Stuart Anderson MP says Chancellor’s statement overlooks rural communities
Stuart Anderson MP has said that the new government is “repeatedly overlooking” rural areas. It comes as the new Chancellor delivers her first economic statement. Rachel Reeves said that the government will be scaling back on its plans to invest in infrastructure like schools and hospitals and removing Winter Fuel Payments from millions of the most vulnerable people. The Chancellor also refused to clearly answer Stuart’s question about whether the scale of cut backs was known when official estimates for public services were laid before Parliament last week.
Stuart said that the Chancellor’s plan to stem the flow of investment is "disproportionately austere" and would be “potentially disastrous” for rural areas like Shropshire. Last week, Stuart also secured confirmation the government is committed to delivering the £312 million investment in Shropshire’s hospital’s transformation programme. He is now seeking urgent clarification from the Transport Secretary that the Government will fully fund Shropshire’s £136.44 million allocation from the Local Transport Fund, a new funding stream that the last Government had made available specifically for rural areas.
Stuart said that the new government had months to examine Britain’s accounts, since details of the public finances have been published by the Office for Budget Responsibility (OBR) since 2010. He added that the new government is “holding back” rural areas from being able to achieve their full potential. He added that it had inherited the fastest growing economy in the G7, with lower inflation than it was in 2010 and the deficit more than half of what it was in 2010.
Stuart has now called on the government to harness the advantages of its strong economic inheritance to be even more ambitious for rural areas. It follows research commissioned by the Country Land and Business Association, which has shown that the rural economy is 16% less productive than the national average. On average, productivity, earnings, and ease of access to further education are all lower in rural areas than urban ones. The research adds closing these gaps could add up to £43 billion to the Gross Value Added (GVA) of England alone.
Stuart also criticised the decision to remove Winter Fuel Payments from those not in receipt of Pension Credit or another qualifying means-tested benefit. The annual tax-free payment had provided 11.4 million vulnerable and elderly people help to meet the costs of heating their homes in winter – including 24,824 people in the Ludlow area. Stuart said that he was "incredibly disappointed" with the decision, given that those living in rural areas already face extra challenges when it comes to heating their homes, including when looking to retrofit energy efficiency measures in some rural houses.
Stuart Anderson MP said:
“Just weeks after the general election, this new government is already back-tracking on its commitment to driving economic growth. It has a huge opportunity to support rural areas by harnessing the advantages of its strong economic inheritance - with the UK having been named as the fastest growing in the G7 so far this year, inflation back to normal, and unemployment at 4 per cent."
Stuart added:
"I am incredibly disappointed that this new government is also removing Winter Fuel Payments from millions of people - an annual payment that supports 24,824 people in the Ludlow area with heating costs during the cold winter months. The new government’s disproportionately austere attitude means it is repeatedly overlooking the enormous difference that greater investment in rural areas like Shropshire could make in unlocking our productive potential. Stemming the flow of investment could be potentially disastrous, holding back rural areas like ours. The new government should be even more ambitious for rural areas and invest in the infrastructure on which we all depend. This will tackle barriers to growth in the rural economy - growing opportunity through new jobs, skills, and investment.”
