DEFRA Launches Round Three of Rural Development Programme

DEFRA launched round three of the Rural Development Programme for England (RDPE) Growth programme on the 4th of November. The scheme provides EU funding for projects in England that create jobs and growth in the rural economy, with £35 to £50 million worth of funding available for business development, food processing and rural tourism.

As uncertainty mounts for many of our clients the standout benefit of the scheme is that regardless of the ensuing result of Brexit, the funding will extend to the end of any projects where funding has been approved before the end of 2020.

Farmers, growers, packers, processors and food and drink manufactures are eligible for the funding providing they can invest in capital projects that will create jobs and deliver growth to their businesses. The grants are funded by the European Agricultural fund for Rural Development (EAFRD) and delivered through the European Structural Investment Fund (ESIF).

The Business Development Grant

The Business Development grant ranges from £20,000 to £175,000 and is intended to help rural business grow through the expansion of existing enterprises or new projects. The funding can be used to help cover the costs of construction or improvement of existing infrastructure and the purchase of new equipment and machinery.

The Food Processing Grant

In this sector, the Food Processing Grant is only applicable for food and drink businesses that process Annex 1 products. Typically, these consist of non-processed raw products, such as milk, meat, grains, fruit and vegetables. Funding is available from £20,000 to £750,000 for projects such as the construction or improvement of food processing buildings or the purchase of new food and drink grading, packing and processing equipment and machinery.

Rural Tourism Infrastructure

The Rural Tourism Infrastructure Grant is designed to improve capital expenditure in rural areas by encouraging tourists to visit, stay longer and spend more money. Infrastructure supported by the grant relates to visitor attractions, accommodation and events. To attain this grant, applicants must first submit an Expression of Interest (EOI) specifying a brief overview of the project. Projects are scored on their value for taxpayer’s money, with only endorsed projects requested to submit a full application. Funding is available from £20,000 to £175,000.

What’s the catch?

Whilst a fantastic incentive, clients should be mindful the maximum grant rate is 40% of eligible expenditure and applicants cannot start work on a project until permission has been received from the Rural Payments Agency. In addition, there is a looming deadline for expressions of interest by 16th February 2020.

Our expert team recognise the uncertainty ahead and seek to help our clients, old and new, to attain successful applications for regulatory or for grant funding opportunities. If you would like more information on how we can help, or to discuss a project get in touch with us on 01332 871 882 or at info@envireauwater.co.uk.