European Structural Funds A Smart, Sustainable and Inclusive Scotland in Europe

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First published by the Scottish Government, February 2015
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Published by the Scottish Government, February 2015

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Foreword

Keith Brown MSP, Cabinet Secretary for Infrastructure, Investment and Cities

As Cabinet Secretary for Investment, Infrastructure and Cities, I am proud to mark the beginning of Scotland's new European Structural Funds Programmes for 2014-20. These long term, strategic investment programmes are central to creating a cohesive and prosperous European Union, an EU that we in Scotland want to be part of and contribute to.

For more than 50 years European funding has assisted less developed regions of the EU. Nowadays the programme uses almost a third of the overall EU budget and yet retains the same underlying goals set when the funds were first established – to stimulate growth within and across European regions to create a place that is more attractive to invest, live and work in.

The €1.9 billion funding package has been developed around the European Commission's Europe 2020 strategy for achieving long-term economic growth and job creation by focusing on three strategic growth areas – Smart Growth, Sustainable Growth and Inclusive Growth.

Smart: developing an economy based on knowledge and innovation;

Sustainable: promoting a more resource efficient, greener and more competitive economy;

Inclusive: fostering a high employment economy delivering social and territorial cohesion.

The three strategic themes apply across all Member States and in Scotland they complement the priorities of the Scottish Government Economic Strategy which strives to create a more successful country and to improve quality of life for everyone in Scotland.

The investment of European Structural Funds locally and nationally will enable us to translate the themes of Smart Growth into activities to grow Scotland's economy through increased knowledge and innovation, and on the shared ambition of improving education levels and skills development.

On Sustainable Growth the Scottish Government is already working on the transition to a low carbon economy. The drive provided by the European Commission will increase momentum in this area. And on Inclusive Growth the Scottish Government is committed to increasing employment levels and reducing poverty.

The common purpose with which the Scottish Government will administer the 2014-2020 funds programme represents a strengthening both of the relationships we have with our European neighbours and of Scotland's increasingly prominent and important place in Europe.

Introduction

Shane Rankin, Head of European Structural Funds, Scottish Government

The European Structural Funds 2007-13 programmes supported more than 800 individual projects locally and nationally, boosting economic activity and increasing employment. The diversity and scope of projects varied considerably, from building windfarms and restoring remote mountain paths to transforming transport hubs in deprived urban communities and improving the employability of individuals across Scotland.

In recent years Scottish Government has publicised the funds through annual stakeholders events. These provided a platform to promote the excellent work of organisations and their staff in successfully delivering the projects.

This year we are publicising the funds through an ebook, embracing digital technology to promote the positive impact of this work in a way which is accessible across multiple digital platforms. Of all the Member States only Hungary has promoted the funds in a similar way.

The aims of the ebook are twofold – to convey the achievements of the 2007-13 programmes and to introduce the European Structural Funds 2014-20 programmes. Despite featuring a small number of the more than 800 funded projects, our publication is designed to give an insight into the lives of the people involved, and the positive change the funds have had on their lives. The case studies also demonstrate the progressive impact of European funding on small businesses and local communities, increasing job opportunities and social inclusion across Scotland.

The new Scottish programmes embrace the EU 2020 vision and its strong focus on achieving growth and jobs. The intention is that these programmes support the Scottish Government's wider aspiration to deliver sustainable economic growth for all in Scotland.

The Scottish approach to getting the greatest impact from the European Structural Funds is based on a number of principles.

The fundamental purpose of the funds is to secure structural reforms which facilitate sustainable growth and create a society which is more innovative and inclusive.

The funds will be deployed alongside many other public and private funds which will also have an influence on structural reforms. It is therefore important that the significant and positive impact of European Structural Funds continues as we invest in a Smart, Sustainable and Inclusive future. The Structural Funds will be deployed in niche areas where they can have the greatest impact in the wider funding and investment environment.

Successfully aligning and concentrating funds, and investing strategically, will be key to achieving the greatest impact and ensuring the interventions complement each other.

Parts of Scotland face significant territorial challenges and the funds must support interventions tailored to meet these challenges.

Structural Fund programmes are inevitably complex given that they deal with the deployment of substantial public funds. Simplifying implementation is one of our priorities and to achieve this we believe that programmes should be established around strategic interventions, or groups of projects, which can be match funded and are most likely to achieve ambitious outcomes. Simplification also depends on funding beneficiaries that have the capability and capacity to manage interventions in compliance with audit and implementation regulations.

What are European Structural Funds?

What are they?

European Structural Funds provide EU Member States with financial assistance to overcome structural deficiencies, increase competitiveness and employment. They are designed to reduce the development gap between EU regions and to create equal living standards for all EU inhabitants.

What Do The Funds Do For Scotland?

The funding strengthens the competitive advantage of the EU, ensuring it is an innovative and knowledge-intensive part of the world.

For Scotland this means a multimillion pound funding stream designed to grow Scottish business, create new jobs, increase workforce skills and training, and provide funding for energy-efficiency activities.

In this way the funds contribute to the strategic aims of the European Commission and the Scottish Government's strategic objectives of creating a greener, smarter, wealthier and fairer Scotland.

How Do They Work?

European Structural Funds are split into two categories – the European Regional Development Fund and the European Social Fund. Both of these operate on a seven-year cycle and use a series of large-scale programmes to deliver long-term strategic objectives.

European Regional Development Fund (ERDF) was established in 1975 to aid business growth, investment and infrastructure. ERDF also has a particular focus on creating jobs;

European Social Fund (ESF) was set up in 1958 to build human capital. Its main focus is on people who are unemployed and disadvantaged funding new training activities and initiatives to bring them into working life.

The amount of EU funding varies from region to region depending on the challenges faced by individuals and communities. In Scotland the funds serve two distinct areas.

Where Are The Funds Distributed?

Highlands & Islands – the Scottish Highlands, Orkney, Shetland and the Western Isles. Challenges faced by the Highlands and Islands include low population density, a widely dispersed enterprise base and low GDP.

Lowlands & Uplands – Eastern Scotland, North-East Scotland and South-Western Scotland.

The distribution of European Structural Funds across these distinct parts of Scotland ensures a wide range of groups, communities and businesses can benefit from European funding.

Evolution of Scotland in Europe

2007-2013 Programmes - An Overview

The European Structural Funds 2007-2013 Programme had four key priorities:

More investment in knowledge and innovation;

Unlocking business potential (particularly of SMEs);

Improving employability;

Better management of energy resources.

The 2007-2013 Programmes saw €450 million being distributed across the country. The funding was allocated as follow:

Highlands & Islands
(ERDF)
€121.8 million

Highlands & Islands
(ESF)
€52.1 million

Lowlands & Uplands
(ERDF)
€375.9 million

Lowlands & Uplands
(ESF)
€269.9 million

European Structural Fund Case Studies – Delivering Results for Scotland

The 2007-2013 programme period was challenging from a financial perspective. The recession affected economies not only in Scotland but in Europe and globally. But despite the significant economic pressures, European Structural Funds delivered significant benefits for organisations and individuals across Scotland. The case studies in the following two sections demonstrate examples where the Funds have improved employability, helped businesses to start up and projects creating a more carbon-friendly environment. In particular ESF-funded projects have focused on breaking poverty cycles and unemployment issues by providing early intervention measures and personalised support.The Funds have also enabled better training schemes and wider access to lifelong learning, as well as more help for young people to find their first job.

