AM highlights Labour's hypocrisy on financial competence

12.00.00am UTC (GMT +0000) Tue 19th Feb 2008

Labour's ability to criticise Welsh Lib Dem-led Swansea Council's financial management has been called into question after their incompetence forced the nationalisation of Northern Rock and left every taxpayer with a £3,500 bill to keep it afloat.

The Welsh Liberal Democrat Assembly Member for South Wales West, Peter Black, has pointed out that Northern Rock is being subsidised by public money to the tune of £110billion, the equivalent of £3,500 per taxpayer, whilst Swansea Council has consistently balanced its books and kept Council tax increases down to their lowest levels for decades.

"I am continually bemused by Labour's hypocrisy," said Mr. Black, "in continually criticising Swansea Council when they do not have the facts and when their own financial competence is in question. The Swansea Labour party are distorting the truth in an attempt convince residents that the Council has wasted money on projects that have run wildly over budget when that is simply not true. The Council's budget is balanced, projects such as e-government and the leisure centre are being delivered to target and within budget and most importantly we are investing in the City's future whilst keeping Council Tax rises at half the rate they were under Labour."

"We have spent the past four years attempting to reverse decades of stagnation under the Labour Party. New investment has been necessary and in some cases costly, but that cost has been managed and we have ensured that the burden does not fall solely upon the taxpayer. The amount of money pledged to support Northern Rock on the other hand is over seven times the annual budget of the Welsh Assembly Government. Labour cannot attack the record of any Council when they have this shameful record hanging over their heads."

ENDS

Notes:

· Under the Welsh Lib Dem led Swansea Administration the annual Council tax rise has averaged 3.9%. The proposed Council Tax rise for next year is 3.5%.

· Under Labour the average Council tax rise was 8.66%, more than double the Administration's average.

· The new Leisure Centre is due to open in March 2008, both on budget and on time

· E-Government has been delivered within the budget set for it by Labour in 2003-04 and is already delivering efficiency gains for the Council.