transformation of the most deprived areas in England, said deputy
prime minister John Prescott today.
conference, Mr Prescott announced that 88 local authorities areas
will get a share of the latest £800m Neighbourhood Renewal
Fund allocation. Mr Prescott said:
'Already, we're turning around years of neglect that have blighted
our most deprived neighbourhoods. Across the country, north and
south, people are benefiting from efforts to reverse the spiral of
decline in impoverished communities - to create places where people
want to live not leave.
'We are giving local people the tools to improve their own quality of
life. To kick-start regeneration by targeting services to the people
and places that need them most. And the results speak for
The Neighbourhood Renewal Fund was set up in 2001 to help local
authorities and their partners to improve services and initiate
regeneration in some of England's most deprived areas. Already, the
Fund has helped to deliver more jobs, better health services and
housing, improved education and safer streets, for people in the 88
target areas. Successful exisiting projects inlcude:
- Wythenshaw, Greater Manchester. Outreach work on the streets has
led to an 18% cut in recorded crime.
- Southampton. A new sexual health clinic is tackling teenage
pregnancy rates, offering support and advice to vulnerable
- West Cumbria. An apprentice training course has helped more than a
dozen unemployed people to find jobs as classroom assistants.
Mr Prescott added:
'But make no mistake. I know there is much more to do if we are to
meet our goal of eradicating post-code poverty for this and future
'That's why today I am announcing the allocation of a further £800m
for ea ch of the 88 Neighbourhood Renewal areas. This gives
those areas a further share in the total £1.7bn we are
investing as part of our drive to ensure that within 10 to 20 years -
nobody is seriously disadvantaged by where they live.'
The £800m is part of the Neighbourhood Renewal Fund's £975m Spending Review 2002 settlement. Details of the individual
allocations were announced to parliament for the first time today.
This brings the total figure allocated by the Neighbourhood Renewal
Fund between 2001 and 2006 to £1.7bn.
A further £86m has also been announced today to fund
continuing community participation work in the 88 areas.
The deputy prime minister also launched the New Deal for Communities
Annual Report 2001/2002 at the Guardian/Observer conference. Key
- Walsall. 19% fall in recorded crime and 39% fall in vehicle crime
between Q2 2001 and Q2 2002.
- East Manchester. 44% of residents felt the area had become safer
in the previous year.
- Bristol. Unemployment falling faster in the NDC than elsewhere in
With the Neighbourhood Renewal Fund, the £2bn New Deal for
Communities is a central plank in the deputy prime minister's Plan
for Sustainable Communities, a £22 billion programme to create
vibrant, thriving and sustainable places to live and work.
The deputy prime minister also announced three new urban
regeneration companies in Sandwell, Derby and West Cumbria & Furness.
These independent companies bring together local government, local
businesses and, crucially, local people to regenerate communities
across the country.
1. The Neighbourhood Renewal Fund (NRF) provides new money for local
authorities, working as part of Local Strategic Partnerships (LSPs),
in the 88 most deprived areas, It is intended as a way to help local
authorities and their partners to begin improving services in the
most deprived neighbourhoods, including contributing to the
achievement of PSA targets to narrow the gap between deprived areas
and the rest of the country and Local Neighbourhood Renewal Strategy
(LNRS) targets agreed by the LSP.
2. The Spending Review 2002 made available an additional £975m for
NRF. £800m of these additional resources for NRF are today being
allocated to the current 88 eligible areas: £400m in 2004-05 and
£400m in 2005-06. See attached table for region by regional
allocations. £900m of NRF has previously been allocated to the
88 areas from Spending Review 2000. This is part of the government's
10 to 20 year strategy to end postcode poverty, known as the National
Strategy for Neighbourhood Renewal. For more information, see
3. The government today confirmed the continuation of funding for
Community Participation programmes in the current 88 Neighbourhood
Renewal Fund (NRF) areas. This means that an additional £86m
will go into the most deprived areas in the country between 2004 06
to ensure that communities are at the heart of renewal. A three-month
consultation begins next month with the community sector on how best
this money should be distributed to deliver the aims of community
participation most effectively. The proposals will also allow local
flexibility on deciding the best ways to build capacity in individual
4. The New Deal for Communities Annual Review for 2002/02 is
published today, showing the achievements of the partnerships in
delivering real change in their communities. Significant progress has
been made in the key areas of crime, education, employment, health,
housing and the physical environment. The £2bn regeneration
programme is a key element of the National Strategy for Neighbourhood
Renewal. The review is available at www.neighbourhood.gov.uk
5. The first pilot Urban Regeneration Companies (URCs) were set u p in
1999 (Liverpool, East Manchester and Sheffield). The Urban White
Paper (November 2000) said that, in addition to the pilots already
established, there would be about 12 further URCs set up over a two
to three year period. The three new URCs announced today bring the
overall total to 14. The existing 11 URCs are: Liverpool, East
Manchester, Sheffield, Corby, Leicester, Tees Valley, Swindon, Hull,
Bradford, Sunderland and the Camborne-Pool-Redruth.