Rural funding offered for community projects

North Devon Council has set aside money in a community pot

Plans have been made for half a million pounds of government funding designated to help rural businesses in North Devon to be spent on community projects.

North Devon Council set aside the money in a community pot with plans for it to be spent on regeneration.

The money had previously not been allocated due to a lack of applications and at the beginning of the financial year £691,000 of the £798,000 had not been handed out.

The authority said it had received 16 inquiries since the second round of the Rural England Prosperity Funding opened in May.

In a report for the council’s strategy and resources committee, officers said it was "very unlikely" the authority would be able to give all the money out in grants given the low level of inquiries and applications, the Local Democracy Reporting Service reported.

Overall the council was given a total of £1.1m of government funding for two strands, one for rural businesses and the other for communities.

Councillors were allowed to transfer the budget between the strands without asking the government and agreed to transfer £500,000 into the community pot.

North Devon Plus, a not-for-profit company that supports economic growth, has worked with the council on delivering the rural business grants.

Eleven projects were given cash last year totalling £107,000 and nine projects were expected to be progressed this year.

After reviewing the first year’s performance changes were made to try to boost take-up, including increasing the upper limit to £35,000 for grants, reducing the level of match funding required to 10% for grants up to £10,000 and 20% for those over £10,000, and a fast-track advice process.

Mr Malcome Prowse, leader of the North Devon Independents, was surprised there had been little take up.

He added the money was not available in Barnstaple as it was an urban centre which did not comply with the criteria, but Ilfracombe was eligible and needed help.