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PM unveils £14m flood aid package PM unveils £14m flood aid package
(about 4 hours later)
Prime Minister Gordon Brown has announced a £14m relief package for areas devastated by the recent floods.Prime Minister Gordon Brown has announced a £14m relief package for areas devastated by the recent floods.
Mr Brown unveiled the aid package as he visited victims of the deluge in Toll Bar near Doncaster. Mr Brown unveiled the aid as he visited flooded residents in Hull and in Toll Bar near Doncaster.
Local councils will receive £10m for rebuilding, while £3m will go to repair roads and bridges and £1m will help victims replace their lost possessions. Local councils will receive £10m for rebuilding, while £3m will go to repair roads and bridges, and £1m will help victims replace their lost possessions.
Hull council leader Carl Minns, who met the prime minister, said the help was welcome but "£14m is not enough".
The floods hit more than 28,000 homes and 6,800 businesses, mainly in the Midlands and northern England.The floods hit more than 28,000 homes and 6,800 businesses, mainly in the Midlands and northern England.
Mr Brown said: "I am taking immediate action to alleviate the suffering of those affected by the floods by announcing a £14m package of support to get people back on their feet as quickly as possible." 'We need help now'
He also praised the "heroic efforts" of the emergency services, local authorities, Environment Agency and volunteers who battled to help the victims. Mr Brown said the £14m would help get people "back on their feet as quickly as possible".
Earlier, Health Secretary Alan Johnson - who is MP in another badly hit area, Hull - said he had been shocked by the scale of the problem, but denied the government had reacted too slowly. He later said: "I'm absolutely sure that the extra money that we are providing today is essential; I also know that we are going to have to provide more money for reconstruction in the future."
This was the "right week" to start the job of assessing the damage, he said. The £1m to help victims replace possessions will be for the Department for Work and Pensions to meet additional grant applications because of the floods. It is for the replacement of "essential household items for vulnerable individuals and their families".
The insurance industry estimates that claims will total £1.5bn. HAVE YOUR SAY It's a tragic shame, but anybody who didn't have home insurance can't go moaning about that now Chris Handley, Manchester class="" href="http://newsforums.bbc.co.uk/nol/thread.jspa?threadID=6793&edition=1&ttl=20070706093015">Send us your comments
The Chartered Institute of Loss Adjusters (CILA) calculates domestic claims will reach £825m, while those from businesses will add up to £680m. Mr Brown also praised the "heroic efforts" of the emergency services, local authorities, Environment Agency and volunteers who battled to help the victims.
HAVE YOUR SAY It's a tragic shame, but anybody who didn't have home insurance can't go moaning about that now! Chris Handley, Manchester class="" href="http://newsforums.bbc.co.uk/nol/thread.jspa?threadID=6793&edition=1&ttl=20070706093015">Send us your comments And he announced changes to the Bellwin scheme to make it easier for local councils to claim back additional costs from the government.
It says there have been 27,500 domestic claims with an average value of £30,000, and 6,800 claims from businesses averaging £100,000. Flooded Hull resident Angelia Rudd said: "I think it's great that the prime minister has come but I hope he gets his finger out and gets us the financial aid we need; we need help and we need it now."
Her friend Kerry Milner added: "I think it's good he's come but I'm still sitting on contaminated furniture. My 10-year-old son has got asthma and the situation is dire.
"People like us without insurance need help now. I think it is good he has come, but let's hope it's not all talk."
Mr Minns said the £14m "won't even scratch the surface".
"We need future assurances that more money is on the way," he said.
'Right week'
The insurance industry estimates that claims will total £1.5bn, with claims from homes reaching £825m, and those from businesses adding up to £680m.
The Chartered Institute of Loss Adjusters says there have been 27,500 domestic claims with an average value of £30,000, and 6,800 claims from businesses averaging £100,000.
The work to make many houses habitable again is expected to take months.The work to make many houses habitable again is expected to take months.
Mr Brown also announced plans to make it easier for councils to recoup the costs of dealing with the floods from Whitehall.
They will now be able to claim 100% of their expenditure rather than the usual 85% and will be able to claim over a six month period not two.
Insurance warning
Last week Hull City Council leader Carl Minns dubbed Hull the "forgotten city" of the flooding, and called for government help.
HOMES FLOODED IN WORST-HIT AREAS Floods: Worst affected placesHOMES FLOODED IN WORST-HIT AREAS Floods: Worst affected places
Mr Johnson told BBC Radio 4's Today programme that people in flooded areas "didn't particularly want ministers coming down" while waters were at their highest. Local Government Association chairman Sir Simon Milton welcomed the "speedy response" from Mr Brown but said it was too early to have a clear estimate of the final cost.
He also rejected suggestions that money had been diverted from flood defences, but said there were serious questions to be asked about drainage systems around Hull. "We will need to go back to the government in due course to ensure that people get the help that they need," he said.
Appeal funds Liberal Democrat spokesman Chris Huhne said the money was a "belated" recognition of the "sheer scale" of the problem, and also said the money might not be enough.
The Financial Services Authority warned victims to be careful if approached by people offering insurance claim help. Earlier, Health Secretary Alan Johnson - who is MP in another badly hit area, Hull - said he had been shocked by the scale of the problem, but denied the government had reacted too slowly.
The regulator said some claims handlers had been touting for business improperly, offering to negotiate with insurers. It said anyone charging for this service must be regulated by the FSA, like a loss assessor, or be a member of an "exempt profession". This was the "right week" to start the job of assessing the damage, he told BBC Radio 4's Today programme.
Appeals have been set up in the north of England to help those hit by the floods. Appeals have also been set up to help those hit by the floods.
The Federation of Small Businesses has set up a £500,000 fund to help firms affected by the floods in the north of England. The Federation of Small Businesses has set up a £500,000 fund to offer short-term interest-free loans of up to £5,000 to members suffering "severe trading hardship".
Hundreds of people had to leave their homes in Toll Bar
It said it was offering short-term interest-free loans of up to £5,000 to any of its members suffering "severe trading hardship".
The South Yorkshire Flood Disaster Relief Fund will raise money for those affected in Doncaster, Barnsley, Rotherham and Sheffield.The South Yorkshire Flood Disaster Relief Fund will raise money for those affected in Doncaster, Barnsley, Rotherham and Sheffield.
The city council in Hull, where more than 16,000 homes have been affected, has launched the Hull Flood Fund. The city council in Hull has launched the Hull Flood Fund.
Mr Minns said the flooding in the city had been a "massive humanitarian disaster".
Houses in the Catcliffe area of Sheffield were badly hit
He says it could cost more than £200m to repair the damage done to schools, public housing, doctors' surgeries, roads and leisure centres in the city.
In Doncaster, Mayor Martin Winter warned it could take between six and 18 months before some residents could return to their homes, "if at all".
As well as money, local residents are being asked to donate unwanted furniture to those affected.