‘Frighteningly low’ Leader spending as just 0.06% awarded to rural projects

The Government has been accused of neglecting rural Ireland after it was revealed that just 0.06% of grant funding available has been awarded to help communities.

A scheme to support rural Ireland through funding everything from community centres to tourism businesses and start-up companies has only allocated €118,000, despite having a budget of €200m.

Fianna Fáil’s Éamon Ó Cuív accused Rural Affairs Minister Michael Ring of being “all PR and no substance” in relation to supporting and promoting the development of the regions.

Mr Ó Cuív said that there has been a “frighteningly low level of spending” of the Leader programme 2014-2020 and said it is “failing to get off the ground in any meaningful way”.

He said many individuals and organisations looking to avail of the Leader grant had been caught up in red tape and claimed there can be between 16 and 18 steps to go through before being approved and granted funds.

“I am calling on Government to do something to dramatically slim down the bureaucracy involved in the programme and commit themselves over the next five years to increase the amount of support to Leader projects,” said Mr Ó Cuív. “A total budget of €250m was allocated to this programme; around €50m was earmarked for administration, with the remaining €200m earmarked to be spent on projects.”

While 270 projects worth €6.4m have been approved, just over €118,000 has been paid out.

“This is a frighteningly low level of spending, more than three years into the Rural Development Programme 2014-2020,” said Mr Ó Cuív

Mr Ó Cuiv claimed the average payment under the Leader programme is €24,000, which he described as a “pittance” and “worryingly low”.

“While these grants are helpful to small projects, it will not create the facilities or businesses needed in rural Ireland to combat declining populations,” he said.

“We need to see larger projects approved, which will help create employment and services in rural areas.”

He urged Mr Ring to ensure Government is more proactive in rolling out these projects to protect and develop rural areas.

Mr Ring said round-table talks had been held with Leader groups in June and 31 actions to improve the delivery of funding had come from this meeting.

“Eamon O’Cuiv would know all about this because not alone was there a serious underspend on Leader when he was the minister responsible, but there was also a disproportionate amount spent on administration,” said Mr Ring.

“There has already been a significant increase in Leader project approvals by Local Action Groups since I was appointed as minister in June and I expect the numbers to grow substantially in the coming months as the improvements take effect.”

He said 246 projects had been approved in the last two months — double the number approved in the previous six months.