Levelling up risks letting down Londoners, warns boroughs

The Levelling Up White Paper provides little assurance that deprived communities in the capital will benefit from the government’s policy programme, London Councils has said.

While welcoming the White Paper’s focus on reducing inequalities and boosting prosperity in all parts of the country, the cross-party group called for London boroughs to have the powers and resources needed to tackle the capital’s ‘enormous’ challenges.

More than a quarter (27%) of Londoners live in relative poverty after housing costs, with four in ten children in the capital living in poverty.

London’s economy has also been hard hit by the Covid-19 pandemic, with London’s unemployment rate above the national average and almost a million Londoners receiving Universal Credit.

The capital has the highest homelessness pressures in the country, with 165,000 homeless Londoners living in temporary accommodation arranged by their local borough, while nearly 300,000 households are on a housing waiting list in the capital.

Cllr Georgia Gould, Chair of London Councils, said: ‘While we welcome the government’s positive vision of a fairer and more prosperous country, it’s absolutely critical that any plans to tackle inequality include London.

‘Like the rest of the UK, Londoners face complex challenges requiring proper investment in our communities. The single biggest step the government could take to support levelling up would be to reverse the funding cuts made to council budgets over the past decade or so, but we are not seeing that. The white paper leaves serious concerns about London’s place in the government’s plans. The decision to redirect funding for new housing supply risks undermining affordable housebuilding in the capital and hampering our shared ambitions to tackle homelessness.

‘The cost of living crisis weighs heavily on the shoulders of families across the capital, with four in ten children living in poverty and an unemployment rate higher than the national average. London’s role as a global city is critical to driving inclusive growth here and in the rest of the country and we can’t take it for granted. Councils sit at the heart of their communities and we stand ready to work with the government to play a leading role in this crucial work.’

Photo by Andreea Popa