By weakening the barriers that exist at a social and economic level the Funds help to create a more inclusive, healthier, prosperous society. This will continue to be a priority in the 2014-2020 programme.

2007-2013 Project Locations

ERDF

1. Knockando Woolmill

2. Loch Carnan Windfarm

3. The Orkney Theatre

4. Scapa Flow Wartime Trail

5. Whitlawburn Community Energy

6. Mountains for People

7. Scottish Investment Bank Loan Fund

8. Edinburgh Partnership Competitive Communities

9. Business Mentoring Scotland Programme

10. Dalmarnock Station Redevelopment

ESF

11. Apex Ascend Project

12. The CALANAS Training Programme

13. Moving On Job Crew Project

14. Ayrshire Youth Employment Service (AYE)

15. Stramash (Social Enterprise Academy)

16. Smart Childcare (Social Enterprise Academy)

17. Smart Exporter

18. The Prince's Trust 'Team'

19 The Prince's Trust 'Team'

20. The Prince's Trust 'Enterprise Programme'

Case Studies: European Social Fund

European Social Fund

Apex Ascend Project

ESF

Funding Received:
£400,000 (to date)

Project Duration:
2012 – ongoing

Results:

359: Participants receiving support
78: Participants entering employment
30: Participants entering education/ training
251: Participants gaining a partial or full qualification

Where:
Inverness

Fund recipients:
Apex Scotland

Issue:
Funding was required for the Apex Ascend Project to increase opportunities for ex-offenders and people at risk of offending to find work.

Background:
Apex Scotland works with prisoners, ex-offenders and people at risk of offending, providing skills training and education so that they can lead fulfilling lives. The organisation applied to the European Social Fund in 2011 to fund the Apex Ascend Project, a scheme designed to give those taking part the opportunity to gain qualifications, improve their job searching skills and to increase their levels of confidence and motivation.

Result:
To date the Apex Ascend project has supported 314 individuals. This figure is expected to reach a minimum of 390 by the project end date.

Apex Ascend case studies:

Aleksander joined the Apex Ascend Project while on a structured deferred sentence. A native of Poland and with few English language skills, Apex employed a translator and quickly discovered that Aleksander was a qualified welder and engineer and had his own business back in Poland.
In Scotland his fortunes had not been good and he had a series of short-term jobs working in fish factories.

Apex was instrumental in helping Aleksander to find work. The scheme helped him to create a CV, distribute it to recruitment companies and complete his Construction Skills Certification Scheme (CSCS) training. Aleksander also attended free English lessons at a local church. Soon after, he was employed as an agricultural engineer at a local estate. Aleksander, his wife and their two children were overwhelmed by the support and assistance Apex provided and are now looking forward to a positive future.

Apex Ascend case studies:

Mark joined the Apex project when the Addiction Team at HMP Prison Inverness put him forward for the scheme to strengthen his skills and secure him work. While in prison Mark regularly attended Apex CSCS training and also received acupuncture.

After six weeks of training he successfully passed his CSCS test and became eligible to apply for work on a construction site. He left prison in June 2013 and continued to receive Apex employability support.

A month later Mark took up a job as a roofer on a building site. More than a year later he is still working in the same role and his life is moving in a positive direction.

Further information:
www.apexscotland.org.uk

The Calanas Training Programme Uist Wool

ESF

Funding Received:
£114,000 (to date)

Project Duration:
2012 – Present

Results:
31: Participants supported to date.

Where:
Grimsay, North Uist

Fund recipients:
Uist Wool

Issue:
Uist Wool was established in July 2011 to develop a mill in the community of Grimsay capable of using local sheep fleece to manufacture unusual yarns to be sold in the local community and across Scotland. Funding from LEADER was used to part-fund the construction of the mill and to assist with project coordination costs. However additional money was sought to develop training and employment opportunities in the local area.

Background:
The CALANAS training project was established in June 2012 to develop training and employment opportunities at Uist Wool and is part-funded by the European Social Fund.

The innovative programme is now entering its final year and has succeeded in introducing the community of Uist to wool-work and production spinning. CALANAS combines a blend of theory and practice, offering short two-day introduction to wool-work sessions and also more advanced intermediate wool-work course over a 10 week period. The final, and most advanced level of training, is the Mill Craft Engineering placement which focuses on the technical, production, design and business processes associated with small-scale artisan spinning.

Result:
The CALANAS training project has not only brought employment and training opportunities to the local area but has also developed Uist Wool into a popular tourist attraction, using a local resource in a way which is of benefit socially, economically and also culturally. By the summer of 2015 Uist Wool will move from training to trading when it uses the sale of artisan yarns and wool products to become self-financing.

Further information:
www.facebook.com/UistWool

Moving On Job Crew Project

ESF

Funding Received:
£132,000

Project Duration:
2009 – 2012

Results:
71: Participants entering employment
56: Participants entering further education/training

Where:
Shetland Islands

Fund recipients:
Moving On Employment Project

Issue:
A project was required to provide support and assistance for people with a range of difficulties which adversely affected their employability.

Background:
People affected by issues including homelessness, disability and mental health issues face challenges securing work. The difficulties finding a job can lead to feelings of discrimination, isolation and exclusion.

The Moving On Employment Project was established in 1997 to address these issues. In 2006 the project set up a new service called the Job Crew scheme. The service involved a team of clients, support workers and volunteers working together on small community or environmental projects to increase the skills, confidence and employability of clients. The scheme allows support workers to evaluate the ability of clients to operate in situations similar to a working environment.

"The project helped me boost my confidence getting out, working with others and meeting new people."
Job Crew Client

Result:
The project has produced highly successful outcomes. Of 120 unemployed or economically inactive clients passing through the Job Crew scheme:

80% improved their practical skills;

77% felt their self-esteem had improved;

75% learned new skills;

73% felt more confident about work;

75% felt more motivated.

Of the 120 people who took part, 71 (60%) found jobs.

47% went into further education or training.

The project has won a number of awards including:

2007 – The Shetland Amenity Trust Environmental Award for work that the Job Crew carried out on a community garden in Sandness.

2009 – won the same award for the creation of a wheelchair accessible path down to a popular beach in Lerwick.

2011 – short listed for the Scottish Council for Voluntary Organisations (SCVO) charity of the year award.

Further information:
www.moep.co.uk

Ayrshire Youth Employment Service (AYE)

ESF

Funding Received:
£1.6 million

Project Duration:
2013 – Present

Results:
1250: Job opportunities created

Where:
North, East and South Ayrshire

Fund Recipient:
North, East & South Ayrshire with North Ayrshire acting as Lead Partner

Issue:
To develop a project to reduce youth unemployment throughout Ayrshire and strengthen local social and economic activity.

