County hall in background with Bob Seely and Phil Jordan in foreground

Extra £3m Gov funding welcome, but ‘It’s certainly not the so-called Island Deal’ says council leader (updated)

Michael Gove, the Cabinet Minister for Levelling Up, Housing and Communities, has publicly confirmed that Isle of Wight council would be receiving an additional £3m in funding for 2024/25. 

This is on top of the £1m already announced last year, ring-fenced for Adult Social Care.

The news has been welcomed by Leader of Isle of Wight council, Phil Jordan (pictured left), but he said it was nowhere near the figure that the council has evidenced is required each year.

Jordan: £10m – £28m extra needed each year
Councillor Jordan told News OnTheWight,

“The announcement yesterday that the IWC have been granted an additional £3m of funding is a pleasant confirmation of expected money.

“It would be a very good outcome for the Island had it come anywhere near the figure of £10m – £28m that we had evidenced to Government was needed to level up the disparity of costs of delivering services on the Island compared with the mainland.”

Jordan: It is certainly not the so called Island Deal”
Councillor Jordan went on to warn Islanders that the figure wasn’t high enough to “make a huge difference” to the council’s finances. He said,

“With a deficit of around £11m on adult and children’s Social care this year the £3m will largely disappear in funding that shortfall pressure on the councils finances.

“I wish I could give residents more hope that the money will make a huge difference but I’m afraid it simply won’t.   It is certainly not the so called Island Deal.”

Seely: It’s good that the Government is listening to us
Isle of Wight Conservative MP, Bob Seely (pictured right), also welcomed the news,

“It’s good that Rishi Sunak’s Government has confirmed the extra £4 million for the Isle of Wight Council. It’s good that the Government is listening to us.

“It’s also a big win for us that we now have recognition, in principle, that it costs more to deliver services on the Island. This ‘Island factor’ now gives us something to work on. Clearly, I want more than £4 million, but over the four-year lifetime of a council, this will be worth an additional £16 million.”

Mr Seely’s reference to four years of funding is confusing, as the Minister only announced funding for the 2024/25 financial year.

Seely: There is always more to do
Mr Seely went on to thank former council leaders, Lora Peacey Wilcox (Alliance) and Dave Stewart (Con) as well as IWC officers, saying,

“As ever, I thank previous Council leaders, Lora Peacey-Wilcox and Dave Stewart, and the council officers who provided the facts and figures and the government ministers and officials who took the time to consider our case.

“There is always more to do, but what we have achieved is progress for the Island. First, we have specific recognition of the Island’s needs. Second, we have an extra cash sum as a result.”

Meeting with the Minister
Councillor Jordan has written again to the Minister Simon Hoare, and in his reply, Mr Hoare has offered to meet to discuss the finances and funding  settlement. Councillor Jordan says he’ll be arranging this with his office very shortly.

You can read Michael Gove’s announcement in full on the Government website.

Article edit
4.15pm 6th Feb 2024 – Michael Gove replaced for Simon Hoare in penultimate para