Shropshire Star

A third of Telford workers were furloughed report claims

Nearly a third of workers in Telford and Wrekin were furloughed over the summer and a quarter of businesses expected to shed jobs, according to a Local Government Association report.

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The findings of the report will be discussed by Telford & Wrekin Council.

The document, assessing the background and council response to the coronavirus pandemic, said the borough’s economy was strong but the crisis significantly frustrated “the challenge of delivering the ‘levelling-up’ agenda”.

Telford and Wrekin Council was the first local authority to undertake the LGA’s “Response and Recovery Panel” process, and its findings will be discussed by the borough’s cabinet on Thursday, September 24.

The document, compiled after a day-long series of interviews with cabinet members and senior officers, also said Universal Credit claims were increasing and “concentrated in the most disadvantaged parts of the borough”.

“Challenges around health inequalities and tackling disadvantages in a ‘borough of contrasts’ feature at the top of the agenda,” the report says.

“The fact that these issues are being reinforced by the Covid-19 crisis have [sic] taken the council’s commitment to impacting in communities to a new level, including an increased resolve to break negative cycles that have become established and intervene where necessary.”

It points out that the coronavirus pandemic followed the “very testing” floods in February.

"Council staff have redeployed willingly, even with relish, into new and very different roles and councillors have evolved their role and approach to act as community facilitators,” the report adds.

In a section about the economy, the report, which was passed to the council in August, adds: “As a result of the Covid-19 crisis, 29 per cent of the workforce in the local area are currently furloughed, 25 per cent of companies are indicating likely job losses and Universal Credit claims are increasing and concentrated in the most disadvantaged parts of the borough.”

The LGA report praises “very practical measures” taken by the council, including its “Shop Local” campaign, funding to help businesses diversify and the re-launch its “Job Box” scheme to match people to potential vacancies.

“The council recognises that the challenge of delivering the ‘levelling-up’ agenda has been multiplied many times over as a result and is also cognisant of the need to diversify the local economy,” it adds.

“It retains its ambition, however, as seen with the Growth Deal and the £25 million Town Deal, which emphasises the digital and connectivity agenda, and the creation of ‘Station Quarter’ to boost housing, education and skills.”

The government launched the £3.6 billion Town Fund last year. Telford is entitled to bid for up to £25 million of this, and its Town Deal board was set up in May 2020 to develop an investment plan.

“Station Quarter” is the name given to an area of land between Telford Central railway station and the shopping centre. A proposed public-private partnership is aiming to build a hotel and new leisure facilities there.

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