Tag: Devolution

  • Sir John Major’s Ditchley Annual Lecture Speech (Ditchley Foundation) – 9 July 2011

    The text of Sir John Major’s Ditchley Annual Lecture speech, made at Ditchley Park in Oxfordshire, on Saturday 9th July 2011.


    SIR JOHN MAJOR:

    First, let me add my welcome to Jeremy and Anne Greenstock and John and Penny Holmes.

    Jeremy and Anne have been great servants of Ditchley; John and Penny are already showing they will be. We are lucky to have them.

    When John invited me to speak to you today, I was very reluctant to accept. I was dismayed that, once again – with impeccably bad timing – the Ditchley Lecture clashes with a Test Match. I also recalled some outstanding Lectures at Ditchley over recent years. I nearly said – No.
    I didn’t, because there are things to be said, questions to be asked – and ideas to be floated – that can more easily be done by a former politician than a current one. And where better than Ditchley – for so long a home for rational thought and considered debate? An oasis of calm in a world of frenzy.

    Every time I come here I am reminded of our debt to David Wills – and now, Lady Wills and Catherine.

    I just want to say to Eva and Catherine: we owe you more than we can repay.

    In preparing for today, I took to heart GH Hardy’s observation that one ought never to waste time stating a majority opinion. I will try and follow that advice.

    Accepted opinion is often wrong. Even more often, out of date. And, frequently, complacent.

    Let me say at the outset that nothing I say should be taken as a trial balloon for anyone else. I speak for myself alone and – reluctantly but possibly – will offend political friend and foe alike. Nevertheless, I shall set out what I believe Western Governments must do to secure our well-being, in a world that is moving faster than we are.

    This world is digitalising, urbanising and ageing. It is also migrating. The age of the single language, single culture state is over. Medicine, science and technology are carrying us where we have never been before. Social networks can elect Presidents and foment revolution. Global markets have outstripped the control of nation states.

    The world of 20 years ago, let alone 50, has long since vanished. In every field of human endeavour – and nearly every aspect of life – yesterday’s certainties are today’s imponderables and tomorrow’s dilemmas.

    The future raises uncomfortable questions, and even more uncomfortable answers. Some challenges are domestic, others can be resolved only by collective action. And, even if they are faced, and even if there are successful outcomes – and these are two big “ifs” – they will merely head off future problems.

    Pain now for gain later has never been an easy sell for politicians and, in a social climate that expects instant gratification, it becomes even harder. It was easier being a politician yesterday than today. And it is easier today than it will be tomorrow.

    The core question is: what must our Governments do to ensure our future prosperity? Must we change our policies, our expectations, our tribal politics – or all of these? It simply defies logic that the whole world can turn upside down, while we meander on in the same old way.

    At stake is our material well-being – and our status in the world – in 20, 40, and 50 years’ time.

    Some may say the battle is lost – that this will be China’s – and Asia’s – Century. I don’t believe that is pre-ordained. China, in particular, has many problems. The Communist philosophy is discredited. Her Government is not elected. Its only legitimacy is growth.

    In China and Asia, we are already seeing that rising living standards will bring greater demands – for social welfare, pension and much else besides – that will eat away at their present competitiveness.

    So this economic triumph of the East isn’t assured, but we do know they will be formidable competitors. So how are we placed to respond?

    Our present position, to put it mildly, is uncomfortable. It is axiomatic that every generation has an obligation to pass on to its successor something better than they themselves inherited. In recent times, we have failed.

    We have spent tomorrow’s money on yesterday’s gratification, and there is something immoral in that. And we have presided over a systemic financial collapse that has forced the prudent to bail out the reckless. There is something unjust in that.

    This is a sharp reminder that our democracy doesn’t guarantee efficiency. The democratic checks and balances we so cherish can become roadblocks. The tyranny of the electoral cycle can push politicians to short-term decisions.

    Equality replaces quality. Sound-bites stand in for home truths. It feels odd to point up the short-comings of democracy, when it has achieved so much – but if we don’t recognise them, we can’t correct them.

    Democracy has entrenched an enviable liberty of thought and action and presided over a quality of life our forebears could not have imagined. We are safer and, until now, richer. It has had a civilising influence. We have learned that decent people come in all colours. We abhor racism and bigotry. We have developed good human instincts of care and compassion.

    In due time, electors can vote Governments out and mostly they depart peacefully into Opposition. No wonder it is widely admired and copied. It has served us well but, on its own, democracy will not secure our place in tomorrow’s world.

    ECONOMY

    The financial crisis has highlighted a reality the West can no longer ignore: our days of easy economic supremacy are over.

    The drift is undeniable. The West has lost its competitive edge against China, India, Indonesia and Brazil as well as many smaller countries, notably in Asia and Latin America. Financial firepower is moving from West to East. Thirty five years ago, the fifteen core countries of the EU accounted for broadly 36% of global GDP, and Asia only 16%. Projections suggest that, in twenty years’ time, that will almost precisely have reversed. As we stutter, the rest of the world grows.

    America has, largely, held decline at bay: but, even so, her share of global GDP has fallen from 26% to 23%. Economically, in one lifetime, the world will have turned on its head.

    It’s easy to see why. Where ambition confronts complacency, ambition wins. In countries that are one generation away from poverty I see a passion and drive for success that sweeps away barriers. Even if we are aware of the tidal wave of competition that is coming, we have not prepared for it. We are falling behind and at risk of falling further.

    We shouldn’t deceive ourselves this is simply the fall-out from the financial crisis. It is a long-term trend.

    Some see no danger. They argue that the West can be sanguine about Eastern competitiveness because our quality of life is so far ahead.

    Such people should get out more. Let me cast an unforgiving eye on that complacency: the UK first.

    In terms of GDP, the UK is the sixth most wealthy country in the world. But our national Balance Sheet carries many liabilities. Our physical infrastructure is old. Our health service is creaking. Whilst the best of our education – especially higher education – is world-class, some of it is unforgivably awful.

    We are up to our ears in debt. The Exchequer is empty. The Gold is gone. The post-dated cheques are accumulating interest. We are over-taxed. We have an under-class: poorly educated, poorly housed and unmotivated.

    We are no longer an Empire, nor will be ever again. Today, we are a shrinking military power. By choice, and with majority public approval, we are semi-detached members of the EU. And even America – for so long our closest ally who generally sees the world as we do – is turning her face to the East, as self-interest determines she must.

    There is absolutely nothing here to be complacent about.

    America faces many similar problems – most obviously debt, which was 40% of GDP in 2008, 69% in 2011, and is projected to be 85% by the end of the decade – and rising. Yet only about one-half of the population pays federal income taxes.

    The risk remains of the US Treasury defaulting on its debt as it runs up against the legal limit it can borrow. I daresay a compromise will be reached, but this flirting with brinkmanship is dangerous. The collapse of Lehman Brothers was catastrophic. A Treasury default could be as bad. I hope those playing political games realise that the effect of their actions could spread far beyond America.

    In the foremost free market economy in the world, average household debt comfortably exceeds average annual income. And a rising proportion of that income now comes from the State.

    About 45 million Americans now receive food stamps: the modern equivalent of bread lines. Medical costs threaten to spiral out of control.

    Huge housing debts held by Banks are not written off: if they were, there would be lower profits, and lower bonuses. Total mortgage debt has quadrupled in 20 years. Today, there are two million mortgages not being paid.

    And so the merry-go-round continues: Banks are still lending 95% mortgages on a falling market at a multiple of income: admittedly now – they say – only to more credit worthy customers. No one should assume the financial crisis cannot be repeated: it certainly can. But, if it is, it will be unforgiveable.

    EUROPE

    As for Europe – the word is engraved on my heart. Northern Europe is healthy but Southern Europe is sunk in debt and uncompetitive. The EU as a whole is divided on how to handle budget deficits, the crisis in the Eurozone, control of the Central Bank, nuclear policy, as well as how to react to Libya, Afghanistan and the Arab/Israeli conflict.

    Twenty years ago, led by France and Germany, a confident EU was paving the way for the Euro. The assumption in the European Council was that, before the Euro could be launched, the economies of nations wishing to be part of it would converge: by that piece of jargon, we meant operate at broadly the same level of efficiency.

    But that didn’t happen. It was politics – not economics – that launched the Euro in the late 1990s. Sterling did not join because, in 1992, I had opted out of the Euro at Maastricht. I didn’t do that out of sentimentality for the Pound – nor to placate sceptic opinion. If I’d wished to do that – with my Party or the Press – my life would have been much more comfortable. I didn’t. It wasn’t – because I thought then, and argued then, that the concept had flaws.

    Today, Germany – with its powerhouse economy – is locked within the same currency, at the same exchange rate, as the weaker economies of the Southern European States.

    In a sensible world, the Southern States would devalue but – of course – they can’t and so, to become competitive and stay in the Eurozone, they must devalue internally. Unemployment will rise, wages must fall, and so must living standards.

    This threatens Greece, Portugal, and – possibly Spain and Ireland – with many years of austerity. As we see in Greece, the scale of that austerity may not be acceptable in a liberal democracy. Meanwhile, others power ahead.

    It is not immediately clear how Europe will resolve this dilemma. But the present position is unsustainable. Either the EU becomes effectively a Union of transfer payments to offset regional disparities (as happens in Canada), or it creates a mechanism to shrink the Eurozone. Nothing else makes long-term sense.

    Germany and France will not permit – cannot afford to permit – a reprise of the present crisis. In Germany, in particular, it is causing immense political agony. When the President of the ECB proposed a European Ministry of Finance with power to intervene in national economic policies, he caused commotion. But something will have to be done. Somehow, binding rules will be imposed on debtors.

    Despite Eurozone members insisting they will not surrender fiscal sovereignty, it is not hard to look ahead and imagine a Eurozone with fiscal – as well as economic – union, in practice if not in name. I don’t like this – it was a prime reason for not joining the Euro – but, if it happens, it may have the effect of pushing the UK further away from the mainstream of the EU.

    The UK is often accused of being half-hearted over its commitment to Europe. Continental politicians bemoan our caution. “If only the UK took up its responsibilities” … it is a familiar theme, and we will hear more of it.

    Let me respond. I am not anti-European. I am not a sceptic in the accepted sense. I never have been. I see the nobility of intent in binding together nations that fought one another over many centuries.

    I see the economic advantages of the single market, and the political advantages of extending democracy to nations that were locked in the Soviet embrace. But I am wary of many European policies. If they are flawed, or unworkable, or alien to our instincts, our Government has a duty to question them.

    Where we can work together, let us do so. That is sensible. But the Union cannot succeed if nations are – sullenly and resentfully – bound into policies they believe are damaging to their national interest. Far better to plan for a multi-speed Union, with nations opting-in to policy rather than opting-out. In a 27 Nation Union, I believe we will come to that, although it is far from the ambitions of some of our partners.

    If the UK is semi-detached, that is only, in part, because of British scepticism: it is also because the EU has chosen, time and again, to go in a direction they know Britain cannot follow. Every recent Prime Minister has ended up less European than he – or she – began.

    As to the future – it is difficult to see where Europe is going. Some would like to break away entirely from the EU. In a world in which many policies need collective action, that would be folly. If we are drifting apart, there is cause to beware: it is time to take stock.

    GOVERNMENT/POLITICAL SYSTEM

    In the search for future well-being that is true of our political system as well. At the moment, neither American nor British politics is in a state of grace. It has become too inward-looking. Too short-term. Our systems embrace politicians, and carry them off to a world the rest of us don’t inhabit. It’s time to bring them back. And focus them on the far distance as well as tomorrow.

    There is a fault line in our national policy-making processes:

    When do politicians have time to think?

    There is time to do, based on advice.

    There are policies to advocate, based on conviction.

    There are people to placate, based on necessity.

    But, in Government, too often, senior politicians are fire-fighting yesterday’s problems instead of thinking how to fore-stall tomorrow’s.

    Would it not be better to carve out sufficient time so that – routinely – they can frame policies to safeguard our future in 20/50 years from now?

    And – if they did think and plan far ahead – it would give them time to explain, to cajole and to carry electorates with them in controversial policy. That’s never easy – as we see today.

    To help bring this about, we should encourage governments to devolve more and do less: in some areas, we are ludicrously over-governed. The nanny state may be well-meaning, but it is also stifling.

    I am one-quarter American, so I hope I might be forgiven for speaking bluntly. At the moment, the American political system is dysfunctional.

    It is easier to stop good policy than to pass it. Bi-partisan co-operation is grudging and limited. Moreover, it is getting worse as re-warding of congress and district boundaries makes seats safer for Republicans or Democrats: the inevitable effect is fewer “middle of the road” candidates being elected. The first loser is compromise. The ultimate loser is sensible, non-ideological policy.

