Recommendations & Conclusions
9 items
4
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
The development of the Shared Prosperity Fund represents a unique opportunity to re-evaluate Wales’ economic priorities in light of the economic fallout from the pandemic, to develop a funding system that better reflects Welsh needs, and which includes a broader set of tools to measure the impact of the Fund …
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The development of the Shared Prosperity Fund represents a unique opportunity to re-evaluate Wales’ economic priorities in light of the economic fallout from the pandemic, to develop a funding system that better reflects Welsh needs, and which includes a broader set of tools to measure the impact of the Fund such as the impact on quality of life and well-being, as well as the effect on GVA. Addressing the root causes of Wales’ economic challenges, including productivity and skills, must be a core objective of the Shared Prosperity Fund. (Paragraph 45) 28 Wales and the Shared Prosperity Fund: Priorities for the replacement of EU structural funding
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Government response AI summary
The government accepts the recommendation, stating the UKSPF will invest in people, communities, and local businesses to level up and create opportunity, focusing on improved employment outcomes, driving productivity, and addressing skills shortages in Wales, and provides £220m additional funding for 2021-22.
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Wales Office
5
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
We recommend that the UK and Welsh Governments use the development of the Shared Prosperity Fund as an opportunity to jointly reassess their economic development priorities, particularly in light of the economic damage caused by COVID-19. In designing the Shared Prosperity Fund, more thought should be given to how the …
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We recommend that the UK and Welsh Governments use the development of the Shared Prosperity Fund as an opportunity to jointly reassess their economic development priorities, particularly in light of the economic damage caused by COVID-19. In designing the Shared Prosperity Fund, more thought should be given to how the Fund can bolster skills, productivity and wages, all of which will be essential if Wales is to narrow the GDP gap with the rest of the UK.
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Government response AI summary
The government will provide £220m in 2021-22 for local areas to pilot programmes and new approaches, and the longer-term SPF will invest in people, communities, and business to improve employment, productivity, and address skills shortages in Wales.
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Wales Office
7
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
In the current changing economic circumstances, we are unable to recommend a headline figure for Wales’ allocation of the Shared Prosperity Fund. However, we call on the Government to honour its commitment to maintain at least the current levels of real-term funding and to carefully consider the arguments for increased …
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In the current changing economic circumstances, we are unable to recommend a headline figure for Wales’ allocation of the Shared Prosperity Fund. However, we call on the Government to honour its commitment to maintain at least the current levels of real-term funding and to carefully consider the arguments for increased spending. Given that the full effects of COVID-19 could be unknown for some time, it should monitor the current economic situation in Wales and adjust its allocation accordingly. Ministers should provide reassurance that multi-year funding will continue and work with the Welsh Government to give serious thought to the potential methods of calculating Wales’ funding requirements. They should update us with their thinking on the size of the Fund and means of allocation as soon as possible.
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Government response AI summary
The government commits to matching current EU receipts with UK-wide funding averaging £1.5 billion annually, ensures multi-year funding for the UK Shared Prosperity Fund, and intends to work with the Welsh Government. Further details will be provided in a UK-wide investment framework in the spring …
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Wales Office
11
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
There are differences of opinion as to where the precise balance of power and responsibility should lie for the oversight and administration of the Shared Prosperity Fund. However, whether the UK Government takes on a commissioning role for, or fully devolves the administration of, the Fund, the Shared Prosperity Fund …
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There are differences of opinion as to where the precise balance of power and responsibility should lie for the oversight and administration of the Shared Prosperity Fund. However, whether the UK Government takes on a commissioning role for, or fully devolves the administration of, the Fund, the Shared Prosperity Fund should be built upon the principle of cooperation and partnership between the UK Government, the devolved administrations and local government.
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Government response AI summary
The government accepts the recommendation, stating its intention to work with the Welsh Government, local communities, local authorities, and Devolved Administrations to ensure the UKSPF supports citizens in Wales, with further details on funding and framework to be published in the New Year and spring.
