THE story regarding the inquiry into Herefordshire Council’s commitment to covering £2.5 million of running costs relating to the Marches Local Enterprise Partnership (herefordtimes.com, January 7) would benefit from some clarification.

Whether we like it or not, LEPs are a major route to government funding for economic growth. We recently obtained £43 million via this route.

All business rate income from the enterprise zone belongs to and is allocated by the LEP for use within the LEP. Herefordshire gets the jobs associated with the development.

Government meets the cost of running the LEPs until 2016/17. Thereafter that cost must be met by members.

The LEP decided that half the cost (£100,000) would come from its own money (business rates) and the other half from members.

That is not a ‘commitment’ by Herefordshire Council to cover the running costs of the LEP. That £100,000 was not ours to begin with.

The LEP did not have to, but nonetheless agreed that we can recoup our cost of developing the zone before the rest goes for wider re-allocation.

It is this last item that has curiously been called in by members for scrutiny.

Are they seriously suggesting that we look this particular gift horse in the mouth?

If we were not in the LEP we would only keep half the business rates and would not get back our development costs.

It is also incorrect to infer that the matter has not appeared on any council agenda.

A joint committee was formed to demonstrate accountability and its first meeting was held in December. This was open to the public and the agenda was published in advance in the usual way.

TONY JOHNSON Leader Herefordshire Council