Northern councils hit hardest by government cuts

27th November 2013

Copeland MP calls for cuts to business rates

Jamie Reed, Member of Parliament for Copeland, has called on the government to cut business rates as new research shows that government cuts have hit northern councils more than their southern counterparts.

He said:

“By 2017/18, councils in North West England will have lost, on average, £627 per person of funding from central government, which is £200 more than London councils and over double that lost by councils in the South East.

“It is unfair that the less affluent regions of Britain are those which are set to lose out the most. We cannot bridge the North-South divide if one half of the country is being deprived of much-needed funding. We see the effect of this around us in Copeland every day.

“Coupled with the news that business rates are due to increase by around £400 within the next year, with the North being one of the areas hit hardest, it is clear that this government is prepared to pursue policies which actively harm our local economy.

“The government should now help economies like ours by cutting business rates. A Labour government would cut business rates back to their 2014 level, and then freeze that rate in 2016, to allow small businesses to grow without the fear of exorbitant rates rises, and help get both the local and national economy back on track.

“The rates cut and freeze would be paid for by reversing the Tories’ 1% additional cut in corporation tax, from 21% to 20%. This country needs a government which stands up for small, local businesses, which form the lifeblood of our communities in the North of England.”

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