Partial victory for Liverpool over EU funding

THE High Court has ruled that the Government was unlawful to redirect European Union funding allocated for Liverpool and Sheffield to other parts of the country.

The cities brought a joint action arguing the reduction was disproportionate compared to other areas.

The European Commission calculated Merseyside’s share of EU funding for 2014-2020 to be around €350m.  

However, the Government chose to allocate €202m, with the balance being redistributed to Scotland and Northern Ireland.

The judge has ordered the Government to reconsider saying it breached its legal duty to have due regard to the need to, amongst other things, eliminate discrimination and advance equality of opportunity.

But the Department for Business Innovation & Skills said the judge ruled against Liverpool and Sheffield on other grounds including the methodology of the funding allocations, which means the cities may not receive more money.

Liverpool mayor Joe Anderson said: “This is excellent news for Liverpool City Region. The court has found that the Government has had complete disregard for its legal duty when making its decision. It is well documented that Liverpool is one of the most deprived areas in the country and as part of its process the Government should have fully assessed this to make sure there was no unfair discrimination when making its decision.

“The evidence presented to court shows that, based on the Government’s own figures, ministers decided to allocate €150m less to Liverpool City Region and almost €90m less to South Yorkshire than they themselves had estimated our share of the UK pot to be.

“There is no doubt in my mind that they were guilty of cutting our funding unfairly. In my view this is sheer arrogance and I am pleased our case has been supported in a court of law.”