Shropshire Star

Shropshire MPs welcome budget but Telford Council leader voices frustration over Towns Fund

Shropshire MPs have welcomed today's budget, but Telford's council leader said he was disappointed the borough's £25 million Towns Fund bid had not been included.

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Chancellor of the Exchequer, Rishi Sunak's budget has been welcomed by his fellow Conservative MPs in Shropshire

Mark Pritchard, Lucy Allan, Philip Dunne and Owen Paterson all backed the Budget statement from fellow Conservative Rishi Sunak.

Mr Paterson, MP for North Shropshire said the Chancellor had taken a "sensible approach" with the country still in the grip of the coronavirus crisis, while Mrs Allan, MP for Telford, said it would protect jobs and livelihoods.

But Councillor Shaun Davies, Labour leader of Telford & Wrekin Council, said he was frustrated that there had been no announcement over the authority's bid for £25m from the government's Towns fund, with other areas such as Wolverhampton and West Bromwich receiving confirmation they would get £25m each.

The government said the bid is still being considered.

Budget 2021:

Mrs Allan, MP for Telford, said the decision to extend furlough would be vital for the town's residents.

She said: "I am particularly pleased that the Chancellor will be extending furlough to the end of September, ensuring that jobs and livelihoods are protected in Telford.

"Whilst the roadmap to recovery anticipates that we will be able to return to normal life far sooner than that, it is important to remember that the economy will not immediately return to its pre-pandemic state.

"Crucially, to ensure momentum for the vaccination programme, the budget also allocates some £1.65 billion in additional funding to ensure we can offer a first dose to every adult by July 31. This builds on the amazing success of the local rollout.

"It is especially important for Telford residents that the Chancellor has recognised the necessity to focus on the post-pandemic recovery as we emerge from one of the most difficult economic periods in our history.

"It will be of great relief to many of the self-employed in Telford who were previously unable to access support to hear they will now be able to receive Government support, based on the submission of their tax returns."

Mrs Allan also said 'restart grants' would make a difference to local businesses.

She said: "The new ‘restart grants’, which will be distributed from next month and are worth up to £18,000 per business will support gyms, personal care, hotels, restaurants and shops. I am very pleased to see the Chancellor’s commitment to supporting those sectors most affected by lockdown – this is vitally important for Telford’s retail, leisure and hospitality sectors – the heart of our local economy and which employ so many young people."

Innovate

Ludlow MP, Philip Dunne, also backed the extension of the furlough scheme.

He said: "The Chancellor has once again shown his willingness to innovate, and I am pleased there was so much for South Shropshire to welcome in today’s budget. I had called for furlough to be extended until at least June, so I am pleased it has been further extended out to September, with additional support for the self-employed."

He added: "As Chairman of the Environmental Audit Committee, I had called for policies to help the UK meet its environmental obligations. The major boost to business investment through a Super Deduction capital allowance for the next two years will help business invest in newer, cleaner, technology. While I welcome announcements to develop Freeports and growth hubs including hydrogen projects, limited investment in offshore wind port infrastructure and the lack of VAT reductions for green sectors to drive growth in areas such as energy efficiency represent a missed opportunity."

Wrekin MP, Mark Pritchard said: "This is a much needed recovery budget, which protects jobs and incentivises new investment.

"It also extends the VAT reduction, continuing business rate relief, and again extends furlough support. I also welcome freezes in beer and fuel duties."

Mr Paterson said the Chancellor had made sensible decisions when faced with the economic damage of the pandemic.

He said: "I think it is a clever Budget. We are still in the grip of the economic damage caused by Covid so I think it is sensible to continue these extraordinary schemes such as furlough and the Universal Credit uplift."

However, Councillor Davies said that the lack of an announcement on the Towns Fund could jeopardise match-funding.

He said: "The chancellor has splashed the cash and lit up social media today but has done nothing to fix the foundations of the British economy.

"Nothing to solve the adult social care crisis and to protect care homes. No pay rise for the NHS workers, teachers, police, armed forces, firefighters & others all of who we have relied upon in this darkest of all years

"Locally, nothing to pick up the Covid costs for councils – which means all councils will have to increase council tax.

"And lastly in Telford – no green light for a Telford Town Fund – we’ve asked for £25m having secured £110m of match funding – this funding is now at risk because of yet more delay and dither."