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- Hull to benefit from major European regeneration drive
Hull to benefit from major European regeneration drive
| Published | 15 February 2008 |
|---|
- £1.8m interim Bellwin payment confirmed -
Floods Recovery Minister John Healey MP, and European Commissioner for Regional Policy Danuta Hübner visited Hull today to see how the city will put to good use its share of £394m of European Regional Development Funding for the Yorkshire and Humber region.
John Healey also confirmed an interim Bellwin payment to Hull of £1,800,693 which covers some of the costs incurred during immediate action to safeguard residents and property or prevent suffering during last Summer's floods, with the possibility of a further payment to follow. Commissioner Hübner also said that good progress is being made to agree arrangements for €162m from the EU Solidarity Fund to be paid to the UK.
Council Leader Carl Minns showed John Healey, Commissioner Hübner and Hull East MP John Prescott how European Regional Development Funding is being put to good use in the city including:
- The World Trade Centre at Humber Quays that will increase international trade and investment through a global network of 308 centres in 85 countries serving 750,000 businesses. The Centre is the first development in Hull's new waterfront trade district which is benefiting from £1.5m European funding, regenerating derelict land and creating 162 new jobs.
- Plans for further European Funding for the SPICE project including Hull's active collaboration with European ports in Rotterdam, Copenhagen and Hamburg that will improve drainage and water pumping to manage rainfall, ground and surface water, tidal and river flows and sea levels to protect future economic growth.
- The St John's Church and Community Centre in Rosmead Street, which has undergone a major refurbishment through £400,000 European funding.
- The logistics institute at the University of Hull where £2.3m European funding is helping 700 small and medium enterprises to be more competitive and develop new technologies, creating 385 new jobs and increasing sales by £50m.
John Healey MP said:
"Last summer, we saw the worst floods in this country for over a century. I made many visits to Hull, and saw for myself the extraordinary work of the council and other agencies to help and support those communities.
"Clearly this came at a cost so we made it easier for councils like Hull by significantly extending the period for which they can claim, and increasing the proportion of costs they can receive to 100 per cent of spending above the threshold.
"I am delighted to be announcing this funding today for Hull and a further payment may follow. I am also committed to helping for the long haul as they continue to lead the recovery effort in their local communities.
"That is why I announced £362,000 last month to help those Hull families still living in caravans to cope over the winter months, bringing total flood recovery funding for Hull to almost £6m on top of the £1.8m announced today."
Commissioner Hübner said:
"The European Commission is determined to mobilise funds to help the regions affected to recover from this catastrophe."
The official procedure to make available €162.3 million for the UK is underway.
Notes to editors
1. The Bellwin scheme predominantly covers uninsurable costs as defined by the long established insurance policy offered to local authorities by the Zurich insurance company. We are working with Hull to finalise the outstanding element of their Bellwin claim which will alter the total funding for Hull.
2. The costs typically covered include: costs of evacuating people from dangerous structures and works to make them safe following a natural disaster; temporary re-housing, initial repairs to and the clearing of debris from highways, pavements and footpaths.
3. The statutory requirement for the Bellwin scheme is that claims must relate to costs incurred by an authority on, or in connection with, immediate action to safeguard life and property or to prevent suffering or severe inconvenience as a result of a disaster or emergency.
4. The scheme does not usually cover capital expenditure; or the normal wages and salaries of the authority's regular employees; whether diverted from their normal work or otherwise, and the standing costs of the authority's plant and equipment.
5. The usual period to take action eligible for grant is two months but for the June and July floods that timescale has been trebled to six months. Local authorities will also be able to claim 100 per cent of eligible costs - instead of the normal 85 per cent - once they have spent over the threshold of 0.2 per cent of their revenue budget. The extension of time and the increase in the percentage means that authorities can claim more of their expenditure.
6. While local authorities normally have a month to notify the department of their intention to claim under Bellwin, on this occasion the department has been proactive in contacting them to ensure that they are in no doubt that they can claim, know how to apply and are aware of what they can claim for.
7. European Union Solidarity Fund: UK application for grant after flooding:
Following severe floods last year, the European Commission last December accepted the UK's application for financial assistance from the EUSF, and proposed making available aid worth €162.3 million. Before these funds can be disbursed, the European Parliament and the Council (Member States), the budgetary authorities, have to give the green light.
Today, when the Commissioner meets John Prescott MP, former British Deputy Prime Minister, she will emphasise the need to simplify Solidarity Fund procedures so that funds can be mobilised promptly after a catastrophe.
In April 2005, the Commission proposed a revised Solidarity Fund regulation that would allow for advance payments to be made rapidly. Though the European Parliament was largely in favour, the proposal is still on the table of the Council.
8. The New European Investment Programme for Yorkshire and Humber was launched by Commissioner Hübner and John Healey in Sheffield earlier today. This programme has £394m (€583m) from the European Regional Development Fund (ERDF) to invest in the region by 2013.
9. The Humber Quays waterfront area of Hull has benefited from European funding of £1.5m. This area of Hull houses the World Trade Centre, a development designed to increase international trade and investment through a global network of 208 centres in 85 countries serving 750,00 businesses.
10. Total Government funding for flood recovery by local authority in Yorkshire and Humberside.
| Local Authority | Flood Recovery Grant and Bellwin (£) |
| Barnsley Metropolitan Borough Council | 373,866 with possible further Bellwin payment |
| Doncaster Metropolitan Borough Council | 5,617,814 |
| East Riding of Yorkshire Council | 4,897,791 |
| Harrogate Borough Council | 23,000 |
| Kingston Upon Hull City Council | 7,777,117 with possible further Bellwin payment |
| Kirklees Metropolitan Borough Council | 180,000 |
| Leeds City Council | 180,000 |
| North East Lincolnshire Council | 250,000 |
| North Lincolnshire Council | 250,082 |
| North Yorkshire County Council | 50,000 |
| Richmondshire District Council | 23,000 with possible further Bellwin payment |
| Rotherham Metropolitan Borough Council | 2,090,577 |
| Scarborough Borough Council | 50,000 |
| Selby District Council | 60,000 |
| Sheffield City Council | 7,421,894 with possible further Bellwin payment |
| Wakefield City Council | 802,873 |
| Total Sum of Total funding | 30,048,014 |
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