The new Rural Development Programme for England (RDPE) will be operational in late 2007. This is a £3.9bn programme covering the period 2007 to 2013, with approximately 80% of the funds going to land-based environmental schemes and 20% to assist farmers, foresters, horticulturalists and rural communities.

Of particular interest to market towns is the new LEADER (Axis 4) strand. LEADER is no longer a separate programme, but is now ‘mainstreamed’ and will be delivered through the Regional Development Agencies. This opens up new possibilities for the LEADER approach to be applied on a far wider scale and across a much broader range of rural development activities than hitherto.

Each RDA will prepare its own detailed guidance on how LEADER will be administered in its area based on a national framework issued by Defra.

The total funding available for the new LEADER programme is almost double that of LEADER+. As before, LEADER projects will be administered through Local Action Groups (LAGs), but because of the increased programme budget, Defra expects that the number of LAGs involved in the programme will double to about 50. The population size for a LAG has also increased – it may now cover a population area of between 5,000 and 150,000. This gives greater opportunities for market towns to become involved as partner organizations within a LAG, or even to take the initiative in founding a LAG to cover the town and its rural hinterland.

Although LEADER is called the Axis 4 programme, it is, in fact, a mechanism to deliver 5% of Axis 1 and Axis 3 programmes. There is no LEADER funding for Axis 2 programmes. The areas covered by Axes 1 and 3 are:

Axis 1: Training for farmers foresters and food businesses; Modernisation of agricultural holdings; Improving the economic value of forests; Adding-value to agricultural and forestry products; Co-operation for the development of new products;

Axis 3: Diversification into non-agricultural activities; Support creation and development of micro businesses; Encouragement of tourism; Basic services; Village renewal and development; Conservation and upgrading of rural heritage; Training and information for micro businesses; Implementing co-operative projects between LAGs; Running the LAGs and the costs of facilitation.

The LEADER Approach

Leader is a method of delivery based on bottom-up identification of local problems and opportunities. It is expected to take account of lagging economic performance and the social and the environmental problems that this creates, with an emphasis on tackling these issues through innovative approaches (sharing and implementing best practice, solving problems in new ways)
The EU has published useful explanatory notes on the LEADER  approach which can be found at weblink LEADER approach

The core principles that must apply to each LEADER include:
* A Local Action Group (LAG) must be created to represent the area that applies for support – and it be at least 50% non-public sector in its membership.
* Applications must be area-based involving a defined and coherent sub-regional rural area containing a rural population between 5,000 and 150,000 people.
* They must prepare a Local Development Strategy (LDS) which will indicate how the different stakeholders and sectors will be drawn together to deliver effective projects. This must be prepared using a bottom-up approach.
* There must be an appropriate accountable body for the administration of the public funds.
* They must participate in the National Rural Development Network which will be used to disseminate best practice across all LEADER groups.
* LAGs will have decision-making power on which projects to facilitate and approve for grant support. 
* There is an expectation that LAGs will seek cooperation with other LAGs in the UK and across the EU.
* Local action groups can work across county boundaries and regional boundaries.
* The selection of LAGs will be undertaken by a panel of regional partners, and applicants will be invited to make a formal presentation to the panel. The selection process will be competitive but the exact nature of this is yet to be established.

What’s happening in the regions?

Implementation of the new LEADER programme is happening at a different pace in the various Regional Development Agencies.

SEEDA (South East England Development Agency) is seeking expressions of interest from LAGs or potential LAGs by 13 July, 2007. It is mandatory to meet this deadline if you wish to be considered for the first application window. Details and the expression of interest form are at weblink LEADER Guidance

Yorkshire Forward don’t have a confirmed timetable as yet, but the stage one (expression of interest) phase is likely to last around four months, and close in the autumn.

One North East has its LEADER prospectus and expressions of interest form in draft at the moment, with deadline dates still to be firmed up.

The NorthWest Regional Development Agency is still drafting the detail of the expression of interest process which has to be agreed with Defra.

Advantage West Midlands is in the process of writing a new Regional Implementation Plan which, when completed, will be placed on their website www.advantagewm.co.uk Further information should be available ‘in the summer’.