INTRODUCTION

Match Funding  
                                                                        
Match funding the European Structural Funds meet only a proportion of the cost of any project. The precise proportion that the Funds will contribute to a particular project depends on several factors, including the type of activity and where it takes place. Typically the funds can meet up to 50% of costs and more in Objective 1 areas, though lower rates apply to certain types of activity. The rest of the cost of a project has to be funded from national sources, which can be either public or private sector - this is called match funding. This information is a guide to the public sector programmes, initiatives and funds that can be used as match funding for the European Structural Funds in England. It is not an exhaustive list as such schemes may change from time to time.
Different arrangements may apply in other parts of the UK. Further information on funds available in Northern Ireland, Scotland and Wales is available from the relevant devolved administrations (see Annex 2 for contact details).
In order to be eligible for support, a project must meet the criteria of both the Single Programming Document (the national or regional strategy for using the European Structural Funds) and the public sector scheme being used for match funding.

NB. National funding must be secured before application for European match funding can be approved. The voluntary and private sector may make contributions (including contributions in kind - e.g. paid staff, volunteers, transport or accommodation), and organisations such as the European Investment Bank can make loans. Identifying appropriate match funding is the responsibility of the grant applicant. However, the European Secretariats in the regional Government Offices can provide the initial links between the programme partnership and potential sources of public match funding.

Further Information                                                                                    

Further information on funding in a particular English region and on how to apply is available through Government Offices and Regional Development Agencies (see Annex 2 for contact details). General enquiries about the Structural Funds should be directed either to the Government Offices, or to Chris Kirby at the Department of Trade and Industry, Tel: 020 7215 6283, Fax: 020 7215 5579, e-mail: Chris.Kirby@dti.gov.uk

DTI Grant for research and Development

The Small Business Service is a Next Step Agency of the DTI.   It was set up with the purpose of building an enterprise society in which all small businesses thrive and achieve their potential.

The aims of the SBS are to:

• minimise the burden of regulation on Small and Medium sized Enterprises (SMEs);
• promote world class business support services to enhance the performance of SMEs;
• promote enterprise across society and particularly in under-represented and disadvantaged groups; and
• achieve the highest standards of service delivery and providing value for money

In meeting these aims the SBS works closely with others in Government, with people in the private and voluntary sectors and with the people who deliver their services, to ensure that they “think small first”.  In this way the SBS acts as a voice for small business at the heart of Government.  The forty-five SBS franchises (Business Links) around England will be the local face of business support.  The SBS enquiry line is 0114 259 7788 and further information is available at www.businesslink.gov.uk.

Most of the Small Business Service budget that is delivered locally is available for match funding.  This includes the following: High-growth Start-ups; the Phoenix Fund; Smart; the Enterprise Fund; the UK High Technology Fund; and Regional Venture Capital Funds – which are covered in the Business Support section of this document. Also: Faraday Partnerships; and TCS – which are covered in the Higher Education – links to business section of this document.

SBS: Core funding

The Small Business Service contributes towards the cost of providing a range of key business support services to small and medium enterprises.  These services include the provision of information and advice, counselling, a diagnostic service, subsidised consultancy support, business skills training, and a range of innovative products and services.  Services are delivered primarily by Personal Business Advisers (PBAs), with specialist counselling services available for innovation and technology, design and exporting. Funding for the delivery of business support services is allocated by SBS who contract directly with Business Links.  Funding for the current year amounts to £130 million.

SBS: High-growth Start-ups (HGSUs) Service

High Growth Start-ups (HGSUs) - a high-quality advice service to pre-start and start-up businesses in England who are identified as having high growth potential. The service is part of the start-ups services delivered locally via Business Link Operators in England. Support is being provided, across a variety of business sectors, to people who are traditionally considered to face barriers in starting and growing a business including women, ethnic minorities and young entrepreneurs.  Over 22,000 clients have received this significant assistance since it began in 1999/00.

