Southwark Liberal Democrats warn of £102 million funding black hole as Deputy Leader writes to new Prime Minister

Southwark Liberal Democrats have accused the Labour Government of imposing a new era of austerity on Southwark after the borough was hit with a projected £102 million budget gap over the next three years under the Government's "Fair Funding" plans.

Deputy Leader of Southwark Council and Leader of the Southwark Liberal Democrats, Cllr Victor Chamberlain, has written to newly appointed Prime Minister Andy Burnham urging him to reverse the funding settlement and deliver a fair deal for Southwark residents.

In his letter, Cllr Chamberlain warns that the scale of the funding loss will have a devastating impact on local services and residents, particularly in a borough where 30% of people live in areas among the 20% most deprived nationally. He argues that Southwark should not be penalised simply because it is part of London.

The Liberal Democrats say that Southwark residents voted for change at the local elections in May, but are instead being faced with the prospect of Labour imposing "crushing austerity" on local government. The party argues that efforts to support growth in the North of England must not come at the expense of communities in London and has reiterated its position that "where London succeeds, the UK succeeds".

As part of his letter to the Prime Minister, Cllr Chamberlain also called on the Government to back the long-awaited Bakerloo Line Extension, arguing that the project would unlock economic growth, support the delivery of new homes, and benefit both Southwark and the wider UK economy. 

Alongside his letter to the Prime Minister, Cllr Chamberlain has written to Southwark's Labour MPs to congratulate them on their new ministerial appointments and offer to work with them to defend Southwark's interests within Government.

Commenting, Cllr Victor Chamberlain, Deputy Leader of Southwark Council said: 

"Southwark is staring down the barrel of a £102 million funding black hole because of Labour's so-called Fair Funding settlement.

"Residents were promised change, yet our borough now faces the prospect of cuts to local services and increasing pressure on hardworking families.

"Southwark is home to significant deprivation, and it is simply wrong that communities like ours should lose out under Labour's plans.

"Andy Burnham has an opportunity to show that his Government will govern for the whole country. Levelling up the North must not mean levelling down Southwark.

"The Liberal Democrats will continue to stand up for our residents and fight for a genuinely fair deal for Southwark."