European Investment Plan

The Scottish economy is to benefit from a multi million European investment.

More than €1.9bn is to be invested into Scotland's low carbon economy, digital infrastructure and initiatives to tackle poverty by the European Commission.

The European Regional Development Fund (ERDF) and the European Social Fund (ESF) will bring a combined €985m in European funding to Scotland between now and 2020. The Scottish Government and public sector partners will contribute the remaining balance.

Over the next six years the funds will be invested in a range of projects to help Scotland build a more innovative, low-carbon economy as well as promote international business, tackle poverty and get people back into work.

Cabinet Secretary for Infrastructure, Investment and Cities, Keith Brown, welcomed the approval of the new funds. He said:

"The Scottish Government shares the Commission's ambitions for growth across Europe which is smart, sustainable and inclusive. These programmes will enable us to strengthen our research, development and innovation capabilities and help turn innovation into long-term and sustainable jobs and growth.

"Scottish SMEs will benefit through ERDF-funded initiatives by Highlands and Islands Enterprise, Scottish Enterprise and the local authorities aimed at joining up their support for business and bolstering competitiveness in Scotland, the UK and internationally. We need to continue progress on reducing Scotland's carbon footprint and significant funding has been allocated for the transition to a low carbon and resource-efficient economy.

"We also share the Commission's ambitions to alleviate poverty in Scotland, to help those who have employment difficulties find work and to increase the skills of our workforce. Through ESF we will invest in education, skills and lifelong learning to ensure our workforce are better equipped to meet the needs of the labour market. The funds will also target deprived communities and those who are unemployed or on low incomes, focusing on innovative, adaptive and sustainable solutions to reduce poverty.

"Now the Programme has been adopted we expect to see funds begin to be committed early in 2015."