The UK Government is being accused of short-changing the people of Scotland by millions of pounds post-Brexit.
The UK Shared Prosperity Fund will see £2.6 billion split between the four UK nations over the next three years, rising to £1.5bn annually by 2025.
This fund is meant to replace to main funds from the European Union prior to Brexit – the European Social Fund and the European Regional Development Fund.
However the Scottish Government claims the funding falls short by at least £151 million in 2022/23, as Scotland will only be receiving £32m.
They say £183m was originally promised.
The party is calling it a “betrayal of democracy and a disgrace”.
Local authorities miss out on millions
According to SNP figures, local authorities across Scotland are set to miss out on millions in funding each because of this.
Estimated by share of population, Fife is due to miss out on the equivalent of £10.3m this year.
Dundee City will also miss out on £4.1m.
Elsewhere in Tayside Angus will be short by £3.2m and Perth and Kinross by £4.2m.
The Scottish Government has calculated £162m a year is needed to replace the funding that came into Scotland through the two EU funds, increasing to £183m when taking the LEADER funding and the EU Territorial Cooperation Programme into account as well.
The UK Department for Levelling Up, Housing and Communities said the amount allocated for the first two years of the fund is lower than the EU’s funding as the package from Brussels is still being spent.
This package will come to an end in 2023 and the UK Government department says the fund will be “ramped up” after this.
It said that by 2024/25 the £1.5bn fund will match what was previously spent in Scotland pre-Brexit.
‘Scotland deserves better’
Dundee City East MSP Shona Robison added: “The Scottish Government previously made decisions about how best to spend the EU money based on local priorities.
“Now a UK Tory government – which Scotland did not vote for and hasn’t done so since the 1950s – is cutting Scotland’s elected government out of the decision-making process.”
Fund failing to deliver on promises
SNP Business Minister Ivan McKee says the Shared Prosperity Fund is failing to deliver the replacement funding Scotland was promised.
He said: “EU funding has supported infrastructure projects and community initiatives across the country since the 1970s, with Scotland receiving and delivering over £6 billion of EU structural funds.”
Mr McKee added: “Since 2016 the Scottish Government has tried to engage constructively with the UK Government to ensure this fund was delivered in a meaningful way, consistent with the devolution settlement and aligned with our national economic aims and ambitions.
“However, the UK Government has undermined devolution by failing to give the Scottish Government a decision-making role – which ultimately fails to meet the needs of Scotland’s communities.”
Fund is empowering communities
UK Levelling-Up Secretary Michael Gove said: “We have taken back control of our money from the EU and we are empowering those who know their communities in Scotland best to deliver on their priorities.
“The UK Shared Prosperity Fund will help to unleash the creativity and talent of Scottish communities that have for too long been overlooked and undervalued.
“By targeting this funding at areas of the country that need it the most, we will help spread opportunity and level up in every part of the United Kingdom, including Scotland.”
