PM Dismisses Claims of Unfair Funding Distribution
The Prime Minister has brushed off accusations by Leeds City Council today, of unfair distribution of funding.
It's after Leeds Council Leader Keith Wakefield told us they have to make almost £46 million pounds of savings this year: “I think there’s no doubt that the claim that it’s fair all round the country is completely false,” he told us earlier this week. “In the north, we’ve taken a massive hit because of the criteria of the funding. Using the criteria of the Government, we’ve taken an 8.5% cut in spending power. In Surrey and in Wokingham, which is the third richest district, they’ve actually had 3% increases. “I think to everybody, whatever position you take, that is a grossly unfair way of funding where the needs are. Often those needs of increasing children, of increasing elderly, of people who need our services, are often in the north.” “The latest statistics show the 10 most deprived local authorities have been hit 16 times worse than the 10 richest. So you’re looking at £148 per household in those 10 compared to £48 in those 10 richest.” On a visit to Leeds today, David Cameron was asked how he could justify the difference in funding and what the Tories could now deliver to sway votes in Yorkshire. He told us: “What we have delivered is a long term plan that’s turning the economy round and if we look at Yorkshire and Northern Lincolnshire, we actually see the fastest rate of growth of private sector employment outside of London so it’s a very strong performance. “In terms of Council funding, areas that have greater deprivation get more funding than those with less deprivation. That’s the case right across the country. In terms of the Leeds budget, it’s actually budgeted to spend more this year than last year and I’m confident they’ve got the resources they need.” The pair met up to deliver speeches at the former home of Yorkshire Chemicals (now AQL) to set out the detailed plan as part of a day-long tour of the region. Their pledges included: 1) Increase the size of the Yorkshire and Northern Lincolnshire economy by an extra £13 billion by 2030. 2) Raise the employment rate of Yorkshire and Northern Lincolnshire so that there are over 100,000 more people in employment here during the next Parliament. 3) Deliver at least £6.4 billion of investment in transport in Yorkshire and Northern Lincolnshire – including the electrification of existing rail lines, new and faster trains, and a major upgrade to key road routes like the M62. 4) New investments in scientific excellence, and a particular focus on renewable energy on the Humber, food production in North Yorkshire, advanced manufacturing in South Yorkshire, finance and tech in West Yorkshire. 5) Supporting the cultural, creative and sporting strengths of Yorkshire and Northern Lincolnshire by cementing its position as the UK home of road cycling, backing its great galleries, improving schools and building up to 20,000 new homes. 6) Devolve greater powers the great cities and counties of Yorkshire by continuing work on the recent Sheffield City Region devolution agreement, and working towards a devolution deal for West Yorkshire too. David Cameron said: “Our long-term economic plan for Yorkshire and Northern Lincolnshire, which will create more jobs and financial security for hardworking people across the region, is a key part of our work to build a Northern Powerhouse that can take on the world. “The North is growing and by ensuring we have world-class infrastructure, backing business and supporting the industries of the future, we are determined to go even further.” The Chancellor George Osborne said: “We want a truly national economic recovery. The evidence is that this is happening. Yorkshire is growing and creating jobs and on many measures doing so more quickly than the rest of the country. “Now we need to sustain this and remove the decade’s old North and South divide. That is why the Prime Minister and I are here today setting out how we will build a Northern Powerhouse. “Our long term economic plan for Yorkshire and Northern Lincolnshire will create 100,000 new jobs, boost the region’s growth by up to £13 billion and significantly improve the quality of life.”