Finance

Invest Wirral works closely with a range of grant providers to ensure that sources of funding which can potentially assist a business location or expansion project are fully explored. This can include government grant schemes, local initiatives, and business support packages which can help training and recruitment.

Regional Investment Aid - Merseyside

What is it?

Regional Investment Aid Merseyside is a discretionary fund scheme for businesses located in 'assisted areas' of Merseyside. Aid for initial investment that promotes and supports job creation within a sustainable context will be given priority.

The Regional Investment Aid Scheme Merseyside, will only award aid that directly fulfils all the conditions of Commission Regulation (EC) No 1628/2006 of 24 October 2006 on the application of Articles 87 and 88 of the Treaty to national regional investment aid. Official Journal L302 of 1.11.2006, p.29.

Eligibility for Regional Investment Aid - Merseyside

The Regional Investment Aid - the Merseyside Scheme will apply to Large, Medium and Small sized enterprises located within the assisted areas of Merseyside.

The Scheme will be open to all sectors eligible for regional investment aid, except those in:

• Fisheries and aquaculture
• Shipbuilding
• The coal industry
• The steel industry
• Synthetic fibres
• Primary production of agriculture products (listed in Annex 1 of the Treaty)

Please refer to the Assisted Area Postcode Checker.

Types of Project

The Regional Investment Aid - Merseyside may provide support for initial aid investment projects such as that relating to setting up of a new establishment or extension of an existing establishment including:

• Land and buildings
• Plant / machinery
• Wages of new staff provided they are sustained for at least 5 years for large enterprises and 3 years in the case of SME's.

Funds will only be provided as a last resort. In addition, all applicants must clearly demonstrate market failure and that the regional aid produces a real incentive effect. Any funding provided must encourage investments which would not otherwise be made in the assisted areas of Merseyside.

All investments must be maintained in the recipient assisted area for at least 5 years or 3 years in the case of SME's after the whole investment project has been completed.

All projects and programmes such as Local Enterprise Growth Initiative www.neighbourhood.gov.uk/page.asp?id=1612 will be assessed against Commission Regulation (EC) 1628/2006.

What will not be supported

The Scheme will not provide support for operating aid that seeks to reduce the day to day running costs of a business such as rent, utility bills or ongoing consultancy services.

The Scheme will not target specific sectors of economic activity within manufacturing or services.

All projects will need to adhere to cumulation requirements, whereby if a project receives public funding from other sources towards the same cost, the maximum aid intensity must not be exceeded or the project will become ineligible.

Amount of Grant

All projects seeking funding under the Scheme will be assessed on a case by case basis by the relevant granting authority. Funding will only be provided for transparent regional aid projects. All aid provided will be limited to the minimum amount necessary to trigger a project.

At no time will the intervention rate exceed the relevant regional aid ceilings (gross grant equivalent) for Large, Medium or Small sized enterprises as determined by the regional aid map for the period 2007 - 2013. All thresholds will be expressed in terms of aid intensities in relation to a set of eligible costs.

All beneficiaries will be required to provide financial contribution towards eligible costs, either through its own resources or external funding, in a form which is free from any public support, in adherence to the ceilings required under the regional aid map approved 2007 to 2013.

Funding will not be offered where a business is already committed to undertaking the project or where we believe it would proceed anyway.

Granting authorities within Merseyside will continually monitor all expenditure awarded under the Scheme to ensure audit requirements and minimum amount of funding provided. In addition, granting authorities will ensure all transparency and monitoring requirements as contained under Article 8 of Commission Regulation (EC) 1628/2006 will be complied with.

Large investment projects that have eligible costs exceeding €50 m at the exchange rate applying at the date of the grant will be ineligible.

How to apply for Funding?

The Regional Investment Aid Merseyside Scheme will operate through granting authorities in Merseyside. It is advised you contact any of the relevant granting authorities to check on both availability of funds and eligibility issues:

Wirral Council – invest@wirral.gov.uk or 0151 650 6915

This will provide an opportunity to discuss the project in the context of Regional investment Aid and to explain the Scheme and method of appraisal and approval. It is necessary to establish the nature of the project and overall project benefits.

Application/Appraisal/Approval Process

Each granting authority has long standing and established application and appraisal systems which stand up to all audit requirements. All applicants will be required to submit a full application to the relevant authority where the investment project will take place. On receipt of application form, a trained appraisal officer from the granting authority will assess the project in relation to all criteria and conditions of Commission Regulation (EC) 1628/2006.

All applications for funding must be submitted and approved prior to start of work and the relevant granting authority in Merseyside will have confirmed in writing that the project meets the conditions of eligibility laid down in the Scheme. A legal Offer letter will then be signed by both parties prior to start of work.

Clawback and Overage

The Legal Offer letter will contain a clawback clause that will allow the granting authority to seek repayment in full, in the event of breach of conditions including ineligible project spend.

The granting authorities will continually monitor the Scheme and individual projects awarded under the Scheme. Detailed records of all aid awarded under the Scheme shall be maintained and granting authorities will ensure all transparency and monitoring requirements of Article 8 of Commission Regulation (EC) 1628/2006 are complied with. In addition, all granting authorities will have the right to review funding applications subject to sufficient notice being provided to the applicant, particularly should State Aid legislation / requirements change.