The Rt Hon Teresa May PM, 10 Downing Street, London, SW1A 2AA

Dear Prime Minister

Re:  Implications of the EU referendum

Oldham Council considered reports on the implications of the EU referendum on this borough and Greater Manchester at its July 2016 meeting.  This was in the context of the referendum result and consideration of the potential impacts of a “leave” vote by the GM Combined Authority in March of this year.

Regarding the referendum, we respect the right of the British people to decide on the country’s future relationship with the EU via this mechanism, but naturally we are concerned about the impact on business and consumer confidence, the various sources of funding the UK benefits from due to its relationship with Europe, and on community cohesion and community relations issues.

Business confidence is currently fragile as a consequence of the referendum, and requires urgent and co-ordinated local and national action to return it to its pre-referendum levels.   We are working in concert with GM colleagues and local/regional chambers of commerce to this effect, but would welcome a dialogue with you about sustaining business and investor confidence in Oldham in a new and uncertain climate.

The recent Northern Powerhouse Independent Economic review sets out the scale of this challenge and opportunity, and we fully support the Greater Manchester case for continuing investment in the Northern Powerhouse project to make this a tangible gesture of confidence in the business community in the North of England.

Greater Manchester and Oldham benefit from significant structural fund schemes impacting directly on skills, employment and business support mechanisms which are essential to supporting our local economy.

We would encourage you to give urgent certainty to the Government’s position on non-contracted ESIF funds as part of the renegotiation strategy, and to the contingency plans the Government intends to put in place to secure equivalent levels of investment should these funds reduce or disappear as a consequence of EU withdrawal.

Local businesses and training providers are looking for such certainty.  We fully support the Local Government Association’s call for local authorities to be involved in the renegotiation planning with such schemes in mind.

We note and welcome subsequent announcements from the new Government – your own in respect of continuing commitment to the “Northern Powerhouse” concept, and those of the Treasury in respect of European Structural Funds.  Dialogue on both is ongoing between Greater Manchester and Government as you will know.

Finally we remain concerned about the negative focus on immigration matters and the consequences for community relations and cohesion in highly diverse urban areas of the North of England.  We are vigilant on these matters, and wish to unequivocally support and nurture the benefits a diverse, tolerant and multi-cultural society brings to our economic growth and development.  We would encourage you to give this matter the highest priority and to not give in to political pressures that risk disrupting many years of stable community relations in Oldham and similar areas of the north by giving any message to the contrary.

Yours sincerely,

Cllr Jean Stretton – Leader of the Council

Cllr Howard Sykes – Leader of the Opposition