SBS: Phoenix Fund

The Phoenix Fund exists to encourage entrepreneurship in disadvantaged areas and is a direct response to a number of the recommendations set out in the Policy Action Team 3 report "Enterprise and Social Exclusion" published by H M Treasury in November 1999. Due to a lack of appropriate support, advice and access to finance, entrepreneurs from disadvantaged communities experience even greater difficulties in launching their ideas than somebody starting a new enterprise generally faces. Similarly, existing businesses located in disadvantaged areas can also face barriers to growth. The Phoenix Fund assists such businesses by providing assistance to specialist business support and financial intermediaries.

Although Phoenix Fund support is available to supported intermediaries through to 2006, the majority of opportunities to bid for support have now passed and a network of appropriate intermediaries is now largely in place.

Further details may be found at www.sbs.gov.uk/phoenix or by contacting:

Maria Kenyon (Phoenix Development Fund - Business Support Intermediaries)

 Community Fund

The Community Fund gives grants to groups, which help those at greatest disadvantage and to improve the quality of life in the community.  The Community Fund has run grants programmes focussed on poverty; youth and low income; health, disability and care; education; the environment; voluntary sector development; medical and social research.  Current grant programmes are the Main Grants Programme and projects up to £60, 000.  These programmes run concurrently and there is no closing date.
 

New Opportunities Fund (NOF) – Health, Education and Environment Projects

The New Opportunities Fund (NOF) is a Lottery Distributor created to distribute grants to health, education and environmental projects across the UK.

By working in partnership with other organisations, including other Lottery Distributors, the New Opportunities Fund intends to support sustainable projects that will:

• Improve the quality of life for people throughout the UK,
• Address the needs of those who are most disadvantaged in society,
• Encourage community participation,
• Complement relevant local and national strategies and programmes.

NOF will be working with national, regional and local partners from the public, private and voluntary sectors to fund initiatives, fairly and efficiently.  Particular attention will be paid to those who are most disadvantaged in society.  NOF is committed to providing equality of opportunity.
 

Community Empowerment Fund (CEF)

The key to delivering neighbourhood renewal at the local level will be Local Strategic Partnerships (LSPs). They bring together public, private and voluntary sector service providers with the community and business sectors to help co-ordinate national and local initiatives to improve people's quality of life.

To help ensure that the community and voluntary sectors have real involvement on LSPs, the Neighbourhood Renewal Unit has set up the Community Empowerment Fund (CEF) of £60 million in 2001-06. In each of the 88 NRF areas, CEF will be paid directly to the sector to build Community Empowerment Networks. These will bring people together to ensure that local communities and voluntary sector organisations are represented on the LSP and can contribute to Neighbourhood Renewal efforts locally. CEF is not a replacement for existing sources of funding for the sector * it is a strategic fund created to support involvement on LSPs and in the delivery of LNRSs.

The other funding programmes on offer to support community involvement in regeneration are the Community Chests and Community Learning Chests, worth to £122 million 2001-06.

The Community Chests provide small grants of up to £5,000 to help pay for community projects * anything from toys and equipment for parent-and-toddler groups to training and IT for refugee projects. Community Learning Chests provide small grants, again up to £5,000, for the development of skills and knowledge for local people.

New Deal for Communities (NDC)

The New Deal for Communities was launched in 1998 and supports the intensive regeneration of some of our most deprived neighbourhoods. There are 39 NDC Partnerships, which each tackle issues such as poor job prospects, high levels of crime, educational underachievement and poor health and housing and the physical in their neighbourhoods.

Each NDC Partnership brings together local residents, voluntary organisations, public agencies, local authorities and business to develop regeneration strategies for their neighbourhoods. Each NDC Partnership has been given a grant to implement its strategy of between £35m to £61m to spend over a 10 year period.

Neighbourhood Management Programme

The aim of Neighbourhood Management is to help deprived communities and local service providers to work together at the neighbourhood level to improve and ‘join up’ local services.  The aim is also to help make those services more responsive to local needs and ensure they deliver priority outcomes on the ground.

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