Councillors' reactions to the mini-budget in Durham and Darlington varied from welcoming its "focus on growing the economy" to decrying it as "reckless and divisive".
Councillor Richard Bell, leader of the Durham Conservative group, deputy leader of Durham County Council's Conservative Lib Dem Independent joint administration and its cabinet member for finance, said: “I welcome the new focus on growing the economy because it is only by increasing the size of the cake that we can get more resources for our public services.”
However the council leadership says it is focused on financial matters closer to home as it grapples with an overspend of almost £15m.
The coalition has called for immediate and urgent Government help, and is still waiting to hear on a settlement deciding how much money it will receivde from the Government.
Read more: Durham County Council calls for government help as it faces £15m overspend
On behalf of the joint administration, Cllr Bell and council leader Cllr Amanda Hopgood said in a statement: “We, as leader and deputy leader, are working with officers to assess the details of the Budget and what implications there are for the council.
“At the moment, the more critical issue for the council is our budget deficit, and we would like to hear news of the Government’s settlement for the authority sooner rather than later, and ideally for a period of more than one year.”
County Durham Labour Leader Cllr Carl Marshall said: “This was a big moment for the government. An opportunity for the PM and a new Chancellor to finally acknowledge the scale of the economic crisis engulfing families – and yet again, their instinct is to protect the wealthy while expecting the rest of us to bear the brunt.
“Nothing announced today by the Chancellor will help County Durham – in fact, it will probably harm us.
“County Durham has lost over £250m since the Tories came to power and today’s announcements will inevitably lead to more public sector cuts.
"Inflation is soaring, energy costs are out of control, interest rates are rising, all at a time when County Durham is enduring almost Victorian levels of child poverty – what is the government doing to help?
“We can’t put up with this any longer. The time has come for a change of government that cares for everyone, not just the rich.”
In Darlington, Green group leader Cllr Matthew Snedker said: “The Conservatives are taking the country in a reckless and divisive direction as their budget announcement breaks sensible fiscal rules to deepen debt, increase inequality and risk our reputation as a sound economy.
“The new Chancellor has delivered a budget that risks drowning future generations in debt in order to fund a cash give-away to bankers, polluters and the wealthy. While those of us struggling with spiralling food and fuel prices, soaring rents, and higher mortgages are left to fend for ourselves.
“To make matters worse, the Conservatives are borrowing hundreds of billions of pounds to fund this cash bonus for the rich, a policy that economists warn is fraught with danger.
“Darlington and the north east will suffer as a direct result of this budget as the wealth of the nation is increasingly concentrated in the hands of a few. All the while, vital local services continue to fail to meet the needs of people, as local authorities enter the 13th year of austerity funding.
“Bankers and millionaires don’t need this cash but our schools, hospitals, adult and social care workers do.”
Cllr Anne-Marie Curry, Liberal Democrat group leader for Darlington, said: “It’s still squeezing the people on lower incomes. Food prices are going up, petrol prices are going up. It’s not going to help those on low incomes at all.
“It’s like they’re giving up £5 but taking £40 back off us. You’re penalising the lower incomes.
“It’s not levelling up. If they think that’s levelling up, they’re talking absolute rubbish. It’s making the rich richer and the poor poorer. It’s not working.”
Cllr Stephen Harker, Labour group leader in Darlington, said: “The impression today is it’s helping the better off but it isn’t helping the people who are going to really struggle this winter.
“The people on much lower incomes are still going to be struggling.
“The budget changes today will make very little difference to the take-home cash they have because the increase in fuel prices and rising inflation will just decimate any changes the Chancellor made.
“I do worry about how they’re going to manage through the winter.”
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- Mini-budget 2023 LIVE: Kwasi Kwarteng set to unveil big TAX changes
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