The Highland Council is threatening to take the Government to the European Commission for failing to match European Objective One funding.
The council claims that failure to match EU funding, which stands at £250m, puts at risk previously agreed regeneration projects. So far, the government has stumped up half of the £325m it has promised the region.
Among the projects affected by the Government’s failure to comit funds is an expansion of an industrial site in Portree on Skye. Other projects include harbour improvements in the Cromity Firth area and town centre improvements in Tain, Alness Dingwall, and a host of road improvement projects throughout the region.
Leaders of Highland Council are set to meet Scottish Office minister George Kynoch next month. If those talks break down, the Highland Council will take its case to the European Commission.
Howard Brindley, Highland Council’s head of European Affairs, said: “Half of the programme is at risk. We will seek assurances that the Government is going to match funds, but if we don’t get them Plan B will come into operation. It’s all very well saying these projects should be financed from our existing budgets but we have legally binding responsibilities which account for that money”.
EGi News 28/11/96
