I am pleased that the Chancellor has announced that the Treasury will ensure that all structural and investment fund projects signed before the Autumn Statement will be fully funded. Philip Hammond has also confirmed that agricultural funding will continue until at least 2020. Horizon research funding granted before leaving the EU will also be guaranteed by the Treasury after the UK leaves. There will also be further announcements in the autumn statement about how the government intends to secure some continuity and consistency of the funding streams currently managed by the EU up until the point we actually leave.
This move will ensure stability and certainty in the run up to our exit from the EU. However, I believe that we now have a wonderful opportunity to design our own domestic policies to run regional policy, support businesses and sectors such as agriculture and science.
In terms of regional policy, in areas such as Cornwall, over the last couple of years the British government has operated a highly successful economic fund called the Local Growth Fund. This has funded the successful Devolution Deal for Cornwall and has had nothing to do with the EU. It is nationally funded, and is audited in a consistent and proportionate way by the National Audit Office. Following problems relating to procurement around EU funding and grants, Cornish businesses have increasingly questioned the risks of EU funding when they could instead benefit from a stable, national regeneration fund implemented property and consistently.
Research carried out in 2012 by the independent think tank Open Europe has shown that there are huge dead weight costs to sending money out to Brussels and then bringing it back again with lots of pointless bureaucracy and strings attached. We now have a chance to do things differently and more effectively so that the money we spend really delivers jobs and growth.
For example, by expanding the existing Local Growth Fund, which would be properly managed by national government in conjunction with the Local Enterprise Partnership, we would be free to invest in projects that really deliver for Cornwall.
I am currently enjoying spending Summer Recess in the constituency. On 23rd August, I will be holding a pop-up surgery at Asda, South Quay, Hayle, between 2pm and 4pm.