LEPs and EU SIF:Preparing to Engage

Rachel Quinn, One East Midlands27 March 2014

York

Understand your LEP• Stimulating Private-Sector led growth• Job creation

How? • Growing Places Fund – delivering local infrastructure

priorities• Regional Growth Fund – drawing private sector

leverage for job creation• Enterprise Zones – growth stimulation via simplified

planning and business tax breaks• City Deals – Removing barriers to growth

Lord Heseltine’s Review• ‘No Stone Unturned’ published October 2012• Government response March 2013 – 81 out of 89

recommendations accepted, 5 rejected, 3 in SR• Increasing Whitehall asks of / offers to LEPs - and

increasing focus on their performance• Single Local Growth Fund from 2015• LEPs to develop multi year strategic plans• Funding to be allocated though Local Growth Deals• LEPs to take greater role in EU funding distribution• Support LEP capacity

LEP Roles

Lead role for LEPs – notional 7 year allocations• Develop strategy, working with wide range of partners• Select projects (commissioning, bidding and co-financing)• Identify match funding• Spend allocation (on time and in line with EU regulations)• Ensure outcomes delivered • Monitor delivery against strategy and programme priorities• Not responsible for administering the funds (remains with

Managing Authorities)• THIS IS NOT THE ONLY THING THEY ARE DOING…….!

LEP allocations for ERDF and ESF 2014 to 2020 (Y&H)

LEP Allocation €m

Leeds City Region 391.2

Humber 102.4

York and North Yorkshire 97.5

Sheffield City Region 203.4

Greater Lincolnshire 133.5

Know your Strengths!Structural:• Employs 2.7% workforce• Spends £1.5bn in Y&H

economy• Holds £2.8bn in assets• Access to volunteers• High level and diverse skill

base• Geographical reach – for

delivery, intelligence and to test effectiveness of interventions

• Geographical flexibility - from national to local

• Established networks and communication systems

Strategic:• Access to match funding –

cash, assets, volunteers• Existing Co-financer working

relationships (e.g. SFA, NOMS, DWP)

• Existing relationships with Managing Authorities

• Reach, data and intelligence• Assessment of social inclusion,

poverty and disadvantage• Delivering cross-cutting

themes: Planning for Equality & Diversity and Sustainable Development outcomes

More Strengths!• Operational:• Delivery specialisms e.g. digital

inclusion, skills & employability, micro & social enterprise growth, young people, health & wellbeing and environmental sustainability

• Focus on disadvantage• Rural and urban coverage• Scalability• Use of and access to social

investment products and models• Proven technical expertise of:

– community led local development,

– community grants, – social inclusion

• Experiential:• ESF, ERDF and EAFRD experience

(planning, management and delivery)

• Scrutiny of EU programmes• Co-production• Complex funding packages• Successful anti- poverty and

inclusion work• Stimulating Community Led Local

Development (e.g. LEADER)*see slide notes

• Experience of the development of new ideas, products and services to meet social need (social innovation)

• Working in partnerships and consortia

Understand the Challenges; Address the Weaknesses

• Capacity and knowledge – esp. small groups• Engagement and representation• Conflicts of interest• Local leadership • Consortia building• Funding advice• Demonstrating Economic Impact• Timescales

Grasp the Opportunities• Invest in knowledge• Social Inclusion• Big Lottery Fund• Community grants• Social innovation / investment / enterprise• Intelligence and data• Equality and social value• Funding advisors• Match funding (volunteer time??)• Identify projects and partnerships NOW

Stimulate Ideas

Know the Code of Conduct on Partnership Working

• Governance– Board– Sub groups or advisory groups

• Engagement– Involvement in consultation – active input– Sector communication mechanism in place

• Strategy– Role of CS clearly identified– Strategy for Social Inclusion– Take up of available ‘social’ options

More Information and resources are on the Reach & Impact web page:

www.oneeastmidlands.org.uk/reachandimpact

or Regional Voices atwww.regionalvoices.org

or atwww.europeanfundingnetwork.eu

Preparing to Collaborate

June Gomes27 March 2014

York

Why Collaborate? • Geographic Scale• Working across LEP area• Synergies with what other organisations do• Building a seamless pathway / client journey /

supply chain• Adding niche aspects to service

Commissioner perspectives• Often don’t want to fund two similar projects

in an area / duplication• Want to see evidence that you’ve done your

preparatory work• Bid size threshold?• Value for money/ Best service

Collaboration Spectrum

Networks/ Loose consortia Formal consortia MergersPartnerships

.

Different contracting forms• Provider• Managing Agent• Managing Provider• ‘Super Provider’

ProviderContractor

Provider Provision of Services

Managing AgentContractor

Managing Agent

Sub-contractors Provision of Services

Managing ProviderContractor

Managing Provider Provision of Services

Sub-contractors Provision of Services

Managing Agent/ProviderContract top slicePercentage of contract to pay formanagement of sub-contractors:

Performance Quality Financial management

‘Super Provider’

Provider Provider

Provider Provider

Provider Provider

How does it work?

• Incorporation to form new legal entity• Providers become members of this company• Hub and spokes operating model

Social ownership

• Owned and controlled by the members

• 2 tier governance:

Council of MembersBoard

Cross Sector CollaborationThere is also scope for cross sector collaboration:

• Working with universities/public sector/private sector

• Tackling issues of economic growth and development through innovation and research & development.

• Addressing youth unemployment and social inclusion through social innovation

• Benefits of cross collaboration – match funding, expertise, diverse range of partners, meeting more needs of the community

Success Factors

• Find the right partner(s)• Begin now, don’t wait. • Choose a fit for purpose structure• Look beyond a single opportunity (e.g.

European infrastructure funds)• Talk to the LEP

How to get started? • Bring partners together• Seed corn/set up funding• Business/ Project plan • Outcomes/ interventions• Supply chain development/who does what• Develop and write bids• Win!!!

Working up Project ideas• What would the project look like? • What would deliverables be?• What might be an appropriate consortium

model?• On what basis would you select partners?

Start up Funding• Community Services Grants

• Up to £10k, available to any organisation with an interest in delivering a public service. Specific mission to support consortia.

• For more information:

• http://www.sibgroup.org.uk/communityrights/

• http://mycommunityrights.org.uk/community-right-to-challenge/grants/

• As part of their application, organisations are encouraged to fill out an online ‘Contract Readiness Checker’

• http://www.contractreadinesschecker.org.uk/