Budget no help for hard-hit council

OLDHAM Council leader Jim McMahon has criticised the Budget for doing nothing to stop damaging cuts.

Chancellor George Osborne outlined his vision of a “northern powerhouse” yesterday, saying jobs grew faster in the north than the south over the past year and that Greater Manchester would be allowed to keep 100 per cent of growth in business rates.

He said the decision to appoint an elected Greater Manchester Mayor from 2017 was the “most exciting development in civic leadership for a generation”.

But Councillor McMahon said: “This is another disappointing budget. The business rates proposal remains a drop in the financial ocean when you consider that around £1.5 billion has now been cut from funding to the 10 GM local authorities during this parliament.

“Local government has borne the brunt of the reductions during this time and its impact has also been disproportionate. Some areas have lost just five per cent of their funding compared with the poorest areas, like our own. In Oldham we’ve had to find £141 million in savings since 2009: around 40 per cent of our funding has gone.

“I see nothing in this budget as a gamechanger to that very harsh reality for local authorities and their long-suffering residents and business. While some aspects of devolution are welcome opportunities for Greater Manchester, this still looks very much like the transfer of financial responsibility and political blame to councils for what is likely to be the continued decline and withdrawal of vital local services people rely on.”