The European Regional Development Fund (ERDF) is the most significant of the Structural Funds in terms of budget and range of thematic priorities. For the purposes of this paper, we argue that three different levels in multi-level governance emerge in their planning and management: the higher (European and national) level planning; the lower level (beneficiaries); and the intermediate level of (national and regional) planning and management. We discuss the views and practices of intermediate managers and beneficiaries to gain insights on the effectiveness of ERDF interventions on the island of Lesvos (Voreio Aigaio region, Greece), with interviews with a number of key stakeholders and beneficiaries. The findings suggest differences and contrasting views on the role of ERDF funding among the different levels. Local politics also affect the effectiveness by influencing the administration, planning and management of ERDF implementation.