http://www.nwda.co.uk/docs/NWDA%20Regional%20Aid%20Scheme_may2010

Page 1

Title :

North West of England Regional Investment Aid Scheme

Granting Authority :

North West Development Agency, Renaissance House, Centre Park,

Warrington WA1 1XB Duration of Scheme

Until 31 December 2013

Contact :

Keith Brown (Keith.brown@nwda.co.uk)

Legal Basis :

Sections 4 and 5 Regional Development Agencies Act 1998 c 45 (RDAA)

(http://www.opsi.gov.uk/acts/acts1998/ukpga_19980045_en_1) and , Commission Regulation (EC) No 800/2008 of 6 August 2008 declaring certain categories of aid compatible with the common market in application of Article 87 and 88 of the Treaty (General block exemption Regulation) OJ L 214, 9.8.2008, p. 3–47 (GBER) Scope

As defined Article 1 GBER. The aid scheme is restricted to those regions qualifying

as assisted areas within the North West of England under N673/2006 United Kingdom Regional Aid Map 2007-2013 and within the maximum aid intensities set out therein. Forms of Aid.

Aid shall be in the form of non repayable grants

Eligible Recipients Eligible Costs

All Enterprises eligible for regional aid under GBER Costs shall be eligible in accordance with Articles 12 and 13 of GBER and

shall include: 1. Construction costs 2. Site remediation costs, including depollution, demolition of derelict structures and site clearance costs 3. Costs of alteration 4. Costs of installing fixtures and fittings 5. Costs of installing utilities 6. Purchase of new Plant and Equipment 7. Purchase of new fixtures and fittings 8. Finance Leases of plant and equipment, fixtures and fittings containing an option to purchase 9. Purchase of land and buildings or costs of leasing the same provided the lease tenure continues at least for 5 years after the end of the project or activity for which the grant is sought 10. One off consultancy costs associated with the eligible costs such as architects, surveyors, legal and marketing fees. 11. Costs of acquiring intangible assets 12. Associated Finance costs


All conditions applicable to investment aid shall be as set out in Article 12 GBER Operating costs shall not be eligible for aid under this scheme. Maximum Award

The maximum award per applicant for grants under this scheme shall

not be greater than that permitted by GBER without resort to individual notification to the European Commission. Aid Intensities

The project or activity shall submit a detailed breakdown of eligible costs to

the satisfaction of the granting authority. Each head of costs shall carry an intervention rate no higher than that authorised by N673/2006 and Article 13 GBER. At least 25% of the balance of each head of costs shall be contributed to by the applicant from its own resources and not represent State resources. Incentive Effect

Article 8 GBER shall be applied to every individual application for

individual aid under this scheme.

The granting authority appraises projects in accordance with

standard nationally recognised appraisal techniques. The appraisal documentation deals with issues of additionality, market testing, valuation of costs and alternative options to making a grant award. Grants shall only be made as a last recourse and to the minimum amount necessary for the project or activity to materialise. Grants shall not be made to projects or activities which have commenced at the date of the award. Cumulation

Individual aid granted under this scheme shall not be cumulated with aid

granted pursuant to other GBER approved schemes except in the manner set out in Article 7 GBER Monitoring

The grant appraisal process is followed by the entry into a formal contract

between the granting authority and the applicant for individual aid awards. The contract allows for the granting authority to seek repayment with interest at the official reference rates of the EU of all or part of the grant in the event the contract is breached. Additionally financial corrections may be imposed should the contract not be adhered to. The contract incorporates all the appraisal documentation, a detailed monitoring and evaluation plan and a list of eligible costs against which interventions are to be made. The Granting authority carries out regular audits of its grants either through its internal audit team or by requiring external audit every time an application for payment is made. Reporting

The granting authority undertakes to maintain records of individual aids made

under this scheme using its Project Management System database and submit annual reports on the use of the scheme to the EU.


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