Council leaders issue Brexit warnings

By Jamie Hailstone | 24 June 2016

Council leaders have begun to warn of the impacts of the UK leaving the EU, raising fears over funding, devolution and investment. 

The leader of Northumberland CC has called on the Government to protect his area from any loss of European funding.

Speaking after the announcement that the UK is set to leave the European Union, Cllr Grant Davey, said £108m of European investment funding had come into the county over the last nine years.

Cllr Davey also called for clarity regarding the North East devolution deal, which included letting decisions be made locally about how some EU funding would be allocated.

‘Annually £28million of funding comes in directly and indirectly which supports jobs in the county council,’ said Cllr Davey.

‘Services will be damaged and jobs will be lost if this Government doesn't immediately deliver a plan to replace this now lost funding.

’There is no doubt that European funding has benefited the county significantly and we now need to take stock and, along with the Government and the rest of the country, and to mitigate against adverse implications for Northumberland,’ he added.

Birmingham City Council leader John Clancy described the result as a 'moment of significant change' and warned the UK was heading into 'very tricky economic waters'.

However, he reassured residents the council would remain determined to bring investment and economic growth to the city.

He said: 'The people have spoken and we must listen to what they have said.

'I'm already talking to potential investors and reassuring them that our city continues to be a great place to invest.

'The economic history of the West Midlands is based on manufacturing and we now need to move towards investment in advanced manufacturing.

'We have to find new ways of bringing capital into the region to invest and my message to the Government is that it's time to invest in growth.

'The Government must now look to the UK's cities, regions and nations for economic growth and continued austerity is not an option.'

The leader of Newcastle City Council, Cllr Nick Forbes, said it ‘is essential that local government has a seat at the table’ in any exit negotiations. 

‘So much of what the EU does impacts first and foremost on local government - from investment and development, to environmental standards food standards and equalities it is local councils that experience the greatest impact,’ said Cllr Forbes.

’We should not assume that the only transfer of powers and investment should be from Brussels to Whitehall. We have an opportunity to ensure that we embed devolution to local areas as the exit process is established.’

 
 
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