Ed Miliband in Exeter: Government must 'cough up' resilience money

Labour leader Ed Miliband visited Exeter today to see the proposed site of resilience work at Cowley Bridge Junction.

The site was badly affected by floods in the winter storms of 2012/13 causing the main rail line into the South West to close for a several weeks.

Following the line closures, last year, the government promised to spend over £31 million on projects to improve the resilience of the South West’s rail network most of the money promised was never delivered and work never took place.

Earlier this week David Cameron announced that the money would finally be found a year after it was initially promised.

Speaking at Cowley Bridge today, Ed Miliband said: “It is over-due; the Government promised it a year ago and hasn’t delivered. We can’t have a situation where a government makes a promise to people including here in Cowley Bridge and fails to deliver now they’ve got to cough up and make sure they actually deliver the money.”

“I think what happened last year in this area when the line was closed for a number of weeks it was a clear sign that action needed to be taken. That’s why the government made the promise but inexplicably they then withdrew the promise and now they’ve re-instated the promise.

“They just need to deliver this money and we’re going to hold them to account to make sure they do.”

Months of extreme weather has seen homes and businesses around the country suffer extensive flood damage, while for many insurance has covered the cost of the repairs some home owners not yet affected have reported seeing their premiums rise by as much as 500%.

Earlier in the day, Miliband met with an Exeter Family that has seen their insurance costs rise since the flooding began.

“They weren’t actually flooded but they’ve seen their insurance premiums go up significantly and we’re going to try to get to the bottom of the reasons for that and the extent of which it’s to do with flood risk and if that’s the reason the insurance company has suddenly jacked up the premiums by such a big amount” said Mr Miliband.

“There’s lots of people like the family I met, that are really worried about insurance they’re really worried about the cost of living being driven up and up and I want to do everything I can to help them.”

Last December the Government announced plans for Flood Re a not-for-profit reinsurance scheme which sees insurers to transfer the premiums they receive for the flood risk part of home insurance policies to Flood Re to reimburse insurers for flood claims that they pay.

The scheme was designed to encourage insurers to minimise the impact of flood premium costs to households but has come under criticism for its exclusion of many properties such as rented properties and Small and Medium sized businesses (SMEs).

Speaking today Mr Miliband voiced his concerns with the scheme, he said:“We put forward a series of amendments at the time of the water bill about ways in which the flood risk could be improved. Like for example, looking at a wider number of properties at risk because it is a very narrow definition of properties at risk.

“I’m worried that there are holes in the Flood Re scheme, that there are holes for people who’ve had new homes constructed, there holes when it comes to the breadth of the properties concerned.
“In other words it’s just a very narrow number of properties that are concerned.

“So we’re absolutely looking at Flood Re and how we can improve the scheme. The government has taken a long time to even get to the point they’ve got to.

“I think we can do more improve the scheme.”

Mr Miliband was joined by Labour MP for Exeter Ben Bradshaw and Plymouth Council Leader Tudor Evans also from Labour.

Mr Bradshaw earlier this week called on South West MPs to withhold support for High Speed Rail 2 (HS2) until funds for a resilient Westcountry rail route are released.

Commenting on HS2 today Mr Miliband said: “We support HS2 But do we of course need also to look at transport links including here in the South West.

“But I think that what’s happened over the last few weeks is a clear sign to government and indeed all parties, that these issues need to be looked at.

“My commitment is more to make sure that flood protection investment gets the proper priority it deserves. When this government came in it downgraded food protection as a priority they cut the budget that was the wrong thing to do and hope that they now realise it.

“We’re going to hold the prime minister to account for the policies he makes. He said this week that money is no object, now let’s see him actually deliver on the promises he made, like the promise he made here at Cowley Bridge.

“£31 million pounds was promised for schemes, including this one that was never delivered now we will hold him to account to make sure that money is delivered.”

Mr Miliband also visited the Exeter based Met Office this afternoon.