Euro help may be extended (From Western Telegraph)

Euro help may be extended

WALES has received the clearest signal yet that the European Union could extend its funding programme to west Wales and the valleys beyond 2006.

The current Objective 1 package, worth £1.2 billion, comes to an end in 2006. Wales is eligible under current European Union criteria - which states that Objective 1 help can go to any region where the GDP is less than 75% of the EU average. The fear was that once EU enlargement takes place, poorer Eastern and Central European countries would shift the statistical basis, and would therefore rule out continuous funding for Wales and other current Objective 1 areas.

Euro MP Glenys Kinnock asked for clarification at a meeting with a senior member of Commissioner Barnier's cabinet.

"I can confirm that it is the European Commission's intention to propose an extension of the funding programme in Wales. Current proposals suggest that under what will be called Objective 1b, 80% - 90% of Objective 1 funding could continue to be allocated to most of the current Objective 1 areas up until 2013."

"At this early stage of negotiations, this is hopeful news. While we all recognise that significant funding programmes are going to be required in the ten new member states, it is right that we offer a long-term commitment to the poorer areas of the current EU. The levels of poverty and disadvantage in Wales will require a very focused approach over a number of years. It is apparent that the European Commission has recognised that fact."

PEMBROKESHIRE'S lack of Objective One structural fund support compared with Ireland was highlighted by Cllr John Allen-Mirehouse at last week's county council cabinet meeting.

He said Pembrokeshire had suffered from years of under-investment in basic infrastructure and was unable to replace it. It was far more than roads - it was broadband, high pressure gas and other things on which society depends. "It is so much that rural Wales is short of and we must look to Brussels to provide it," he added.

The cabinet agreed to support the Welsh Local Government Assoc-iation's (WLGA) response to Government proposals which would mean Pembrokeshire would lose out, as it was suggested structural funds should be limited to member states whose GDP per head is less than 90% of the EU average. Cllr Maurice Hughes. said it was essential the authority supported the WLGA response as the county was not getting sufficient Objective One support.