Credit crunch task force launched

The team will attempt to reduce the impact locally of global crisis.

A credit crunch task force to tackle the effects of the economic downturn has been set up by Highland Council.

The authority is to accelerate its £60m capital programme of works for building new schools and affordable homes to keep order books busy.

The new team will also look at improving access to state benefits and advice on paying increased energy bills.

Councillors and officials make up the task force.

A 20-point action plan has been drafted and the council said a major report would be presented at a meeting on 18 December.

Last week, an economist warned there were increasing signs of the financial crisis having an affect on the economy of the Highlands and Islands.

Inverness-based Tony Mackay said in his monthly report that the latest jobless figures in the area indicated a downturn was under way.

Meanwhile, a rise in racial abuse targeted at migrant workers has emerged as a sinister by-product of the downturn in the Highlands.

Figures released by Northern Constabulary showed Poles were among those most likely to be victims and this could be related to financial difficulties and competition for jobs.

HIGHLAND CRUNCH Highland Council previously held a seminar with leaders in the housing industry on how to re-invigorate the market. The local authority is wrestling with its own financial problems. It is facing cuts in expenditure of more than £20m each year for the next two years to balance its books. Couples are putting off their big days until later as a result of the credit crunch, a leading Inverness hotelier said in October.

Michael Foxley, leader of the council's administration, said the local authority intended to use its leadership role to help construction companies find work and offer support to small businesses through business support, advice and by paying its bills promptly.

He said: "It is essential that we do all that we can, together with our partners, to retain the current capacity of the construction industry in the Highlands.

"We intend to accelerate our £60m capital programme of work from new schools to minor projects to house building to keep the order books busy."

Carolyn Wilson, chairwoman of the resources committee, said Highland was committed to reducing the local impacts of the recession.

She said: "There is evidence all around us that the downturn in the economy, together with large increases in energy bills, is having a serious impact on individuals and businesses.

"We have a strong role to play in trying to help our communities through these difficult times and we want to send out a clear message that we care about those facing hardship and that we are here to help, wherever we can.

"The council is also keen to promote the culture of being a good neighbour and assisting those most vulnerable in our society."