Background:
Youth unemployment is a long-standing issue in Ayrshire and one which has a damaging effect on the economic and social fabric of the area. On behalf of the three Ayrshires, North Ayrshire Council approached the European Social Fund in 2013 to fund the Ayrshire Youth Employment Service (AYE). The AYE project works alongside existing youth employment services in Ayrshire, including the Youth Employment Scotland Programme (YES), modern apprenticeships and graduate programmes already successful in reducing youth unemployment throughout Ayrshire.

Result:
The £1.2 million of European Structural Funding, which will be distributed across Ayrshire through the AYE project, will help to up-scale existing youth employment services, provide additional places on successful programmes currently running in the area as well as support new initiatives to reduce youth unemployment. The money will provide funding for 1250 16-24 year olds with 50% of the national minimum wage for 26 weeks employment with an SME, with the employer matching the additional 50%. This will encourage local employers to hire young unemployed people when they might not otherwise have had the resources to do so. The project also works closely with local businesses to ensure young people learn the skills and attitude necessary to sustain long-term employment.

"The scheme helped Scott Engineering take me on, together with recruiting other apprentices at the same time. This has allowed the company to put extra funds towards extra training."
Mark Cockburn,
Apprentice Engineer

Further information:
www.north-ayrshire.gov.uk

Social Enterprise Academy

ESF

Funding Received:
£1.1 million
(to date for both projects)

Project Duration:
2008 – Present

Results:
1294: Participants supported
(to date for both projects)

Where:
Highlands & Islands

Fund recipients:
Social Enterprise Academy

Issue:
Social Enterprise Academy required ESF funding to deliver transformational learning and development programmes to people and organisations working for social purpose, focusing on leadership, entrepreneurship, personal development and social impact.

Background:
The Social Enterprise Academy first applied to the European Social Fund in 2008 to fund the 'Developing Leaders for Sustainable Communities' project based in the Highlands & Islands. The project worked with social enterprises and SMEs, developing the leadership skills and confidence of managers working in rural communities. The project was so successful that Social Enterprise Academy are now in the final stages of their second ESF funded project 'Working with Social Enterprise'.

Result:
The work of the Social Enterprise Academy helped two projects to develop into sustainable commercial ventures.

Stramash

In 2008, Niall Urquhart was leading a small local authority project in Argyll called Stramash, providing outdoor activities for young people. Funding was running low and Niall was unsure whether he would be able to turn Stramash into a stand-alone social enterprise. During a 12-day Certificate in Leadership programme in Oban, he developed confidence in his own leadership skills and decided to give it a go. His tutor, Karen Darke, was so impressed by his work that she became a patron of the new organisation.

Five years later, Stramash is well established as a leading social enterprise and now employing 36 people. Over the last five years the Academy's ESF-funded programmes have supported Niall on his journey – including programmes on social impact measurement, managing finance, procurement and also a strategic leadership residential course.

"Social Enterprise Academy programmes have always been there, to support my development as a leader, dipping in and out at just the right time in the development of Stramash as an organisation."
Niall Urquhart,
Stramash founder

Smart Childcare

In 2011, the Care & Learning Alliance decided to look at the potential to develop a social enterprise to generate income to subsidise their charitable activities. They already had a grant-funded mobile crèche and decided this could be the basis for a new social enterprise.

The Academy delivered a Starting Your Social Enterprise programme for Care & Learning Alliance senior leaders. Two of the team followed this with a leadership residential course and it was on this course that the social enterprise 'Smart Childcare' was born. Chief Executive Fiona Ednie said: "We sat down one evening and wrote up the bones of the business plan there and then."

Smart Childcare has grown rapidly to offer mobile childcare and a range of sitter and other services across Highland & Moray. The organisation has a pool of 190 part-time staff, many of whom use their work with Smart Childcare to help them re-engage with employment after taking time out due to childcare or family care commitments.

Further information:
www.theacademy-ssea.org

Smart Exporter

ESF

Funding Received:
£1.4 million (to date)

Project Duration:
2010 – Present

Results:
2249: Total number of participants receiving support (to date)

Where:
Scottish Lowlands & Uplands

Fund recipients:
Scottish Enterprise

Issue:
Small and medium-sized businesses required support and guidance to help them to expand into international markets.

Background:
Scottish Enterprise applied to the European Social Fund in 2010 to fund the Smart Exporter project. The aim of the project was to work alongside agencies including Scottish Chambers of Commerce, Business Gateway and Scottish Development International, offering training and skills to enable businesses to expand internationally.

Results:
One of the many businesses benefiting from the Smart Exporter Project was Tartan Twist, an award-winning, design-led gift company. The company was launched in 2008 by Lyndsey Bowditch, a successful design entrepreneur, and Gillian Crawford, a national newspaper journalist.

Inspired by their love of Scotland, its history and heritage, the duo's vision was to create a range of luxurious, affordable and authentic Scottish gifts. Winning Best New Scottish Product at Scotland's International Trade Fair in 2008 – the leading showcase for Scottish companies – was a huge boost for the company. The company was also nominated as Jewellery and Accessory Designer of the Year at the Scottish Fashion Awards in 2010 in association with Vogue.com, an important accolade at Scotland's most prestigious fashion event.

Although Tartan Twist initially focused on the Scottish market it was during the launch at the Scottish Trade Fair in 2008 that the company first received interest from overseas customers. The business secured interest and orders from countries including North America and Japan, a development which led to Tartan Twist products being sold in York Tartan Stores throughout Japan from January 2009.

"We undertook an intensive six week Smart Exporter programme through Scottish Development International which allowed us to put together a blueprint for our overseas expansion. We knew we had a product with strong export potential but we were aware that we had to plan our international growth in an organised and structured fashion, following our blueprint and identifying and focusing on our key target markets."
Gillian Crawford,
Founding partner of Tartan Twist

Further information:
www.tartantwist.com

The Prince's Trust – Team & Enterprise Programmes

ESF

Funding Received:
£3.2 million (to date)

Project Duration:
2009 – Present

Results:
4608: Total number of participants receiving support
858: Participants entering employment
1809: Participants gaining a partial or full qualification
1331: Participants entering education or training
(Figures are combined to represent both projects)

Where:
Scottish Lowlands & Uplands

Fund recipients:
The Prince's Trust

Issue:
Young people can face multiple barriers to employment including education, training or simply confidence and motivation.

Background:
The European Social Fund has supported several Prince's Trust projects over the last seven years and is proud to be part of the often life-changing work the Trust does with young people. One project in particular, 'Addressing Disadvantage Through Team', has been instrumental in providing support for young people to overcome challenges and achieve their ambitions. The project was a great success and was extended in 2011 with the addition of several new training courses including Get Started, Get Into and The Enterprise Programme.

Result:
Simon, 19, from Peterhead, struggled at school. He was diagnosed with attention deficit hyperactivity disorder, fell in with the wrong crowd and got into trouble for fighting in and out of school. By 15, he had criminal convictions for various offences including assault, theft and possession of a knife. He said: "I had no motivation, no education, no job – everything around me pointed to failure. I thought I had no hope."

