Local authorities across the country are to be given more than £300m to encourage business growth, it has been announced.
Local Government Minister Phil Woolas and Treasury Minister John Healey made the announcement as part of the continuing Local Authority Business Growth Incentive Scheme (LABGI).
The three-year scheme is now in its second year, with a total of £1bn set to be allocated to local authorities by 2008.
“Government is committed to devolving further power to local authorities, which will in part help them encourage business growth in their areas,” said Woolas.
“Councils should use their role as place shapers to encourage inward investment in their communities and this grant is a boost to that work.”
Healy reiterated the need for local authorities to have a hand in encouraging enterprise.
“If we are to draw on the full economic potential of our country, promoting long-term growth, enterprise and jobs, as well as tackling the disparities in economic performance between and within the regions and nations of the UK, local authorities have a vital role,” he said.
“LABGI ensures every local authority has a direct financial incentive and reward to do more to promote enterprise, employment and the growth of local businesses.”
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