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Friday, February 3, 2023

Post-Brexit Funding Delays Having Negative Impact on Charities and Employers

A recent review of government spending reveals multimillion-pound funding shortfalls for agriculture and economic growth

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UNITED KINGDOM: The effects of Brexit are still being felt throughout the UK, as hundreds of nonprofit organizations have been forced to close their doors or reduce their operations as a result of government delays in replacing EU funding.

Employers, farmers, and charities are still adjusting to life outside the EU three years after Boris Johnson was elected on a platform of “getting Brexit done.”

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A recent review of government spending designed to take the place of EU assistance reveals multimillion-pound funding shortfalls for agriculture and economic growth.

One of those who identified little-known new Brexit issues was the Wales Council of Voluntary Action (WCVA), a national umbrella organization including several organizations that depended on the money from the European Social Fund to pay employees.

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To replace the £11 billion EU Economic and Regional Development Fund (ERDF) and European Social Fund, the government announced the precise allocations of the UK Shared Prosperity Fund (SPF) in December.

However, “hundreds of organizations” found it too late by that point, according to Matthew Brown, director of operations at the WCVA.

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“We’re all having to lay off staff because the UK SPF has not come in on time,” he continued.

Many exporters continue to be frustrated by the trade hurdles with the EU union, such as customs inspections and added paperwork, while sectors that were previously reliant on low-skilled EU labour, such as hospitality and food production, struggle with workforce shortages.

While the government’s “points-based” immigration system’s new skilled worker visa program includes a more extensive range of jobs than it did in the past, employers contend that it is bureaucratic and expensive to run.

Nick Allen, the chief executive of the British Meat Processors Association, claimed that hiring butchers from the Philippines to fill positions that used to be filled by EU workers costs £12,000 per person in visa fees, transportation expenses, and lodging.

Also Read: Sunak Aims to Appease Brexit Supporters, Wants to Maintain Closer EU Relations

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