ESF (European Social Fund) match funding requirements

Applies to providers who have a contract to deliver training to employers who don’t pay the levy. These providers may be accessing funding that can be used as match funding for the European Social Fund (ESF).

ESF (European Social Fund) match funding requirements

Background

If you deliver training to employers who do not pay the levy you may be accessing funding that can be used as match funding for the European Social Fund (ESF).

ESF is one of the available funds within the European Social and Investment Funds (ESIF) 2014 to 2020 Programme. ESFA acts as a co-financing organisation (CFO) to procure and manage contracts for ESF funded provision on behalf of Local Enterprise Partnerships (LEPs). LEPs decide how to invest the ESF for 2014 to 2020 and we support them to deliver their ESIF strategies that meet the local needs identified.

As a CFO, we must match ESF funds contracted with money from the UK government (that is, eligible mainstream programme funds). We must use some of the funding we get from the government to pay for an amount of training and support that is equivalent to the ESF contract. We identify activity that improves the skills of the workforce and helps people who have difficulties finding work. We must report this match funding and the associated learners within our funding claims to the ESF Managing Authority in England.

When we identify provision we will use as match funding, the learning activity and its associated funding become part of the ESF programme, which means that the same rules apply as those of the ESF programme.

P325

Provision used as match funding will be subject to ESF compliance checks and we will review the evidence you have to support claims made to us to support the programme funding. You must read these rules in conjunction with the ESF 2014 to 2020 funding rules and adhere to the following requirements:

  • P325.1 Display at least one poster with information about the project at a location readily visible to the public.

  • P325.2 Have Gender Equality and Equal Opportunities and Sustainable Development policies and action plans in place.

  • P325.3 Inform all apprentices that they are on a programme part financed by ESF.

  • P323.4 Retain documentation for audit including having in place a document retention policy that reflects the minimum date requirement of
    December 2034 and, if you are chosen for an audit visit, you must allow external auditors into your premises and co-operate with the audit.

  • P325.5 Participate in evaluations, surveys and reporting as required.

  • P325.6 Return complete data in line with the 2022 to 2023 ILR specification with key focus to critical fields. Critical fields are:

  • Employment status

  • Prior attainment

  • Household situation

  • Destination

  • Learner contact details for surveys, especially phone numbers

  • P325.7 Only return ‘not knowns’ within the ILR for the critical fields in exceptional circumstances. If information is not provided, or ‘not known’ is not available, then you must use ‘learner has withheld this information’.

P326

You, your subcontractors and other third-party organisations must not use our mainstream programme funds as match funding for your own projects through other European Union funds (for example, other European Social Fund, European Regional Development Fund, European Integration Fund).

P327

You must keep to the rules of the ESF programme or you will break the conditions of your contract and this could result in us recovering funds.