The Department of Business Innovation and Skills has this week announced a new initiative of up to £125 million to improve global competiveness of the UK advanced manufacturing supply chains, and a further £1 billion of funding for the Regional Growth Fund.
The Advanced Manufacturing Supply Chain Initiative will target innovative projects in established UK advanced manufacturing sectors, as well as supporting new growth areas where the UK is well placed to take a global lead, such as the renewable energy and low carbon sectors. The initiative will aim to assist existing UK supply chain growth and also encourage new suppliers to establish manufacturing operations in the UK.
It is intended that the initiative will be flexible in the forms of assistance offered, acknowledging that supply chains may require a package of different support mechanisms, including investment in capital equipment, associated research and development, and improved skills and training programmes. A threshold of £2 million for support has been set, with the aim of encouraging all suppliers, including small and medium sized enterprises, to submit joint proposals that demonstrate enhanced join-up across the whole supply chain.
The Government will invite potential applicants to express an interest in the scheme later this month, with the formal bid process being opened up in early in 2012. The initiative will be open to all advanced manufacturing sectors, except those where barrier to entry are low or displacement levels are high. More information about the fund and details on how to apply will be available soon at the Technology Strategy Board's website.
The Regional Growth Fund supports projects and programmes that promote private sector investment, creating economic growth and sustainable employment. The key focus of the scheme is to encourage sustainable private sector-led growth in areas currently dependent on the public sector. The original £1.4 billion Fund saw a number of companies in the renewable energy sector successfully bid for support.
The timings for the next round of the scheme are not yet known, but it is likely that the applications process will be opened up early in 2012, with successful bidders announced in the new financial year (April 2012 onwards). More information will be available at the Regional Growth Fund website in due course.
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