MPs demand urgent action from Government to help local authorities prepare for Brexit

MPs on the Housing, Communities and Local Government Committee have called on the Government to take urgent action to enable local authorities to prepare for the consequences of Brexit.

In its report the committee said the Government should act to fill the gap created by the loss of EU funding streams and examine how funding and powers could be devolved to local government.

It said the Government must maintain mechanisms for engagement and information-sharing with local government during and immediately after the UK’s withdrawal from the EU, and ensure a comprehensive range of planning, guidance and support was in place for local authorities in the event of no-deal Brexit.

Government must also address workforce shortages and make EU nationals working in the UK aware of the settled status scheme.

The Ministry of Housing, Communities and Local Government (MHCLG) should monitor key sectors identified by councils as being at risk of workforce shortages, particularly construction and social care, and make “representations to the Home Office in favour of immigration schemes with sector-specific workforce shortages criteria”.

MHCLG should also press the Department for Transport over concerns about the immediate consequences of Brexit among local authorities that own major ports.

“Individual port-councils should not be expected to use their reserves to adequately prepare for the immediate impact of Brexit, and additional central government funding should be provided where necessary to ensure these areas do not carry an unfair burden without adequate support,” the report said.

It also said the Government should fully fund any new burdens placed on local authorities as a result of Brexit.

Looking beyond Brexit, the MPs called for the Government to “urgently advance its plans for the establishment of the UK Shared Prosperity Fund”, with resources that matched or exceeded the equivalent EU funding provided to local government.

Turning to devolution, the committee said a proposed new Devolution Framework should be published within one month of the UK's withdrawal from the EU and “assess the potential merits of bringing forward an English Devolution Bill”.

Consultations should be held with local government on powers transferred to the UK form the EU and how these could be devolved.

Committee chair, Labour MP Clive Betts, said: “Whatever form of Brexit is finally decided upon, local authorities will play a key role in ensuring as little disruption as possible to people’s day-to-day lives.

“They have the local knowledge and experience to identify likely problems and create workable solutions, yet the Government is not giving them sufficient support to do this, nor is it adequately seeking their input to identify problems and inform their planning.”

Lawyers in Local Government (LLG) president Phillip Horsfield said: "LLG will continue to work with the Ministry to support Brexit preparedness and highlight issues of concern across the board.

“LLG has already submitted three position papers to the ministry covering Brexit, vulnerability and new burdens and will now be collaborating on identifying gaps in legislation upon departure of the EU and assisting where possible with the expected 550 statutory instruments required to be laid ahead of exit day."