BREXIT: Councillor's concerns for local economy

Howard Sykes

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LEADER of the opposition on Oldham Council, Howard Sykes, fears what impact last week's historic Brexit will have on the local economy.

In a letter to Oldham Council leader Jean Stretton, Councillor Sykes ­- leader of the Oldham Lib-Dem Group ­- outlined his concerns about what leaving the EU will mean for the council's finances.

Councillor Sykes outlines his concerns that the loss of EU grants will have on Oldham's regeneration plans and upon the delivery of services, and he is also concerned that local businesses will no longer be able to access European markets without restriction, leading to a downturn in trade and a loss of jobs.

Councillor Sykes is also concerned that local businesses who rely on an influx of labour from European markets to fill job vacancies where Oldham people fail to apply may be damaging to business.

He cites two specific examples where European grants have benefited Oldham people and the flexible labour market has helped local businesses.

Councillor Sykes added: "In my own area of interest, as a committee member representing Oldham on Transport for Greater Manchester, I am very conscious that a £10.8 million grant secured from the European Regional Development Fund has helped improve Metrolink services in the conurbation.

"Oldham residents have benefitted from improvements to the Metrolink stop at the new, revitalised Victoria Station.

"In my own ward, Shaw, our major local employers, JD Williams and Shop Direct, are reliant upon being able to recruit workers from European nations to fulfil their labour requirements; this brings in revenue to our borough as these workers settle here and contribute to our local economy. I am concerned that these employers may soon struggle to fill vacancies unless these can be attractively marketed to local residents."

Given the potential implications of the Leave vote, Councillor Sykes has asked Councillor Stretton for an assessment of the impact of the withdrawal of both capital and revenue funding by the EU on regeneration projects and services in the borough.

He has also asked for an assessment of the likely impact on Oldham's economy, both immediate and long-term.

He added: "I have requested that a report be prepared by officers for circulation to elected members before council and that time be made available within the agenda to debate it."