Press Release

Budget's new funds offer hope for the vulnerable in rural society provided that they are fully rural proofed, says rural watchdog

24 April 2009

The Commission for Rural Communities (CRC) today welcomed many of the measures announced in this week's Budget Statement, but urged government Ministers to rural proof their delivery and ensure that new funds to businesses and vulnerable groups are accessible in England's rural communities.

"The announcement of additional funding for house construction, especially affordable and energy efficient developments, is very welcome", said Gill Payne, Chief Executive of the CRC. "Several housing associations have struggled to finance and complete affordable housing schemes in rural communities in recent months but, despite marked falls in rural house prices, affording a home remains out of reach for too many rural residents. Only recently the Government endorsed much of a report from Matthew Taylor, MP about the need for more rural housing. With effective rural proofing of the delivery of these funds, the Housing and Communities Agency and other public bodies can turn this commitment into practical and much needed action.

"During this recession rural districts have experienced among the most substantial and rapid rises in numbers of jobless people anywhere in the country. New money to help the Job Centres Plus in rural districts to support newly unemployed people would be very welcome. And, as many rural areas have very few job opportunities, it is imperative that rural local authorities can access the funds announced in this Budget to create new jobs.

"Last year the Rural Advocate's report to the Prime Minister confirmed that rural communities were among the most enterprising in the country, with innovative and resilient companies. However, investment levels and infrastructure for innovation is often weak. We will therefore be taking up the opportunity to build on the Government's response to our report to identify ways to help rural firms to benefit from the new Strategic Investment Fund and resources for innovation and become more innovative and competitive.

"Accessibility and speed with existing broadband networks still remain a problem in rural areas. We will therefore build on our close working relationship with Government to achieve universal service in broadband at 2Mbit/ sec speeds by 2012, but we will also strive to ensure rural areas are not left out of plans for future generation broadband".