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Wales Office
13
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
Local authorities have played an important role in the delivery of ESI funding with their on-the-ground knowledge and expertise and the UK and Welsh Governments should seek to ensure that the Shared Prosperity Fund utilises their experience. While the full economic benefits of City and Growth Deals are yet to …
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Local authorities have played an important role in the delivery of ESI funding with their on-the-ground knowledge and expertise and the UK and Welsh Governments should seek to ensure that the Shared Prosperity Fund utilises their experience. While the full economic benefits of City and Growth Deals are yet to be seen, they offer a blueprint for collaborative working between the UK and devolved governments and local authorities from which lessons should be learned. We note that the Welsh Government has brought forward proposals which would enable local authorities to establish Corporate Joint Committees to facilitate joint working, including in areas covered by City and Growth deals. It would seem sensible for the Shared Prosperity Fund to be designed so that it could, in future, work with City and Growth deals.
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Government response AI summary
The government outlines how the UKSPF will enable local places to shape investment and complement City and Growth Deals, confirming that officials have discussed lessons learned from these deals with devolved administrations and local authorities.
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Wales Office
14
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
As part of the Memorandum of Understanding that should underpin the Shared Prosperity Fund, the UK and Welsh Governments ought to give serious consideration to the role that local government in the delivery of the Fund. Both the UK and devolved administrations should seek to learn the lessons of how …
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As part of the Memorandum of Understanding that should underpin the Shared Prosperity Fund, the UK and Welsh Governments ought to give serious consideration to the role that local government in the delivery of the Fund. Both the UK and devolved administrations should seek to learn the lessons of how joint working has been facilitated by and through the City and Growth Deals, and how those lessons could be applied to the Shared Prosperity Fund. In designing the fund, Ministers should consider the opportunities for how these Deals might complement the new funding arrangements. (Paragraph 82) Concluding remarks
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Government response AI summary
The government states that the UKSPF will enable local places to shape investment and complement City and Growth Deal funding, confirming that officials have discussed lessons learned from these deals with devolved administrations and local authorities.
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Wales Office
15
Conclusion
4th Report: Wales and the Shared Prosp…
Accepted
For the past twenty years, Wales has received more European Structural Funds than any other part of the UK in an attempt to bring the Welsh economy up to the EU average. This funding which is worth hundreds of millions of pounds each year is all the more important at …
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For the past twenty years, Wales has received more European Structural Funds than any other part of the UK in an attempt to bring the Welsh economy up to the EU average. This funding which is worth hundreds of millions of pounds each year is all the more important at a time when the COVID-19 pandemic has inflicted major economic damage.
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Government response AI summary
The government acknowledges the pandemic's impact and details its plans to provide £220m in additional funding for 2021-22 for local areas to transition from EU structural funds, with the long-term UKSPF investing in people, communities, and businesses to level up.
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Wales Office
18
Recommendation
4th Report: Wales and the Shared Prosp…
Accepted
The switch to the Shared Prosperity Fund is an opportunity to reset and re-evaluate Wales’ economic priorities post-Brexit and post-COVID-19 and to develop a Shared Prosperity Fund that tackles the root causes of Wales’ economic underperformance. The funding pot should be needs based and maintain at least the current size …
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The switch to the Shared Prosperity Fund is an opportunity to reset and re-evaluate Wales’ economic priorities post-Brexit and post-COVID-19 and to develop a Shared Prosperity Fund that tackles the root causes of Wales’ economic underperformance. The funding pot should be needs based and maintain at least the current size of funding in real terms. While funding should be based on a multi-annual basis, it should be reactive to the health of the economy as Wales, and the rest of the UK, seeks to recover from the COVID-19 pandemic.
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Government response AI summary
The government commits to ramping up UKSPF investment to at least match current EU receipts, with a portion targeting places most in need, and confirms the fund will operate multi-annually, with its funding profile to be set at the next Spending Review.
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Wales Office
20
Conclusion
4th Report: Wales and the Shared Prosp…
Accepted
The UK’s withdrawal from the European Union and the impact of the COVID-19 pandemic makes this an exceptional time, and opportunity, for the governments of the UK to design a more responsive and adaptable system of structural and regional funding. After three years of delay and lack of detail, it …
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The UK’s withdrawal from the European Union and the impact of the COVID-19 pandemic makes this an exceptional time, and opportunity, for the governments of the UK to design a more responsive and adaptable system of structural and regional funding. After three years of delay and lack of detail, it is not too late. (Paragraph 88) Wales and the Shared Prosperity Fund: Priorities for the replacement of EU structural funding 31
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Government response AI summary
The government outlines its plans for the UK Shared Prosperity Fund (UKSPF) to succeed EU structural funds, aiming to level up and create opportunity across the UK through investments in businesses, people, and communities, working with Devolved Administrations.
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Wales Office