Simon's criminal justice social worker referred him to Team, a Prince's Trust programme designed to improve employment prospects for unemployed young people. After graduating from Team, Simon volunteered to work on the next programme as an Assistant Team Leader, helping others overcome their own barriers to a better life. Afterwards he attended a career fair and managed to secure an apprenticeship at a logistics firm.

He said: "The Prince's Trust showed me my choices. They opened a door to so many different opportunities, I realised my life could be whatever I made it. Without their support I'd probably be in jail or not even here anymore. Instead I feel great and have a lot going for me."

Simon has now been in full-time employment for more than a year. He is in a relationship, has his own house and plans to stay happy, focus on promotion and have a family.

Rachel, 21, from Dundee, had been through a lot and had suffered mental health problems as a result. Her lack of confidence and social experiences prompted her community health nurse to point Rachel in the direction of Team.

Rachel said: "I was petrified of groups and didn't think I'd be able to cope. However the support I got from my Team leader was incredible and helped me overcome my fears."

Every day on Team saw Rachel improve, particularly during one-to-one sessions with her Team leader. She became aware of her qualities, learned how to put them to use, and during a residential week away overcame her fear of groups by leading and supporting other young people who were struggling.

She said: "If I hadn't got involved with The Prince's Trust, I'd never have realised what I'm capable of and would still be depressed and not doing anything. Now, for the first time in years I have manageable goals to achieve and a positive path in front of me."

No longer afraid of groups or meeting new people Rachel is now studying art and design at college and hopes to develop a career in art therapy.

Robert, 19, from Fife, showed his entrepreneurial streak at a very young age, selling his old toys and books outside his house to other children on his estate. When he left school, he couldn't find work and started dreaming of running his own fashion business.

"I looked into different self-employment courses, but they were all too expensive," he said. "Then I heard about the Enterprise programme."

Enterprise is a Prince's Trust programme helping unemployed young people to start up in business. Robert enrolled and quickly flourished. He soaked up advice on topics covering everything from financial management to marketing, took on board the advice of his Trust mentor who helped him develop a business plan, then launched blaakslvr, an online fashion store selling quality t-shirts and jewellery at affordable prices.

He said: "I would not be where I am today without the continued help and support of The Prince's Trust. They were instrumental in giving me the confidence, knowledge and self-belief to go ahead and start blaakslvr. They are really helping the youth of today achieve their full potential."

Robert has worked tirelessly to promote his brand online and in person at club nights and parties that he has hosted across Scotland and the UK. Although he's only been trading since March 2013, Robert has quickly built a reputation for quality, and he's proud to include Made in Chelsea television star Caggie Dunlop among his customers.

Further information:
www.princes-trust.org.uk

Case Studies: European Regional Development Fund

Knockando Woolmill

ERDF

Funding Received:
£1.1m

Project Duration: 2008 – 2014

Result:
5 full-time, 5 part-time and 12 seasonal jobs created and 3 Historic Scotland Craft fellows.

Where:
Aberlour, Moray

Fund recipients:
Moray Council

Issue:
The long-term future of one of the last surviving district woollen mill companies in upland Scotland.

Background:
Knockando Woolmill was established in Moray in the mid to late 1700s. One of a number of weaving mills in upland Scotland, it was at the heart of the local community for generations. Despite the closure of the majority of mills in the 1930s, Knockando flourished over the years and continued the spinning and weaving tradition well into the 20th century. The resilience of the mill was in part due to the traditional production skills passed from family to family over the centuries and also its place in the local community. In the 1960s fleeces were still being brought to the mill by local farmers to produce blankets, tweed cloth or knitting yarn.

By the latter part of the 20th century the business was in serious decline. Only one loom was still in operation and the buildings on the site had deteriorated badly.

Action:
The Knockando Woolmill Trust was established in 2000 to secure the long-term future of the mill. Over the next few years the organisation raised funds and focused on plans to restore buildings, continuing textile production at the mill, and providing a unique visitor experience.

In 2008 Moray Council approached the European Regional Development Fund with a business proposal to not only restore the site to its original glory, but also transform Knockando Woolmill into a thriving business capable of supporting the local community.

The total project cost was £2.4 million, with £1.1 million provided by ERDF.

Result:
Knockando Woolmill is now a fully operational and successful business, producing a wide range of niche products to markets in Scotland and internationally. The site attracts around 16,000 visitors each year and provides training and development opportunities. To date, Knockando Woolmill has created 10 permanent jobs for the local community – five full-time and five part-time – and more are expected in the summer of 2015.

Knockando Woolmill is also a fine example of the use of European Structural Funds to promote environmental sustainability. Unlike most textile mills, Knockando produces no waste. Every scrap of cloth is used or recycled, from selvedge ends made into clootie rugs to off cuts being made into keyrings. Material swept from the workshop floor is even re-used as bird nesting material, and vegetable waste from the kitchen and garden is composted.

As a community-centred business, local suppliers are used wherever possible and joint projects are regularly set up with local businesses for mutual benefit. The Woolmill will also benefit from the proposed Knockando community mini hydro-electric scheme. The Knockando water power system, which includes the original mill waterwheel, has been restored and will eventually produce electricity at the site.

Further information:
www.knockandowoolmill.org.uk

Loch Carnan Community Windfarm

ERDF

Funding Received:
£2.1 million

Project Duration: 2012-2013

Result:
6.9MW community-owned windfarm generates renewable energy and approximately £1 million revenue per annum for reinvestment.

Where:
South Uist

Fund recipients:
Sealladh na Bienne Moire

Issue:
The local community suffered from unemployment and depopulation issues and there was a need to address this by establishing new schemes to create a steady revenue stream and boost the local economy.

Background:
Stòras Uibhist, a directly elected community-owned company, purchased South Uist Estates in December 2006. The company's ambition was to install a 6MW windfarm in the Loch Carnan area of South Uist, selling power to the national grid and returning substantial revenue to the local community. The plan was to reinvest the money in local development projects to enhance economic activity and boost the area and island GDP. Some of the money would also be used for new environmental improvement projects.

Action:
Undertaking Scotland's largest wholly community owned renewables project: three 2.3MW Enercon turbines, located along 3km of access tracks based at Lochdar Hill Commongrazings.

Result:
Using ERDF money, the company completed Scotland's largest wholly community owned renewables project, with three 2.3MW wind turbines located at Lochdar Hill commongrazings.

The windfarm opened in March 2013 and in 12 months earned over £2 million gross income. The revenue will be used in projects on Eriskay, Benbecula and South Uist delivering social and economic benefits for the wider community.

It has been estimated that the turbines will generate more than £20 million in their lifetime in the local community.

Further information:
www.storasuibhist.com

Orkney Theatre

ERDF

Funding Received:
£1.1 million

Project Duration: 2010 – 2014

Result:
350 seater facility, flexible performance venue.
Wider range and increased number of performances which encourages increased touring into county.