    The power of special interest lobbies is excessive. There have been 27 Bills affecting Energy over recent years where the representatives of six States, irrespective of Party affiliation, have voted for the Coal lobby position on over 80% of votes. In the Senate, this has been sufficient to block anything the industry does not favour. This is not in the national interest. It is naked self-interest. Sadly, it is not the only example (in domestic or foreign policy).

    I remember former Presidents bemoaning the introspection of Congress – my expression, not theirs – and their concern that only a minority of its Members travelled overseas to see the world for themselves. Since American foreign policy affects us all, this is lamentable.

    But it’s easy to see why. A competitive election contest in New York, or New Jersey, home to the most expensive media markets, could cost a candidate $10 million. On average, candidates must raise over $1.3 million to fight each campaign. And campaigns come every other year.
    To fight these elections, the average candidate must raise over $50,000 each and every month. No wonder they don’t travel. Such frequent elections also create obligations to donors – and lobbies. They put a premium on short-term populist policies.

    It would make for far better decision-making if elections were less frequent and there were limits on spending. This might also cut down on negative campaign advertisements, the net effect of which is simply to damage the reputation of politics.

    I claim no superiority for the British system.

    For generations, Britain has basked in the glory of our Parliamentary system. Much of the world flatters it as an example of a mature democracy, a supreme Parliament, an independent Judiciary and an impartial civil service.

    I cherish the traditions that add majesty to Parliament. Yet even I, who look at Parliament with affection, can see it must be made more efficient.

    We could begin by widening the pool of talent prepared to enter politics, by removing some of the disincentives to do so.
    I would pay MPs a fixed and generous salary, and cut out all living allowances. This is not entirely fair to Members with remote constituencies, but life is not fair – and such a system would avoid the recent scandals that have done so much harm to Parliament.

    We need, also, to attract to the Commons men and women at the top of their profession. It is one of the oddities of democracy that fundamental policy choices are made by men and women who, apart from the legitimacy of election and a native intellect, have no qualifications to make them.

    How many MPs can bring direct knowledge to how banks should be regulated? Or how hedge funds work? Or are familiar with e-money? Or nuclear energy? Or the social and medical implications of embryology?

    We would benefit from our legislators having more practical knowledge.

    Of course we can hire specialist advisers, but that can never be as effective as influential, knowledgeable voices speaking with expertise in the Chamber, in the Committees, in the tea rooms, in Party meetings.

    There is no solution to this dilemma that doesn’t cut across our traditions, and so I would do just that. Why not elect fewer Members of Parliament and appoint, on a basis pro rata to votes cast in the General Election, a similar number of Members without constituencies?

    I know the familiar arguments against this – a few years ago I would have used them myself forcibly – but, on reflection, I now believe enhancement of the talent pool is so vital it justifies the changes.

    If the Commons baulks at a further reduction in its Members then, as Douglas Hurd and I have argued before, let us appoint unelected Ministers, answerable to Parliament, but without being Members of it. Or, of course, let us do both. Douglas and I have argued also for fewer Ministers and fewer PPSs: we have far too many of each: they could be severely cut back.

    At the moment, all three major Parties are committed to an – at least partly – elected House of Lords. The Lords does need reform. It has too many inactive Members. It is too big and unwieldy. But election is the wrong reform.

    The case for election is democratic legitimacy. However, if we want an efficient legislature, the case against is far more compelling.

    An elected Upper House would cease to be a revising Chamber and would demand more powers that could only come from the Commons.

    There would be confusion and conflict. We should be reducing the number of politicians and adding to their quality. An elected Lords would add more politicians and reduce their quality. That is a bad bargain.

    Does anyone imagine that Chiefs of the General Staff, Cabinet or Permanent Secretaries, Captains of Industry, Chancellors of Universities, Professors of Medicine would stand for election?

    Of course they wouldn’t, and elected replacements could never bring such a depth of knowledge to the scrutiny of legislation. If the answer is more elected politicians, we are asking the wrong question.

    A better reform would be to improve Parliamentary procedures. Cut the number of whipped votes. And reform PMQs to discourage its vaudeville element.

    I offer only one further of many options. Parliament’s workload leads to legislation being poorly scrutinised, and often shown to be defective. In Criminal Justice alone, 68 sections and 25 schedules of 19 Acts remain unimplemented: many because they are unworkable.

    Why not subject all mainstream Bills to Select Committee scrutiny and public evidence before final drafting? If we did so, we would get better, more relevant, and more coherent, new laws.

    And must the Westminster Parliament oversee so much? I think not. It would be more efficient if it were less over-burdened.

    DEVOLUTION OF POWER

    There are options:

    Pass fewer laws – which is attractive, and to be hoped for: though I’m not holding my breath.

    But we could contract more to local government and devolve more to the Scottish, Welsh and Northern Ireland Assemblies. In a cautious and incremental way, the Coalition is taking action to do this. I welcome that and encourage them to go further.

    Some years ago, I opposed the creation of local Mayors. I was wrong. Mayors do put in place a dynamic and – as successive Mayors of London have shown – they can be effective megaphones for our big cities. But under present plans, Mayors will only inherit the existing powers of Council leaders: in future, I hope their remit can be widened.

    There is one caveat: their power of decision should be real, not illusory, and this implies a funding responsibility to pay for – at least the majority of – their policies. When next we look at local authority finance that should be the objective.

    Devolution can also reduce the Westminster workload. But there is some groundwork to be cleared first. The present quasi-federalist settlement with Scotland is unsustainable. Each year of devolution has moved Scotland further from England. Scottish ambition is fraying English tolerance. This is a tie that will snap – unless the issue is resolved.

    The Union between England and Scotland cannot be maintained by constant aggravation in Scotland and appeasement in London. I believe it is time to confront the argument head on.

    I opposed Devolution because I am a Unionist. I believed it would be a stepping stone to Separation.

    That danger still exists. Separatists are proud Scots who believe Scotland can govern itself: in this, they are surely right. So they point up grievances because their case thrives on discontent with the status quo. But even master magicians need props for their illusions: remove the props, and the illusion vanishes.

    The props are grievances about power retained at Westminster. The present Scotland Bill does offer more power to the Scottish Parliament.

    But why not go further? Why not devolve all responsibilities except foreign policy, defence and management of the economy?

    Why not let Scotland have wider tax-raising powers to pay for their policies and, in return, abolish the present block grant settlement, reduce Scottish representation in the Commons, and cut the legislative burden at Westminster?

    My own view on Scottish independence is very straightforward: it would be folly – bad for Scotland and bad for England – but, if Scots insist on it, England cannot – and should not – deny them.

    England is their partner in the Union, not their overlord. But Unionists have a responsibility to tell Scotland what independence entails.

    A referendum in favour of separation is only the beginning. The terms must then be negotiated and a further referendum held.

    These terms might deter many Scots. No Barnett Formula. No Block Grant. No more representation at Westminster. No automatic help with crises such as Royal Bank of Scotland. I daresay free prescriptions would end and tuition fees begin.

    And there is no certainty of membership of the EU. Scotland would have to apply, meet tough criteria, await lengthy negotiations and would find countries like Spain – concerned at losing Catalonia – might not hold out a welcome for Separatists. And, even if Scotland were admitted, they would find their voice of 5 million is lost and powerless in a Union of 500 million.

    But it must, ultimately, be their choice.

    SOCIETY

    Reforms within politics can – I believe would – improve policy-making, but it is the guts of policy that really matters. I simply observe that in considering future policy every Minister should ask one question: does this improve our long-term ability to compete and grow? If it does – good; if it doesn’t – think again.

    Growth is not just a matter of economic policy. Social policy is a part of the competitive structure – not apart from it. To grow, we need to improve our human infrastructure.

    EDUCATION

    Education and skill attainment are as crucial to economic success as cash investment. In the ancient world, Plato taught Socrates who taught Alexander.

    Rather more recently, Tony Blair famously declaimed “Education, Education, Education”. I had the same priorities but in a different order.

    Neither of us was original. Lenin first said it in 1917.

    And we were all right – except that we failed. And among the alienated and the under-educated, how much talent is lost? How many lives are wasted and unfulfilled? How high is the social and economic loss? Money has been put into education but the return on investment has been disappointing.

    It is a reproach to every Government over the last 40 years that employers routinely bemoan the numeracy and literacy of far too many school-leavers. As a Nation, we can’t afford that.

    A recent OECD survey, based on science, maths and literacy, put America – once top – at 26th, and the UK even lower: eight of the top ten performers were emerging Asian States. This isn’t some remote trend we can ignore: our children and grandchildren will be in direct competition with these young Asians.

    One reason for Asian success seems to be that they have invested heavily in teachers. Paid them well. Trained them well. And built up their prestige and social standing. As a result, they have attracted their brightest and best into the profession.

    Parents, too, have a responsibility for their child’s education. Too many opt out – none should.

    Events in California, in 1996, are suggestive. After positive discrimination had resulted in low graduation results and high drop-out rates, “Proposition 209” banned any reference to race, sex or ethnicity in University admissions.

    Students were selected purely on their Grades. Admissions from Asian Americans soared. The only explanation for this was parental influence. There is a lesson here. However good teachers may be, the role of parents remains the single most important input into any child’s life opportunity.

    If, as most of us accept, the economic future of the West lies, in part, with maintaining a technological advantage, we must produce the relevant skills. But we are just not doing so. China is producing over three times as many engineering, science and IT graduates as the United States. And over three times as many Chinese graduates at the top-most level with PhDs.

    In the UK, in the decade to 2007, there was a fall of nearly one-third in single honours chemistry courses, and 14% in physics. The West had better focus on the fact that Asian manufacture is already moving up the value chain.

    No Government is always right. Or wrong. In the UK, I applaud warmly the high ambition of Ministers in the previous Government who argued for long-term social reform. My only regret is that others, more senior and less far-sighted, sometimes over-ruled their efforts.

    “Thinking the unthinkable” was ditched. That was a pity.

    I welcomed their early ideas – as indeed I should: many of them were my ideas long before they were theirs, and – in some cases – Margaret’s before they were mine.

    That doesn’t matter. In a good cause, I welcome policy kleptomania. As someone who was opening Academy Schools 20 years ago, I was genuinely delighted when Andrew Adonis developed the policy and successfully carried it forward.

    Education is not our only social policy failure over decades. In our broadly prosperous country, there are still far too many graffiti-ridden slums, on soul-less Estates, in run-down areas, that dis-incentivise those who live there.

    There are too many neighbourhoods where unemployment has become a way of life; where an existence on social benefits seems normal.

    For too many people, self-determination has morphed into a belief in self-entitlement, where no-one is responsible for anything, and welfare is a legitimate career choice. America has problems that are similar in character.

    The Coalition is now embarked on reforms to health, education and social security that are long overdue, controversial and necessary. As Labour built on Conservative policy, now Conservatives will build on Labour’s.

    I hope everyone, irrespective of Party, who agrees with these reforms will support them publicly when Ministers face the inevitable protests that are to come. It will be a lost opportunity if they are sacrificed to our adversarial political system.

    Within the compass of my direct experience, I have tried to look forward. I have focused on what is not working well. But I am optimistic.

    The Western democracies always over-estimate what they can do in the short-term and under-estimate what they can achieve in the long-term. If we accept what needs to be done – we can do it. But – as Goethe noted – “until one is committed, there is hesitancy”. We must be committed.

    I would like to see a senior Minister, of Cabinet rank, given responsibility for “The Future”. His or her role would be to cast an independent eye on what needs to be done that is not being done; and what is being done that could be harmful in the future.

    Such a Minister would be the voice of the next generation. The conscience of the Government. The guarantor of the legacy. To do the job well, he or she should be an enormous irritant to Departmental Ministers and the Treasury but, with the backing of a committed Prime Minister, would ensure the interests of the next generation are not sacrificed on the altar of immediate consumption.

    Mr. Chairman, time is a tyrant and I have only skimmed the surface of policy for tomorrow.

    I have not touched on traditional foreign policy issues – much as I wished to: that must await another occasion. On that, and on so much else, there is a great deal to be said and – as my Grace Note – let me observe that those of us gathered here are well-placed to say it.

    CONCLUSION

    We are, or were, the Establishment – or part of it. Some still are. We are winners in the Ovarian lottery. Gathered here are intelligent, civilised men and women, skilled at diplomacy and dispassionate judgement. If the late John Osborne were to categorise us, it would not be as “Angry Young Men or Women”, but as “Mellow Old Achievers”.

    We are, many would say, the past: Neanderthals from the pre-internet age. But we have one huge advantage: we have seen the world as few others have seen it. So I want to end with a plea. It is that – in an age that glorifies youth – we should use our collective experience to help signpost a path for the future.

