William Eichler 30 November 2020

Tier 3 communities in North and Midlands ‘stretched to breaking point’

Tier 3 communities in the North and Midlands will be ‘stretched to breaking point’ once the grant aimed at supporting local business is cut at the end of the national lockdown, according to Labour.

According to an analysis by Labour, the weekly value of the Additional Restrictions Grant (ARG) is set to fall by millions between the end of national lockdown and Christmas.

The ARG provides councils with funding to support closed businesses that do not directly pay business rates as well as businesses that do not have to close but which are impacted by the pandemic.

Labour’s analysis found that local authorities in Tier 3, which are predominantly in the North and Midlands, are going to be hit hard.

In Birmingham, for example, the weekly value of support will fall by £2.4m. In Leeds and County Durham it will fall by £1.7m and £1.3m respectively. In Manchester it will decrease by £678,000.

‘It is completely irresponsible for the government to leave Tier 3 areas in the lurch like this again,’ said the shadow chancellor Anneliese Dodds.

‘The run-up to Christmas is a critical period, and local authorities are going to be stretched to breaking point trying to help.

‘The Government’s approach is fundamentally unfair and risks a gulf in support opening up across the country. The Chancellor must make the responsible choice and come forward with a clear system of business support for the hardest-hit areas.’

The Treasury has been approached for a comment.

SIGN UP
For your free daily news bulletin
Highways jobs

Chief Executive

Cumberland Council
£188,227
Cumberland is a special place Cumbria
Recuriter: Cumberland Council

Head of Operational Services

South Derbyshire District Council
Head of Operational Services
South Derbyshire District Council is seeking an ambitious and commercially minded Head of Operational Services Derbyshire
Recuriter: South Derbyshire District Council

Service Director – Property and Business Support Services

South Gloucestershire Council
£86,955 – £94,552 per annum
You’ll have a rare opportunity to influence how an entire council uses its assets Gloucestershire
Recuriter: South Gloucestershire Council

Assistant Director – Transformation & Commissioning

North Somerset Council
£90,249 – £107,028
North Somerset is ambitious, forward-thinking and committed to delivering high-quality, sustainable services for its communities. Somerset
Recuriter: North Somerset Council

Executive Director Housing and Communities

The Royal Borough of Kensington & Chelsea Council
£178,000
At Kensington & Chelsea, we are transforming services Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council
Linkedin Banner