“The Highlands and islands make significant contributions to national priorities. We need the UK Government to recognise this and reflect it in their approach to funding” – Councillor Jim Lynch, Leader of Argyll and Bute Council.
Argyll and Bute Council is joining other local authorities across the Highlands and islands region in calling upon the UK Government to rethink its new Local Growth Fund allocation.
The £140m fund, launched on 8th January, is designed to drive growth and boost living standards, and is part of the replacement funding scheme for the former UK Shared Prosperity Fund for which final awards were made last year.
However, none of the Highlands and islands local authority areas have been included, which means the entire region is missing out on much-needed funding which has previously supported employability and skills development and provision of community spaces and sports facilities, among other projects.
Cllr Lynch said: “We are very disappointed that the UK Government is choosing to ignore the very real need to boost growth and prosperity in Argyll and Bute and the wider Highlands and islands region.
“Argyll and Bute is battling hard to grow its population and economy and see our communities move from surviving to thriving. Over the past few years, the UK Shared Prosperity funding has helped us to deliver key interventions which support that overarching goal. It’s therefore deeply concerning to hear that we’re missing out on the funding programme which replaces it, given the very real need for growth.
“It’s well documented that living costs in remote, rural and island communities are much higher than those in urban areas, with fuel poverty a particular issue.
“Despite this, Highlands and islands communities are still able to make massive contributions to Treasury coffers through food and drink exports, as well as boosting the national tourism economy in particular.
“The approach that the UK Government has taken in progressing the eagerly-anticipated UK Shared Prosperity Fund replacement means that our communities risk losing out on vital growth potential and improved living standards. This is worrying and unfair. We are therefore joining our fellow Highlands and islands local authorities in calling for a rethink, and a fairer, more realistic approach to allocating these much-needed funds. Our communities deserve better.”
Highlands and islands council leaders plan to write collectively to the UK Government asking for the funding distribution to be reconsidered and transitional arrangements put in place to mitigate the impact meantime.