    We may have a shorter lease on that future than the young, but they are our young, and we have an obligation to care about their future.

    Whether British, or American, or Continental European, the task facing our respective Governments is herculean. We can stand aside, shrug our shoulders and smile benignly on their efforts, our own work done. Or we can pitch in and help them.

    That, surely, is the right thing to do.

  • Mr Major’s Speech on the Erosion of Parliamentary Democracy – 26 February 2004

    The text of Mr Major’s speech on the Erosion of Parliamentary Democracy, held at Huntingdon Constituency Conservative Association on Thursday 26th February 2004.


    JOHN MAJOR:
    Tonight has the air of times past and it’s good to be back.

    I miss the Constituency – I rarely miss politics. It’s changed. It’s too media driven and – often – too trivial.

    Everything is presented as all black or all white. Every event has to have a hero or a villain.

    We live in the era of soundbite and spin or – as I prefer to term it – deception and deceit.

    [Indistinct section].

    That is the essence of spin. It’s all reminiscent of the 18th century politician who died and caused his opponents to ask “I wonder what he meant by that?”

    Such distrust of politics is back.

    One of the advantages of leaving politics is that one can stand back from the daily controversies and see the bigger picture.

    There is much I don’t like about the present Government.

    It is more concerned with perception than reality.

    It prevaricates as a first instinct, not as a last resort.

    It is intolerant of opposition and illiberal of policy.

    All too often it is high-handed and arrogant.

    And – my theme this evening – it has made, is making, and proposes to make – changes to our Constitution that I believe are damaging to Parliamentary Government.

    This may seem abstruse. It is not. It may seem irrelevant to the average citizen. It is not.

    Our Constitution sets out the relationship between citizen and the State – and as such affects us all. Change our Constitution – and you change the rights and obligations of the citizen.

    We take democracy so much for granted in our country that we scarcely notice any longer whether it exists; how it is exercised; or the ways in which it is being undermined.

    The visible structures appear intact – mature political Parties; a universal adult franchise; free elections with a specified maximum term of Office; a two-tier Parliament supreme in authority; an independent Head of State; the rule of law; an impartial Civil Service; a free Press; traditions of behaviour that amount to hidden institutional safeguards and restraints. It is familiar and comforting.

    Unfortunately, it’s so familiar and comforting that we have scarcely noticed that the structure which supports it is creaking and diseased and in danger of collapse. The structures are still there but they’re being hollowed out. The erosion is evident from the top to the bottom.

    At grassroots level – the Party machines are moribund, poorly financed and often unrepresentative of the electorate as a whole.

    At the top, erosion arises if any major Party has no care for Parliamentary traditions and propriety; if its use of power becomes an abuse of it; if it resorts to character assassination as a political weapon. Our present Government has all these traits.

    When senior members of the Labour Party were investigated by the Parliamentary Commissioner, there appeared to be an organised attempt to obstruct the inquiries or to withhold proper cooperation. When the Prime Minister established a Committee to examine issues relating to Standards in Public Life he then refused to let his own key officials appear before it. When the Committee reported, he largely ignored the report. These are very murky depths that have added to the public disillusion with politics.

    The broad mass of our nation is detached from politics. Many feel a distaste for it.

    Turnouts at General Elections used to be around 80%. At the last General Election it was under 60% – with the “don’t knows” and the “won’t votes” scoring as highly as the winning party. This was no “blip”.

    The rot in our political system is evident in Parliament. For New Labour has been careless of Parliamentary traditions and propriety; and the Prime Minister’s famous promise – to be “purer than pure” – has not been kept. Consider for example the Ecclestone, Hinduja and Mittal affairs which have all been so close to the centre of power that there is a perception that New Labour’s failings may have influenced government policy. This charge is vigorously denied.

    But in the age of spin the perceptions are damaging. Spin is the pornography of politics. It perverts. It is deceit licensed by the Government. Statistics massaged. Expenditure announced and reannounced. The record reassessed. Blame attributed. Innocence proclaimed. Black declared white: all in a day’s work.

    This behaviour is a factor in the reduced reputation of the House of Commons. There are wider elements as well. Nowadays, vital decisions are often decided in wider fora: in the G7, the UN or – most likely – the EU. As part of this Government’s policy, Parliament has also surrendered decision-making within the UK to the Scottish Parliament, the Welsh Assembly, the Mayor of London and the Northern Ireland Assembly. It looks set to do so to Regional Assemblies as well. Monetary policy has also been subcontracted to the Bank of England. Some of these changes have merit – arguably some have significant merit. But all of them are consistent in only one regard: they all reduce the power of Parliament. One by one its prerogatives are going.

    This has been exacerbated by the Government’s disregard, sometimes contempt, for the Commons. Labour uses its majority as a rubber stamp. Select Committees are ignored or suborned. Complex Bills are poorly scrutinised as the Government is bound to get its way.

    Since 1997, Parliament has been downgraded in more subtle ways, too. Major policy statements have been made outside it, or leaked, before any Parliamentary announcement. This may be a good way to control media coverage but it is bad for democracy.

    Parliament has been weakened, too, by the Government’s policy towards the House of Lords. If the House of Lords attempts to block or amend legislation, which is its legitimate role, it is discredited and attacked. Already it has been mutilated. The abolition of the hereditary peers was a populist – and to many, popular – policy but, for those who wish to see an effective Upper House, it was a mistake: it robbed Parliament of a revising chamber of talent and experience and independent thought. Hereditary legislators were a soft target to attack but, if they had to go, they should have been replaced by others with similar virtues. They were not.

    The House of Lords should have more power: there is much it could do. It could improve the quality of our law by pre-legislative scrutiny of Green Papers, thereby foreshadowing changes in the law. It could monitor the resulting Act of Parliament to see how it worked in practice. It could examine and take evidence publicly on draft Treaties. It could establish a Standing Committee on Ethics as moral and personal questions become more difficult to adjudicate upon. It could maintain a Standing Constitutional Committee … all this and more would be useful.

    I do not agree with the current vogue for a largely elected Second Chamber. Yes – it is democratic. But No – it will not be an improvement. It will replace nominated leading figures of substance from Industry, Trade Unions, Education, the Military, the Civil Service, the Media with elected career politicians who failed to make it to the House of Commons. We are in danger of replacing first rate independent minds who have made it to the top of their professions, with second rank politicians whose Party Whips will do their thinking for them. A pale imitation of the Commons is pointless and will further diminish Parliament.

    I understand the urge for the legitimacy of election but it is a poor bargain for electors: a less talented House of Lords stuffed with more professional politicians is the wrong prescription for our democratic deficit.

    If not election, then what? Prime Ministerial appointment alone is no longer acceptable (although any mechanism must provide for nomination by political leaders so that a proper political balance can be maintained in the Upper House.) We continue to need a system to nominate leading public figures to maintain and reflect the wide experience now available to the Lords.

    And, in my view, it should remain “the House of Lords”. Its members should continue to be Peers: to change the name would be pointless if it is to serve its traditional role as a revising Chamber and to withhold the courtesy of the title would be petty. Labour, given free rein, might do both.

    Further diminution of Parliamentary authority will be accomplished within this Parliament if the Government enacts the proposed European Constitution as a superior overarching legal framework. The legacy of centuries of common law would be subordinate to ambiguous language interpreted and enforced by European institutions.

    If the Government enacted this, any legislation should properly be subject to a specific referendum of the whole Nation – although Labour will seek to avoid it since they know they would lost the Referendum. Steadily, they are moving away from the instincts of the Nation.

    At the same time as respect for Parliament is in decline, so too is the neutrality of the Civil Service – now in danger of being compromised. The pattern of by-passing the independence of the Civil Service was set in May 1997, with the appointment of special advisers with authority over career civil servants; with the huge increase in the number of political special advisers ; and with the dismissal or forcing out of the Government Information Officers – the Civil Service interface between the Government and the media, and the guarantee of impartial and straightforward answers. The cult of spin was let loose.

    From the moment New Labour saw the value of spin, the truth became partisan. The outgoing Conservative Government was to be abused: no piece of character assassination, no calumny, no half-truth, no insult was to be missed. Nor were they the only target. Others who embarrassed the Government – even non-politicians such as the 94 year old hospital patient, Mrs Rose Addis or train campaigner Mrs Pam Warren – were all part of the shooting gallery. So too, at one time was the “psychologically flawed” Gordon Brown; and Mo Mowlam, who had committed the sin of being too popular. All suffered from behind the scenes briefing to serve the contemporary interests of the Government at the expense of the reputation of the conduct of politics generally. Nothing on this scale has been seen in modern British politics. Nor, to the best of my knowledge, have individual citizens – wholly unconnected with politics – ever been targeted before.

    Some months ago, after a piece of underhand dealing was exposed, the Prime Minister’s spokesman said “what was appropriate in Opposition was not appropriate in Government.” If one decodes this sentence, it means it was acceptable to spread any falsehood about the Conservatives in the 1990s because they were unpopular. Now, however, as everyone becomes familiar with the tactics used by New Labour, we are told it is necessary to move on.

    The art of misrepresentation for political advantage is not new.

    But what sets this Government apart is the scale and pre-meditation of its spin operation. The result is a cynicism now so deep-rooted among the electorate that when the Government’s spin merchant-in-chief said spinning had gone too far, the public suspected it was only spin that made him say so.

    It is fatal to the conduct of policy if the word of any Government is disbelieved until proven beyond doubt to be true. The erosion of trust has now reached the point where it is undermining the ability of the Government to call on the trust of the people – as recently, for example, on Iraq. New Labour cannot complain if their word is not taken at face value: it is their own behaviour that has brought this about.

    A few years ago, it would have been inconceivable that any Prime Minister’s Office could have been accused of distorting and misusing intelligence information to popularise the case for war and yet, whatever the reality, that has now become a widespread belief. For the sake of the future conduct of policy this impression needs to be dispelled.

    It is clear the Prime Minister has failed to understand the importance and power of the traditions, customs and conventions that have shaped the values of our system of government. The way our nation’s government works is not simply defined by the bare words and legal structures of legislation – it works because generations of Britons, in safeguarding their liberties, have established boundaries of acceptable behaviour and created rituals and rules that keep them alive.

    New Labour, apparently contemptuous of our history, has swept away centuries of institutional values. Rushed, ill thought-through constitutional changes have been introduced in the name of modernisation – changes that imperil the soul of the Constitution and leave democracy and freedom weaker and poorer. Even where there is a case for change – as in the role and stature of the Lord Chancellor, and the abolition of Secretaries of State for Scotland and Wales – the Government has bungled it. It neglected to consult, announced the changes as an off-hand consequence of a Cabinet reshuffle and then had to climb down as the new Secretary of State for Constitutional Affairs had to don the Lord Chancellor’s wig and tights; and other Cabinet Ministers became, after all, territorial Secretaries of State for Scotland and Wales.

    The Government now proposes to introduce without consultation a Supreme Court to replace the Law Lords in the Lords and an independent Judicial Appointments Committee to appoint Judges. These policies will be railroaded through Parliament. They are fundamental changes that have not been subjected to proper consideration.

    All this is a mess. Gladstone once said that “The Constitution presumes the good faith of those who operate it”.

    That has been so until now. It is one reason we have had for so long an unwritten Constitution that could evolve rather than become irrelevant in a decade of change. But the present Government have undermined that good faith. They propose fundamental change without consultation.

    They are sweeping away centuries of tradition in the careless cause of political correctness.

    They have produced legislation on devolution that is deeply flawed and offered Scotland and Wales what they seek but ignore the consequent knock-on effect on the UK as a whole.

    I have never been in favour of devolved Assemblies except in Northern Ireland where, for decades, Ulster politicians had no responsibility whatever for policy. Yet even there I favoured only very restrictive powers. My fear was that devolution would lead to the break-up of the United Kingdom as a single entity and that this would diminish our influence in the EU and around the world. That has not happened yet: but it still might. That is why I resisted Scottish and Welsh demands for their own Parliaments. Time alone will prove whether I was right or wrong to do so but it is certain that the Conservative Party paid a heavy political price for putting long-term concerns for our Country before short-term party political self interest. We were pro a United Kingdom not anti Scotland or Wales. Alas, spin and soundbite distorted that truth and ensured it was not seen that way.

    New Labour took a more populist and electorally self-interested view and implemented changes that were poorly thought through: even Scots, proud of the principle of Home Rule, admit the reality of it has been a shambles. An overwhelming majority of Scots demanded devolved powers and, as I well know, denying them was painful. But – if devolution had to be ceded – it should have been done in a fashion that was not politically motivated to benefit the Labour Party; that was not a one-way advantage for Scotland at the expense of England; that ignored the knock-on effect across the UK; and that distorted the electoral make-up of the Commons.

