The UK Shared Prosperity Fund in these uncertain times.

By Jane Thomas

Coronavirus has changed the political landscape in a way that would have been unimaginable this time last year. But whilst the government grapples with one of the biggest challenges since the Second World War there are some political certainties that remain. One of the most significant is the completion of the details of our exit from the European Union.

The negotiations are now on the second round and started, via video link, on April 20th. Much of the agenda focuses on trade but there is a session on future European programmes.

This is of vital importance to civil society groups around the UK who still face desperate uncertainty over future funding - groups who at the moment are some of those who are helping the most marginalised and isolated during the Coronavirus crisis.

A large percentage of funding for many groups comes from the EU structural funds. This funding will come to an end when the UK leaves the EU but in its 2019 manifesto the Conservative Party pledged to “at a minimum match the size of [Structural] funds in each nation”. It was announced that funding would be replaced by the UK Shared Prosperity Fund (UKSPF) with a commitment to holding a consultation on the design of the fund in late 2018.

However, as of April 2020, no such consultation has taken place and there is still no meat on the bone of the UKSPF

Concern about the lack of movement and the uncertainty this gives to many civil society groups on the frontline has been expressed Brexit Civil Society Alliance who say groups have been waiting since July 2018 for developments on the scheme. This frustration has been further compounded by the lack of any details in the March budget, instead kicking details into the long grass of the now delayed Comprehensive Spending Review.

This matters. The UK is continuing to receive EU structural funds during the transition period, but unless there is an extension this ends on 31 December 2020 and the UK will not contribute to – or receive – EU Structural Funds after that point.

The government has acknowledged the uncertainty caused by Coronavirus by publishing an  ESF Guidance note to all ESF beneficiary organisations trying to put in place measures to alleviate some of the disruption. The Chancellor Rishi Sunak announced on April 8th a £750m package to keep struggling charities afloat during the coronavirus pandemic. Whilst welcome news these are cash grants directed to charities providing key services during the crisis and will do little to address the questions around future funding certainty post-Brexit.

As Belinda Pratten from Equally Ours has said: “While the Government is taking steps to reduce the impact of Covid-19 on existing EU-funded projects as much as possible, the lack of movement on the UKSPF is increasingly worrying. EU funding has provided a lifeline to many disadvantaged people and communities, and the voluntary and community organisations that support them. With its strong focus on equality, social inclusion and non-discrimination, what Equally Ours offers will be more vital than ever once the lockdown has ended and we embark on the long road to economic recovery”.

There will be life after Coronavirus but it will be different. Life has already changed with neighbourhoods up and down the country supported by the thousands of Mutual Aid groups that have emerged since early March. And it is at times like these that civil society groups come into their own playing a vital role in people's day to day lives. At a local authority level, the value of these organisations is being recognised and in many towns and cities, there is a new collaboration between government agencies and civil society groups. Central government must now step up to the plate and make clear its intentions for the UKSPF and publish its long-awaited consultation.

The Brexit Civil Society Alliance will be joined by Equally Ours and the Wales Council for Voluntary Action in a webinar on the 14th May to discuss all this and more. Sign up here.