Lancashire councils condemn 'unfair' Covid funding
- Published
Councils in Lancashire have written to the prime minister's interim chief of staff to criticise "unfair" levels of financial support received during lockdown.
In the letter to Sir Edward Lister, seen by BBC News, leaders accused the government of "breaching" an agreement reached when the area entered the top level of restrictions in October.
They also said northern councils had received less than the south, despite a longer period of restrictions.
BBC News has approached the government for comment.
Lancashire Councils say an agreement was reached that £30m of additional support for businesses would be made available by government, when the area entered the highest level of coronavirus-related restrictions under the previous tiered system in mid-October.
In the letter to Sir Edward, the 15 council leaders said the agreed funding was intended to cover a "28 day surge period", during which the area would be under heightened restrictions.
But on 31 October, Boris Johnson announced the whole of England would be entering a second period of wider lockdown measures from 5 November to 2 December - with the same level of financial support extended to all English councils as a one-off grant.
Lancashire's leaders said it was "unfair" and a "breach" of the agreement, as areas facing four weeks of restrictions under the lockdown received the same amount as they did for seven weeks.
And they are now calling for a further £20m from central government to cover the additional period.
'Unacceptable position'
The leaders wrote: "We have been advised that Lancashire will receive no additional funds, despite the fact that we are now essentially subject to seven weeks of restrictions.
"This is inherently unfair and divisive - it is likely that London and other areas, predominantly in the south, will receive the same compensation for 4 weeks of restrictions."
They added: "This is an unacceptable position for us and the people of Lancashire and a breach of the agreement we made with the government through the negotiations."
The government's been clear that this time there'll be no regional negotiations over which restrictions apply where.
No showdowns with local leaders of the type we saw play out in Greater Manchester.
But that doesn't mean there won't be regional pushback.
Some Tory MPs are already warning about higher tiers being applied to large areas, regardless of some local spots being low risk.
And then there's the financial fight too.
Local authorities across the board have long warned of budget shortfalls, despite several billions of pounds of extra funding the government's put in during the pandemic.
In particular councils in the areas hardest-hit by this virus, many in the midlands and north of England, say funding packages aren't enough to help them support communities which have been living under restrictions for some time.
Ministers have pointed to a plethora of support schemes for individuals and businesses, and there will be more cash for councils in the highest tiers.
But this could still be a flashpoint when the regional rules are announced, and a government that's promised to address regional inequality can't afford to leave any area feeling hard done by.
Some parts of Lancashire, such as Blackburn with Darwen, have been under extra restrictions since August.
Geoff Driver, the Conservative leader of Lancashire County Council, said extra funding was "vital" to businesses in his area.
"Lancashire's 15 leaders have set aside political differences to make the case to government to provide us with this support," he said.
"It is really disappointing that we haven't had this, not least because Lancashire has been ready, willing and able to work with central government to support our people and businesses throughout this pandemic - and we remain so.
"Looking forward, we don't know yet what tier or tiers Lancashire will be in, but it is clear that some if not all of the county will be facing significant restrictions and our businesses will continue to require support."
Mohammed Iqbal, the Labour leader of Pendle Borough Council in Lancashire, said: "While I recognise we entered national lockdown before the end of the 28 day period, Lancashire was under additional restrictions without additional support for more than two weeks.
"To date, we haven't received a penny.
"The government has rowed back on its promise to fund tier three areas and it beggars belief that ministers think it fair that councils in Lancashire under seven weeks of restrictions are not entitled to more support than those areas that are under four weeks of restrictions."
Ministers have put aside an additional £900 million to support councils in tier three of the new tiered restrictions system to come into effect on 2 December.
Previous business support grants for councils in tier three or under national lockdown restrictions amounted to £1.1 billion.
An announcement is expected Thursday on which areas will be under the highest level of restrictions once the current lockdown ends.