BSP - a summary

By European Unit from NICVA

Published on 09 Jun 2005


Funding for regional development in Northern Ireland.

Under the 1994 -1999 round of Structural Funds, NI had been accorded the status of an Objective 1 Region which recognises it as a region where development was lagging behind other European Communities and warranted support from all four Structural Funds:

European Regional Development Fund (ERDF)
European Social Fund (ESF)
European Regional Development Fund (EAGGF)
Financial Instrument for Fisheries Guidance (FIFG)

For the current round of funding (2000 - 2006) NI exceeded the qualifying criterion having a per capita GDP greater than 75% of the community average. However NI was able to avail of newly introduced transitional arrangements that provided former Objective 1 regions access to the four Structural Funds, but on a declining basis, so that by the end of the funding period the region would have adjusted to the lower and more limited financial support likely to be made available to an Objective 2 region. (The Highlands and Islands region of Scotland is similarly affected.)

Under these arrangements NI secured €890.5m for Transitional Objective 1 programme - BSP. An independent ex-ante evaluation was carried out to identify the strengths and weaknesses of NI as a region and its sources of potential growth and development. This work provided the basis for the extensive consultation which led to the development of a Structural Funds Plan setting out proposals for the NI Community Support Framework (CSF) and for the NI programme for BSP and PEACE II programmes.

The two programmes aim to operate in an integrated and complementary fashion while maintaining the distinctiveness of each. BSP addresses the wider developmental issues facing NI and represents the convergence of the draft Programme for Government and the strategic objectives of the EU for the application of Structural Funds.

Structure of the programme

The programme has five priorities which explain the strategic context for the actions proposed in the priority and how it develops the relevant CSF priority:

economic growth and competitiveness
Employment
urban and social revitalisation
agriculture, rural development, forestry and fisheries
environment.

Each priority is divided into Measures which set out the specific issues to be addressed and the intended outcome. They detail the actions to be undertaken, how actions will be targeted and the organisations that will implement them.

Priorities

Priority 1: Economic growth and competitiveness. The overall aim of Priority 1 is derived from the CSF priorities of economic growth, research and balanced regions on one hand, and on the other, urban and rural development in relation to regional infrastructure. Its overall objective is "to produce a fast-growing, competitive, innovative, knowledge-based economy where there are plentiful opportunities and a population equipped to grasp them". Uniquely, Priority 1 is divided into two sub-priorities:

Sub-priority 1

A) Supporting business competitiveness. Under this Sub-priority, the Measures are designed to meet the objective of securing a competitive economy through:

promoting competitiveness, enterprise, innovation and creativity
making NI more attractive for inward investment
increasing NI's attractiveness to visitors.

B) Creating the conditions for regional competitiveness. This sub-priority derives from the Programme for Government and is included under the Economic Growth and Competitiveness Priority. Within the economic context efficient transport systems have a crucial role to play, not least in:

improving business competitiveness and stimulating new business startups
realising the potential of the tourist industry
extending travel to work areas for employees.

The financial allocations for these Measures as for all Measures within the Programme are indicative only. (See Appendix I of the full Programme.)

Priority 2: Employment. This Priority acts as the umbrella for all actions funded from the European Social Fund and addresses specific labour market needs of those in education who are about to enter the labour market, those who are unemployed and those who are in employment. In doing so it implements the European Employment Strategy in NI, and employment in particular Priority 1, the Economic Growth and Competitiveness Priority. It addresses a number of identified labour market weaknesses.

The Measures under this Priority are as follows:

Measure 1: education and skills development €91m

Measure 2: tackling the flows into long-term unemployment €8m

Measure 3: promoting a labour market open to all €71 m

Measure 4: improving opportunities for lifelong learning €36m

Measure 5: education and training ICT and infrastructure support €61m

Measure 6: developing entrepreneurship €7m

Measure 7: human resource development in companies €47m

Measure 8: the enhancement of women €20m

Total: €341M

Priority 3: Urban and Social Revitalisation. The ex-ante evaluation showed the need for action for urban and social revitalisation by reference to the effect of the Troubles, including the impact on the physical, social and economic conditions of cities, towns and villages across NI.

While previous investment in NI's cities, towns and villages produced a more satisfactory urban environment, there remain many areas of towns and cities which offer little reward for private investment and it is unlikely to provide a stimulus to development. In those areas the process of urban regeneration and community development can, together, make an impact on disadvantage and community divisions.

The most disadvantaged communities in urban and rural areas are not likely to participate in economic progress unless attention is paid to their specific needs by overcoming problems of access. There is a need to provide those communities with community infrastructure and targeted actions to address their specific problems.

The Priority addresses the issues and is implemented by four Measures:

Measure 1: urban revitalisation €31m

Measure 2: advice and information services €2m

Measure 3: community sustainability €9m

Measure 4: investing in early learning €8m

Total: €50m

Priority 4: Agriculture, Rural Development Forestry and Fisheries. This priority addresses the issues affecting rural areas. It extends beyond those engaged in the agri-food industry the strengthening of the economy and social infrastructure of rural areas with a particular emphasis on disadvantage. It recognises the responsibility to conserve and enhance the rural environment by through promotion of environmentally responsible management of agri-food, fishing and forestry activities. Its focus is on the development of a sustainable and diverse rural economy through action on three fronts:

assisting the industry to become more efficient and effective while maintaining the region's largely extensive, environmentally-friendly farming image
developing the capacity of the industry and the wider rural population to take advantage of opportunities provided through new technologies, new markets and the potential afforded by a return to a secure and peaceful society
tackling the significant socio-economic differentials that exist between NI's disadvantaged rural areas/groups and the overall community in the region by diversifying the rural economy to provide alternative sources of employment and income for rural people, both on and-off farms.

In relation to the fishing industry, Measures are directed towards:

continuing attention to balancing the scale of fishing effort against available stocks
upgrading, securing and enhancing the infrastructure needed to underpin the needs of the catching and processing sectors
a clear focus on quality at every stage of the industry
support for collective actions in all sectors.

To read the BSP Operational Programme visit http://www.eugrants.org

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