Labour’s leadership at Milton Keynes Council is sticking to its policy of making £5.4 million to help businesses last until 2022 despite coming under fire from Tory opponents.
Both local Conservative MPs for Milton Keynes have written to the council blasting it for only spending £309,000 and urging it to change its criteria to accelerate spending.
Yesterday a leading Tory urged them to focus on saving the maximum number of jobs. They say the Government is regularly topping up the pot and the council should be getting it out fast to the firms that need it.
Labour’s leader, who took a decision yesterday (Tuesday) to help home based firms without fixed costs to apply for grants. He mentioned “events businesses” as being in this category.
He added that the grants scheme would be able to give grants to “strategic” arts, culture, and leisure companies.
Cllr Allan Rankine (Cons, Bletchley Park) said: “Buckinghamshire Council will have spent their money by February. Businesses want that support now, not in 2022.
“They are fast tracking the money, by contrast we have only paid out £310,000 so my biggest concern is that some businesses will fold who may be entitled to support but are not getting the money fast enough.
“It will be a disaster if we end up handing back unspent support grant because we have been too cautious with distribution.”
He added that small firms need support but was concerned that the criteria doesn’t include additional support for larger local businesses which are important to the local economy and jobs.
A council officer said MK is aiming to release 50 per cent of the money by the end of February.
Cllr Marland said: “Businesses are saying we need the money today but also I am pretty sure that businesses that may not need the money today might also need it tomorrow.”
Referring to the two Tory MPs as “smiles on balloons” he said: “If the Conservative councillors have any problem with the national scheme, they should probably ask their smiles on balloons, otherwise known as our MPs, to widen the national schemes.
“I think it’s a little bit rich from Conservative councillors to say that we should be giving large multinational businesses top up grants when small and medium sized enterprises, people who are from Milton Keynes, cannot access government schemes.”
He added that the Conservatives were engaged in a “conjuring trick of blaming local authorities when businesses haven’t been able to access the funding.”
Tory leader Cllr Alex Walker (Stantonbury) has accused the council of “stashing the cash at a time when local jobs are at immediate risk and small businesses are closing every day.
“The Government are regularly topping this money up; the council need to use it now! Save businesses and save jobs.”
