Minister Challenged

IWA Questions Minister over Misleading Statement

The Inland Waterways Association (IWA) has written to the Waterways Minister, Barry Gardiner MP, to express its concern at the miserly funding allocation for British Waterways in 2007- 2008 announced by the Department for Environment Food & Rural Affairs at the end of the last working day before Christmas.  IWA has challenged the Minister as to why he chose not to reinstate the cuts to BW’s grant-in-aid after he had led people to believe that he would.

IWA is particularly disappointed at the apparent variance between the announcement and the minister’s statement in a radio interview earlier in 2006.  In an interview with Jane Garvey on Radio Five Live Drive (BBC Radio 5 Live) on 12th October 2006, in answer to a question about British Waterways’ redundancies, the minister clearly stated that the budget reductions were “one-off cuts that have been made this year.”  IWA has an audio tape of the broadcast and the words are quite clear.

John Fletcher, IWA national chairman, said: “From the minister’s comments on air, any right-thinking person would have been led to believe that the full budget (assumably adjusted for inflation) was to have been re-instated to the pre-cuts level from the commencement of the following financial year.  However, the Department sneaked out a low-key announcement at the last minute before the Christmas holidays that British Waterways’ grant-in-aid settlement for 2007 - 2008 has not to be restored to that originally announced for 2006 - 2007 and no account taken of inflation.”

John Fletcher added: “I have had to write to the Minister to ask why he has quite clearly indicated that the budget cuts were ‘one-off’ and now by his actions he is demonstrating that he never intended this at all.  At best, the minister has completely misled everyone, whether intentionally or not.  But the really important point is that the funding settlement for 2007 to 2008 is simply not sufficient for BW to gain the full benefits available for waterway regeneration.  In Defra’s overall budget terms, the grant cuts are tiny, but they make such a difference to what BW can achieve – so we cannot understand why the Department has got it so badly wrong yet again.”

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For further information please contact:

IWA Head Office            Tel: 01923 711114

John Fletcher is available for interview (please contact via IWA Head Office)

Notes for Editors:

For over sixty years, The Inland Waterways Association and its thousands of members have campaigned for the conservation, use, maintenance, restoration and sensitive development of Britain's canals and river navigations. 

IWA works closely with navigation authorities, other waterway bodies, a wide range of national and local authorities, voluntary, private and public sector organisations to raise funds, lobby for support and encourage public participation.  The Association also supplies voluntary labour through its subsidiary Waterway Recovery Group.  More than 500 miles of canals and river navigations have been re-opened to public use since the Association was founded in 1946.  More than 500 miles of further derelict inland waterways are currently the subject of restoration plans.  The Association organises several national events each year to promote the waterways, draw attention to areas of concern and raise funds to support the Association’s activities.

In summer 2006, British Waterways was told that its grant-in-aid for the financial year April 2006 to March 2007 had been cut by a further 7.5% (£4.5 million) in addition to the 5% (approximately £3.1 million) cut that was made in March 2006.

BW’s grant comes from both the Department for Environment Food & Rural Affairs and the Scottish Executive.  For the financial year 2006 - 2007, BW was originally advised that it should plan to receive £73.5 million grant-in-aid.  Of this, £62.5 million was to come from the Department and £10.9 million from the Scottish Executive.  The remainder was to be earned by BW or to come in the form of specific project funding from local authorities, lottery funders etc.  The Scottish Executive maintained its promised budget.

Lots more information: www.waterways.org.uk

The Department’s full announcement is available at www.defra.gov.uk/news/2006/061222c.htm