Council is key to getting communities through the crunch

Rochdale Council is a crucial player in getting local communities through the economic downturn according to the Department of Communities and Local Government.

Communities Secretary Hazel Blears has welcomed the Prime Minister's commitment to councils providing pivotal support to communities through the global economic downturn.

Describing councils as "the backbone of our local communities", the Prime Minister highlighted the role they can play in meeting local housing needs, preventing long-term unemployment, and supporting small business.

During his speech to the New Local Government Network, the Prime Minister announced that the Government will release £100m of un-ringfenced funding to councils across the country through the Local Authority Business Growth Incentives scheme, helping councils respond flexibly to the effects of the downturn in their area.

As part of Government plans to create 35,000 new apprenticeships, the Local Government Association has committed to doubling the number of council apprenticeships to 15,000.

The Audit Commission will report to the National Economic Council on the effectiveness of local authority responses to the downturn, and highlighting if there are examples of central Government unintentionally frustrating efforts to provide local support.

And the Government would give full backing to local authorities willing to deliver the social housing to meet their communities' needs.

Prime Minister Gordon Brown said: "With the three-year settlement of an additional £8.9billion - an average 4.2 per cent cash increase per year in funding - councils now have even greater flexibility and funding with which to support their communities through the downturn.

"I pledge that we will act wherever and whenever we can to ensure the necessary freedoms and flexibilities for authorities. But equally, local authorities should feel a similar obligation to do all they can to benefit their communities.

"So even as our communities are being battered by a global storm that is vast and far from our control, it is ever more important that local people are empowered within their own communities to lead our response to the downturn.

"By acting together - as local authorities and national government in partnership - we truly can bring real help to families and businesses when and where they need it most."

Communities Secretary Hazel Blears said: "In these difficult times, it is more important than ever that councils have the freedoms and flexibilities to respond to local challenges and support their communities.

"The £100m we are announcing today, together with the first-ever three-year settlement giving councils certainty in their funding, puts them in an even stronger position to do so.

"And I am delighted that the Local Government Association have committed to doubling the number of apprenticeships to 15,000 - kick-starting the exciting careers for young people across the country.

"These freedoms, flexibilities and funding that we have provided leave councils, who are crucial to our communities in this global economic downturn, to use their local knowledge and expertise and provide real help to local people."

Last week the leader of the Rochdale Conservatives Councillor Ashley Dearnley met with Tory Councillors from across Greater Manchester to discuss the economic climate and put forward ideas for helping local residents and businesses.

All sectors of the community have been affected by the credit crunch, with unemployment rates increasing steadily in Rochdale and major chain stores in the town, such as Woolworths and MFI, closing down.

Councillor Dearnley said: "I know there is more that can be done in the borough; letting empty business units without charge, using our mobile libraries to visit areas of high unemployment to offer advice and services for finding work, making more council contracts available to local firms.

"Throughout the borough our residents have always shown resilience and a willingness to pull together in times of adversity.

"The council is only too aware of the economic situation unfolding and, whatever our political persuasions, it's time to remember we are all in this together."

Meanwhile Rochdale's Parliamentary candidate Simon Danczuk has welcomed the launch of a new guide to finding help with homes, jobs and finances when people need it.

The guide outlines the real help available now that the Government has put in place to support people and businesses through the downturn.

Simon Danczuk said: “I know that the international financial crisis is having a real impact on individuals, families and businesses in Rochdale.

“We shouldn’t repeat the mistakes of the past when people were left to cope on their own.

“This new guide outlines the extra support that is needed to get us through the downturn, and how you can access it.”

Some of the recent measures the Government has taken include cutting VAT which will save the average family £275 per year. There have also been increases to the winter fuel allowances paid to pensioners as well as an increase in the state pension.