<p>Prior to 2007 EU Structural Funds came under the 2000 to 2006 period for allocations. We do not have any information on the allocations methodology used for this period.</p><p>The period from 2007 to 2010 is covered by the 2007 to 2013 period for allocations. Allocations for 2007-13 were made in respect to the EU budget categories of:</p><p>Convergence regions (i.e. poorest regions, West Wales and Cornwall)</p><p>Phasing Out (of Convergence) regions (i.e. graduating out of being poorest, Highlands and Islands)</p><p>Phasing In (to Competitiveness) regions (i.e. in transition to enjoying GDP levels in line with the EU average)</p><p>Competitiveness regions (i.e. other areas which were relatively wealthy in relation to the regions in the other categories)</p><p>1. All regions of the UK which fell into the Convergence (i.e. Cornwall and West Wales), Phasing Out (i.e. Highlands and Islands) and Phasing In categories (i.e. Merseyside and South Yorkshire) all received an allocation according to the EU's formula for those regions for 2007-13.</p><p>2. Allocations to all other wealthier (i.e. Competitiveness) areas outside of the âspecial statusâ regions were based on a UK-determined basket of indicatorsâincluding population, R&D spend, business start-up rate, academic qualification rates, GVA per capita and the level of worklessness.</p><p>3. A safety net was also applied to Competitiveness areas, based on 2000-06 allocations in order to curtail any sharp reductions. This was set at 20% for ESF and 6.7% for ERDF.</p><p>4. The combination of the Government's application of a basket of indicators and a safety net had the effect of directing relatively high levels of funding to northern areas outside Merseyside and South Yorkshire compared to some southern areas facing similar economic profiles. This was in recognition of the greater development challenges faced by the north. These disparities have not dramatically changed in the past seven years.</p><p>Due to a judicial review brought by interested local authorities in Merseyside and South Yorkshire we are unable to provide further details at present but I will write to the hon. Member as soon as possible. A copy of my letter will be placed in the Libraries of the House.</p>