Increased LEADER funding boost

CLARE Local Development Company (CLDC) has announced the maximum rate of grant aid for private enterprises is to increase from 50% to 75% under the current LEADER Rural Development programme. Approvals under the current programme will run until the end of 2013.

The change comes in response to a proposal sent by the Government in order to make funding more accessible to private promoters who might be finding it difficult to gain access to finance. It follows a directive from Europe and means the matched funding required by the promoter will reduce to 25% of eligible project costs.
While the rate of aid has changed, the maximum amount of grant-aid available to a single enterprise under the programme, which stands at €150,000, will remain the same.
According to CLDC enterprise and rural development manager, Gerald Kennedy, this new rate will make the LEADER programme much more attractive to private individuals or companies involved in business creation and development, farm families wishing to diversify into non-agricultural activities and will also encourage tourism activities in the county.
LEADER cannot grant aid any project located in the Ennis urban area. All other areas of the county may be considered for LEADER support.
“The new rate will make it easier for promoters to expand an existing enterprise or get a new business up and running. Many people are experiencing difficulty in getting access to credit and the new rates will make it very attractive for lenders to support new ideas” said Mr Kennedy.
While there has been a suggestion that the rate for community projects might also be improved, no decision has been taken in this regard and until further notice community rates, currently at 75%, will remain.