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UK Shared Prosperity Fund: Key considerations for councils

The £2.6 billion UK Shared Prosperity Fund (SPF) was finally announced last week and supersedes the EU Structural Funds with the overarching objective of building pride in place and increasing life chances.

The SPF presents an opportunity to prioritise local initiatives around three investment priorities which align with 7 of the 12 missions within the Levelling Up White Paper:

  • Community and Place
  • Supporting Local Business
  • People and Skills

Local elected leaders with buy-in from local MPs, businesses and voluntary groups will be able to prioritise activities based on the local need. As part of this process, all lead local authorities across the UK will develop an investment plan and submit it for approval by the Government in July 2022 (30 June 2022 to 1 August 2022).

So, what does this mean for the local authorities?

Effective identification and prioritisation

A wide range of local initiatives and schemes will qualify for the fund – local regeneration, learning and skills development, support for micro and community led businesses. The key challenge and opportunity for the local authorities will be to agree and prioritise the investment themes that will have the maximum local impact and be best aligned with the fund’s objectives. Having a robust evidence base of local needs will be a crucial part of this process.

Align outputs and outcomes to local needs

Local authorities will then have to identify the desired outcomes based on their local needs. The potential outputs and outcomes of the local interventions analysed against the desired outcomes will help to derive a shortlist of potential interventions. Developing a clear logic model that demonstrates how the interventions will lead to the impacts will be central to this process.

Engagement with relevant stakeholders

Each investment plan requires evidence of engagement with relevant stakeholders including the local MPs. Hence, it is critical that the needs assessment and identification of preferred outcomes are undertaken as a collaborative process that has been developed over time. Stakeholder mapping and early engagement will be important given the stringent timelines for applying for the fund.

Develop a clear delivery plan

Local authorities will need a clear approach and delivery team who will be responsible for management of the funding as well as monitoring and evaluation of outputs and outcomes related to the funded schemes. Lest we forget how stringent ESF reporting requirements were. The expenditure associated with the interventions needs to be set out clearly. The key here will be to draw upon capability, experiences and lessons learnt as part of the previous funding rounds such as Community Renewal Fund (CRF).

The Shared Prosperity Fund presents a real opportunity for local authorities to meet local needs and to deliver interventions that will improve prosperity.

Please get in touch with Business Cases and Funding Associate Director, Bindu Pokkyararth for a discussion on how we can help to develop a case for Shared Prosperity Funding.

19 April 2022