A block on regeneration funding in the UK is being challenged by European MP, Robert Sturdy, who is seeking to ensure that £1.2bn of Property Development Finance is paid out.

Sturdy maintains that regeneration funding is key to the economic and social prosperity of UK regions, urging the European Regional Policy Commissioner, Danuta Hubner, to reconsider her stance on the funding block.

Sturdy told the commission: “I represent the East of England region, one of six areas in the UK to be affected by the decision to suspend the £1.2bn still due to be paid out. By withholding the payments, the commission is completely undermining the purpose of the European Regional Development Fund, which aims to support development initiatives throughout the community.

“For many constituents these projects are the only evidence of a tangible benefit of the EU. This mismanagement not only reduces public confidence but will ultimately mean the most deprived areas, which rely on the economic benefits arising from regeneration projects, will suffer the most.”

Sturdy said the fact that the UK was the fourth member state to have funds frozen showed that current EU standards were too complicated. He said: “This needs to change to ensure the money gets to the projects which need it the most as quickly as possible.

“I urge the commission to take responsibility for this fiasco. Not just to the benefit of my region but in the interest of all member states attempting to access the funds they so rightfully deserve.”