Wednesday, March 16, 2011

London mayor Boris Johnson wins partial reprieve over lost LDA cash

Around �400m wrested back over three years for London youth projects, the green economy and regeneration

Boris Johnson, the London mayor, has wrested back withdrawn government funds to boost the city's economy and regenerate deprived parts of the capital.

Johnson's deputy mayor and chief of staff, Sir Simon Milton, praised the decision to give London �388m for its regeneration and economic activities over the next three years as "good news for Londoners".

Milton said the funding settlement followed months of hard negotiations after the announcement in October that the London Development Agency would be scrapped and its functions brought under city hall control.

However, the cash available for current LDA projects still represents a dramatic drop on past funding. The LDA's funding pot for 2010/11 was �480m.

Milton told London assembly members on Wednesday that while the �388m ? equivalent to around �130m each year ? was an obvious reduction on past funding, the money would allow the Conservative mayor to continue with commitments to youth opportunities, skills and employment and the green economy, as well as regenerating some of London's more deprived areas.

He said the mayor was hoping George Osborne, the chancellor, would announce further measures to help support economic growth in the capital.

City hall was shocked when Osborne announced that the LDA ? the mayor's economic arm ? would be wound up in 2012 as part of the government drive to abolish Labour's "failed" regional development agencies.

The government said it would only honour its legally committed spending next year which is �56m, covering 74 projects spanning regeneration, climate change and business and employment support. This excluded a further �102m for help with the 2012 Olympics, compulsory purchase compensation, debt servicing and repayments, and some legacy development works.

Amid fears that his mayoral influence would be hampered if there was no money for key projects, Johnson wrote to the government after the spending review to wrest back some funding for mayoral programmes.

Milton said the negotiations had paid of: "I am delighted to announce that the settlement received by London for economic development is good news for Londoners. Over forthcoming weeks we will be able to confirm the contractually committed projects which provide Londoners value for money, and to expand investment to further support London's economy," he said.

"The economic development budget received today complements the strong transport settlement we received in the autumn. It will allow us to create opportunities for Londoners and small businesses; it will support our work with boroughs across London; and it will make a real difference to young people and our green commitments. It provides a solid foundation to our economic activity over the coming years."

Milton told the assembly the mayor would unveil more details on the various projects next week.


guardian.co.uk © Guardian News & Media Limited 2011 | Use of this content is subject to our Terms & Conditions | More Feeds


Source: http://www.guardian.co.uk/uk/2011/mar/16/boris-johnson-london-funding-cuts-reprieve

Sean Hannity Harry Reid Mitch McConnel Rush Limbaugh George Bush

No comments:

Post a Comment