D-day on EU cash Supreme Court battle

South Yorkshire councils have been battling in the courts to overturn a Government decision which campaigners say has seen millions of pounds in European money diverted to other parts of the UK.

In February, they secured a partial victory but a further ruling last month saw the courts decide that Business Secretary Vince Cable has wide-ranging discretion over the way the European Union funds in question are distributed and there was no justification for intervention. Lawyers for the Yorkshire and Merseyside councils subsequently secured permission to appeal to the Supreme Court.

The South Yorkshire Combined Authority will today decide whether to press ahead with the Supreme Court appeal which would take place in October.

The row centres on the way money from the EU designed to help grow the economy is divided between different regions.

South Yorkshire, as one of the most deprived parts of the UK, has historically benefited from significant amounts of EU cash.

The area was expected to receive a significant fall in the amount it receives for the six years from 2015. But a decision by the Government to “top up” the amounts going to Scotland and other devolved parts of the UK reduced the sum available for English regions.

As a result South Yorkshire’s allocation has been cut by around £50m more than expected.