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European funding and public procurement

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European Funding (including EIB Group loans)

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Context

EU monies drawn down by the UK form part of the funding mix for economic development. They include grants and loans from European Structural and Investment Funds (ESIF) and investments made by the European Investment Bank Group (EIBG).

They contribute to a wide-range of spending: some are accessed directly by businesses; others help to fund business support services, part-fund town and city-centre regeneration projects or contribute to local investment funds. In the event of a no-deal Brexit, it is the policy of the UK government to end the UK’s membership of the European Investment Bank Group and to replace ESIF (which cover the main EU monies directed at business and the economy) with a post-Brexit ‘UK Shared Prosperity Fund’. The details of UKSPF are still to be consulted on.

To know in the event of a no-deal Brexit

UK organisations receiving funding from the EU:

  • The government has guaranteed that it would cover all projects that would have been funded by the EU under the 2014-2020 programme period.
  • UK organisations will continue to receive funding for ongoing EU projects where they bid successfully to the commission on a competitive basis before EU Exit, for the lifetime of the project.
  • Funding for UK organisations who successfully bid to the European Commission to participate as a third country after Exit until the end of 2020 are covered by the extension to the HMG guarantee for the lifetime of the project

Specific funding programmes with funding guarantees:

  • The government will provide equivalent funding for:
    • UK participants in EU Horizon 2020 projects
    • UK bids to Euratom Research & Training until 2020
    • UK bids for European Social Funds and European Regional Development Funds until 2020
    • Does not cover funding for other countries in a consortium with UK organisations


Resources

UK Government summary on European and Domestic Funding after Brexit. https://www.gov.uk/guidance/european-and-domestic-funding-after-brexit

Detailed briefings for each fund. https://www.gov.uk/find-eu-exit-guidance-business?keywords=&eu_uk_government_funding%5B%5D=receiving-eu-funding&eu_uk_government_funding%5B%5D=receiving-uk-government-funding

HM Treasury have published guidance on what will happen to EIB Group financing if there is no Brexit deal. https://www.gov.uk/government/publications/european-investment-bank-group-financing-if-theres-no-brexit-deal/european-investment-bank-group-financing-if-theres-no-brexit-deal

Public Procurement

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Context

In the event of a no-deal Brexit:

  • Businesses will need to use a new UK-based e-notification service to access those UK public-sector contract opportunities that would have been placed on OJEU TED
  • Further details and guidance on the new UK-based e-notification service (Find a Tender) will be published online before Exit day here https://euexit.campaign.gov.uk/
  • Use UK-based e-notification service to access UK public sector contracts
  • UK business can still access to the Tenders Electronic Daily (TED) for EU contract opportunities


Resources

UK Government summary on public-sector procurement after Brexit https://www.gov.uk/guidance/public-sector-procurement-after-brexit

European Commission notice to stakeholders in field of public procurement https://ec.europa.eu/info/sites/info/files/file_import/public_procurement_en.pdf