Member Article

Businesses warned of funding changes

Businesses in the region with expansion plans are being urged to seek advice before changes to Government funding come into force next year. Tyne and Wear Development Company (TEDCO) warns that Selective Finance for Investment (SFI) limits may change from 2007. The company is advising businesses in the region to ensure that any existing or planned applications for support under the current scheme are submitted on time.

Though the details have yet to be finalised, the biggest impact is likely to be on businesses with more than 250 employees, which may see a reduction in the maximum level of funding that can be received. Companies wishing to apply for existing SFI support must submit applications to One North East by the end of November at the very latest.

Paul Buie, manager, Tyne and Wear Development Company, said: “A number of changes to SFI will take place at the start of 2007. We’re awaiting further clarification on what the new criteria will be but large companies, in particular, may well be better off under the current rules. I would recommend that any companies with plans for capital investment and job creation should seek advice immediately.”

Ian Williams, head of business products at One NorthEast said: “We would like to assure companies that the Agency will continue to provide substantial SFI funding to businesses of all sizes in the North East. The proposed Assisted Area map which will operate from 1 January 2007 will continue to give significant coverage in the region, however if companies have investment plans and wish to discuss the potential effect of changes to the map and limits then we would welcome the opportunity to discuss these.”

Advice and information is available from One NorthEast (0191 229 6339), Tyne and Wear Development Company (0191 516 9099) or your local authority Economic Development Team.

This was posted in Bdaily's Members' News section by Ruth Mitchell .