As the tenth anniversary of the vote to leave the EU looms later this year, the Prime Minister has been urged to consider seeking access to the funds via closer ties with the bloc.
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The call has been made by the SNP after new data has shown that in the past two months Scotland has missed out on applying for a share of up to £15.2 billion worth of funding for energy and biotech programmes.
A range of different European funding schemes allow businesses in the EU27 to bid for billions of pounds worth of projects to support decarbonisation technologies, new energy systems, production of low-carbon hydrogen fuels, energy infrastructure and the mobilisation of the biotech sector.
Last month, the EU stated it were open to a more open economic relationship with the UK, including the possibility of a customs union, but such a move was ruled out by the UK Government.
“Every day that goes by, Scottish businesses are left at a competitive disadvantage compared to our EU neighbours – part of that is down to the fact we are missing out on funding opportunities,” SNP MSP Michelle Thomson told The Herald.
“Scotland is the energy capital of Europe and has a high-quality biotech sector – access to this EU funding could do absolute wonders for our industries.
“It is time for the UK Labour government to shed their ideological economic incompetence and work with the Scottish Government to build closer ties to the EU and gain access to these vital funds again.”
SNP MSP MIchelle Thomson (Image: PA)
The energy and bio-tech development funds are available to nations which are in the EU, as they have contributed to financing the streams.
However, the UK has been able to negotiate arrangements to access other EU funding streams.
The former Conservative government rejoined the EU’s flagship Horizon scientific research scheme enabling UK-based scientists and institutions to apply for money from the £81bn fund.
Associate membership of Horizon had been agreed as part of the Brexit trade deal when the UK formally left the EU in 2020.
Since Britain confirmed its association with Horizon in January last year, the UK government has been providing support to help UK researchers and businesses secure funding from the £80 billion programme
Earlier this month, the European Commissioner for finance Valdis Dombrovskis opened the door to the UK entering the EU’s £130bn) defence loans scheme after talks on an agreement broke down last year.
The Prime Minister has ruled out rejoining the EU or the customs union though is in favour of closer ties with the EU.
Chancellor Rachel Reeves said on Wednesday that closer integration with the EU is the “biggest prize” for Britain arguing that more alignment with the bloc “is a political argument Labour can win” and would help boost trade and make things easier for businesses and cheaper for consumers.
Speaking at the London School of Economics, Ms Reeves said: “The biggest prize is clearly with the EU. The truth is, economic gravity is reality. Almost half of our trade is with the European Union. We trade almost as much with the EU as the whole of the rest of the world combined.
“There are three big trading blocs in the world — there’s the US, there’s China and there is Europe. We want to make Europe as strong as possible, and that means not putting up the drawbridge.”
The SNP wants Scotland to rejoin the EU as an independent state and is pushing to hold a second independence referendum.
The UK Government spokeswoman said: “We are focused on delivering deals that could add up to £9 billion a year to the UK economy, supporting producers and businesses, backing jobs, and putting more money in people’s pockets across the entire country.
“Our new strategic partnership with the EU is in our national interest. It’s good for bills, good for our borders, and good for jobs, without compromising on our red lines—no return to the customs union, no return to freedom of movement, and no re-joining the single market.”
The referendum in June 2016 saw Scotland vote by 62% to remain in the EU while overall the UK voted by 52% to leave.
Polling last month suggested 73% of Scots would vote for the UK to rejoin the EU if there was a second EU referendum.