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Allister asks for a billion

25 April 2006

DUP MEP Jim Allister has met with Finance Minister, Lord Rooker, to discuss Northern Ireland's share of EU structural funds under the new Budget from 2007-2013.

The UK Government is currently consulting on how a total package of €6.2Billion should be spread across the UK.  Mr Allister has argued to the Minister that since the focus of structural funding is to help meet the Lisbon agenda objectives of a more competitive and innovative economy, Northern Ireland must have more than a pro rata share of the €6.2B, because within the 12 regions of the UK we come almost at the bottom on every empirical standard.  For example, on long-term unemployment we rank 12th, on business formation rate 11th, on GVA per head 11th, on share of private sector employment 12th, and on average earnings 12th.

Mr Allister said "Since in the UK's National Reform Programme HMG has set forth its objective for the UK as ensuring "every nation and region fulfils its economic potential, that all parts of the country share in rising prosperity, and that economic disparities between nations and regions are identified and addressed", the distribution of EU aid must reflect this strategy and in consequence Northern Ireland as the region suffering the greatest economic disparity should have the biggest share of assistance.  Accordingly, I urged Lord Rooker to mount a bid for 1Billion of the available aid."

Mr Allister continued, "However, the amount becomes merely academic if the past practice of refusing additionality continues. The key to making EU funding have a real impact on Northern Ireland is honest delivery of additionality. Hitherto Northern Ireland's eligibility for EU funding has been used to garner funds into the UK Exchequer, without directly benefiting the Province, and used instead to reduce UK wide tax revenue and borrowing requirements. This denies additionality and is not how EU funds should be deployed.  I, therefore, strongly pressed on the Minister the necessity to deliver EU aid as truly and transparently additional."

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