European Union Committee: Multiannual Financial Framework

Baroness Young of Hornsey Excerpts

Tuesday 19th June 2012 Grand Committee

[Baroness Young of Hornsey]

My Lords, I will cover some of the areas that were formerly allocated to what was Sub-Committee G, dealing with social policies and consumer protection. I start by saying that I very much welcome the opening remarks of the noble Lord, Lord Boswell, especially those in support of ERASMUS and the creative industries. I start with some comments about the ERASMUS section and will quote again the comment from the Minister that was referred to by the noble Lord, Lord Maclennan.

With respect to the ERASMUS for All proposal, which we examined in our inquiry into and report on the modernisation of higher education in Europe, we not only welcomed the Commission’s efforts to streamline and simplify the numerous existing programmes in the area but considered that, as lifelong learning is key for long-term growth, this programme merits a larger proportion of funding under the next MFF. Although the Minister told us that the Commission’s preferred funding increase was completely unrealistic, most of our other witnesses disagreed.

We also noted that work and study placements abroad produce obvious benefits for individuals in terms of increased confidence, language skills and employability. We considered that the UK’s prevailing monoglot culture, among other factors, prevented its students participating in ERASMUS to the same extent as those of other member states. Therefore, additional EU funding for such placements should be welcomed to support increased UK participation in ERASMUS and other mobility programmes. We also welcomed the proposed sub-programme under ERASMUS for All, which will introduce a dedicated funding stream for sport for the first time, which is in line with another of our past reports, concerning the development of grass-roots sport.

On the subject of Creative Europe, again I declare an interest as somebody who works extensively in the cultural and creative industries and support some of the comments of the noble Lord, Lord Maclennan. We considered here that the cultural and creative sector’s contribution to the EU is fundamentally important and heard much compelling evidence that the increased budget proposed by the Commission for the Creative Europe programme would stimulate job creation and growth in line with the Europe 2020 strategy.

In the context of domestic funding cuts for these sectors and UK organisations’ obvious capacity for attracting EU funding of this nature, we call for the Government to support a proportionately larger budget allocation to this area, which represents only a very small proportion of the total MFF. One component part of Creative Europe is the media programme, which provides funding for television and film productions across the EU and beyond. I am sure some of your Lordships will have enjoyed the fruits of this programme, such as “The Bridge”, a very compelling Danish-Swedish drama series that was broadcast on BBC Four and which was funded by the media programme.

I turn now to the cohesion policy, an area that was referred to by a number of noble Lords earlier in this debate, and specifically to the European Social Fund. Both reports being debated today recommend that although the ERDF should be targeted at the poorest member states, the European Social Fund is of benefit throughout the European Union. As we identified in a report on the ESF, and as was clear from our project visits in various parts of London, poverty and unemployment, and the need for new skills, do not respect national boundaries.

The European Social Fund can also make a valuable contribution to realising the Europe 2020 goals, including that of greening the economy, a point that was made earlier by the noble Lord, Lord Carter. It can do so most effectively by working strategically with the other structural funds, including the rural development and fisheries funds. For example, the fisheries fund could pay for fishermen to leave the industry and the ESF could pay for retraining and diversification. We therefore support the Commission’s proposed common strategic framework, whereby member states must plan the deployment of all these funds under one strategic umbrella.

I would like to draw on the lessons of a seminar on the ESF last December, which was one of a number of meetings we held with various stakeholders in the year. Words that kept cropping up at that meeting were “partnership”, “flexibility”, “simplification” and “local”. Of those, flexibility—the ability to respond to local needs—was crucial for those participating. It is where the Commission’s proposed thematic concentration, running through the various structural funds, may not work on the ground. We are therefore delighted that its importance is reflected in the most recent report under debate today. We also agree with the report’s support for the overall envelope proposed for cohesion funding, and argue that the ESF has a particular role within that envelope as a fund that can make a real contribution to meet the challenges of the current economic climate.