Budget reaction: Sheffield Liberal Democrats disappointed as region left at ‘the back of the queue’

Chancellor Rachel Reeves’ budget has sparked a lively debate over the last 24 hours with some celebrating the new measures to fix the country’s financial crisis (and setting the foundations for years to come) and some being concerned about the impact it will have on families and small and medium-sized businesses.

The Local Democracy Reporting Service (LDRS) has already heard from the South Yorkshire mayor Oliver Coppard – who welcomed the budget and said it was the first step to fix what’s gone wrong in the last 14 years – and Sheffield City Council where we were told there is a “cautious” positivity following the budget.

The LDRS has approached all the other political groups in the council chamber in Sheffield.

From the Liberal Democrats, Cllr Shaffaq Mohammed, the group leader, said he was “disappointed” in the budget.

While he said there was some positive news in there – mostly due to Ed Davey and the LibDems’ pressure, he said -, he was concerned about people and businesses who may be hit the hardest.

Cllr Mohammed said: “Rises in Employers’ National Insurance contributions coupled with the reduction in business rate discount will hit small businesses hard, many of whom will be forced to make painful decisions as a result. OBR (Office for Budget Responsibility) member David Miles has said this will likely have an impact on employee wages for companies facing rising costs.

“On the other hand, I want to see tax rises applied to big businesses like banks and tech companies. Those with the broadest shoulders should be paying the most.

“The Carer’s Allowance earnings threshold rise increasing is good news for many, the thanks given to Ed Davey by the chancellor demonstrates a win for the Liberal Democrat pressure on the government in this issue.

“However, it’s disappointing that once again long-term plans for social care have been kicked down the road. The NHS will remain on life support until the government fixes the social care crisis.”

“The decision to raise the bus fare cap by 50% will hit some of the poorest in our city who are reliant on buses. Coupled with the freeze in fuel duty, this does not demonstrate a government that is taking climate concerns and active travel seriously”, he added.

Cllr Mohammed also said that he was “really disappointed” the government wouldn’t stand down from taking the winter fuel payments from pensioners leaving 75,000 in Sheffield without the cash.

He had some criticism over Sheffield (and South Yorkshire) being left out on extra money concerning public transport and said the region was “once again” in the back of the queue – despite every MP, council leader and the transport secretary being from Labour.

He said: “The chancellor has ringfenced money for the renewal of the Supertram network, but not the expansion of the lines to better connect key areas such as our hospitals or the Sheaf Valley line, the latter of which was championed by the transport secretary and MP for Sheffield Heeley Louise Haigh and Olivia Blake the MP for Sheffield Hallam when in opposition.

“South Yorkshire has also been left out of any rail upgrades mentioned by the chancellor, despite the transport secretary being a Sheffield MP.

“We also once again see that South Yorkshire as a region is at the back of the queue when it comes to receiving greater devolution resources.

“Greater Manchester and West Midlands will be receiving integrated settlements from next year whilst we are waiting until 2026.

“This is despite every MP, council leader and mayor belonging to Labour.”