‘It’s a stitch up’: Anger and disappointment as towns miss out on £40m in Levelling Up funding

Rochdale council’s economy chief has hit out at the government after it overlooked a £40m bid to regenerate the borough while more affluent constituencies cashed in.

Local leaders were hopeful their Levelling Up fund proposal – which would have seen £20m go to Rochdale and £10m to Heywood and Middleton respectively – would find favour with ministers.

The schemes included a new public square by Rochdale railway station and 223 homes at Central Retail Park, as well as enhancements to Heywood Civic Centre and Middleton Arena.

But excitement turned to dismay after the government announced these were not among the 111 projects set to share in the second round of Levelling Up funding – a £2.1bn package intended to narrow regional inequalities and bring prosperity to ‘left behind’ areas.

With Prime Minister Rishi Sunak’s Richmond constituency landing £19m and 18 areas across the south east and London also sharing in the spoils, it has come as a bitter blow to Rochdale, which has some of the country’s most deprived areas.

Coun John Blundell, cabinet member for economy and regeneration, said he was appalled by the decision.

“The fact that two-thirds of constituencies across the country were Conservative goes to demonstrate how much of a stitch up this really is,” he told the Local Democracy Reporting Service.

“The fact that two-thirds of constituencies across the country were Conservative goes to demonstrate how much of a stitch up this really is.

“The government has utterly butchered local government budgets year on year and created this culture of The Hunger Games where people have to bid for miniscule amounts of cash and to hand out what little cash there is to Tory areas is utterly appalling.

“It just emphasises what little clout and communication Chris Clarkson has with his own government.”

Local authority bosses have drawn up ambitious ‘masterplans’ to transform Heywood and Middleton town centres, while the new station square and is part of its ‘rail corridor strategy’.

Plans for 223 homes at Central Retail Park were passed by the council last month, but it was noted the scheme was dependent on Levelling Up monies.

However, Coun Blundell says aspirations for the borough remain undimmed – albeit funding would now need to come from a ‘different route’.

“The Labour Party’s ambition for our borough has not changed but how we fund these projects has obviously changed,” he said.

“The council will now review how it funds these projects and ensure prosperity across the borough.”

Coun Blundell also took a swipe at Chris Clarkson, the Conservative MP for Heywood and Middleton.

“It just emphasises what little clout and communication Chris Clarkson has with his own government,” he said.

Mr Clarkson said he was ‘disappointed’ the Heywood and Middleton bid was not successful, but fired back at Coun Blundell.

“I have spoken to Levelling Up Minister Dehenna Davidson and she has agreed to meet with me to discuss what can be improved about the bid put in by the council to allow it to succeed in future rounds,” he said.

“It is important to understand what enabled other bids to progress when ours did not.”

Addressing criticism from the council’s regeneration boss, he added: “I’m disappointed to see Coun Blundell’s comments, which are typically risible and not worth commenting on further as he has had no part in the process.

“Notwithstanding this sniping from the sidelines, I look forward to working constructively with the leader of the council and council officers to see how we ensure we are in a better position next time”

Meanwhile, Rochdale MP Tony Lloyd has called for the government to look again at their decision not to fund regeneration plans in his constituency.

“These funds would have helped towards new sustainable homes and much needed redevelopment of the routes that lead into Rochdale’s town centre from the train station but this decision means that local communities and businesses will lose out,” he said.

“It was only last year that Prime Minister Sunak admitted on camera to taking money away from ‘deprived urban areas’ yet he’s managed to ensure that parts of his own constituency receive £19m of Levelling Up funds. 

“Small wonder he’s being accused of ‘Levelling Up’ favouritism.” 

It is understood Rochdale council will be making a round three bid – and wants the government to support the ‘momentum’ behind the regeneration of the borough.

Council leader Neil Emmot said: “While it’s frustrating and disappointing, especially considering that London and the South East received the biggest share, we are not completely surprised because it appears the government has changed the focus of away from actual need. 

“Both our bids were very strong, investment ready and had the support of our local MPs.

"Our residents can be assured that we will keep fighting tooth and nail for this funding and I am seeking an urgent conversation about why the government turned down bids that were much stronger than many of those that were successful.”

Mr Sunak has defended the latest allocation of monies, claiming two thirds of the funding was going to the most deprived parts of the country.

He also said the award to his constituency would benefit armed forces personnel at Catterick Garrison.

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