    It was tactless beyond belief to appoint Dr John Reid, a Scottish MP as Secretary of State for Health in England. Even worse, it is wholly wrong that Scottish MPs are entitled to vote on legislation at Westminster affecting England – university top up fees is a recent example – yet not vote on similar legislation affecting their own constituencies: it is also a scandal that English MPs cannot vote on comparable legislation affecting Scotland. New Labour’s devolution was tantamount to gerrymandering an electoral system already biased in their favour by grotesque Boundary changes to constituencies. These have resulted in a situation in which the Conservative Party needs an 8% lead in votes over Labour to win the same number of seats: in a system in which vigorous politics offers the best safeguard of individual freedoms this cannot be acceptable. Parliament loses because Labour has chosen to ignore this anomaly so that it might benefit from it.

    The most dangerous erosion is in the trust and confidence with which our political system is regarded.

    Recent episodes have worsened this perception.

    The Hutton Inquiry was given inadequate Terms of Reference. As a result, it did not convince.

    The Butler Inquiry, too, would have benefited from a wider scope.

    The fact that this was denied adds to public cynicism because many who supported the war in Iraq are concerned that no WMD were discovered and fear the war was conducted on a false premise.

    Even those, like me, who continue to support the aims of that war, believe it essential to clear up the concerns that have arisen.

    The reason for this is not to seek a scapegoat: it is because if there is any doubt about the circumstances in which our troops were ordered into war, such doubt needs to be addressed, explained and cleared up for good. Thus, should our troops need to be committed to action by any future Government, there need be no hesitance in Parliament in supporting the Prime Minister of the day.

    As things stand at the moment, if the Prime Minister were to ask Parliament and the public to support him in committing troops for a new conflict, he might well be met at best with a hoarse laugh, and at worst with a flat rejection, rather than the traditional support previous Prime Ministers would have been offered.

    The particular problem that has been causing so much disquiet is the question of weapons of mass destruction and the ability to deliver them in 45 minutes. At the time this claim was first made, it was widely understood – perhaps erroneously – to relate to all weapons of mass destruction. It has subsequently turned out that it is accurate only insofar as battlefield weapons are concerned. When challenged about this, the Prime Minister told Parliament that he did not know about this important discrepancy – and we must accept that. It would be unprecedented for a Prime Minister to mislead on such a crucial matter.

    But his ignorance of the true facts begs other questions.

    Mr Cook and Mr Straw knew – so the FCO must have known.

    Mr Hoon knew – and so the MOD must have known.

    Mr Alastair Campbell knew – and so the No 10 Press Office must have known.

    If the Prime Minister’s Press Office knew – his Private Office must have known.

    The Cabinet Secretary must have known.

    So must the Joint Intelligence Committee.

    And yet – in all the discussions and briefings – no-one thought of sharing such information with the Prime Minister. Although this is possible – it is extraordinary.

    There is a second point.

    The Prime Minister must have had many private meetings with advisers from the MOD, the Foreign Office, and the Joint Intelligence Committee. Since he believed the weapons of mass destruction to be a danger to our troops in Cyprus, and to Israel, he must surely have consulted his advisers upon how to protect them. If he did not, he should have done.

    If he did, why did not his Private Office, the Defence Secretary, the Foreign Secretary, the Cabinet Secretary, the JIC, the Foreign Office, the MOD tell him that he alone did not understand what weapons Iraq truly had – and clarify the position for him? I recall, when I myself was Prime Minister, if there had been any possibility of my misleading either Parliament or the media on any issue – however inadvertently – my Private Office would have alerted me to this immediately so that the line could be corrected without delay.

    This complete failure in communication with the Prime Minister ought to be the subject of an Inquiry but it fell outside the Terms of Reference of Lord Hutton and there is no certainty that it falls within the Terms of Reference of Lord Butler. It is no wonder there is disillusion among the electorate.

    New Labour’s style of governing – and its adoption of spin and soundbite as its weapons of choice – has done immense damage to politics. Such black arts are political tricks, not statesmanship: they are not what we need in our complex world. It is hardly surprising that the electorate shrugs its shoulders in despair and moves on, blotting political involvement from its collective mind.

    The fate of politicians and governments does not matter: they are mortal and, in due time, are replaced by fresh administrations more tuned to the needs of the age.

    But if the institution of Parliament declines; if respect for it is lost; if politics is seen as a game not as the protection of our constitution and our liberties; if Ministers bow the head to advisers; and if the public loses its trust in the integrity of government, then we are in serious trouble.

    Is it too late for Parliamentary democracy? Has the watchman tolled the hour for our unwritten Constitution and Parliamentary system? I think not. I hope not. But the danger is clear and present.

  • Mr Major’s Commons Speech on the Constitution – 4 March 1998

    Below is the text of Mr Major’s Commons Speech on the Constitution on 4th March 1998.


    MR JOHN MAJOR:
    Mr Major: I echo the remarks made by my right hon. Friend the Member for South Norfolk (Mr. MacGregor) about the utter unacceptability of the fact that the time permitted to discuss this, perhaps the most crucial and central part of the whole Bill–the part upon which this whole constitutional experiment may founder to the damage of the whole United Kingdom–has been squeezed by a statement that could have been left until tomorrow, and an important Bill on broiler chickens.
    Mr. McAllion: Will the right hon. Gentleman give way?
    Mr Major: No, I shall not give way. I have things to say that are more important than answering the hon. Gentleman’s questions. I am delighted to speak after the hon. Member for Linlithgow (Mr. Dalyell). Throughout the consideration of the Bill, he has bravely identified the difficulties inherent in it, as he did with its predecessor many years ago. He and I do not always agree. In Hebden Bridge terms, there have been moments when others, not myself, might have referred to him as a . . . nuisance, but the way in which he has campaigned against a very bad and blatantly wrong Bill that is self-evidently damaging to the United Kingdom redounds strongly to his credit. I much admire what he has done.
    This bad Bill will do more damage to the United Kingdom than any Bill for generations, and will institutionalise advantages for Scotland and for Scottish Members of Parliament. The Bill will do more: over time, it will institutionalise resentment against Scotland and Scottish Members of Parliament, which is not a light matter for those of us who care about the unity of the United Kingdom.
    Sir Robert Smith (West Aberdeenshire and Kincardine): Will the right hon. Gentleman give way?
    Mr Major: If the hon. Gentleman will forgive me, I shall not. Many hon. Members want to speak, so I shall be brief. The key point–
    Mr. Andrew Welsh (Angus): The right hon. Gentleman has not attended a debate before today.
    Mr Major: The debate is brief because there is a guillotine at 5.30 pm, and the Government have outrageously wasted most of the available time. The key point–what has become known as the West Lothian question–is the way in which the Bill will unbalance the constitution. As the hon. Member for Linlithgow said, what the Bill proposes is unsustainable. Bluntly, what justification is there for Scottish Members of Parliament being able to vote on education, health and other matters affecting my constituents in England, when they cannot vote on those matters as they affect their own constituents?
    There is no logical reason for Scottish Members of Parliament being able to vote on matters that affect the English, the Welsh and the Northern Irish, when English, Welsh and Northern Irish Members of Parliament will be unable to vote on those matters as they affect people who live Scotland. What would happen–the hon. Member for Linlithgow touched gently upon this point–if a Government party had an overall majority in the United Kingdom, but was in the minority in England?
    Mr. James Wallace (Orkney and Shetland): What happened when the Government party was in the minority in Scotland?
    Mr Major: If the hon. and learned Gentleman cares to look back, he will see that previous Labour Governments have sustained a majority with Scottish Members of Parliament. The difference is that the Bill proposes that the Scottish Parliament will have exclusive responsibility for certain issues and the power to tax. If he does not understand that, he should listen to the debates and then contribute.
    Mr. Alex Salmond (Banff and Buchan): Will the right hon. Gentleman give way?
    Mr Major: No, the hon. Gentleman can make his speech in a few moments.
    Mr. Salmond: On a point of order, Mr. Lord. The former Prime Minister, for whom I have some regard, seems to be unaware that we are continuing a debate that we were having 10 days ago. Is it in order to attend the second half of a Committee debate and refuse to take interventions?
    The Second Deputy Chairman: It is up to right hon. and hon. Members to decide whether to take interventions.
    Mr Major: I shall deal with that point briefly. Of course the debate was going on the other evening, but it was agreed that there would be a further two hours of debate today. There has not been a further two hours of debate, and some hon. Members who want to speak on this issue will not be able to do so. I intend to be brief so that the hon. Gentleman can contribute, if only he will cease interrupting.
    I return to the point about what will happen in England. Will the English be treated less favourably constitutionally than the Scots under this Bill and the Welsh under the Government of Wales Bill? That is not sustainable. With their majority, the Government can drive the Bill through the House, and show every intention of doing so. I beg the Minister for Home Affairs and Devolution to consider what that will do over time to opinion in England. Does he really want to arouse nationalism across an England that resents the Scots and the Welsh? I do not want that to happen; yet I fear that the nature of the Bill, and the way in which the Government are driving it through the Commons, will lead to such an outcome.
    Is there a credible answer to the West Lothian question? Not without a rebalancing of the constitution once the Bill has become law, as it now almost certainly will.
    Mr. Norman A. Godman (Greenock and Inverclyde): Will the right hon. Gentleman give way?
    Mr Major: If the hon. Gentleman will forgive me, I will not. No one in the House has any doubt about my feeling on the issue over many years. I have never made any secret of the fact that I think that the sort of constitutional change that is proposed is very short-sighted. It is being introduced for party political advantage, and over time–a long time–it will backfire. I am concerned about the long-term future of the United Kingdom, not the short-term advantage of politicians who see some advantage in supporting the Bill at the present time.
    The only gainers from the Bill, over time, will be those who genuinely favour–the hon. Member for Banff and Buchan (Mr. Salmond) does, and has made no secret of it–a separatist Scotland, a Scotland broken away from the rest of the United Kingdom. The Government, who claim that that is not their position, will have to answer at the bar of history for having brought about circumstances that may create exactly that eventuality.
    If the Bill goes through, it will be necessary to bring about further constitutional change to minimise the damage and the resentment across the United Kingdom that the Bill will create. I do not know whether that means an English Parliament–which I do not myself favour–an English Grand Committee, or some other stratagem. Clearly, much more thought will be needed than we can give this afternoon, but changes there will undoubtedly need to be once the Bill is on the statute book.
    I say that changes will have to come, because the constitutional vandalism of this ill-thought-out pig’s breakfast of a Bill will demand further change elsewhere in the United Kingdom to protect the position of people elsewhere in the United Kingdom, and to protect the working practices of the House.
    Sir Robert Smith: Will the right hon. Gentleman give way?
    Mr Major: Surely the hon. Gentleman heard me say that I would not give way. I want as many hon. Members as possible to be able to speak. I have made it clear repeatedly over the past seven years, and over the past few months when the Bill has been contemplated, that I absolutely understand, and admire, the sense of national pride in Scotland. No one disputes that. I believe, however, that the Scots will find that the menu that has been laid before them is a menu without price. There is a price to be paid, in Scotland and elsewhere–
    Mr. McAllion: You paid the price.
    Mr Major: If I did, I paid the price for standing up for what I thought was right for the United Kingdom. I did not stand up for what I thought was right for Labour party political interests, which is what the present Government have done.
    Scotland cannot have extra privileges; it cannot have more public expenditure; it cannot have excessive representation in the House; and it cannot have constitutional advantages over the rest of the United Kingdom–if that United Kingdom is to remain united, as I wish it to. This is a divisive Bill. Let us not mince words. Not so much in the short term, as in the long term, the Bill will damage the unity of the United Kingdom dramatically. It brings change, and it will create a demand for more change. It is a constitutional whirlwind, and we will reap the harvest–not just in the House, where we can cope with our procedures, but in regard to something far more important and far more long-standing: the unity of the United Kingdom itself.
    On that issue, the House may not be able to make changes in the Bill, given the majority in favour of it; but the time will come when those who railroaded it through will have to answer for what they have done, and others will have to correct the errors that they have made.

  • Mr Major’s Comments on Labour’s Policy on Scotland – 4 April 1997

    The text of Mr Major’s comments on Labour’s Scottish policy, made on 4th April 1997.


    PRIME MINISTER:

    What a humiliating position Mr Blair’s answer has put the Scottish Labour Party in. First they have candidates imposed on them from London, then bring the Scottish manifesto up from London in Mr Blair’s back pocket and tell the Scots what the manifesto is going to contain. Thirdly, he ignores the views entirely of Scottish Members of Parliaments. And then he regards the Scottish Assembly as if it were a parish council.

