Local Authority round-up 05/06/20

Brexit

Nissan “unsustainable” under no deal Brexit

Nissan global chief operating head, Ashwani Gupta, has said that Nissan’s Sunderland plant will be “unsustainable” if the UK leaves the EU without a trade deal and there is no tariff free access to the EU. Nissan’s main market from the UK is the EU and if no trade deal is agreed, under World Trade Organisation rules tariffs of 10% will apply. Mr Gupta said “You know we are the number one carmaker in the UK and we want to continue. We are committed. Having said that, if we are not getting the current tariffs, it’s not our intention but the business will not be sustainable. That’s what everybody has to understand.”

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Brexit meat supply issues need to be addressed

The British Meat Processors Association has said that the Government needs to take action to avoid “serious disruption” to the meat industry regarding Brexit. It said that there were several keys issues on the import and export processes and if these aren’t resolved then it could completely halt the trade of certain goods to the EU. Under the European Union food safety regulations food products of animal origin must display the health mark “UK,” however after Brexit unless a trade agreement is put in place then this may need to change to “GB” which is the current ISO standard required by the EU for third countries. The BMPA said “We need to clarify as soon as possible as to which way this will go and how soon the UK can move to the ‘GB’ mark if that is required. Technically, the UK has already left the EU, so it would be helpful to manage the transition to the new mark well ahead of the 31 December deadline.” The BMPA has also called for the Government to secure agreements on export health certificates so imports can be made to EU countries using a UK-based certificate rather than an EU one.

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Commercial

£5 million funding for mental health support

Mental Health Minister Nadine Dorries has announced £5 million in funding will be available for community projects in order for them to provide support for people with their mental health during the ongoing coronavirus pandemic. The funding will be used to help existing services and also to expand the mental health support which is available. The funding will be delivered by mental health charity Mind to voluntary organisations across the country. Mental Health Minister Nadine Dorries said “This epidemic has had huge consequences for us all, but for some it has been especially difficult, leading to loneliness, anxiety and other mental health challenges. I believe we must pull together as a nation during these trying times and I am absolutely determined that no one should have to cope with mental illness alone. While our NHS remains open for business and has adapted its care to continue to provide vital mental health care throughout the crisis, this investment will only strengthen what’s on offer and ensure emotional support sits at the heart of the community.”

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Councils need clarity on further funding

The Local Government Association has said that councils need clarity over what additional funding will be provided to them by the government to help tackle the coronavirus pandemic. It noted that to date the government has already provided £3.2 billion for councils however this has only allowed them to meet cost pressures and lost income over the past three months. The LGA said that councils need to know what further funding will be provided to ensure that they can plan budgets for the year ahead and plan to take measures in the event of future funding shortfalls. The LGA said that councils need an assurance that all additional costs and losses incurred as a direct result of the coronavirus pandemic will be funded by government and that the LGA wants to work with the government to put a package of measures in place. Cllr James Jamieson, LGA Chairman, said “Concerns remain about the ongoing financial pressures ahead. Councils will need further funding and financial flexibilities in the weeks and months ahead to meet ongoing COVID-19 pressures and to keep services running normally. Certainty around this is desperately-needed so councils can balance their budgets this year and take vital decisions about how to pay for vital local services next year. Councils not only need to be fully funded to help our communities beat this virus now but also to help support the nation as we tackle the unprecedented social and economic task ahead and move into the next phase.”

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Regulatory

Calls for clarity on local outbreak control plans

Clive Betts, chair of the Housing, Communities and Local Government Committee, has written a letter to the Prime Minister which calls for greater clarity on the on the role councils will play in devising local outbreak control plans. He expressed concern over the ‘apparent discrepancy’ over recent comments suggesting councils would lead on developing local responses to future outbreaks. The letter also calls for greater details on who will manage local lockdowns and reassurance that data will be fully shared with all partners. In the letter Mr Betts says “You stated that there would be strong directional control by the council towards local communities. Does this mean that local communities will receive orders from the Biosecurity Council? Will there be areas of responsibility that solely rest with local communities? How would any disagreements be resolved?”

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Local lockdown powers are needed for coronavirus

The leader of Brighton & Hove City Council, Nancy Platts, has said that councils need to be given lockdown powers so they can be introduced in local areas where there is a rise in coronavirus cases. She said that councils need to be able to implement a local lockdown to help fight against further coronavirus outbreaks. She said “At the moment this is still being discussed in Whitehall but to be able to act quickly we need to be able to undertake the actions we feel best protect the people who live here and the NHS staff and key workers who work here. We need to hear from Government on this as a matter of urgency.” Councils are also calling for the government to update its guidance to require people to stay local to prevent tourist hotspots being overrun. The leader of Dorset Council, Cllr Spencer Flower said “My plea to the government is to review the unrestricted travel guidelines currently in place and require people instead to “stay local”. The current guidelines have a disproportionately negative effect on areas like ours which are popular with visitors but do not have the infrastructure to cope right now.”

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Planning and housing

Council sets up housing development company

Manchester City Council is set to approve plans for a council-owned housing company to be set up. The proposal has already been agreed in principle and a report which outlines the model for the company will be considered over the next few months before a final decision is made. The company will aim to build at least 500 new homes every year with a target of 2,000 homes by 2025. Cllr Suzanne Richards, the council’s executive member for housing and regeneration, said “Bringing an element of affordable housing development in-house will help us meet the housing needs of Manchester people using our own land and with a clear focus on sustainable, low-cost, zero-carbon housing.”

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Report says downsizing is crucial to help housing market

According to a new report from the Centre for the Study of Financial Innovation (CSFI), the key to unlocking the UK’s housing crisis lies in tackling the under-occupation of family homes where there are more than 15 million ‘surplus’ bedrooms. The report suggests that if older people in the UK downsize homes then they could reduce the national housing target by 50,000 as the report shows that there are more than 15 million spare bedrooms in the UK with nearly 60% of these in households inhabited by people aged over 65. Analysis by Professor Les Mayhew, Professor of Statistics at Cass Business School shows that if nothing is done, the overall bedroom ‘surplus’, where there is more than one bedroom per person, is projected to top 20 million in 2040, with nearly 13 million in households aged 65 and over. Professor Mayhew said “If more family homes were freed up by downsizing, the benefits would cascade down the housing ladder because it would enable families to ‘upsize’, allowing more first-time buyers on to the bottom rung. More efficient use of the existing stock would reduce pressure to ‘just build more’ as a solution to the UK’s housing shortage.”

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If you have any questions about the issues raised in this update, please do not hesitate to get in touch.