Operational Programme 'London'
Programme under the Competitiveness and Employment objective co-funded by the European Regional Development Fund (ERDF)
The European Commission approved on 6 December 2007 a regional development programme for London for the period 2007-2013 within the framework of the Competitiveness and Employment objective. The total budget of the programme is around EUR 382 million and the Community investment through the ERDF amounts to around EUR 182 million (approximately 2.6% of the total EU money invested in the United Kingdom under Cohesion policy 2007-2013).
1. The purpose and aim of the EU investment
The London programme will promote greater innovation, collaboration and environmental efficiency for London's SMEs. It will help them access new markets and finance for investment that is often a major difficulty for small or new companies in London. ERDF will contribute to greater equality by particularly supporting business investment and growth in Small and Medium Enterprises (SMEs) that are led by black, Asian and minority ethnic (BAME) people, women and disabled people and which provide employment opportunities to deprived communities.
Alongside this, the programme will invest in environmental improvements which will help transform those areas of London with the largest scope for increasing job provision and where the additional employment will particularly benefit Londoners from deprived communities. There will be a particular focus on promoting clusters of companies in the eco-efficiency area, and on demonstration projects showing how businesses can improve their own environmental performance.
2. The expected impact of the investment
The programme is expected to create 4,000 new jobs and to assist 20,000 businesses. Some 4.500 businesses should see their environmental performance improved. The proportion of BAME, women and disabled people benefiting from the programme should be 35%, 34% and 5% respectively. In terms of impact, it is expected that London's capacity to generate de-centralised co-generated and renewable energy will increase by 20% by the end of the programming period.
The London 2007-2013 ERDF programme is structured according to the following priorities:
Priority 1: Business innovation and research & promoting eco-efficiency
This priority will help developing a culture of and a capacity for creating and using innovation throughout London's businesses to create sustainable economic growth. It will also help leveraging value from London's world class knowledge base to benefit London's economy.
Priority 2: Access to new markets and access to finance
The priority will address market failure in the access to finance (mainly risk capital) and improve SMEs' access to new market opportunities.
Priority 3: Sustainable places for business
Promoting innovation and growth in London's deprived areas is not only about assisting individual enterprises with their specific business needs, it is also about transforming the physical environment in these areas as this is currently a barrier to economic performance. London's regeneration areas, many of which are in East London, are home to some of the poorest communities in Europe as measured by the index of multiple deprivation. A key issue for this area is the decay of the urban environmental infrastructure. This priority, geographically targeted on these most deprived areas, is about providing high quality business premises for SMEs which incorporate environmental specifications. They thus create high quality environments for businesses that are serviced by renewable and co-generated decentralised energy systems and innovative waste management and water resource support systems. At the same time they promote innovative and emerging environmental technologies through pilot and demonstration projects.
Priority 4: Technical assistance
There is also provision for technical assistance to help implement the programme.
Financial and Technical information
Operational Programme 'London'
Intervention TypeOperational Programme
Number of decisionC/2007/6314
Final approval date06/12/2007
Breakdown of finances by priority axis
|Priority Axis||EU Investment||National Public Contribution||Total Public Contribution|
|Business innovation and research & promoting eco-efficiency||50 019 533||50 019 533||100 039 066|
|Access to new markets and access to finance||51 838 426||46 988 047||98 826 473|
|Sustainable places for business||72 755 685||83 521 794||156 277 479|
|Technical assistance||7 275 569||7 275 569||14 551 138|
|Total||181 889 213||187 804 943||369 694 156|