Local people to have control of where money goes in new neighbourhood plans
Local people are set to have 'control of where the Whitehall cash goes' under funding plans for deprived neighbourhoods, ministers have announced.
Officials have set aside £1.5 billion that will be shared around 75 areas across the UK.
The funding can be used for projects such as youth clubs and cultural venues, as well as community services such as health and education.
The scheme follows on from the long-term plan for towns under Rishi Sunak's government, which had similarly pledged funding for the same areas across Britain and Northern Ireland.
In response to Ofgem's decision today to raise the energy price cap, Labour are expanding the Warm Home Discount to millions more households. Next winter 6.1 million households will be eligible to receive £150 off their energy bills. pic.twitter.com/chcTsgCMVY
— Alex Norris MP (@AlexJJNorris) February 25, 2025
Under the 'plan for neighbourhoods', the selected areas will all be handed up to £20 million each and will have a local board set up.
According to the Ministry of Housing, Communities and Local Government, the boards will comprise residents, businesses, and campaigners, who will decide how the money is used.
The boards will be presented with options of where the cash can be spent, such as repairs to pavements or neighbourhood watch schemes.
Among the areas selected to receive funding are Coleraine in Northern Ireland, Kilmarnock in Scotland and Wrexham in Wales.
Across the English regions, among the included towns are Darlington, Scarborough and Great Yarmouth.
Angela Rayner, Deputy Prime Minister and the secretary of state responsible for local government said: 'For years, too many neighbourhoods have been starved of investment, despite their potential to thrive and grow.
"Communities across the UK have so much to offer – rich cultural capital, unique heritage but most of all, an understanding of their own neighbourhood.
"We will do things differently, our fully funded Plan for Neighbourhoods puts local people in the driving seat of their potential, having control of where the Whitehall cash goes – what issues they want to tackle, where they want to regenerate and what growth they want turbocharger."
Local growth minister Alex Norris said that 'when our local neighbourhoods thrive, the rest of the country thrives too. That's why we are empowering communities to take control of their futures and create the regeneration and growth they want to see'.
Money will be made available from April 2025, with projects expected to be able to get up and running in 2026.
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The Conservatives criticised the funding plans as 'wasteful pet projects'.
'Local areas are feeling increased pressure due to immigration, increased council tax and Labour changing the local government finance settlement to benefit urban areas over rural areas,' shadow housing secretary Kevin Hollinrake said.
'Labour erased the phrase 'levelling up' from government and instead of delivering for local communities are now spending taxpayer cash on wasteful pet projects this country can't afford.'
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