The European Union budget is made up of a proportion of the VAT
charged on goods and services in the Member States, a share of each
countries Gross National Product and custom duties from non-EU
countries on goods which are imported into the EU.
A large proportion of these resources are redistributed into
four Structural Funds each used to promote the economic and social
development of the regions perceived to be lagging behind.
A region may have access to one or more of the four Structural
Funds, depending on whether it has Objective 1 or 2 status; all
regions have Objective 3 status. The four Structural Funds are:
- The European Regional Development Fund (ERDF)
- The European Social Fund (ESF)
- European Agricultural Guidance and Guarantee Fund (EAGGF)
- The Financial Instrument for Fisheries Guidance
(FIFG)
More detailed guidance on funding from the European Union is
available at
www.cec.org.uk