Brexit - Announcement on EU Funding

Published 17 August 16

On August 13th, the Chancellor, Phillip Hammond, announced that EU funding for farmers, scientists and other projects will be replaced by Treasury after Brexit.

Agricultural funding currently provided under CAP Pillar 1 payments will continue until 2020, funded by Treasury should Brexit occur before then.

Mr Hammond said EU structural and investment fund projects signed before the Autumn Statement later this year, and Horizon research funding granted before leaving the EU, will be guaranteed by the Treasury after the UK leaves.

The EU's 80bn euro (£69bn) Horizon 2020 programme awards funding for research and innovation and is open to UK institutions while the country remains a member.

The Treasury said it would assess whether to guarantee funding for certain other projects "that might be signed after the Autumn Statement, but while we remain a member of the EU".

The structural and investment funds that will be guaranteed include CAP pillar two, the European Social Fund, the European Maritime and Fisheries Fund and the European Regional Development Fund, including European Territorial Cooperation.

Chief Secretary to the Treasury David Gauke has also written to the devolved administrations to confirm the same level of assurances offered to UK Government departments in relation to programmes they administer but for which they are expected to rely on EU funding.