  • 1997 Conservative Party Manifesto – 2 April 1997

    Below is the text of the 1997 Conservative Party manifesto.


    Foreword

    The Conservative administrations elected since 1979 are among the most successful in British peacetime history. A country once the sick man of Europe has become its most successful economy. A country once brought to its knees by over-mighty trade unions now has industrial peace. Abroad, the cold war has been won; at home, the rule of law has been restored. The enterprising virtues of the British people have been liberated from the dead hand of the state. There can be no doubt that we have created a better Britain.

    Why, then, do we still need a Conservative Government? Because resting on what we have achieved is not enough. To stand still is to fall back. Our goal must be for Britain to be the best place in the world to live.

    We live in a tougher, more uncertain world. A fast-moving global free market is emerging. New economic powers are rising in the East. Family life and social attitudes are changing. Europe is adjusting to the end of communism. The European social model is failing. The nation state is under threat. We must respond to these challenges.

    We have turned around our economic fortunes. We have fewer people out of work and more in work than any other major European economy. British people now have the opportunity of a prosperous future. But that prosperity cannot be taken for granted. We have to compete to win. That means a constant fight to keep tight control over public spending and enable Britain to remain the lowest taxed major economy in Europe. It means a continuing fight to keep burdens off business, maintaining our opt-out of the European Social Chapter. If we relax for one moment, our hard won success will slip away again.

    We have strengthened choice and personal ownership for families, and rolled back the state from areas where it was interfering unnecessarily in our lives. But we now have the opportunity to achieve a massive expansion in wealth and ownership so that more families can enjoy the self-respect and independence that comes with being self-sufficient from the state. Our far-reaching proposals for personal pension funds are central to achieving this – so too are our plans to increase support for the family in our tax system. Our aim is to spread opportunity for all to succeed, whoever they are and wherever they come from, provided they are prepared to work hard. To turn the “have nots” into the “haves”. To support the family in providing security and stability.

    We have modernised and reformed many of the areas where the state still has a vital role. But we now have to build on these reforms to deliver even better services. We must continue providing the resources to invest in our modernised health service. We can now provide parents with a hard-edged guarantee of standards in schools. We need also to widen choice in areas where state bureaucracy has constrained it.

    We have pioneered new ways of building partnerships that engage the private sector in areas previously dependent on the public purse. We now need to capture private sector investment on a massive scale to regenerate our cities, transform our crumbling local authority housing estates and modernise other public assets.

    The only way to secure this future of opportunity is to stick with the Conservative programme of continuing reform. Now would be the worst possible moment to abandon the pathway to prosperity on which we are set. We must keep up the momentum.

    At the same time we must maintain the security that a stable nation provides in an uncertain, fast-changing world. We must protect our constitution and unity as a nation from those who threaten it with unnecessary and dangerous change. And we must stand up for our interests in shaping a free-market Europe of sovereign nation states.

    There is, of course, an alternative on offer: to load costs on business while calling it “stakeholding”; to increase the role of the state, while calling it “the community”; to succumb to a centralised Europe while calling it “not being isolated”; to break up our country while calling it “devolution”.

    To risk this alternative would be a disaster for our country. We have come a very long way. We must be sure that we do not throw away what we have gained, or lose the opportunities we have earned.

    Our Record

    The UK is on course to grow faster than both France and Germany for the sixth successive year in 1998 – a post-war record.

    Inflation has now been below 4% for well over 4 years, the longest period of low inflation for almost half a century.

    Mortgage rates are at their lowest levels for 30 years.

    Unemployment has fallen to its lowest level for 6 years. We now have a lower unemployment rate than any other major European economy. Youth unemployment in Britain has fallen to less than 15% whereas by contrast, in France it has risen to 27% and in Italy to 33%.

    A higher proportion of our people are in work than in any other major European economy – 68% against a Continental average of 57%.

    The UK is the favourite location for inward investment into Europe, attracting around one third of inward investment into the European Union.

    We have the lowest tax burden of any major European economy, with the government taking almost 8% less of national income than the European average.

    Public borrowing has averaged 3.4% of GDP since 1919 compared with 6.8% (and a peak of 9.5%) under the last Labour Government. Our level of public debt is now one of the lowest in the European Union – whereas it was one of the highest in 1979.

    In 1994 the UK lost 300,000 working days through strikes, the lowest figure ever recorded; in 1979 the figure was 29,500,000: nearly 100 times that figure.

    Britain ranks fifth in the world in international trade, and exports more per head than America or Japan. Exports account for 28% of GDP as against 9% for Japan, 11 % for USA and 24% for Germany and France. Britain’s current account is broadly in balance, reflecting our increased competitiveness and improved trading.

    1. Doubling Living Standards

    The free market is winning the battle of ideas the world over. From Russia to Vietnam, from China to Romania, people are realising that the socialist model has failed. This is not just an economic triumph. It is a triumph for human freedom. Britain helped to secure it. We should take pride in it.

    The spread of the free market heralds a new age of global competition. That means new markets for British goods and services, but new competitors for British companies as well.

    If we try to protect ourselves from these challenges with more regulations, public subsidies and a cosy dependence on government then Britain will fail. But if we boldly embrace these new opportunities by pushing forward the economic revolution we began in 1979, then we will enter the next millennium with boundless prospects for growth and prosperity.

    That choice – between stagnation and dynamism – is the choice which faces Britain at this election. It is a stark choice between the British way – of trusting the people and unleashing enterprise – and the failing social model, practised on the continent, which the Labour Party wants to impose on us here under the guise of “stakeholding”.

    Hard economic evidence shows how great is the divide between these two strategies. Britain is now in its fifth year of growing faster than France or Germany. Unemployment in Britain has fallen to less than two million, while it rises across Europe. Britain attracts nearly forty per cent of all the American and Japanese investment in Europe. Our aim now is to safeguard these achievements and build on them, so Britain becomes the unrivalled Enterprise Centre of Europe.

    A Low Tax Economy

    For enterprise to flourish, the state must get out of the way of the wealth creators. We are the only party that can cut taxes because we are the only party which is serious about controlling public spending. The choice between the two economic philosophies is clean In the years before 1979, public spending in Britain kept pace with the average for Europe as a whole. Since then, it has continued rising on the continent, while we have restrained public spending here. Now, public spending takes about 40% of our national income as against an average of 50% on the continent. We have broken free from a trend in which the rest of Europe is still trapped.

    Conservative government will keep public spending under tight control and ensure that it grows by less than the economy as a whole over the economic cycle. At the same time we will continue to spend more on the services which matter most to people – hospitals, schools and the police.

    Over the next parliament, we will achieve our goal for the government to spend less than 40% of our national income.

    That means we can reduce the amount government borrows too, and meet our aim of moving towards a balanced budget in the medium term. Our plans show how we can virtually eliminate public borrowing by the year 2000.

    Thanks to our success in controlling public spending, Britain is now Europe’s low tax economy. This is one of the reasons why we are becoming the Enterprise Centre of Europe.

    Our aim is to ensure Britain keeps the lowest tax burden of any major European economy.

    In the election manifesto of 1992, we promised that “We will make further progress towards a basic income tax rate of 20p”. Since then, we have cut the basic rate of income tax from 25p to 23p, and extended the 20p band so that over a quarter of all taxpayers now only pay income tax at the 20p rate. Achieving our public expenditure goals will mean we can sustain permanently low tax levels.

    Over the next parliament, our aim will be to achieve our target of a 20p basic rate of income tax, while maintaining a maximum tax rate of no more than 40p.

    Stable Prices

    Inflation has to be kept firmly under control for an economy to thrive. Britain is now enjoying the longest period of stable prices for almost fifty years. We are on target to reach our goal of 2½% inflation this year.

    Low inflation has delivered lower interest rates whilst preserving the value of people’s savings. Homeowners are now enjoying mortgage rates at the lowest levels for 30 years.

    It has taken tough decisions to break free from our reputation as a high inflation economy. No Conservative government will jeopardise this achievement.

    During the next parliament, we will maintain an inflation target of 2½% or less.

    Rising Living Standards

    The only secure base for rising living standards is a strongly growing economy, low levels of public spending and taxation, and stable prices. That is exactly what Britain is achieving. People are reaping the rewards of their hard work as their take home pay increases. Between 1974 and 1979, the take home pay for a family on average earnings rose, in real terms, by just £1 a week in today’s prices. Since 1979 it has increased by £100 a week; this year alone it will increase by £7 a week.

    The goal which we set ourselves in 1995 is to double living standards over 25 years.

    We are on course to achieve our goal.

    2. Jobs and Business

    Our priority is to create jobs. This is not just an economic priority, but also a social and moral one. Jobs and enterprise are the best ways of tackling poverty and deprivation.

    Britain is succeeding. 900,000 jobs have been created over the past 4 years. By contrast the European social model is stifling job creation on the continent by imposing regulations and burdens on business. In the United Kingdom unemployment is much lower than in the rest of Europe and falling whereas in Germany, France, and Italy it has risen to its highest level for a generation. This is no accident. It is because we have pursued very different policies from those on the Continent.

    Curbing the power of trade unions, opening up markets and cutting red tape, have given us a low strike, low cost economy: and as a result Britain is the number one location for foreign investment in Europe.

    Never have such policies been so important. For the first time this century we face a world full of capitalist competition. The only way Britain will be able to compete and win in world markets is by sticking to the Conservative policies that are delivering success. We can earn prosperity as one of the world’s most successful global trading nations. We should not risk this progress by adopting the very policies that have made the continent uncompetitive and have increased unemployment in Europe by 4.5 million over the past 5 years.

    Small Businesses – Britain’s Risk-takers

    Governments do not create jobs. Businesses do. The source of tomorrow’s jobs will be small businesses, the seedcorn of Britain’s prosperity. Over the last 15 years, small businesses have created over 2 million jobs. By the year 2000, over half the workforce should be working in companies which employ fewer than 50 people. Back in 1979 only a third of the workforce did.

    Entrepreneurs often risk everything when they set up their own business. We have already helped them: raising the VAT threshold, cutting employer’s national insurance contributions, simplifying audit requirements and much more besides. Now we intend to go further, tackling the remaining problems they face.

    High taxes and rates deter enterprise. Our low tax structure has been crucial to our industrial revival. We already have the lowest corporation tax of any major industrialised country. As we want small businesses to flourish, we will go even further.

    We will cut the small companies rate of corporation tax in line with personal taxation as we move towards a 20p basic rate

    Investment and enterprise are deterred if the taxman takes too much of the capital that is built up by a successful business. Capital is ever more mobile, flying around the world to places where the tax on it is low: Britain must be one of those places.

    We will continue to reduce the burden of capital gains tax and inheritance tax as it is prudent to do so.

    One of the heaviest burdens small businesses face is business rates. At the moment, this bears more heavily upon small businesses than large ones.

    In the next parliament, we will reform business rates to reduce the cost that falls upon small businesses.

    No businessman has time to fill out reams of forms. We will continue to simplify the administration of NICs and PAYE for small firms, allowing them to concentrate on satisfying customers not bureaucrats. We are also tackling a problem that hits small businesses particularly hard – the late payment of bills. On top of our programme to ensure government departments and local authorities pay on time we have legislated to require companies to publish their payment policy and to report their record on how quickly they pay their bills to small businesses.

    We have already abolished over a thousand regulations. New regulations must only be introduced if it is clear that their benefits exceed their costs and they do not place an undue burden on a small firm.

    We will introduce “sunset” requirements into new regulations whenever appropriate so that they are automatically reviewed or dropped after a specific period.

    Many businessmen suffer regulatory burdens imposed by local government and quangos.

    We will therefore insist that the whole of the public sector adopts the same stringent rules that we require of central government in justifying the benefits of new regulations against their costs.

    Reducing the Burden on Companies

    Jobs depend on British firms winning orders: the difference between success or failure can be wafer-thin. Any extra burden on business will destroy jobs.

    Britain is enjoying more jobs and record investment, thanks to the competitive edge we have over other European countries. We are a low cost economy But that does not mean we are a low pay economy. Our competitive advantage comes from the lower costs facing our businesses. It can be measured by the social costs an employer has to pay on top of every £100 of wages: in Germany it is £31, in France £41, but in Britain, it is only £15.

    Many countries in Europe have tried to cocoon themselves from global competition behind layers of red tape and regulation – such as the Social Chapter and a national minimum wage. This provides a false sense of security, playing a cruel trick on working people. It also excludes the unemployed from work. As companies in the rest of Europe have grown more uncompetitive, employers have found it too expensive to employ new workers, investment has gone elsewhere, and the dole queues have lengthened. The European social model is not social and not a model for us to follow. But if Britain signed up to the Social Chapter it would be used to impose that model on us – destroying British jobs.

