The latest unemployment figures show that more people are finding work
in our area and across the country. Over the last year the overall
rate of unemployment in the Folkestone and Hythe constituency fell by
2.6% and the rate for the young unemployed (18 to 24 year olds) has
fallen by just under 13%. Nationally the economy has created over 1.3
million new jobs in the private sector since 2010. This is good news
but we need to keep working hard locally to make sure these trends
continue. This means getting behind our big local employers and
encouraging them to invest more, as well as supporting smaller
independent businesses and start ups. Positive news on the planning
application for Lydd Airport would certainly be a further boost for
local jobs.
The Government’s £35 million Regional Growth Fund for East Kent and
the new ‘Marsh Million’ fund created by Kent County Council and Magnox
at Dungeness can also both provide investment to help local businesses
grow and create new jobs. In the Budget statement last week, the
Chancellor, George Osborne, also announced new measures that could
provide a boost for job creation. Firstly, the new ‘Employment
Allowance’ will cut the employers national insurance contribution
payments by £2000; this will mean that some small businesses will no
longer have to pay this charge at all. It was also announced that the
tax rate on company profits will be cut to 20%, making it one of the
lowest for any major economy in the world. This will not only mean
that local employers will have more money available to invest back
into their businesses, but this low rate should help us to attract
more entrepreneurs from overseas to come here. In East Kent we are
particularly well placed to benefit from businesses looking to move
away from higher tax economies like France. I was also delighted to
hear the Chancellor rule out any further rises in petrol tax this year
by cancelling the planned increase in September. Fuel prices are too
high and really hit motorists in the pocket, but the Chancellor has
now cut ten pence per litre off of the price of petrol by keeping the
tax rate down.
Having more good quality local housing is one of my top priorities for
our area, and I have highlighted in this column in recent weeks my
concerns about some of the poor standard of accommodation for people
renting from private landlords. The new 'Help to Buy' scheme announced
in last week’s budget could be a big help to people looking to buy
their first home, or to move somewhere bigger. Many people currently
have to try to save tens of thousands of pounds to put down a deposit
of 25% of the value of the property. Under George Osborne's new scheme
the government will be able to offer a deposit of 20% of the value of
a new build property, with the home buyer typically just having to
find the remaining 5%. This deposit loan from the government is only
repayable when the property is eventually sold. This scheme will be
open to anyone, regardless of their income, and for any new property
worth up to £600,000, so should cover most family properties in our
area.