The Conservatives have denied reports that they have retracted an attack on Labour over the spending of £47 million meant for deprived communities in Brighton.
The Tory candidates in Moulsecoomb and Bevendean suggested that the money given to EB4U had been frittered away.
Labour said that it had taken legal advice about what it described as smears and spiteful allegations.
And according to The Argus on Monday (2 May), the Tory trio – Councillor Maria Caulfield, Councillor Ayas Fallon-Khan and fellow candidate Cath Slater – had retracted their words.
But yesterday (Tuesday 3 May) the three said that they had not withdrawn the letter that they had sent to Labour councillors asking them to explain how the money had been spent.
Cath Slater said: “I was an active member of my residents’ association at the time of EB4U and saw the money being wasted on day trips and outings instead of being invested in our communities to provide us with lasting benefits like other areas of the country did.
“Hundreds of jobs could have been created or, instead of trying to sell off our council housing at the time, Labour could have invested some of this money into our council housing so that we did not have to live in damp and rundown conditions.
Scandalous
“This scandalous waste of money is what prompted me, as a tenant, to join the Conservative Party as I wanted to stand up and ask why this was allowed to happen.
“Our communities will not be offered this sum of money again and it is not fair that no one seems willing to tell us where it was spent.”
Councillor Gill Mitchell, leader of the opposition Labour group on Brighton and Hove City Council, said: “We took legal advice regarding these spiteful Tory allegations as they seemed to be questioning the integrity of local Labour councillors, which is ridiculous because the EB4U New Deal project was resident led.
“Are the Tories seriously suggesting local people squandered this government funding?
“The reality is that this money has done a lot of good.
“Achievements include a massive and sustained fall in crime, a new successful nursery and more opportunities for local youngsters.
“The scheme was so successful that the previous government funded similar programmes in 11 other city neighbourhoods.
Desperation
“However, the Tories have opposed this investment since the start, they have opposed residents’ views and they oppose any extra funding.
“Why? Resorting to low level personal attacks smacks of desperation with the election just a week away.”
Councillor Warren Morgan, who represents East Brighton along with Councillor Mitchell and Councillor Craig Turton, said: “As a trustee of the Crew Club, which had its New Deal funded building opened by the Duke of Edinburgh, I’m very disappointed that the Tories are using how that money was spent to fuel some desperate last-minute pre-election smears.
“From the Roundabout Children’s Centre to the Whitehawk Inn, from the alley-gating projects to the pioneering community safety work now extended across the city, the resident-led EB4U project is something that has had a lasting legacy and an impact on many local people’s lives through education, training and improved opportunities.”
The management of the funds and the project was publicly questioned in 2003 at an employment tribunal.
The tribunal examined the sacking of a member of staff at one of EB4U projects and delivered a damning verdict, saying: “The tribunal were deeply concerned that a project funded by public money should have so little supervision by the funding agency and the project manager.
“It is also a matter of concern that the contract’s implementation was placed in the hands of people who really did not seem to have the background and experience to administer a project involving a substantial sum of public money.
“It has to be said that there was no evidence before the tribunal which would justify a finding that any person had acted dishonestly in the handling of public funds but there is a great deal of evidence which justifies a lack of confidence in the way in which this project was administered.”
The project ended three years ago and has been succeeded by the East Brighton Trust.
Vanished
Councillor Caulfield said: “Many residents are asking us what happened to that money.
“The feeling among the local people I have been speaking to is that it has just been frittered away.”
Councillor Fallon-Khan said: “£47 million of taxpayers’ money appears to have just vanished and Labour are unwilling, or worse, unable, to account for this huge sum of money.
“Labour should come clean to local people as to exactly what they did with this money which was designed to help improve some of the most deprived areas of our city.”
They said that in Brighton the money was wasted, for instance, on a trip to Alton Towers, including a two-night stay at a hotel, as well as trips to Legoland and elsewhere.
Councillor Caulfield added: “Knock on doors in the area and people will tell you they never felt the benefit of this £47 million.
“All they got was a tiny monument. Labour owe the local people an explanation.”