Where:
Orkney Islands

Fund recipients:
Orkney Islands Council

Issue:
To strengthen the local tourism industry by providing a performance venue to attract a higher number of touring companies to the area.

Background:
Orkney has a rich natural and cultural heritage which has long attracted visitors. However the tourist industry had suffered through the absence of a purpose-built performance venue, particularly when large touring companies considered travelling to Orkney to perform. The Pickaquoy centre had hosted a number of large concerts but the site had limited capacity. An opportunity arose when Orkney Islands Council saw the potential to create a multi-purpose performance facility linked to a new secondary school being built in Kirkwall.

Action:
Orkney Islands Council applied for ERDF funds to assist with the project to create the Orkney Theatre, a flexible 350-seater venue forming part of the new Kirkwall Grammar School Complex.

Result:
The new venue has increased the number and range of performances on Orkney. The state of the art facilities now attract a range of different arts and theatre companies, enabling them to take their performances to island audiences. The venue is managed by the Arts Theatre Committee, a voluntary body supporting and including theatre user groups in the community.

The ability of the local community to experience quality theatre without leaving the island has reduced levels of social exclusion previously felt by Orkney residents with an interest in the performing arts. The first show at the Orkney Theatre was a fundraising concert for Multiple Sclerosis which took place on 17th January 2014. This was followed in February by a professional performance of Cats by the local operatic society.

The new theatre will host the Scottish Finals of the Scottish Community Drama Association One Act Play Festival in 2015.

Scapa Flow Wartime Trail

ERDF

Funding Received:
£263,000

Project Duration: 2009 – 2013

Result:
Promotion of Orkney as an internationally renowned centre for wartime heritage.
Contributes towards and supports local economic growth.
Network of visitor attractions which are unique in the European context.
New products and services for the local tourism industry.

Where:
Orkney Islands

Fund recipients:
Orkney Islands Council

Issue:
The need to pull together individual tourist attractions to maximise the social and economic benefits to the local community.

Background:
Scapa Flow, the Royal Navy base in both World Wars and home to thousands of servicemen and women, has the largest concentration of World War built heritage in the United Kingdom. The various monuments and sites were, until recently scattered across a large area with no connecting paths and few information points. The Scapa Flow Wartime Project was developed to improve links between the monument sites and also to create a central access point, housing many of the monuments themselves.

Action:
The project used ERDF funding to develop an extensive network of new access paths and also improve existing pathways, enabling visitors to access the best of Scapa Flow's coastal wartime heritage. It also created an extensive network of new on-site interpretation and information signs, including interpretation of the Ness Battery, Stromness, a focal point of the Scapa Flow Wartime Trail. The site is unique in Scotland, with intact accommodation barracks, a canteen and officers' quarters. It provides a unique insight into the life of servicemen living in Orkney during the war years.

Result:
The project has developed a network of visitor attractions unique in Europe. By integrating existing wartime sites, the project highlights Orkney's role during the World Wars and as an internationally renowned centre for wartime heritage.

The work has significantly boosted the local economy by using and improving existing infrastructure.

Whitlawburn Community Energy

ERDF

Funding Received:
£2.3 million

Project Duration: 2013 – Ongoing

Result:
Low carbon community heating, providing tenants with lower heating bills and improved heating control.
Lifetime carbon savings of 48,600 Tonnes of CO₂.

Where:
South Lanarkshire

Fund recipients:
West Whitlawburn Housing Co-operative

Issue:
Provision of a combined heat and power community heating scheme to reduce fuel poverty in one of the most deprived areas in Scotland.

Background:
Whitlawburn is listed on the Scottish Index of Multiple Deprivations (SIMD 2009) as one of the 5% most deprived parts of Scotland. Of the 644 properties run by the West Whitlawburn Housing Cooperative, 543 are multi-storey and tenement flats. Fuel poverty has been a major issue for the local residents, with many properties equipped with expensive electric panel and storage heating systems and unable to have gas heating installed due to their construction type.

Action:
The tenant-operated West Whitlawburn Housing Co-operative developed the Whitlawburn Community Energy project to address the fuel poverty issue. The project built a new energy centre providing domestic heat and hot water to 543 local households via a biomass-fuelled district heating network. A boiler is used to heat water in the tank and this is circulated to each of the properties through a network of pipes.

The project also provided an advice and training programme for tenants, raising awareness of the technology being used and giving them responsibilities to raise awareness about the scheme and its environmental credentials.

Result:
The project has made a real difference to the fuel poverty issue for the people of Whitlawburn, and has enabled them to set up and run a scheme to directly improve their quality of life. It has also positively addressed local and national issues including affordable warmth, climate change, sustainable growth and community empowerment.

The 543 properties were converted from electrical storage and panel heating systems to low carbon, renewable community heating, providing tenants with lower heating bills, improved heating control, and reduced levels of fuel poverty. Tenants are now benefiting from an average reduction in heat and hot water costs of 20%.

The project is also making a significant contribution to targets for reducing carbon emission and is forecast to provide lifetime carbon savings of 48,600 tonnes of CO₂ , equivalent to saving 2,500 tonnes of carbon per annum.

Further information:
www.energy.whitlawburncrc.org.uk

Mountains for People

ERDF

Funding Received:
£241,000

Project Duration: 2009 – 2014

Result:
51km of upland path restored across Arran, Glencoe and Torridon.
34.5 direct full time equivalent jobs created
More than 80 volunteer opportunities.
630 opportunities for raising awareness of conservation needs of the 3 areas.

Where:
Torridon, Glencoe and Arran

Fund recipients:
National Trust for Scotland (NTS)

Issue:
To fully restore and conserve 50 kilometres of mountain paths in Torridon, Glencoe and Arran.

Background:
The Mountains for People (MFP) project formed the final phase of a ten-year process to create a strategic path network across the Scottish mountains by fully restoring and conserving 424km of mountain paths in the care of the National Trust for Scotland. The MFP project focused on restoring and conserving the remaining 50.7km of pathways along 14 separate routes in Torridon, Glencoe and on Arran. The work presented a number of challenges including damage caused by people who were accessing the areas despite a lack of formal paths, and also the fact that the terrain was difficult to work in.

Action:
The project involved building new footpaths and links between existing paths, and improving the management of upland paths. Specialist techniques were used to provide more robust paths which were less likely to suffer from severe erosion. On the higher routes on Arran, the Remote Accommodation System (RAS) was used so that project teams could stay on- ite.
The RAS is a customised military system which uses easy to construct flat-packed cabins that can be quickly and efficiently flown on and off-site by helicopter.

Result:

The project has created 34.5 direct full-time equivalent jobs for local footpath companies in the region. It has also improved accessibility for the 160,000 people who visit the hills each year, while at the same time increasing the protection of the delicate mountain terrain by ensuring people walk on designated pathways. The increased accessibility will bring new visitors to the three areas, boosting the local economies as a result.