    No Conservative government will sign up to the Social Chapter or introduce a national minimum wage We will insist at the Intergovernmental Conference in Amsterdam that our opt-out is honoured and that Britain is exempted from the Working Time Directive: if old agreements are broken, we do not see how new ones can be made

    We will resist the imposition of other social burdens on the work place through a new European employment chapter.

    Welfare into Work

    Although governments cannot create jobs, they can help people train and find work. We now have in place a battery of schemes working with Training and Enterprise Councils to provide targeted help and training, including remedial education in literacy and numeracy. We are also developing new incentives, alongside Family Credit, to help people move off benefit into work.

    We will always help those in genuine need: in return, the unemployed have a responsibility to look for work and accept a reasonable offer That belief underpins our new Jobseeker’s Allowance which ensures that no-one can refuse reasonable work opportunities and remain on benefit.

    As unemployment falls, we want to focus on those who have been unemployed for some time. At present, Project Work is helping 100,000 people who have been unemployed for more than 2 years in cities around Britain. They are first given help in finding a job – which includes giving employers incentives to take them on. Those who do not find jobs are then required to work for a specific period on a community project. This helps them regain work habits and ensures they are available for work.

    As Project Work succeeds and demonstrates that its costs can be met by the savings from getting people into work, we will extend the programme to cover the long-term unemployed nationwide

    We will also develop an innovative “Britain Works” scheme which uses the experience and ingenuity of private and voluntary sectors to get people off welfare into work.

    Britain has one of the most mobile economies in Europe. People move on, and up, into better paid jobs more easily than on the continent.

    The Information Society

    Britain is at the forefront of creating tomorrow’s information society Already we have exposed domestic telecommunications to competition and stimulated investment in cable and satellite entertainment systems. And by opening up international telecommunications we will continue to encourage companies worldwide to base their global operations here. We will make sure that the digital revolution comes to Britain first.

    We are launching an ambitious programme with industry to spread “IT for All”, giving every adult the opportunity to try out and learn about new IT services. We will work with industry to ensure that all schools are connected to the information superhighway.

    We will use the Millennium Lottery Fund to transform the computer facilities and information links available in schools, libraries, museums, voluntary organisations and other public places after the turn of the century.

    This will give the public much wider access to information services in the years ahead. We will also take advantage of information technology to transform the way government provides services to the public.

    We will keep Britain in the vanguard of new mobile service development – including mobile telephone and information services – by introducing a pricing system for the radio spectrum to achieve more efficient allocation of radio frequencies.

    We will maintain a strong, free and competitive broadcasting and press environment at both national and local level, while continuing to be vigilant in monitoring whether action is needed to curb breaches of standards, and prevent unacceptable press intrusion.

    Science

    British science enjoys a worldwide reputation for excellence and cost-effectiveness, which makes Britain an attractive base for many domestic and overseas companies. We will continue to invest in science and target funds at basic research, which would not otherwise be funded by industry. At the same time we will provide an enterprising environment which encourages firms to invest with confidence in applied science.

    2020 Vision

    There is no part of the globe which has not been reached by British enterprise and British culture. We have always looked out beyond these shores, beyond this continent. Our language, our heritage of international trading links, our foreign investments – second only to America’s – are historic strengths which mean we are ideally placed to seize the opportunities of the global economy.

    Thanks to Conservative policies of liberalisation and privatisation we are strong in industries of the future such as telecommunications, financial services, and information technology. These are the industries that will benefit from opening up trade around the world. We will push for completion of the European Single Market and continue to pursue the objective of transatlantic free trade against the background of world trade liberalisation.

    Our aim is nothing less than tariff free trade across the globe by the year 2020.

    Free competition is important for free markets. Companies should not make agreements that restrict competition and hence result in poor value for consumers. We have set out proposals to give companies greater protection against price fixing, dumping, and other restrictive practices by larger competitors.

    We will introduce a Competition Bill to take forward these proposals in the first session of the next parliament

    We are committed to pushing forward our competitiveness agenda which is making Britain the Enterprise Centre of Europe.

    Opportunity and Ownership for Individuals and Families

    Our Record – Opportunity

    The right to buy has allowed 1.5 million council tenants to become homeowners. There are over 4 million more homeowners today than in 1979.

    The Government has spent £6 billion through housing associations to provide homes for rent. Between 1992 and 1995 housing associations provided 178,000 new lettings – 25,000 more than promised in the 1992 Manifesto.

    There are now around 10 million private shareholders, up from about 3 million at the time of the last Labour government. 2.5 million people now have tax free savings in PEP accounts, and 4.5 million in TESSAs.

    Since 1979, the success of private pension provision has raised the average income of pensioners by 60% more than inflation. Almost 90% of recently retired pensioners now have incomes over and above state benefits.

    Savings in private pension funds have increased to £650 billion –more than 4 times the level in 1979. Their value is greater than the pension funds in all other EU countries added together.

    Over the period 1979 to 1995, education spending per pupil rose from £515 to £1,890 – an increase in real terms of 48%. Real spending on books and equipment per pupil rose 56%. Teachers’ real pay rose 57%: from £270 per week in 1979 to £420 in 1995.

    In 1979, 40% of three and four year olds attended nursery school; in 1995 the figure was 59%. Our nursery vouchers now give this opportunity to every child.

    The proportion of sixteen year olds staying on in full-time education rose from 4 out of 10 in 1979 to 7 out of 10 in 1995.

    Almost 1 in 3 young people now go on to university, compared with 1 in 8 in 1979.

    The proportion of adults with no academic qualifications has halved since 1979 and the proportion of adults with a degree or equivalent has more than doubled rising from 5% to 12%.

    3. Choice and Security for Families

    The family is the most important institution in our lives. It offers security and stability in a fast-changing world. But the family is undermined if governments take decisions which families ought to take for themselves. Self-reliance underpins freedom and choice.

    Families are stronger if they have the money to look after themselves: that is why we are shifting power and wealth back to working families and away from the state. We have already achieved much – the average family’s disposable income has gone up by 40% since 1979. But we want to go further. The next Conservative government intends to reform the tax system so that it gives substantially more help to families.

    We also want to encourage people to save so they have the security and self-respect that comes from being able to rely on their own resources rather than immediately turning to the state. We have already made much progress here too with widening ownership of homes, pensions, and the new PEPs and TESSAs. We now propose further radical measures for more saving for retirement.

    Families and Tax

    We believe families should be left with as much of their own money as possible. They know better than politicians how to spend it. We have already cut the basic rate of income tax from 33p to 23p, and our aim is to get it down to 20p, benefitting 18 million taxpayers. We intend to do even more to help families in particular

    At the moment, if one spouse does not take paid work in order to look after children or dependent relatives, they not only give up earnings but may also be unable to benefit from their personal tax allowance. Yet this is the time at which their income is often most stretched.

    We believe our tax system should recognise and support the crucial role of families in their caring responsibilities. We will give them that support.

    We will give priority to future reductions in personal taxation that help families looking after dependent children or relatives by allowing one partner’s unused personal allowance to be transferred to a working spouse where they have these responsibilities.

    This will provide a targeted reduction in the tax bill to those families who need it most. Around 2 million one-taxpayer couples with dependent children, or looking after elderly relatives and others needing care, would gain up to £17.50 a week – around £900 a year

    Family Savings

    In the old days people just depended on the weekly pay packet or money from the state. But no job can be secure and the state cannot provide for every eventuality. It is ownership which brings true security and genuine independence from the state. That is why Conservatives have long dreamed of a property-owning democracy. Now we are delivering it in practice. Home ownership is up by 4.7 million. 10 million people own a direct personal stake in our economy. 16 million are gaining shares in their building societies thanks to our deregulation of them. We intend to carry forward our vision of a people’s share. This is a significant increase in personal security. It is the Conservative vision of security through personal savings – not a socialist vision of security through the state.

    We want people to enjoy Britain’s success – especially by owning shares in the companies for which they work. We have already introduced a number of schemes to encourage employee share ownership. To encourage a further expansion of worker shares, our new Share Match Scheme will allow employees to be rewarded with additional free shares if they acquire a stake in their company.

    Our goal is that by 2000, more than half of the employees of Britain’s larger companies will own shares in those companies.

    Four and a half million people now benefit from tax free TESSAs and 2.5 million from PEP schemes to encourage the accumulation of long term saving. We will continue to build on this success by exploring ways in which existing tax exemptions for savings can be developed – allowing individuals to secure their future and protect their families against unexpected contingencies.

    We will continue to raise the threshold for inheritance tax as it is prudent to do so.

    People are not just saving for themselves but for their children and grand-children. These savings should not be penalised by the tax system.

    For many people their biggest asset is their pension. Thanks to the steps we have already taken to encourage occupational and personal pensions, we now have £650 billion invested in private pensions – more than the rest of the European Union put together We now plan to build further on this achievement.

    We will make it easier for small employers to set up personal pension plans for groups of employees.

    We will create more flexibility for people who save in personal pension plans to continue investing in those schemes if they subsequently move to jobs with company pension schemes.

    We will also create flexibility for employees with savings in Additional Voluntary Contributions (AVC) schemes to take part of that pension earlier or later than their main company pension.

    But we believe the time has now come to plan for another important step in improving Britain’s pension provision. Britain is already much better placed than many other countries to afford state pensions in the future, but we want even more people to be able to look forward to properly funded pension that grows with the economy and is free from dependence on taxes paid by future generations. We now propose a practical way of achieving a gradual transformation of the state pension scheme.

    At the start of the next parliament we will set out proposals to provide all young people entering the workforce with a personal pension fund paid for through a rebate on their national insurance contributions. At retirement they would be entitled to the full pension earned by this accumulated investment. This could give them a pension significantly higher than they would currently receive from the state. But they will be guaranteed a pension at least equal to the current bask state pension, increased in line with inflation.

    This will be one of the most significant improvements in the state pension system since it was introduced.

    Older people currently in the workforce would be unaffected – they will continue to contribute as now and receive the normal state pension when they retire.

    This policy would come into effect early in the new millennium. Gradual phasing in of the new system over 40 years will make the impact on public finances affordable. Even at its peak, the net revenue forgone will be only a fraction of the savings from the recent Pensions Act. And eventually, the new policy will produce massive public expenditure savings.

    This far-sighted idea is in the best Conservative tradition. The growing wealth of the nation will provide for the next generation through private funding, underpinned by a state guarantee. British people will be able to look forward to retirement with even greater confidence. And our young people will have a pensions opportunity unrivalled in the world.

    Support for Families

    Conservatives believe that a healthy society encourages people to accept responsibility for their own lives. A heavy-handed and intrusive state can do enormous damage.

    Some families need help to cope with their responsibilities. For them, Social Services play a vital role. They help with children where parental care has failed. They deliver an ever wider range of services to people with learning difficulties or who are mentally ill. Our community care reforms have given them a central role ensuring that elderly people get care of the highest quality: and in their own homes where possible. We need to ensure that role is properly fulfilled.

    Early in the next Parliament we will introduce a Social Services Reform Bill which will create a new statutory framework for social services. The Bill will provide for greater openness and accountability in social services.

    We will provide new guidance to ensure social workers properly reflect the values of the community – focusing their efforts on those families who most need support, and minimising unnecessary interference. Social workers working with children will receive special training to cope with the often heart-rending cases they face.

    We will raise standards through a new regulatory framework which will apply the same standards in both the public and private sector.

    We will also remove the power of local authorities to operate care homes where this is in the best interests of the people for whom they are responsible.

    We believe that families who use social services should be able to exercise choice wherever practicable. We have given cash payments to disabled people to purchase the services they need directly.

    We also want new ways of reinforcing individual choice where possible. We will therefore ensure no barriers stand in the way of local authorities wanting to issue their users with vouchers to buy certain services.

    We will review the direct payment scheme, and provided it has been cost effective, we will extend it to other users of social services.

    Above all, we want to help families to help themselves. Caring for older – or disabled – relatives is one of the most natural human instincts. We recognise the crucial and often demanding role carers play, and will help them more.

    We will introduce a Respite Care Programme. This will enable family members with heavy responsibilities caring for a relative to take a much needed break. We will also offer more practical advice for carers who want to go back to paid work.

    But in some cases, elderly people need more care than their friends or relatives can provide. Financing long term care worries many families. We will create an imaginative, fair partnership between individuals and the public sector to resolve this problem.

    In the first session of the next Parliament we will implement our partnership scheme for long term care, making it easier for people to afford the cost of care in old age without giving up their lifetime savings.

