Regional Growth Fund: Round and round we go again?

• Supporting projects that offer significant potential for sustainable economic growth and creating private sector jobs;
• Targeting areas with high dependence on public sector employment.  

£450 million of funding was allocated to 50 projects in the first round in April 2011 and another £950 million was allocated to 126 bids in round two in October 2011.  According to the Government RGF will leverage an additional £7.5 billion of private investment and will support 330,000 jobs across England. As of March 2012 only 53 contracts have been signed and successful bidders have received only £190 million out of £1.4 billion allocated.  This note looks at the fund in more detail and offers a brief analysis.