The government says it will guarantee any money UK businesses receive through EU programmes until the end of 2020 – even there is a No Deal Brexit.
The guarantee also applies to other groups such as universities and local authorities.
The implementation period agreed in March would see the UK continue to participate in all EU programmes until the end of 2020 – providing a degree of continuity for British organisations and their European counterparts.
The guarantee will reflect this by underwriting the UK’s full allocation for structural and investment fund projects, such as funding secured through the European Regional Development Fund, until the end of 2020.
In addition, the Treasury will also guarantee funding for UK organisations which successfully bid directly to the European Commission – through projects like Horizon 2020 – until the end of this EU budget period if no deal is agreed.
It’s hoped this will give potential applicants continued confidence to bid for funding whatever the outcome of the negotiations and ensure that UK organisations continue to benefit from funding post-Exit.
Chancellor Philip Hammond said: “We continue to make positive steps towards getting the best possible deal with the EU.
“The guarantee we are making however means that, even in the unlikely event of a no-deal, our businesses, universities and local authorities can be confident that they will continue to receive the funding they successfully bid for from any EU programme.
“In 2016 the government committed to protect projects that were successful in securing EU funding before exit day. This new guarantee means that successful bids for EU funding until the end of 2020 will receive their full financial allocation and will continue to receive funding over a project’s lifetime.”