Deprived Towns Handed £1.6bn 'Brexit Bribe' By Government

PM accused of trying to influence MPs in leave-supporting areas.

A £1.6 billion government fund to boost run-down towns after Brexit has been condemned as a “bribe”.

Critics have claimed the move is aimed at trying to influence Labour MPs in leave-supporting areas to back Prime Minister Theresa May’s withdrawal agreement in crunch Commons votes.

May said: “For too long in our country prosperity has been unfairly spread. Our economy has worked well for some places but we want it to work for all communities.

“Communities across the country voted for Brexit as an expression of their desire to see change - that must be a change for the better, with more opportunity and greater control.

“These towns have a glorious heritage, huge potential and, with the right help, a bright future ahead of them.”

The Stronger Towns Fund, launched on Monday, will be “targeted at places that have not shared in the proceeds of growth in the same way as more prosperous parts of the country”, ministers said.

Of the £1 billion being allocated using a needs-based formula, the North West gets £281 million, the West Midlands £212 million, Yorkshire and the Humber £197 million, the East Midlands £110 million, the North East £105 million, the South East £37 million, the South West £35 million, and the East of England £25 million.

Another £600 million will be available through a bidding process to communities in any part of the country.

The money will be aimed at creating new jobs, helping train local people and boosting economic activity.

But Lisa Nandy, MP for Wigan and co-founder of the Centre For Towns think tank, said the money would “fail” if it was chasing votes and not followed up with “fundamental change”.

Communities Secretary James Brokenshire said: “We have listened to people who are concerned by momentous changes to their communities and I am determined to provide the support they need to create a more prosperous future beyond Brexit.

“This major new fund builds on more than £9 billion in City and Growth Deals we have delivered since 2010 to help hard working people reach their full potential and to build an economy that works for everyone.

“I look forward to working closely with local leaders to take forward their encouraging proposals and to hear what more they propose to bring benefits to their communities.”

Shadow chancellor John McDonnell branded the initiative a “desperate bribe”.

He said: “This towns fund smacks of desperation from a government reduced to bribing MPs to vote for their damaging flagship Brexit legislation.

“The reason our towns are struggling is because of a decade of cuts, including to council funding and a failure to invest in businesses and our communities.

“Labour pledged in 2017 that we will establish a network of regional development banks that will be dedicated to delivering the finance that our small businesses co-operatives and innovative projects need across the whole country. No Brexit bribery, stable investment where it’s most needed.”

The Independent Group’s Brexit spokeswoman Anna Soubry said the move was a “desperate measure to buy votes”.

Soubry said: “Voters will not be fooled - especially those in areas which voted Leave and are now demanding a people’s vote because they know, whichever way you do it, Brexit will harm their futures.”

The government said it is seeking to ensure towns across Wales, Scotland and Northern Ireland will benefit from the new funding by building on the City and Growth Deals initiatives.


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