Downing Street Says

The Prime Minister’s Spokesman (PMS) updated journalists about the flood situation. He said that the first discussion with this Government on the situation regarding floods was at their first Cabinet meeting last Thursday. Hilary Benn visited the region last Thursday, subsequent to this there had been visits and discussions involving Ed Milliband, Hazel Blears and John Healey as Local Government Minister. The Prime Minister, as he had mentioned previously, had spoken to council leaders in the affected areas and he would be speaking to them again today. The Prime Minster would be visiting the affected areas tomorrow.

In terms of the financial assistance packages the Prime Minister had discussed, there were three main elements: the first being the long term issue. Hilary Benn discussed this in his statement to Parliament on Monday. The second was what could be provided in order to help clear up damage. The main mechanism for this was through Government and local Government channels that operated through the Bellwin Scheme. This scheme provided emergency financial assistance to local authorities to help with non-insurable clear up costs incurred following a disaster or a emergency in their area. It covers costs, such as the cost of setting up temporary premises, hiring of additional vehicles, cost of initial repairs to highways, of initial land drainage, other work to clear debris and emergency supplies of food.

Currently, central Government provides 85% of any additional costs that arise. This was something we are looking at to see if anything further could be done in terms of help from central Government to help local authorities in the affected areas. The third set of issues around financial assistance relates to individuals most at risk. Again there were a number of mechanisms through which support was currently channelled, either through crisis loans or community grants or through other local authority support. Again, this was something we were looking at to see what more could be done.

The other important point to emphasise, was in relation to the role of the insurance industry, as clearly the overwhelming levels of costs would be met by insurance claims, there had been discussions with the insurance industry. There would be further discussions in the days ahead to look at how we could work with them to ensure the people affected are paid as quickly as possible.

Put that there were claims from some quarters that the response had been a bit slow, the PMS said he did not think this was the case. The Prime Minister had spoken directly to the local authority leaders involved some days ago. We had been looking at financial assistance and what we could do for the last week. Hilary Benn had visited region last Thursday and he had given a statement on Monday. This was something the Prime Minister had been very much involved in. Hazel Blears, John Healy and Hilary Benn have been leading as the Ministers responsible. There had been a lot of discussion with local leaders, a number of Ministers had visited the area, there would be discussions, visits and more importantly assistance in the days ahead.

Asked whether the PMS had a figure of how much had been paid out by central Government so far, the PMS said he did not have this figure to hand as it was all happening in real time.

Asked whether there was a suggestion to look at increasing the percentage of eighty-five percent upwards in terms of help, or was it giving more money, the PMS said if we were to increase the percentage, this would involve giving local authorities more money, but we were not in a position to make specific announcements at this point, the PMS was explaining the background to the issues it would involve.

Asked where the other fifteen percent came from, the PMS said it came from the local authority.

Asked whether the Prime Minister was referring to getting more funding for the Bellwin scheme or a separate sort of funding in this morning’s interviews, the PMS said he was talking in general terms about what more we could do. Clearly, one issue we were looking at was the Bellwin scheme, but there were wider issues particularly in relation to support for individuals affected directly.

Asked whether the Prime Minister thought there was a role for central Government to help people who were not insured, the PMS said there was a role for central Government and local authorities, and there were a number of means by which support could be made available for vulnerable groups who were not insured through crisis loans and community care grants. Journalists should talk to Department for Communities & Local Government on specific details.

Asked if the money would be financed from a contingency fund, the PMS said all of this needed to be settled. Clearly the Her Majesty’s Treasury (HMT) was also involved in internal Government discussions.

Asked whether the Government had to wait for the comprehensive spending review (CSR) for possible further long-term funds or was there anything more immediately, the PMS said in relation to long-term funds journalists should refer back to Hilary Benn’s announcement on Monday in relation to flood defences. The main issues for today were more around the immediate assistance on clear up costs and supporting individuals. Clearly, this was spending in this financial year.

Asked whether the Prime Minister would be announcing a figure for investment tomorrow, the PMS said tomorrow was about going and seeing the affected areas, speaking to local authorities and the people involved and getting a full understanding of issues arising.

Put that when the Tsunami happened there was a national relief fund where people could pledge money and was this something that could happen here, the PMS said the journalist should speak to the Cabinet Office as it dealt with civil contingency matters, and therefore they would be best placed to respond on what existing mechanisms were in place. Asked whether the Prime Minister would consider using this existing mechanism, the PMS said the Prime Minister was looking at a range of issues, but the main areas have been covered today.

Asked whether the Prime Minister was considering changing the Bellwin scheme, the PMS said we were looking to see whether or not there were any changes that could be made in order to help deal with the specific issues that have arisen in this particular case.

Put that John Prescott used to boost the nation’s morale by visiting flood hit areas and did the Prime Minister regret not having him in Government, the PMS said John Prescott was a local MP. In this capacity he had been and would be visiting affected areas, but the PMS was not a spokesman for him. Journalists should check with his office.

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» Friday, July 6, 2007

Floods

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