Sir Keir Starmer launched the local Labor Party election campaign on 2 May in Dudley. Photo: Eddie Keogh/Getty Images
Sir Keir Starmer has warned cash-strapped councils there is no “magic money tree” and said they will not receive any extra funding to level up if he wins the election.
The Labor leader insisted he couldn't «get it done». open the taps» and blamed Chancellor Jeremy Hunt, who he said had «salted the waters» with pre-election tax cuts.
Kicking off his party's local election campaign, Sir Keir also criticized the Five Man Party. Council rates rises across much of England next month will be described as the Tories' «new hidden tax».
The remarks come as many local authorities face financial crisis, with six announcing bankruptcy over the past three years. .
Since the speech in Dudley, Sir Keir has come under repeated pressure on whether his government will provide extra money to support struggling councils.
The Labor leader said: “Can I stand here and pretend to you that there is a magic money a tree we can swing the day after the election? No.»
He said his hands were tied because the Tories had «ruined the economy» and were «using any potential money for public services for gimmicks.»
Councils «in dire straits»< p>Sir Keir admitted many councils were in in a “dire situation” but warned there would be no more money until he gets Britain back to growth.
“Councils across the political spectrum are struggling with the lack of funding they use. we have been dealing for a long period and we need to change the situation,” he said.
“I can't pretend that we can open the taps, pretend that the damage hasn't been done to the economy, it has. The way out of this is to grow our economy.”
He added: “I want to invest more in our public services, our public spaces and our local government. I can't pretend we can do this on day one.»
Labour-run Birmingham, the second largest local authority in Europe, was forced to effectively declare bankruptcy last September due to exhaustion reserves.
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It now plans to increase council tax by 21 per cent over the next two years while cutting services, including moving to fortnightly rubbish collections.
The five other councils are Northamptonshire, Slough, Croydon, Thurrock, Woking and Nottingham have also gone bankrupt since 2021.
The Local Government Association has warned that around one in five local authorities in England are likely to go bust. declare bankruptcy this year.
Sir Keir's «magic money tree» jibe was the latest example of him trying to one-up the Tories on the economy by turning their own words against them.
This line of attack was most famously used in 2017 by former prime minister Theresa May to discredit Jeremy Corbyn's lavish spending plans
In his speech, the Labor leader raised eyebrows by praising Boris Johnson for leveling up. a vision that he said was betrayed by Rishi Sunak.
'Same old Labor Party'
He also angered left-wing MPs within his party by expressing admiration for Margaret Thatcher's reform zeal.
Addressing grassroots activists in Dudley, West Midlands, Sir Keir attacked Mr Sunak and Mr Hunt for hidden taxes hitting people's pockets.
» They tell you they're cutting your taxes while at the same time they're rummaging through your back pocket. Give with one hand, take even more with the other,” he said.
The Labor leader accused Mr Sunak of «watering down» the general election call and said the Prime Minister was simply «treading water» in Downing. Street.
He said the Tories had «knocked the hope out of people over the last 14 years» and had become a party that had «forgot to serve anything but themselves.»
Richard Holden, Conservative Party chairman said Sir Keir's attack was «cynical» given Labour-run Birmingham is raising taxes on city residents.
He said: “It's the same old Labor Party, you can't trust a word they say because they don't have a plan.
“The choice is clear. While Labor has no plan to cut council tax, Conservative councils across the country are ensuring value for money for local people.»
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