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How Ceredigion can benefit from the long-term economic plan

Andrew Thorpe-Apps

11th Mar 2015

This morning’s Today programme had one of their regular reports from 100 constituencies around the UK – today’s was about Ceredigion. It featured a variety of voices many of whom talked about their fears for the future of their community as so many young people were leaving to find work.

Whether it’s the Scottish Highlands or the Somerset Levels, Britain has a fantastic array of landscapes. Yet, for the people who live in rural areas, life does present a set of challenges which Westminster politicians often do not seem to fully understand.

For most of those living in rural Britain, it’s a great place to be. Yet people often have to travel long distances for healthcare, financial services and shops, and public transport is poor. One in five households in rural areas, including 700,000 children, live in poverty. There is a shortfall in available housing to buy or rent, and the limited supply of housing is often unaffordable for younger people, forcing them away from the communities they grew up in.

Since coming to office in 2010, the Conservatives have championed the UK food and drink industry through strategic investment and trade delegations, provided £20 million to help train 90,000 rural entrepreneurs, and invested over £1.2 billion in superfast broadband.

The investment in superfast broadband alone could yield economic benefits worth 20 times as much. Many of the remotest communities now enjoy broadband connectivity, and the Government is on target to ensure that 95% of UK homes and businesses have superfast access by 2017.

Under its Rural Development Plan, the Government has focused on assisting projects that help to develop more diversified and enterprising rural economies, funding vocational training activities, and providing support for capital investment in projects aimed at improving the processing and marketing of agricultural products.

So there’s a clear long-term plan to build a vibrant rural economy rooted in businesses that are market-oriented and have access to skilled workers, good infrastructure and modern technology. The countryside is a potential engine of growth for the UK; future Governments must encourage this, not hinder it.

And yet this vision is not shared by all. Under Labour, the number of rural post offices declined by one fifth; 384 police stations in rural areas closed; 200 rural schools were closed; and the number of banks, petrol stations and dentists all fell. On top of this, rural unemployment more than doubled between April 2008 and April 2009, with consequences that many areas are still recovering from.

Whatever the colour of the next Government, significant attention must be given to rural policy.

One key change that is needed – and it’s one that Labour are unlikely to make, given the urban nature of their vote – is reform of the disparity in Government funding between rural and urban areas. Rural residents earn less, on average, than those in cities, pay council tax which is £100 higher per head, and see urban areas receive central grants 50% higher per head than those in the countryside.

The other issue which must be addressed is the availability of affordable rural housing. If younger people continue to be forced out of their communities, local businesses will not have labour markets to draw on, and schools and other services will close. The next Government must look at ways to encourage the building of low cost homes in our towns and villages.

The last Labour Government lacked a vision for rural Britain, and there is nothing to suggest Mr Miliband would be any different. Only the Conservative party has both the ability and inclination to grapple with the issues affecting rural communities.