"It's fantastic to be able to live and work full-time on the island. Work can be hard to come by here, especially in the autumn and winter so this project has been a real boost to us."
Scott Murdoch,
Team leader

Further information:
www.nts.org.uk/Mountains_For_People

Scottish Investment Bank Loan Fund

ERDF

Funding Received:
£400,000, with a total £2million expected over the duration of the project.

Project Duration: 2010 – Ongoing

Result:
Helping Scottish businesses to expand and trade internationally.

Isle of Harris Distillery Results:
Creation of 20 local jobs once Distillery opens in 2015.
Boost to local economy through higher number of tourists visiting the area.

Where:
Scottish Highlands & Islands

Fund recipients:
Scottish Enterprise

Issue:
Following the onset of the recession, there has been a marked reduction in the number of banks lending to small and medium sized enterprises.This has made it increasingly difficult for Scottish businesses to access finance.

Background:
The Scottish Investment Bank Loan Fund will receive a total of £2 million from the European Regional Development Fund throughout the lifetime of the project. This funding will provide financial support to profitable and viable SMEs which: have already demonstrated growth over the last three years; are making a step-change in their growth ambitions and/or export at least 50% of their goods out of Scotland.

Action:
A new distillery on Harris is now nearing completion and will soon produce an unique new whisky, potentially becoming a high-profile feature on the popular whisky trail which brings thousands of visitors to Scotland every year.

"Isle of Harris Distillers is a fantastic example of how the public sector can act as a lever to access funding from around the world. There is huge potential in this business and we look forward to it generating benefits for both the local community on Harris and the wider Scottish economy."
Gerry Reynolds,
Director of SIB

Result:
The Isle of Harris Distillery is one of the many businesses benefiting from the Scottish Investment Bank Loan Fund project.

With fewer than 2,000 people living on Harris, employment opportunities are scarce and the local economy is a fragile one. Whisky distillation provided a means by which a long term, commercially successful business can be established for the benefit of the local and national economy. The distillery will produce an unique spirit and has the potential to become a stop on the whisky trail, bringing thousands of new visitors to the island community.

The new distillery could eventually see over 260,000 bottles of malt whisky sold each year. Whisky is one of Scotland's biggest exports, generating around £4 billion last year alone. The local economy will be further boosted by tourists, with up to 60,000 tourists expected each year, including whisky trail visitors. In employment terms, up to 20 local jobs will be created once the new Isle of Harris Distillery opens its doors early in 2015.

Further information:
www.harrisdistillery.com

Edinburgh Partnership Competitive Communities

ERDF

Funding Received:
£323,000

Project Duration: 2008 – 2011

Result:
212: number of individuals gaining employment via supported job brokerage schemes
386: number of individuals gaining employment through supported ICT/E-learning facilities.

Where:
Edinburgh

Fund recipients:
City of Edinburgh Council

Issue:
A programme was required to counter the effects of unemployment, providing a service for disadvantaged people in areas of greatest need.

Background:
The Edinburgh Partnership Competitive Communities Programme was an integrated two-year action plan bringing together city organisations to promote sustainable economic growth and employment. Both ERDF and ESF funding was provided, with ERDF focusing on three key areas: Employment Hubs/Job Brokerage; ICT support/e-learning; and Energising Communities. There were three distinct projects within these areas.

Action:
Libraries4U: based at libraries in Granton, Muirhouse and Wester Hailes. Delivered job fairs, agency advice days, drop in advice sessions, CV workshops and interviewing skills.

Employment Hubs: provided a job brokerage service and support to employers and clients. Delivered job matching services, provided interview rooms and assessment centre facilities, and sourced work placement opportunities in retail environments.

Edinburgh Community Technology Academy (ECTA): IT classes ranging from beginners to advanced, increasing skills levels and training people regardless of their background and circumstances. ECTA prepared people for Higher Education, setting up their own business or as they tried to secure a job in a chosen field.

Result:

Number of Job Brokerage Initiatives Supported – 3

Number of ICT & E-Learning Facilities Supported – 9

Increase in the number of individuals gaining employment through supported job brokerage schemes – 212

Increase in the number of individuals gaining employment through supported ICT/e-learning facilities – 386

"I was looking for a way into work following the birth of my second child and came across the ECTA program. It allowed me to learn and develop in a supportive environment, helping me to overcome my anxieties about being in an academic setting and sitting exams. I can honestly say that if I hadn't met the people at ECTA I wouldn't be where I am today. They gave me the confidence to do what I wanted to do with my life – and that was to better myself. Thank you so much for giving me the opportunity to change my life."
Lea obtained a National Qualification in Administration and IT from Jewel and Esk Valley College and is now working towards an HNC.

St Brides Community Group Centre

ERDF

Funding Received:
€234,965

Project Duration: 2010-2012

Result:
6: Jobs created
7: Enterprises supported

Where:
South Lanarkshire

Fund recipients:
South Lanarkshire Council

Issue:
St Bride's Centre in Douglas, South Lanarkshire, is a former Church of Scotland building used as a community and business centre, and a hub for social activities and sports for the local community. The site has played a key part in efforts to address the area's unemployment and declining population.

The increasing range of activities at the centre meant it was becoming increasingly necessary to carry out work to adapt and renovate the site.

Background:
The village and area surround the St Bride's Centre has, in recent years, suffered a severe downturn in employment. The industrial estate in the village closed, leaving no main source of employment for the community. A local community group created a plan to reinvigorate the building, adapting it to better suit the needs of local SMEs, supporting employment, providing skills and training for local people and running the site as a self-sustaining business.

Action:
South Lanarkshire Council applied for ERDF funding for the community group to lead the project over a two-year period and redevelop the centre.

Result:
The centre was successfully renovated and redeveloped for multiple purposes, with the community group successfully taking over the building in April 2012. The project created a number of new jobs including a project coordinator and three hall keepers. A café opened five days a week and a gym also operates from the site seven days a week. Old businesses have returned to the community, setting up facilities in the centre, and new businesses have also opened.

The site also provides a range of training and skills development courses.

Dalmarnock Station Redevelopment

ERDF

Funding Received:
£2.9m

Project Duration: 2010 – 2014

Result:
The redevelopment of Dalmarnock Station provided a key transport hub for visitors to the Commonwealth Games and those living within the local area.

Where:
Dalmarnock, Glasgow

Fund recipients:
Strathclyde Partnership for Transport (SPT)

Issue:
Dalmarnock is one of the most deprived areas of Glasgow, with residents facing multiple barriers of deprivation. The local rail station, one of the key transport hubs for Glasgow City Centre and in a strategic location for the upcoming Glasgow 2014 Commonwealth Games, was in poor condition, with limited access for people with disabilities and with no covered or heated waiting areas for commuters.

Background:
Dalmarnock station has long been a key transport hub for Glasgow City Centre, providing a fast and efficient train service into the centre of the city. However it had long been recognised that the station was unattractive, unsafe and in desperate need of refurbishment. Despite being used by over 61,000 commuters between 2007-2008, the station had limited access for people with disabilities and no covered or heated waiting areas for commuters.

