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GOVERNMENT funding for manufacturing in renewable energies at port sites could lead to a big boost for the region, it has been claimed.
The announcement of a £200 million investment in the industry was one of the highlights of the Comprehensive Spending Review, which was unveiled on Wednesday.
As reported, Able UK is looking to develop a Marine Energy Park on the South Humber Bank, which could see North Lincolnshire become a major player in the European wind energy industry.
Policy executive at the Hull and Humber Chamber of Commerce, Richard Kendall, said the Government funding could help attract more investment to the region.
He said: "The Humber should be the front-runner for this fund.
"We have huge potential for developments in renewable energy linked to the Humber ports, but the fear has always been that without some Government backing, the biggest prize – the manufacturing facilities – would be lost to the continent.
"This funding is more than was announced by the previous Government and should, depending on the detail, be a real boost to our attempts to bring significant investment to the area."
Mr Kendall said he was disappointed key regional transport priorities, such as the proposed scheme to make improvements to the A160, did not feature in the spending review.
But he remained hopeful they would be included in a Government statement on transport, due to be issued next week.
He said: "It is disappointing that there was no mention of the key Humber transport priorities in the Spending Review, as these meet the Chancellor's criteria of increasing economic growth.
"Given how important they are to the future of our economy, and their clear fit with the Government's plan to invest in ports, we have to remain hopeful that they are included in next week's statement on transport. It would be illogical for the Government to invest in manufacturing on port sites without improving road access to them."
The announcement of new investment at port sites followed North Lincolnshire Council's decision to formally support a separate Able UK application for a £100 million super port project at land near East Halton.
The council's planning committee voted to approve the port-related logistics scheme, subject to intervention by the Secretary of State for Communities and Local Government, Eric Pickles.
As part of the House of Commons debate that followed the spending review announcement, Brigg and Goole MP Andrew Percy asked the Chancellor, George Osborne, to intervene to stop a public inquiry being called into the plans.
Mr Percy said: "I welcome the commitment to offshore wind energy.
"Just last week in North Lincolnshire, Labour and Conservative councillors voted through a development at the South Humber gateway, which has the potential to bring 5,000 jobs to the region.
"However, that is now in jeopardy because Natural England is requesting that it be called in for a public inquiry, with the risk that the jobs will go to mainland Europe.
"Given the commitment to offshore wind, will the Chancellor have a quiet word with the Secretary of State for Communities and Local Government and encourage him to reject that application for a public inquiry?"
In response, Mr Osborne said: "I think that I would get myself into a lot of legal hot water if I were to do that, but let me make a couple of observations.
"First, all involved in planning decisions, whether at local, area or national level, should take into account the need for the economic investment that the British economy must have over the coming years and give that due consideration.
"Secondly, we have found additional money for offshore wind technology investment, including manufacturing at port sites, which was one of the issues the trade unions raised with me as a particular priority."
Other measures announced as a result of the spending review include a £650 million pledge by the Government to help local authorities across the country freeze council tax next year.
A grant scheme will be put in place, allowing authorities that decide to reduce or freeze their charges to receive additional funding in 2011-12, equivalent to raising their 2010-11 council tax by 2.5 per cent.
Mr Pickles said: "Hard working families and pensioners have seen their council tax bills more than double since 1997.
"But the new Government is standing up for hard-pressed local residents, providing special funding to help councils freeze their bills next year.
"Further financial freedoms announced for councils will mean they can better protect frontline services like rubbish collections and care for the elderly."
As reported in yesterday's Scunthorpe Telegraph, the spending review produced widespread cuts in funding to public services, which is expected to lead to around 490,000 job losses across the country. Changes to the welfare and benefits system were also announced by Mr Osborne.
Scunthorpe steelworker and Community union member Ian Davies, 50, said: "It is clear that ordinary people are expected to pay the price for the banks creating an absolute mess in society."
Mr Davies added: "As far as the big issue of welfare cuts goes, it is an absolute crime that we have a situation where people on welfare are going to pay the price for a crisis where some of the richest people in the world have got away scot free."