Dudley Council has accused MP Sonia Kumar of “point scoring” in a dispute over the allocation of a £300,000 grant for Dudley town centre, after the MP described the funding distribution as “unfair” and claimed it fails to adequately support local businesses.
Ms Kumar, the MP for Dudley, raised concerns that £50,000 of the grant from West Midlands Mayor Richard Parker would be used to fund a nine-month council role focused on business liaison and long-term planning. She also noted that a further £50,000 has been set aside to administer the grant scheme and coordinate engagement with businesses.
MP’s Criticism of Grant Allocation
Ms Kumar argued that the administrative costs are disproportionate to the direct support offered to traders. She said: “What is happening is a carve-up of resources, with Dudley Council the main beneficiary. A further £50,000 has been set aside to administer the grant scheme and coordinate engagement with businesses. For every £2 going directly to a local business, £1 is going on running the scheme.”
She added: “Nothing the council can say can deflect from the reality of the situation Dudley traders find themselves in, namely a torturous and bureaucratic application process with a miserly £5,000 grant to show for it at the end. It doesn't even touch the sides of the trade they have lost.”
The MP also highlighted the disparity in funding, saying: “On top of this, the sum of £50,000 to fund a council officer's post for a fraction of a year represents to the sole traders another kick in the teeth when the individual support package on offer is a tenth of this sum per grant.”
Council Defends Use of Funds
Councillor Simon Phipps, cabinet member for economy and infrastructure, rejected the criticism, insisting the funding is being used appropriately. He said: “The West Midlands Combined Authority (WMCA) funding package for Dudley town centre includes an agreed allocation of £50,000 for dedicated, fixed-term regeneration capacity to help deliver the programme and maximise its benefits for businesses, residents and the wider town centre.”
Cllr Phipps explained that the role would work directly with traders and partners to deliver initiatives such as the High Street Growth Incubator, support the implementation of the Town Centre Masterplan, coordinate investment opportunities and help businesses benefit from the Metro and Interchange.
He said: “Regenerating a town centre requires more than distributing grants. It requires dedicated resource to bring together businesses, funding and regeneration activity, develop projects and ensure investment is coordinated and effectively delivered. This fixed-term post is focused entirely on achieving those outcomes and creating a long-term vision for Dudley town centre.”
Cllr Phipps also clarified that the £50,000 for programme delivery is separate from the £100,000 SME grant scheme, which supports improvements such as shopfronts, equipment and security measures and is separate from the Mayor's funding. He said: “The funding is not being misused. Every element of the package has been allocated for the purposes agreed with WMCA, including supporting businesses, coordinating regeneration activity and delivering improvements to Dudley town centre.”
Political Accusations and Next Steps
Cllr Phipps confirmed that Ms Kumar has been invited to meet with him and senior council leaders to learn more about the funding packages. However, he accused the MP of using the issue for political gain rather than constructive dialogue, saying: “I sense that she takes aim at the council more than her party colleague simply for point scoring, which does nothing to help the businesses involved.”
In response, Ms Kumar said she would welcome a meeting with council leader Councillor Patrick Harley. She said: “I welcome the offer to meet the leader Councillor Patrick Harley to explain his neglect of the town and to discuss a wider range of opportunities for the people of Dudley.”