Result:
The redevelopment of Dalmarnock Station has created a safe, modern and accessible hub for the area. It has also been a catalyst for the regeneration of the East End of Glasgow. Dalmarnock was a key hub to visitors to the Commonwealth Games in Glasgow in July 2014 and the redevelopment of the site is a lasting legacy for the people, communities and businesses of the Dalmarnock area. The redeveloped station was officially opened by former Deputy First Minister, Nicola Sturgeon, in December 2013.

European Structural Funds 2014-2020

The 2014-2020 Programme will focus on meeting the targets set by Europe 2020, the European growth strategy designed to create a smart, sustainable and inclusive European economy. The EC has set five strategic objectives focusing on employment, innovation, education, social inclusion and climate/energy. Each Member State has set its own targets so these objectives are met by 2020.

How does it compare to the 2007-2013 Programme?

The 2014-2020 Programme is more streamlined, simplified and transparent. The 2007-2013 Programme approved more than 800 projects, with organisations applying directly to the Scottish Government.

In the new programme a smaller number of key organisations known as Lead Partners will manage and control areas previously within the remit of the Scottish Government. The Lead Partners have the expertise to successfully deliver groups of projects, known under the new programme as Strategic Interventions. The Lead Partners will select the projects they feel best meet the objectives of the 2014-2020 programme.

What is the role of the Scottish Government in the new programme?

To monitor and check that funds are being allocated effectively and that EU 2020 targets are being met.

Management Structure

How is the funding allocated?

The €985 million of funds will be split into ERDF and ESF.

Who benefits?

Individuals – the development of a low carbon economy in Scotland and a stronger mid-sized business base will boost employment and lead to more investment in skills development.

SMEs – increased support for small business growth will not only diversify the economy but will also help an increasing number of companies to be 'born global', ready to innovate, export and engage with new markets in Europe and further afield.

Communities – activity to improve the health and overall environmental standards of urban areas will make them better places to live and invest in, while improvements in digital connectivity will reduce levels of social exclusion in remote rural communities.

Scientists and researchers – Targeted investment will provide new opportunities for research and innovation, and the associated increase in job opportunities.

How will the programme work in Scotland?

The 2014-2020 programme is structured around Strategic Interventions – groups of interlinked projects designed to be mutually supportive. The projects will fall into three growth categories to meet the following aims:

1. Smart Growth

Enhancing the Competitiveness of SMEs: Providing support for small companies to grow their business at local, regional and national levels through innovation centres and business development agencies. Enabling SMEs to build a stronger mid-sized business base.

Strengthening Research, Technological Development & Innovation: Increased collaboration between high growth potential SMEs and academic research centres. Technological innovations that will improve urban infrastructure, connection between cities and attract foreign direct investment.

Enhancing Use, Quality and Access to ICT: Increasing the availability of broadband and digital technology to individuals and businesses in remote and rural areas of Scotland so that rural business activity can flourish.

2. Sustainable Growth

Supporting the shift towards a low carbon economy: Promoting research, innovation and adoption of low carbon technologies such as the funding of regionalised pilot projects of low carbon refuelling services. Promotion of active and public transport is also key.

Promoting resource efficiency: Support of accelerator programmes to encourage businesses to adopt resource efficient processes and products.

Protecting the environment: Investment in green infrastructure and transforming vacant and derelict land.

3. Inclusive Growth

Promoting employment and supporting labour market mobility: Improve access to employment for job-seekers and inactive people and encourage the sustainable integration of young people, in particular those not in employment, education or training.

Promoting Social Inclusion, Combating Poverty and any Discrimination: Targeting those who are socially excluded and/or living in poverty. Measures include improving employability through encouraging social entrepreneurship.

Investing in education, skills and lifelong learning: More vocational options for training and entering employment.

2014-2020 Programme Themes: Smart, Sustainable, Inclusive

What Is Smart Growth? lightbulb

Smart Growth shares the strategic aims of Scotland’s Smart Specialisation Strategy – the Scottish Government’s Economic Strategy – to increase labour market participation, business competitiveness and investment in research and development. Efforts are focused on achieving long-term and sustainable growth by increasing investment in Scotland’s assets and resources – skills, research capacity, clusters and niche products and services, approaches to finance and investment and partnership structures.

The Smart Specialisation sectors are Creative Industries, Energy, Financial Services, Food and Drink, Life Sciences and Tourism.

Why do the funds target these sectors?

Scotland already possesses the resources required to achieve the country’s growth potential. It is home to internationally renowned academic institutions capable of transferring invaluable knowledge to the Smart Specialisation Sectors and SMEs making up 99% of Scotland’s business base. This knowledge transfer would equip the SMEs and sectors to build a stronger Scottish business base.

BARCELONA 2012

WHAT?

Urban Habitat Department was established, merging key departments into one.

Coordinates all the public services provided on a typical street in the city, from lighting to parking and road repairs

RESULT

Addresses information gaps which existed between the departments prior to the merger.

Foreign investment in Catalonia up 16% from 2012-13, which 4095 new jobs created.

The Smart Specialisation sectors also have the capacity to drive business growth and Scotland’s cities are ideally placed to act as testing grounds for new technology and Smart Growth projects.

Challenges to achieving Smart Growth

Scotland has resources and expertise to achieve its growth potential but there are challenges it needs to overcome to do this. These include:

A lack of effective links between academic institutions and businesses, preventing the flow of innovative ideas between academia and the commercial sectors to boost economic activity. Much of the issue stems from historically low levels of Scottish investment in research and development and a dominance in investment activity by foreign companies;

A lack of financial and business development support so that Scotland’s SMEs can grow and excel in domestic and international business arenas;

SINGAPORE 2009

WHAT?

E-symphony smart card: a parment card used to pay for road tolls, bus travel, taxis, metros and shopping.

Collects extensive traffic data.

RESULT

Card processes up to 20 million individual transactions a day.

Extensive data capture allows routes to be altered so that journeys are more efficient and congestion levels are reduced

The resources and assets identified in the Smart Specialisation sectors are unevenly distributed across Scotland, limiting their impact;

Growth and development of technology connecting cities and investors.

Meeting the Challenges

Smart Growth is designed to overcome these challenges and produce sustainable economic growth by focusing ambitiously on innovation and development in four key areas – technology, academic centres, SMEs and Smart Specialisation sectors.

Strategic Interventions run by Lead Partners will focus on Financial Instruments, Developing Scotland’s Workforce, Business Competitiveness, Innovation, Digital Infrastructure and Smart Cities.

Collectively these Strategic Interventions will ensure that Scottish businesses have the resources, skills and knowledge to grow, innovate and compete effectively across global markets.

PITTSBURGH 2012/2013

WHAT?

Traffic lights that use sensors to ‘think by themselves’

RESULT

40% reduction in vehicle waiting times;

26% reduction in travel times;

21% reduction in vehicle emissions;

increased business productivity due to more efficient and effective journeys to works

FINLAND 2011

WHAT?

Electronic ‘two-tag’ tram system allowing customers to pay for tickets post messages and complaints online via Near Field Communication-enabled movile phones.

RESULT

Increased citizen participation.

