SME Business News

A report by pressure group The TaxPayers Alliance has kicked up a stink with members of the governments Regional Development Agencies (RDAs).

RDAs were set up around the UK in 1999, funded by the government to develop economic growth regionally.

The report claims that growth has actually slowed in most regions since the RDAs were introduced and unemployment had grown.

The TaxPayers Alliance was also critical of the use of government funds by RDAs claiming that the group had wasted money on trips to the South of France, ludicrous taxi expenses and lavish one day conferences. South East England Development Agency chairman James Braithwaite, for instance, spent £53,803 on transport in 2006-07, while Yorkshire Forward forked out £20,000 to send staff to a film festival in Dubai in 2006. Oh for the Scottish system where expenses have declined since making them available to the public.

The TaxPayers Alliance claim that RDA’s have cost tax payers £15bn or £600 per household  and that the money would have had a better effect if it had been used to make tax cuts for small businesses.