Value Added (GVA) per Full Time Equivalent (FTE) employee compared to the sector and national averages; and higher skills, with the majority of j obs required to be at NVQ level 2 (or equivalent) and above. Scope remains to continue support for a small proportion of projects which do no t meet the new criteria but which are judged to be of value because of their gains for regional employment, but this will be limited.

Under the new product there will be a minimum threshold for grant applications of £10,000. The grant maximum in Tier 3 areas is being increased from £75,000 to £100,000. Applications of less than £100,000, in both the Assisted Areas and Tier 3, will not req uire job creation or safeguarding to be eligible for support.

NOW PLEASE VISIT, THE NEW PRODUCT, BY CLICKING HERE: "SELECTIVE FINANCE FOR INVESTMENT IN ENGLAND" , WHICH HAS REPLACED ENTERPRISE GRANTS.