At present the United Kingdom (UK) receives money from the European Union (EU) so that it can invest in areas of the country that are considered under developed.
With the UK leaving the EU there has been concern as to what level of funding will be available and how it will be distributed.
Although in some minds leaving the EU may bring levels of uncertainty and anxiety, this time should be used to reevaluate the current system. There is no better time than now to encourage a fairer way to ensure that areas that are less developed in certain regions benefit from the new funding system.
This report will examine how the current system is leaving small towns in regions that do not qualify for funding behind and what the best way forward will be. In addition, we will examine how decision making on fund allocation should be taken away from the government in Cardiff and given to local authorities. Furthermore, we will be looking at the formula used to determine the funding Wales receives and what would be a better formula for the future, making sure the level of funding that Wales receives is maintained.
Fantastic work
You argue that the Welsh Government should consult on proposals. They have done, twice. It is somewhat worrying you don’t know that and make no reference to their proposals.
I found your position fundamentally quite cowardly. The problem with competitive development funding by its nature is that politicial judgements have to be taken on what to fund and this inevitably falls to capture.
If you follow cost effectiveness, free market principles and maximising GDP growth, officials inevitably end up putting funding in cities and larger towns already doing relatively well, and ignoring people who actually need it.
Rather than defending or criticising the free market, supporting agglomeration, and backing winners, you are just demanding the exact same decision processes that Welsh Government makes happen, but taken at a local level. This will massively multiply, not reduce, the number of officials, programmes and waste within the system and prevent useful success stories, like the Development Bank and university sector from accessing a single, unified fund.
The ultimate problem with your report, however, is that it ignores the fact European Funding has far more evidence and analysis of its effectiveness than wider Welsh Government spending. It is doing what you want. It hasn’t transformed the economy like you demand because it is a tiny amount compared to wider UK and Welsh Government funding.
I can’t quite grasp what Claire Hunter means that this is a cowardly report. It’s proven that competition brings better outcomes. As there will be transparency and accountability (at long last) there will be no hiding place for favouritism.
Where does the report support agglomeration and backing winners? What does Ms Hunter mean?
Living in West Wales, it totally astonished me that West Wales was one of the beneficiaries of EU structural funding.
What has happened in our local area of Cardigan? The only thing I can think during my arrival here in 2008 was traffic lights were installed outside Tesco on the North Road and a eye-wateringly expensive health care centre, costing more than a London general hospital was built on a flood plain against massive Town opposition which was routinely ignored. There was a vacant Welsh Government owned site locally with all the utility services opposite the town police station, but seems never to have been assessed.
Cardigan Castle was renovated with EU money back , but twelve million pounds was far more than was needed had local builders and craftsmen been used. It was an English building company that undertook the renovation. Suspicions have been flying around since about backhanders.
We were also offered an ‘art’ grant which was a barge on the River Teifi with flashing lights that recorded sounds. The town community was so aghast that the artist withdrew his offer.
Bala in North Wales is a prime area, such a beautiful lake and a hot tourist spot but the town itself is so dilapidated, it beggars belief.
I do wonder if it is an intention to keep Wales poor so the Welsh Government can ape Oliver Twist’s begging bowl ” more please”.