Agenda item
Financial Security
Proposed by Cllr Hayes, seconded by Cllr Humberstone
Labour member motion
Council believes the Conservative Government was too slow to introduce lockdown, too slow to protect care homes, and too slow to provide key workers with protective equipment. Because of this, the UK has the worst Coronavirus death rate in Europe.
Oxfordshire has ten wards in the most deprived 20% of the Index of Multiple Deprivation and they are frequently home to key workers, BAME communities, and others who will be disproportionately affected by COVID. COVID has shone a light on inequalities and how badly prepared the UK was for dealing with a major crisis after a decade of cuts to the NHS and local councils.
The UK is experiencing the worst economic crisis of any major economy. With nearly 10% shrinkage of the British economy last year, the UK is on course for the deepest recession in 300 years, and this will harm people’s lives and livelihoods.
Compared with a pre-COVID trajectory, Oxfordshire’s economy could expect to see 6,000 fewer jobs and output £522 million lower by 2030. Council notes the findings of the COVID-19 Psychological Research Consortium about the mental health impacts of COVID and the link that is emerging between its economic impacts and poor mental health outcomes.
Council understands that small businesses drive the growth and innovation that will help build Oxford’s and Britain’s recovery. Oxford needs a government to make the right choices on our economy, with support for business going hand-in-hand with robust health measures.
Council applauds council officers for distributing over 4,500 grants to these to businesses disrupted by the pandemic. Council further applauds the successful placement of rough sleepers in accommodation during the pandemic and regrets the lack of adequate government funding to continue this work and calls for “everyone in” funding to be made permanent.
Council regrets that the Government has not lived up to its promises to support local government during the pandemic, with less than a third of the projected £29 million losses and additional expenditure projected to be covered.
This Council calls on the Leader to write to the Chancellor of the Exchequer to:
· Urgently come up with a plan to secure the economy and help businesses to escape their disastrous stop and go approach.
· Announce a smarter furlough scheme that offers certainty beyond April that avoids a cliff-edge and supports residents with training and skills for new employment opportunities.
· Give an immediate extension to the business rates holiday to give businesses breathing space and extend reduced rate VAT to support our hospitality and retail sectors and protect our high streets from collapse.
· Extend the increase to Universal Credit payments. The Institute for Fiscal Studies says that removing this could see some single, childless adults see their income fall by a fifth, and Council would oppose moves that would exacerbate poverty.
· Follow the advice of the COVID-19 Psychological Research Consortium: "the Government can most preserve the population’s mental health by protecting people from the economic consequences of the pandemic and by providing practical support to parents of young children”.
Minutes:
This motion was not taken as the time allocated for debate had finished.