Regional disparities across EU27 (GDP/person as a % of EU average by NUTS 2 regions, 2010)

Cohesion policy aims to reduce economic, social and territorial differences by reducing regional wealth disparities. In practice this means trying to improve the GDP per head of poorer regions through:
– Improving regions’ attractiveness
– Encouraging innovation and entrepreneurship
– Bringing better jobs and developing human resources.
Main financing for the actions in these areas is via the European Regional Development Fund, the European Social Fund and the Cohesion Fund, which represent about one third of the total EU budget. Some element of the funds could be used in relation to relocation of businesses.
The specific projects carried out by these funds in the areas noted above should encourage businesses to invest and relocate to these regions.
The ‘Structural Funds’ operations are to be in compliance with State aid rules.