East Midlands
Budget 2010 announces further action the Government will be taking in the East Midlands including:
Families
- To increase the support available to families with young children and to continue to drive progress in tackling child poverty, from April 2012 the Child Tax Credit for each child aged 1 and 2 will be increased by £4 per week. Around 65,000 families in the East Midlands are expected to benefit.
- To encourage people to save for the future, the first Saving Gateway accounts will be available in July 2010, offering people the chance to receive 50p from the Government for each £1 they save. 552,000 people in the East Midlands are expected to benefit.
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Additional payments alongside the Winter Fuel Payment will be repeated in 2011. Payments will be worth £100 for households with someone aged 80 or over and £50 for households with someone over female State Pension Age. 680,000 households in the East Midlands will benefit, of which 160,000 contain someone aged 80 or over.
- On 11 March the Chancellor launched Moneymadeclear nationally, providing free impartial information and guidance on personal finance issues online and over the phone in the East Midlands. The service has been piloted in the North East and North West since last April and the Government and the FSA have together committed £20m for the service in 2011 enabling it to help one million people by March 2011.
- Continued support to homeowners by freezing the interest rate used to calculate Support for Mortgage Interest (SMI) payments at 6.08% for a further 6 months, until December 2010. Based on the most recent available regional data, the number expected to benefit in the East Midlands is 14,300.
Business
- HMRC will continue to offer the Business Payment Support Service allowing viable businesses in temporary financial difficulty to spread their tax payments over an agreed timetable. 21,400 arrangements have been reached through this Time to Pay scheme with businesses in the East Midlands to allow them more time to pay their tax.
- A temporary increase in the level of small business rate relief, enabling Eligible businesses occupying properties with rateable values up to £6,000 will pay no business rates for one year from 1 October 2010. Businesses with rateable values up to £12,000 will receive significant reductions. This measure will benefit over half a million small businesses in England, including many small businesses in the East Midlands.
- £60 million for infrastructure development, to meet the needs of offshore wind turbine manufacturers looking to locate new facilities in the UK. The wind energy industry employs around 8,500 people in the East Midlands.
These schemes build upon actions and investments that are already being undertaken in the East Midlands to support businesses and families, including:
Families
- All 18-24 year olds who have been claiming Jobseeker's Allowance for 6 months or more now have access to the Young Person's Guarantee, providing a guaranteed job, work experience or training. It is estimated that 36,095 people in the East Midlands are benefiting. And from next month, participation will be mandatory.
- Around 540,000 families and 950,000 children are benefiting from the January 2009 increase in Child Benefit.
- Alongside this year’s Winter Fuel Payment, households with someone aged over 80 have received an additional payment worth £100, and households with someone aged over 60 have received an additional £50. Around 650,000 households in the East Midlands have benefited, including 150,000 households containing someone aged 80 or over.
Business
- Over 21,200 agreements, worth nearly £340m, made through the Business Payment Support Service have enabled businesses in the region to spread their tax payments over a timetable they can afford.
- The Enterprise Finance Guarantee Scheme enables up to £1.3bn of bank lending to small and medium-sized businesses across the UK, the scheme has, to date, meant that nearly £57.8m of eligible applications from 512 firms in the East Midlands have been granted, are being processed, or assessed.
- The Pre-Budget Report 2009 announced that the temporary increase to the threshold for empty property relief (EPR) will be extended for a further year. For 2010/11, the threshold at which an empty property becomes liable for business rates will be £18,000. This is estimated to cover 78% of empty business properties in the region.
Investment
- The A47 Earl Shilton Bypass in Leicestershire was opened in March 2009. The successful three-mile road has provided a new route around town, cutting journey times for drivers, and lowering noise and pollution from traffic. The scheme cost £20.6m.
- The Derby Hospitals NHS Foundation new £312m PFI ‘superhospital’ became fully operational in May 2009.
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