Local business grants cut to fund Government housing strategy
24th October 2008
Anne Main challenges the Government on their decision to cut Regional Development Agency local businesses grants in favour of support for the Government housing strategy.
During Commons debates and in Select Committee over the past two weeks, Anne Main, MP for St Albans, has continually challenged the Government on their decision to cut Regional Development Agency local businesses grants in favour of support for the Government housing strategy.
In September, the Government announced that that £20 million is being slashed from the East of England Development Agency to help fund a £300 million Government housing plan.
Anne has raised the issue directly with the Prime Minister, the Minister for Business, Enterprise and Regulatory Reform, the Minister for Science and Innovation and Senior Civil Servants at the Department responsible for the Agency, but has yet to receive an adequate response about why the cuts were made.
Anne said:
"Small business owners in our area have told me of their extreme frustration that the Government has chosen to use funds that were intended to support them to prop up the stalling housing market. I have pressed this with the Prime Minister, Senior Ministers and Government officials, and have only ever been told that it was a 'tough decision'. They are quite happy to take the money but aren't willing to talk about it.
I think the Government needs to answer some serious questions about this shabby treatment of businesses. Removing this vital support at such an uncertain time is just another blow to those who are struggling to survive in the current economic climate.""
