Regional super funds

Companies in the process of planning and costing out projects to expand exisitng process engineering facilities or establish new ones should be aware of the significant new support on offer in the form of Regional Super Funds.

This new form of government support is to be made available through the Regional Development Agencies. The first of three funds to be established is one in the North East. There is substantial funding involved here to be made available for projects that might be eligible for grants (GBI) and other assistance.

As with all such support schemes, it is important that people involved in the project understand how to prepare applications for these regional capital funds.

Investments should be capital intensive and create or sustain employment. As in all applications for public support, there is a complexity peculiar to this type of proposal:

identifying capital expenditure over the next three to five years is a start. Estimating timescales for implementation and jobs to be created or safeguarded will be needed.

Government will look at the activities and examine how well they fit in with its priorities of technology, environment and sustainability.

New ways of financing have become necessary as banks waver and cause doubt among promoters of projects.

It is envisaged that funds will be made available in conjunction with make-up funding from, for example, the European Investment Bank. Applicants will need to show their own contributions and ability to plan and propose investments that are required now.

European aspects are present in all investment proposals. What is set out here is available in other EU states. It is axiomatic: value not added here can be added somewhere else.

Commentary by Greville Warwick, director, MCS, an independent consultancy providing specialist advice and professional support to businesses wishing to apply for and access government grants and other funding.