Government refuses EU money for London jobs

11.07.00am BST (GMT +0100) Mon 18th May 2009

The government has prevented the creation of hundreds of jobs in London. It has refused to allow English regions including the capital to apply for a windfall £630m of EU regional funding.

When the EU extended the deadline for regions to apply for unused money from the European Regional Development Fund, the government failed to take up the offer for England. Wales, Scotland and Northern Ireland were able to apply in their own right.

Sarah Ludford MEP, number 1 London euro-candidate for the Liberal Democrats, said:

"Londoners have missed out on £32 million of EU support for regeneration, businesses and eco-projects due to the Labour government's obstruction. This jeopardises the continuation of projects creating much-needed jobs in the capital."

"It is shocking that this decision comes when families and individuals across London are being hit hard by the recession and credit crunch. They have been refused the opportunity to benefit from extra EU money."