£95m To Help Scottish Economy

A cash injection of almost £95m in European funding will be directed towards Scotland's economic recovery through programmes to develop the workforce, safeguard and create jobs, and regenerate communities.

A total of 129 projects across Scotland will benefit from £70.2m in new allocations from the European Regional Development Fund (ERDF) and £24.7m in allocations from European Social Fund (ESF).

The 50 new ERDF projects, focusing on business growth, urban regeneration and rural development, will support the creation of almost 8,000 jobs.

The 79 new ESF projects are expected to support 75,000 people gain or sustain employment opportunities through training and skills development.

The ERDF projects include:

• The John Logie Baird project in Glasgow (£2,366,876)will create a national centre for innovation in the Merchant City, bringing together enterprises and support services in a supportive environment and assisting the continued regeneration of the area.
• Rural Action Plan for Moray (£1,610,011) includes five schemes that form part of Moray Community Planning Partnership's approach to rural development in the area. The projects receiving support include Buckie Business Park, Elgin Industrial Site, Moray Learning Centres and a Sustainable Travel Scheme.
• The West of Scotland Loan Fund (£6,000,000) will provide loans of up to £50,000 to new and growing businesses. It will invest in businesses that have failed to receive financial support from the private sector, including banks.

The ESF projects include:

• Responding to Redundancy (£1,363,861) is a national project that will significantly increase the support Skills Development Scotland offers to people facing redundancy. It will offer support through access to training, career planning interviews, employability interviews and on-line resources
• Make the Move (£1,010,822) will support 465 people with learning disabilities into work through tailored programmes that will help them overcome any barriers to employment. This includes accessing training, financial advice and addressing support needs in the workplace.

First Minister Alex Salmond said: "This £95m cash injection of ERDF and ESF funding will support our six-point economic recovery plan and provide a welcome boost to towns and cities across Scotland.

"The funding will focus on projects which provide Scotland's workforce with the tools and training they need to embrace opportunities in the employment market.

"The European funding will also concentrate on urban regeneration projects that will see increased opportunities and investment in some of the country's most deprived areas."

Mr Salmond said new conditions and new opportunities will arise from the current global downturn and spoke of his confidence in Scotland to rebuild growth, and prosperity for all.

(GK/JM)