Scottish Government

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Funding for rural development

14/10/2008

Rural community groups across Scotland are invited to come forward to apply for the latest round of funding to support and grow the rural economy.

Over £5 million of LEADER* funding has been awarded to four new Local Action Groups (LAGs) to help revitalise and empower rural communities in Ayrshire, East Renfrewshire, Moray and Renfrewshire.

Previous examples of local projects funded under LEADER include:

• Promoting quality food from Argyll at music festivals across the UK
• Transforming a derelict swimming pool into a unique caving environment for use by young people in Falkirk and Stirling
• Improving harbour access and increasing diver activity to boost tourism in Eyemouth
• Upgrading waterfront facilities to increase visitor numbers in the Shetland Isles

Rural Affairs Secretary Richard Lochhead said:

"This £5 million will empower rural communities to take action to revitalise and revive remote areas, in line with the Scottish Government's commitment to supporting sustainable economic growth.

"By enabling funding decisions to be taken at a local level, we can ensure a wide variety of high-quality projects that meet local needs. This can range from improving recycling facilities and introducing renewable energy schemes to upgrading village halls and setting up community websites.

"I would encourage community groups across Scotland to come forward with innovative ideas and seize this opportunity to take control of their own future.

"LEADER projects are another example of the Scottish Rural Development Programme making a vital contribution to the future prosperity of rural life."

An additional £19.2 million for regional development has been awarded to seven LAGs in the Highlands and Islands to be added to LEADER funding, in recognition of its previous status as a disadvantaged and remote area.

*LEADER ( Liaison Entre Actions de Développement Economique Rurale or Links between activities developing the rural economy) is a mainstream part of the Scotland Rural Development Programme 2007-2013 (SRDP). The SRDP is a major programme of support for rural Scotland worth around £1.6bn over the programme period.

LEADER is a grassroots scheme aimed at empowering local communities to develop their own area using innovative approaches and cooperation.

Funding is awarded to Local Action groups (LAGs) to take decisions on projects which are community driven and have a wide community benefit. LAGs are a partnership made up of local development partners in the public, private and voluntary sectors. Between them they will be able to draw down nearly £40 million of funds, a third coming from Europe and two-thirds from the Scottish Government itself.

The approval of the four new LAGs in Ayrshire, East Renfrewshire, Moray and Renfrewshire follows the recommendation of an independent assessment panel.

Sixteen LAGs were successful in gaining funding approval in March 2008. This latest announcement brings the total of LAGs in Scotland to 20, covering some 95 per cent of rural Scotland. Funding is distributed as follows:

A sum of £0.47 million has been earmarked for Renfrewshire LAG but retained pending additional information from the group.

£19.2 million of European convergence funding awarded to the seven LAGs in the Highlands and Islands area is in recognition of the Highlands and Islands former status as an Objective 1 area for European regional development funding. The convergence monies will be added to the relevant areas' LEADER awards in order to help implement the high quality local development strategies drawn up by local partnerships in the Highlands and Islands.