HC Deb 04 March 1987 vol 111 c611W
Mr. Dormand

asked the Secretary of State for Trade and Industry if he will state the types of project eligible for grant from the European regional development fund.

Mr. Giles Shaw

The eligibility of projects for aid from the European regional development fund depends on criteria set out in EC regulation 1787–84. The types of eligible project are

  1. (a) infrastructure investment projects where the cost is borne wholly or partly by a public authority, or by an analogous body, except that certain types of infrastructure listed in the annex to the regulation are not eligible;
  2. (b) industry, craft or service sector investment projects which help create or maintain jobs; service sector projects must concern tourism of have a choice of location;
  3. (c) measures to help internally generated development of regions — mostly by assisting small businesses and tourism in specified ways including subsidising consultancy and common services for such firms.

Investment projects as at (a) and (b) above must cost at least 50,000 ecu. All projects must be situated in an area eligible for national regional aid except that up to 4 per cent. of the fund may be used for infrastructure projects which are situated outside such areas but are an essential complement to their infrastructure. ERDF aid to a project is expressed as a percentage of the expenditure by the relevant public authority or analogous body.

The fund may also assist programmes of measures as distinct from individual projects, and studies relating to its operations.