BRUSSELS WITHHOLDS REGIONAL SUBSIDIES FROM ENGLISH REGIONS OVER FINANCIAL CONTROLS ROW

BY ALAN OSBORNTHE EUROPEAN Commission has suspended funds to five regional authorities in England - north-east England, north-west England, Yorkshire and Humberside, London and West Midlands - over "a lack of proper controls over paying agencies." No indication of the sums involved was given but in 2005 the European Regional Development Fund (ERDF) pumped Euro 2 billion into the UK, so the loss of money will be substantial.In Whitehall, John Pratt, spokesman for the office of Communities and Local Government (CLG) hoped the suspension would only last months: ...


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