This new Smart Growth approach means that Scotland will be much more ambitious in the use of European Structural Funds. The heightened focus on the Smart Specialisation Strategy will ensure the funds are invested in Strategic Interventions focused on areas which are genuinely new and transformative, and capable of delivering the ambitions to achieve sustainable, long-term growth and increase employment.

Susan Tamburrini
Team Leader, Smart Growth

What Is Sustainable Growth? windmill

Sustainable Growth contributes to the Scottish Government aim of a healthier and greener Scotland by providing funding for projects to increase sustainable economic activity and grow our low-carbon economy.

Scotland faces a number of challenges in achieving sustainable growth. For example, transport emissions have increased since 1990 and the number of people with health issues is growing. More positively, communities are investing in low carbon technologies, and exploring ways to increase energy efficiency. However they do not always have the support to achieve sufficient scale or long-term financial sustainability.

Support provided under Sustainable Growth will focus on four specific areas: increasing the proportion of journeys made by public transport, walking and cycling; promoting research, innovation in and the adoption of low-carbon technologies; moving Scotland towards a resource efficient ‘circular’ economy; and improving the quality, accessibility and quantity of green infrastructure in towns and cities.

SOUTH KOREA
Less you Waste,
Less you Pay

WHAT?

Smart bins capable of caluclating the weight of food and waste deposited. A swipe card is used to open the bin lid and a charge is applied to the user of the card depending on the amount of food waste.

RESULT

A significant reduction in the level of food waste.

NETHERLANDS
Reuse & reduce waste!

WHAT?

A chemical firm reusing the waste water from nearby communities.

RESULT

A drastic reduction in the resources previously used to purify salt water – 65% less energy and a 500-tonne reduction in the amount of chemicals used.

Actions supported will include the development of ‘active hubs’ to provide affordable bike hire and parking; ‘low carbon transport hubs’ providing reliable low-carbon refuelling services and linking small-scale renewable projects; and a ‘National Smart Ticketing Scheme’ to provide a modern, better integrated public transport network which uses a low-carbon rewards system.

Work will focus on developing low risk, low carbon technology investments to attract and build on private investment in low carbon in Scotland. Partnerships will be developed across delivery bodies so that there is a more strategic approach to investment. The aim is to create a Scottish economy where waste management and environmental harm is eliminated from the way goods and services are produced and consumed.

WALES
Turning waste into profit!

WHAT?

A sandwich company using previously discarded breadcursts to produce breadcrumbs sold to sausage companies.

RESULT

Reduced waste disposal costs and increased company sales.

HUNGARY
Increasing Energy Efficienxy!

WHAT?

Gas boilers replaced with thermal water boilers.

RESULT

A reduction of 87% in annual gas consumption – equivalent to the average amount of gas used by 30 detached houses.

Ambitious approach

To successfully deliver the aims of Sustainable Growth will require ambition by all partners. Supply chains will need to be rethought and flexible infrastructure will be required to meet changing needs.

The Sustainable Growth aspect of the programme will significantly scale-up pilot and development projects in Scotland and help to develop and raise awareness of green recreation opportunities.

This will include creating all-abilities access to green infrastructure, wildlife corridors to join up important sites and habitats, increasing the area of land available for allotments, community gardens and orchards and work to improve safe access to and transform vacant land into green spaces.

The programme will provide the impetus and focus for investment that enables Scotland to move towards a truly low-carbon, sustainable economy.

Jim Millard
Team Leader, Sustainable Growth

GERMANY
Using Natural Resources

WHAT?

Potzdamer Plaz, an office, entertainment and retail centre in Berlin has developed an elaborate system to retain storm water.

RESULT

The storm water runs off the building and is collected in a pond. It is then reused for toilet flushing, irrigation and fire systems in the centre, minimising the burden on Berlin’s water infrastructure.

What Is Inclusive Growth? heads

Inclusive Growth focuses on projects and activity designed to raise levels of employment, investing in skills and training, modernising the labour market and reducing poverty. This focus forms a core part of the EU 2020 Strategy and is also recognised by organisations including the Organisation for Economic Cooperation and Development and the World Bank.

Scotland still has relatively high levels of long-term unemployment and inactivity, particularly in terms of youth and long-term unemployment in South West Scotland. In addition, 16% of the Scottish population and 19% of Scottish children live in relative poverty, with high levels of in-work poverty. The issues and their severity vary across Scotland but sustainable employment, food and fuel poverty, child and social care, and financial inclusion are a constant problem when dealing with poverty alleviation. Around 68% of the European Social Fund allocation will be devoted to this area, targeting the people and places who are in the most need.

How will Inclusive Growth address these issues?

1. Promoting Labour Mobility

Youth Employment Initiative (YEI)

Targeting the very high levels of youth unemployment in South West Scotland, the YEI supports young people into employment, a formal and long-term traineeship or formal and long-term qualifications, depending on individual needs and abilities.

GERMANY 2010 Berlin:
Social Integrative City

WHAT?

A neighbourhoods management programme was established in areas of the city with high unemployment and deprivation. The public services in each of the neighbourhoods were strengthened and work was done to create more effective links between them. The knowledge of local residents was used to create new strategies to tackle issues associated with deprivation from within the communities themselves.

RESULT

Better interaction between agencies and services.

Services became more responsive and effective in delivering measures to deal with community problems.

Local people became more engaged and involved in work to improve the local environment and the communities they lived in.

Employability Support

Targeting those with multiple barriers to increase participation in the labour market. Support will include barrier removal, training, employer engagement and in-work training and support. This will be delivered both locally through employability pipelines and, at a national level, through a third sector employability fund.

NETHERLANDS 2008
The Client’s Voice

WHAT?

Establishment of a new scheme distributing grants to unemployed people with a contractual agreement on how the money is used to get the individual back into work; The grants are flexible in terms of how they are used and tailored to the specific needs of each individual.

RESULT

Lower unemployment levels throughout the Netherlands

High levels of support and buy-in from unemployed people keen to alter their situation.

2. Promoting Social Inclusion and Combating Poverty

Community Based Solutions

Supporting the most disadvantaged and fragile communities to identify and tackle issues affecting poverty at a local level, and with a specific focus on an asset-based planning approach.

Enhanced Pipelines

Support to complement pipelines for intensive barrier removal, targeting particular groups or issues including workless and/or low-income households and lone parents.

Financial Inclusion

Supplementing the financial inclusion offered through employability packages with more targeted assistance to provide intensive support for the most disadvantaged households in target areas.

Supporting Social Economy and Social Innovation

Using social enterprises and the thirds sector as vehicles to provide sustainable solutions, the programme will develop and grow the social economy through increased access to capital. In addition it will improve access to funding for pilot projects using new approaches to tackle poverty and stimulate and support new ideas.

Lorna Gregson-MacLeod
Team Leader, Inclusive Growth

Further information

For further information about European Structural Funds in Scotland please contact

Scottish Government
European Structural Funds
3rd Floor
Atlantic Quay
150 Broomielaw
Glasgow
G2 8LU

future_funds@scotland.gsi.gov.uk

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