FINANCE

DCLG to pay-out 80% of Bellwin cash up-front

Ministers have announced councils can make immediate cash claims from the Bellwin scheme.

Ministers have announced councils can make immediate cash claims from the Bellwin scheme – the fund established to help local authorities immediately recover the costs when acting to protect lives and properties.

In a written statement issued to the Parliament yesterday, communities secretary Eric Pickles said Government has agreed to pay in full costs incurred above the threshold for preventing suffering and inconvenience to residents - rather than the usual 85%.

Mr Pickles said the changes recognise ‘the exceptional nature of the situation which communities are facing.'

Additionally, for the first time in three decades, the threshold has been reduced for all county councils and unitary authorities to make it easier for authorities to claim Bellwin support.

In recognition of the extended nature of the weather, ministers have also announced councils now have until the end of May to incur extra frontline financial costs.

A large share of the Bellwin payments will be made immediately available to councils, who will not need to wait until the floods crisis has abated before making applications.

As an extra measure, all upper-tier authorities with a responsibility for fire can now claim Bellwin cash on a comparable basis to fire authorities for all fire-related expenses.

‘Local authorities simply need to put in a request to my department and we will pay up to 80% of spending which is eligible under the Bellwin scheme,' Mr Pickles said.

‘We will pay the remainder upon receipt of the formal claim through the usual channels,' he added.

Mr Pickles added that councils could reclaim for sandbags through the Bellwin scheme and should not be charging residents for them.

A DCLG spokesman told The MJ the department would next week be able to provide greater detail on other flood support measures, including the three-month business rates discount and £5,000 ‘repair and renew' fund announced by prime minister David Cameron.
 

Jonathan Werran

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