Laura Sharman Thursday, September 10, 2015

Districts warn over shortage of infrastructure funding

District councils are warning a lack of funding for infrastructure is the main barrier for delivering growth.

A survey conducted by the District Councils’ Network (DCN), found 78% of districts said a squeeze on infrastructure investment was hindering growth. Whitehall’s failure to fully devolve funding was also a concern for 54% of those surveyed.

While half (47%) of districts are considering being part of a combined authority, just as many (48%) wanted to see responsibility for economic development to be devolved to a district level.

Cllr Neil Clarke, chairman of the DCN, said: ‘District councils are determined to bring the fruits of devolution to non-metropolitan parts of England and work with partners to pull the levers of growth and opportunity for the people, places and businesses for which we are responsible.

‘To do so effectively, however, obstacles to growth must be overcome, including the shortage of infrastructure funding, Whitehall’s control over the purse strings for growth schemes and landbanking by developers.’

The research also showed that investment interventions by districts had resulted in job creation in most (92%) of authorities.

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