    Good preparation for marriage can be an important aid to a successful family, while timely help in meeting difficulties can often avoid family breakdown. These are matters for voluntary effort, not the state, but we will continue to support such effort.

    We need to make sure efforts to help struggling families does not turn into unnecessary meddling.

    When the state goes too far, it is often the children who suffer They become victims of the worst sort of political correctness.

    We will introduce legislation to remove unnecessary barriers to adoption and introduce new rules to make adoption from abroad more straightforward.

    We will also monitor the workings of the Children Act, and act if necessary to ensure it maintains a proper balance between the rights of children and the responsibilities of adults.

    Social Services departments are now the fourth arm of the welfare state. Most people will need them at some point in their lives. We will ensure that the Conservative revolution in public services now reaches Social Services.

    Disabled People

    We have quadrupled real spending on long term sick and disabled people since 1979, to £22 billion.

    We have introduced the Disability Discrimination Act. This is the first legislation of its kind anywhere in Europe and it provides positive proof of our commitment to disabled people. We will monitor it to ensure it continues to meet its objectives.

    We are also providing a continuing fund to enable the most severely disabled people to stay in their own homes.

    Security in Retirement

    Pensioners continue to make a positive contribution to society in retirement. They give more of their time in charitable work than any other age group. They lift some of the pressures on their own families. They help keep our nation’s history and traditions alive.

    They have paid their National Insurance contributions and taxes and rightly expect us to continue to protect the value of the basic state pension against price rises. We will do so. We will also ensure that less well off pensioners continue to get extra help on top of the basic pension.

    At the same time as protecting the state pension, our encouragement of private pensions is already transforming the living standards of pensioners. The average net income of pensioners has risen by 60% since 1979. This has been achieved by our encouragement of saving for retirement.

    The tax system must help pensioners who have saved. Our new lower 20p rate on income from savings directly helps 1.7 million pensioners and the special age allowances raise the point at which pensioners start to pay income tax.

    A Better Social Security System

    People in need can rely on our continuing support. To ensure that taxpayers are

    willing to go on paying for that support, we have shaped a social security system we can afford, taking a steadily declining share of our national income. We are doing this by focusing benefits on those most in need, helping people off welfare and into work, and curbing welfare fraud. These policies are underpinned by our measures to help families help themselves.

    Social Security must be there to help families, pensioners and people in need. We will protect the value of Child Benefit and Family Credit which help with the cost of bringing up children. This is our Family Benefits Guarantee.

    We will bring the structure of benefits for lone parents into line with that for two-parent families. We will continue to help lone parents obtain maintenance, and assist with childcare in work: both these measures help lone parents obtain work. We will pilot our “Parent Plus” Scheme that gives special help to lone parents who want to work, and extend it if it proves successful.

    Social Security fraud must be stamped out.

    We will intensify our current initiatives of inspections and checks, including more home visits, to crack down further on benefit cheats. We will introduce benefit cards across the country. We will establish a Benefit Fraud inspectorate to monitor local authorities’ performance. We will also improve the sharing of information between government departments to catch more fraudulent claims.

    To ensure as much of the Social Security budget as possible goes into benefits, we will continue to improve the efficiency of administration, using the best mix of public and private sector operations.

    Housing

    Owning one’s own home is an aim shared by millions of people. Over the last 18 years, the number of homeowners has increased by 4.7 million – including 1.7 million who have bought their home under the right to buy scheme. Over the next 10 years, we expect to see another one and a half million people buying their own homes – some 3,000 every week. To meet that demand, we will continue to allow local authority and housing association tenants to buy their homes, or move to houses which they buy.

    We will also carry through our draft Bill, creating the option for those buying flats to choose a new form of commonhold ownership.

    For those who wish to rent their home, we are encouraging a thriving private rental market, building on the success of housing investment trusts and protecting assured tenancies.

    Easier renting will help us meet our target of reducing the proportion of empty homes below 3%. The number of empty houses has fallen in each of the last 3 years. But nothing is more frustrating for people who need social housing, than the sight of a suitable property owned by the public sector boarded up and empty. We will stop that.

    Public landlords will have to sell houses which are available for occupation yet have been left empty without a good reason for more than 12 months.

    Housing associations and housing companies will continue to receive help in building new homes, and we will encourage more public-private partnerships. Together, these policies will help meet the demand for new public housing and make sure that there are decent homes for those in need.

    Opportunities for Women

    Women are succeeding in Britain. More women have jobs in Britain than in almost any other European country. Women have a better education, more financial independence and more opportunities than at any other time in Britain’s history.

    This success reflects the efforts and determination of many women. Government’s role has been simpler – to level up the playing field, whether in education, where girls are now doing better than boys, or in the workplace, where opportunities for women are the best in Europe.

    But we know our job is not yet done. Some women still face barriers to doing well. Some still do not have the financial security they deserve. And crime, and the fear of crime, often affect women more than men.

    We will ensure women have equal opportunities in education and the workplace. This can best be achieved by keeping our economy buoyant and our labour markets flexible. And our proposals to bring crime rates down further will help women especially.

    But many women – and some men – face a particular problem: how to juggle job and family. For those who need or want to work, we will seek further ways to minimise the barriers to affordable, high quality childcare. For those who wish to be full-time parents, our proposals to enable them to transfer their unused personal allowance to their spouse will be worth up to an extra £17.50 a week.

    We also want to give women more financial independence, particularly when they retire. We propose, as explained elsewhere, to improve flexibility in saving for retirement and to allow courts to split pensions on divorce.

    Looking Outwards

    The spread of share ownership, the transformation of pension provision, and the sale of council houses are revolutionising our nation. Personal prosperity and property ownership are not selfish or inward-looking.

    People who are secure at home can look out for others in their community. Over two thirds of adults engage in some form of voluntary activity. By the end of 1997 all young people aged between 15 and 25 who want to volunteer will be helped to find an opportunity to do so.

    We will make it easier for those receiving incapacity benefit to volunteer by removing the 16 hour weekly limit on their voluntary work.

    We will encourage voluntary work by others living on benefit while continuing to insist that those who are capable of work should actively seek employment. We will also develop accreditation for voluntary work to encourage employers to see it as preparation for a paid job.

    It is wrong to imagine that compassion must be nationalised and that we can only help our fellow man through state action.

    4. Education and Opportunity

    All children dream of what they might do when they grow up. Our task is to help them turn those dreams into reality whatever their background may be. It is an exciting world, full of new opportunities for inquiring minds: it should be open to every child. Their future – and Britain’s prosperity – depends on the quality of their education.

    Our Education Guarantee

    A good education is the birthright of every child. Literacy is the building block of all future learning: English is the global language of commerce and, much more, a thing of beauty. Without basic science and mathematics, the modern world is incomprehensible. Every child therefore must be taught to read, write and add up from an early age.

    Years of mistaken, progressive education in the 1960s and 1970s denied these precious skills to too many children. We have worked ceaselessly since 1979 to put that right. Our decision to test children and publish the results has allowed standards to be measured and exposed. We have reformed the curriculum, toughened inspections, and given more information and power to parents. Our many excellent teachers now know what is expected of them, and already standards in schools are rising. But they are still not good enough. We must do more.

    Building on what we have done, we can now offer a new pledge to parents – a guarantee of education standards.

    First, we will set national targets for school performance that reflect our objective of ensuring that Britain is in the top league of international standards across the whole spectrum of education.

    Second, we will require every school to plan how to improve its performance, and to set targets which relate to similar schools and national standards.

    Third, we will give all parents full information on the performance of their child’s school

    Fourth, to underwrite our pledge, we will ensure action is taken to bring any under-performing school up to the mark.

    We will meet this pledge by using the full set of levers for improved standards that we have put in place.

    We are revising and simplifying the National Curriculum in primary schools to emphasise high standards in the basic skills.

    Parents and teachers must have an overview of not just how much a child has learnt while at school, but how the school performs against others. Poor schooling must not be protected by a veil of secrecy. Parent power is a vital force for higher standards.

    Regular tests and exams are essential if teachers are to discover how much their pupils have learnt, and parents are to know how much progress their children are making against national standards. That is why children are already being tested at 7, 11 and 14.

    We will publish all school test results, including the results of tests of 7 and 14 year olds.

    We propose also to assess every child at five.

    This will give teachers and parents a benchmark against which they can measure future progress. To give a better measure of pupil’s performance, marks out of 100 will be made available to parents as well as the broad-brush levels.

    We will also introduce a new test for 14 year old children that covers the whole National Curriculum – assessing progress before they choose subjects for GCSE.

    Tests and exams need to be rigorous and demanding. We will insist that they establish children’s command of spelling, punctuation, and grammar in English tests. Children will sit arithmetic tests without calculators. We will not allow such extensive use of open books in tests and in GCSE exams. We will establish an English Language GCSE. We will continue to uphold the gold standard of A-levels, and ensure that the great classics of our literature are studied at A-level. At the same time students should have the chance to study more subjects in the sixth form.

    Rigorous tests show how individual children and schools are performing and expose schools that are not giving children the education they deserve. To underwrite our guarantee, we will then take action to improve standards. We cannot tolerate schools that fail their pupils.

    By this summer every secondary school in the country will have been inspected by independent inspectors, and by summer 1998, every primary school will have been inspected as well. We have the power to take over failing schools directly and close them if necessary We will now go further and require every school to set, and publish, regular targets, and plans for improving their academic results. Independent inspectors will monitor the results of weaker schools and their plans for improvement at regular intervals.

    Sometimes, though, schools are failing because the local education authority which runs them is failing. The authorities with the worst GCSE results and the worst results at Key Stage 2 (11 year olds) are run by Labour. Those children need our help.

    We will allow for on independent inspection of education authorities and intervene directly to raise standards where education authorities are letting children down.

    Failing authorities will be required to set out their plans to raise standards, and work with education teams – directed by independent inspectors – to implement those plans.

    The vast majority of teachers do an outstanding job. They have played a key part in implementing the reforms that we have introduced. A few, though, let their pupils down.

    We will establish a more rigorous and effective system of appraising teachers, which reflects how well their pupils perform in tests and exams: this will identify which teachers need more help and, where necessary, which teachers need to be replaced.

    Many feel that the professional standing of teachers would be strengthened by the creation of a single body which could speak with authority on professional standards. We will consult with teachers and other interested parties about the possible role of such a body.

    The school should be a place of stability and stimulation for children, especially if they come from a hostile or turbulent environment. To improve standards in future our new teacher training curriculum will stress traditional teaching methods –including whole class teaching and learning to read by the sounds of letters. We will also encourage more teachers to enter the profession through practical training schemes focused on classroom experience such as the Graduate Teacher Scheme. A child is likely to learn more in a well-ordered school. Teachers must have the powers they need to maintain discipline. We will give teachers greater power to set detentions, to exclude disruptive pupils and to use reasonable physical restraint where necessary.

    Schools also have an important role to play in spiritual and moral education. We will take steps to ensure that every school fulfils its role of providing religious education and collective worship.

    Choice and Diversity

    When we came to power in 1979 the school system was totally dominated by one type of school – the monolithic comprehensive. The system failed our children. It treated every child the same. It told parents where to send their children. It did not give schools the freedom to run their own affairs.

    Since 1979 we have created a rich diversity of schools, to serve the varied talents of all children and give parents choice within that diversity, because we believe that parents know what is best for their children.

    That is why we – and only we – are committed to giving the parent of every four year old child a voucher for nursery education so they can choose the pre-school education they want for their child, whether in a play-group, a reception class, or a nursery school in the private or state sector.

    We will give more talented children, from less well-off backgrounds, the opportunity to go to fee-paying schools by expanding the Assisted Places Scheme to cover all ages of compulsory education, in line with our current spending plans. We propose to develop it further into a wider scholarship scheme covering additional educational opportunities. The freedoms and status of fee-paying schools will be protected.

    Grant-maintained schools have been popular with parents across the country –whatever their politics. We will encourage more schools to become grant-maintained and will allow new grant-maintained schools to be set up where there is sufficient local demand. We will give all grant-maintained schools greater freedoms to expand and to select their pupils.

    Grant-maintained schools are leading the way. Local authority schools are also benefitting from our policy of local management of schools. Our ultimate objective is that all schools should take full responsibility for the management of their own affairs. In the next parliament we will take another step towards giving them that freedom.

    We will extend the benefits of greater self-governance to all LEA schools. We will require local authorities to delegate more of schools’ budgets to the schools themselves. We will give them more freedom over the employment of their staff and over admissions. And, where they want it, we will allow them to take over ownership of their assets, so they can make best use of the resources.

    Local authorities will continue to be responsible for their schools’ standards. They will provide funds, and compete with other organisations to provide services to schools. We would expect the increased responsibility of head-teachers, and their role in achieving efficiency-savings, to be recognised by their pay review body.

