BUDGET? WHAT BUDGET?

That is the question that many people in the rural economy will be asking this week, following the Chancellor’s speech on Tuesday.

Angus Collingwood–Cameron, CLA North East Director, said: “I suppose that we should be grateful for the small mercy that the Chancellor has not managed to extract substantially more money out of the rural economy through direct taxation, but what a wasted opportunity to make some positive contribution. It is almost as if the Chancellor has forgotten that people are trying to make a living in rural areas. He certainly does not seem to appreciate that many rural businesses are being stretched to breaking point by ever increasing regulation and the continual delays in the Government paying what is due under the Single Payment Scheme.

Some positive moves, such as reducing the excise duties on bio-diesel, would have provided a boost for parts of the rural economy, while also benefiting the nation as a whole. While we welcome the news that a further 250,000 homes will be provided with insulation, we fear that this will come with so many strings attached that it will not be applicable to much of the North East – the coldest part of England!

Mr Brown calls it the “Budget for Schools”. Mean while, out in the real world, schools across Northumberland are facing closure, with the school sites in Alnwick currently being valued for sale. I would only describe it as a budget for schools, if it resulted in no more closures of rural schools. We await details of Mr Prescott’s scheme to encourage first time home buyers with interest. We have campaigned for ages on the need for affordable housing in rural areas, but this goal will not be achieved unless Mr Prescott’s own department increases the housing allocation in rural areas.”