UK Government must replace lost EU funding for Scottish projects, says minister

A Scottish minister has warned that Scottish projects could be under threat if the UK Government fails to commit to funding European research collaborations.

Employment Minister Richard Lochhead said innovative projects which have benefited from £72.5 million of European Territorial Co-operation (ETC) grants may be unable to continue.

He has written to Levelling Up Secretary Michael Gove to call for Westminster funding in ETC programmes, which are due to end in 2023.

Mr Gove has been urged to announce funding streams for an additional four years.

The UK Shared Prosperity Fund (UKSPF), worth £2.6bn to improve upon EU structural funds, had given early indications that the schemes would be supported, Mr Lochhead said.

However, he said “little mention” of it in future correspondence has caused concern.

The funding previously helped deliver a joint scheme by Stirling University, NHS Highland and NHS Western Isles for rural dementia patients to use video technology to stay in their own homes rather than go into residential care.

It also funded the development of tools powered by zero emissions hydrogen.

Mr Lochhead outlined concern that the shared prosperity funding publication indicated there was “regrettably no funding, nor desire, to develop and continue the fruitful cooperation initiatives” represented by the European Territorial Cooperation (ETC).

He wrote: “Scottish ministers believe that the UK Government should commit financially to participation in ETC programmes for the 2021-2027 financial framework.”

“Scottish organisations are strong and valued partners in ETC projects and have, to date, been awarded over £72.5 million under the 2014-2020 programmes – which with partner funding has helped deliver some £150 million of project activity in Scotland,” he added.

“These projects cover a wider range of areas, contributing to a number of different Scottish Government policy priorities, with projects ranging from supporting people with Alzheimer’s living in rural areas, to enabling industry to develop innovative solutions in renewable energy.

“I look forward to clarification on whether you intend to ensure that funding for ETC will be protected within or outwith the UKSPF.”

A spokesperson for the UK Government’s Department of Levelling Up said: “Following our exit from the EU, local leaders in Scotland will have new powers to direct funding towards their own, locally-identified priorities, including research projects.

“The UKSPF is in addition to the UK Government’s £171 million investment in Scotland through levelling up funds, and our £1.5 billion in Scotland’s growth deals.”