    Schools are stronger and more effective where head-teachers and governors can shape their own distinctive character Sometimes that means developing a speciality in some subjects. Sometimes it means selecting children by their aptitudes: where parents want this we should not stand in their way. Special abilities should be recognised and encouraged.

    We will continue to encourage the establishment of more specialist schools in technology, arts, languages and sport. We aim to help one in five schools become specialist schools by 2001.

    We will allow all schools to select some of their pupils.

    We will help schools to became grammar schools in every major town where parents want that choke.

    The high standards, real choice and genuine diversity which we have introduced will produce the best results for all our children.

    Lifetime Learning

    Lifetime learning is a reality in Britain today. Over a half of all students in universities, and seventy per cent of those in further education colleges, are adults who have returned to education later in life. We will continue to create new opportunities for more people to participate.

    There has been a revolution in further and higher education. Three and a half million people are in further education –up from just half a million in 1979. The number of young people going to university has risen from one in eight to one in three over the same period.

    We will ensure consistently high standards and will consult on the development of higher education when we receive the results of the Dearing Review. We have world class research in British universities which we will continue to support.

    Every young person should have the opportunity to continue in education or training.

    We will give students between 14 and 21 a learning credit which will enable them to choose suitable education or training leading to recognised qualifications up to A levels or their equivalents.

    We will also introduce National Traineeships and encourage employers to offer more work-based Modern Apprenticeships to young people. Objective external assessments of a proper syllabus will be made a part of all National Vocational Qualifications.

    We will continue to support the network of Training and Enterprise Councils, which have created a valuable partnership between business and government. We will encourage more employers to become involved in “Investors in People”, with the public sector matching the performance of the private sector.

    Competitive markets demand high skills. If Britain is to win, we need to encourage learning and give people the opportunity to go where their interests and inquiring minds take them.

    World Class Health and Public Services

    Our Record – Health and Public Services

    Government spending has concentrated on priorities, not wasteful bureaucracy and overmanning. Despite tough overall public spending plans, real spending on the NHS has risen nearly 75% since 1979 , on schools by 50% and on the police by more than 100%.

    The Health Service is treating over 1 million more patients each year than before our reforms.

    The number of people waiting over 12 months for hospital treatment has fallen from over 200,000 in 1990 to 22,000 last year. The average wait has fallen from nearly 9 months to 4 months.

    The Government has set up the Citizen’s Charter to provide first class public services for all citizens. Nearly 650 organisations have received a Charter Mark for meeting demanding standards of performance, customer satisfaction and value for money.

    There are now 55,000 more nurses and midwives and 22,500 more doctors and dentists than in 1979. For every senior NHS manager, 77 people are providing direct patient care.

    Nurses average earnings have grown 70% in real terms: from £68 a week in 1979 to £325 in 1995. Doctor’s pay has risen by a third. Under Labour both were cut.

    Infant mortality has fallen from 13.2 to 6.2 per thousand over the last 18 years.

    Deaths through road accidents are now the lowest since records began in 1926. Since 1979 road deaths and serious casualties have fallen by 43% despite an 85% increase in motor traffic.

    The government has invested record amounts on transport – more than £26 billion since 1979 in investment on motorways and trunk roads; £16 billion in investment on railways; and £8 billion in investment on London Transport.

    Privatisation is delivering better services at lower costs. BT’s main prices are down by more than 40% in real terms. Average household bills for gas and electricity have also fallen in real terms since 1990.

    5. Security in Health

    We have been the guardians of the NHS for most of its life, improving its services and securing its funding. The benefits can be seen in our rising standards of health. 1993 was for example the first year in which no child in this country died of measles. Between 1979 and 1995 life expectancy at birth in England has increased from 70.4 years to 74.3 years for men and from 76.4 years to 79.6 years for women. We are getting healthier and we are better looked after when we are sick.

    Growing Resources for a Modern Health Service

    This progress has been possible because we have increased spending since 1979 by nearly 75% more than inflation, to almost £43 billion. And we are not stopping there. The next Conservative Government will honour a firm guarantee to the NHS.

    We will continue, year by year; to increase the real resources committed to the NHS, so NHS spending will continue to share in a growing economy

    Under Labour there have been years when resources for the NHS actually shrank – something that would be inconceivable with the Conservatives.

    Money is only really a means to an end: better patient care. Now we are treating 9.2 million hospital in-patients and day cases as against 6.9 million in 1992 and 5.1 million in 1979.

    Investing in Skilled Staff

    We are committed to expanding the medical staff of the NHS. We shall therefore increase medical school intakes to 5,000 a year by the year 2000 and are ahead of schedule in reaching the target.

    Good nursing is the bedrock of the NHS. In particular we will increase the number of nurses with specialist qualifications in paediatric intensive care,emergency care, and cancer care. The number of nurses qualifying each year will increase by 2,500 within the next 5 years as we continue to expand Project 2000 training.

    Higher Standards of Service

    We are tackling the problem of long waiting times which can cause so much worry; distress, and pain. We have set tough targets under the Patient’s Charter and as a result average waiting times for in-patient hospital treatments have fallen from more than 6 months 5 years ago to 4 months last year.

    Patients no longer put up with being kept in ignorance. They want to know more.

    We will publish more information on how successfully hospitals are treating patients so that they and their GPs can make more informed choices between services in different hospitals and help stimulate better performance

    Better Primary Care

    Our vision of the NHS is one in which hospitals and family doctors gain greater power to run their own affairs. That is why we will continue to encourage the spread of fundholding among GPs. Labour by contrast would destroy the new freedoms that fundholding doctors enjoy by imposing a new layer of bureaucracy on top of them.

    However, we do not want the benefits of better healthcare to be confined to patients of GP fundholders. Our proposals to shift more healthcare towards family doctors are open to all

    We shall implement the new Primary Care Act which will enable all family doctors to provide a broader range of patient services within their surgeries. This will include (“super surgeries” and practice-based cottage hospitals that can offer faster and more local treatment.

    We expect to see the number of nurses working in GP practices continue to grow, as will the number of GPs.

    We will extend nationwide our plans to enable more nurses to prescribe a wider range of drugs for patients, recognising their contribution to primary care.

    Mental Health

    The last decade has also seen major changes in the care of mentally ill people. We will continue to develop a full range of services – including 24-hour nursed hostels and secure units – that can care for them in a way which is most appropriate to them and the interests of the wider community.

    We will not close any long-stay mental hospitals unless it can be shown that adequate care services exist in the community.

    We will strengthen co-operation between health and social services in the delivery of mental health services. Our recent Green Paper showed how this can be done. And we will monitor the progress of Health Authorities in developing proper mental health care plans.

    Health of the Nation

    A modern health service is not just about treating illness, it is also about keeping people healthy. This is why we launched the Health of the Nation strategy in 1992 – the first time England has had a strategy for health. Its aim is to reduce illness and premature death by identifying common causes of ill health, like excessive smoking and obesity. Different groups in and outside the health service then work together to tackle the problems.

    We are already seeing progress. Between 1990 and 1994, deaths from coronary heart disease among the over-65s, the suicide rate, and the number of teenage pregnancies fell substantially And last year we announced that environmental targets would be added to Health of the Nation.

    Improved general health means fewer people requiring attention in hospitals and GP surgeries – and more resources available for patients who need them. Our Health of the Nation strategy is a vital part of our vision for creating a health service fit for the 21st Century.

    A Modern Health Service

    Healthcare is changing fast. Modern technology is constantly increasing the range of treatments which are available. Conservatives believe that the benefits of these advances should be made available to patients on the basis of their clinical need, without regard to their ability to pay.

    Furthermore we also believe that the NHS must have access to sufficient resources to allow it to invest in the facilities required to deliver up-to-date healthcare. Since 1979 capital investment in the NHS has proceeded at an unprecedented rate. In the future we believe these requirements will be best met in a partnership with the private sector which allows the private sector to improve the facilities in which NHS healthcare is delivered.

    We will promote the Private Finance Initiative which will unleash a new flow of investment funds into the modernisation of the NHS.

    The NHS is a British success story. It commands universal support in Britain. It is widely admired all over the world. Conservatives are proud of the part we are playing in improving the NHS still further.

    6. Better Public Services

    The public sector is being transformed the world over. Britain is in the vanguard. Everyone else wants to learn from our vision of a smaller state doing fewer things and doing them better.

    Old style public services were centrally planned with little information or choice for the public who used the service. Our reforms have made these services more responsive to the public by breaking up cumbersome bureaucratic structures and shifting power to small responsive local institutions and the people who work in them. The schools, hospitals and police have all been transformed in this way. We support the people who do, not the people who plan.

    In order to get better standards we are liberating services from centralised control over capital. We will push forward our Private Finance Initiative to break down these old barriers.

    We have made public services genuinely accountable, with useful information and real choices for the people who use them. We set tough standards and they will get tougher. The Citizen’s Charter has raised standards of customer service. When these high standards are reached we recognise and reward excellence through our Charter Mark initiative. There are now 647 Chartermarks and we will aim for more than 2000 Chartermarks by the year 2000.

    We will require all government agencies to apply for Chartermarks.

    The days of the bureaucratic paperchase are behind us. The future is “government direct”. We will harness the latest information technology to place the public sector directly at the service of the citizen. People will be able to use simple computer terminals to enter information directly. This will transform time-consuming transactions like completing a tax return or registering a new business.

    Privatisation and Competition

    In 20 years, privatisation has gone from the dream of a few Conservative visionaries to the big idea which is transforming decaying public sector industries in almost every country in the world. Britain has led the way with this new industrial revolution: we can be proud of what we have achieved.

    In 1979 the Government inherited a range of businesses which had come into the public sector for different reasons. Many were known for their poor standards of service, and most were making large losses.

    Over the past eighteen years that situation has changed substantially. Privatisation has enhanced productivity, improved customer services, raised safety and environmental standards and substantially reduced prices.

    Telephone, gas and electricity bills to the customer have fallen as never before. Telephone waiting lists are unknown, and water, gas and electricity disconnections have fallen dramatically. Nearly £40 billion in private sector funding has been committed to a major investment programme to meet higher quality water standards. We can now look forward to water prices falling over the years ahead.

    Service standards have improved substantially. Before privatisation published service standards did not exist. Now industry regulators monitor legal requirements to provide quality services in a competitive environment. Refunds may be made when performance standards are not met.

    Privatisation has benefitted – and will continue to benefit – consumers, shareholders, employees, and taxpayers. In 1979 the then-nationalised industries required a £50 million per week subsidy from the taxpayer In 1996 those now privatised companies paid taxes of £60 million per week.

    We will ensure private ownership, competition and regulation continue to deliver lower prices and better services for consumers.

    We will extend competition for domestic gas users, and introduce competition in the water industry, starting with large users.

    The Post Office occupies an important part in national life. It comprises Counter Services, the Royal Mail and Parcelforce. The network of sub-post offices is vital and most are already run as private businesses. The Royal Mail provides a universal service at a standard price in every part of the United Kingdom. No one can imagine a stamp that does not bear the Queen’s head. These characteristics must continue, but reforms are needed to allow the services to develop. The Royal Mail must face up to the challenges and opportunities that are arising from increasing competition and the international liberalisation of services.

    We will guarantee to preserve the national identity, universal service and distinctive characteristics of the Royal Mail, while considering options – including different forms of privatisation – to introduce private capital and management skills into its operations.

    We will transfer Parcelforce to the private sector whilst ensuring that every Post Office in the land continues to provide a full parcel service at an economical price

    Privatisation works. We will therefore continue to pass government activities into private ownership where this can bring benefits to consumers and taxpayers.

    Local Government

    We are developing a new vision for local government.

    We believe local government should take a lead in the planning and development of their communities. To achieve that, we have encouraged them to work in partnership with central government, with private enterprise, and other organisations in their community. The impact of local government is multiplied when they work in this way.

    To encourage this partnership, we have developed the new approach of Challenge Funding. We set up a fund to meet a particular objective and then invite competing bids for the money. Those who form effective partnerships are far more likely to win those bids. The Single Regeneration Budget Fund, for example, has stimulated many working partnerships that are bringing new life to their communities.

    We will push Challenge Funding further to reward effective local government.

    This innovation has the potential to transform the financing of the public sector.

    In addition, we are encouraging higher standards and more cost-effective provision of local services. Local authorities can enable things to happen rather than necessarily running them themselves. They must look after the interests of users of their services – and that is often best done by being a purchaser, not an employer.

    Standards of service are rising in many local authorities. There are, however, still great disparities between the best and worst performers, as the Audit Commission shows in their thought-provoking reports.

    We will keep up the pressure for higher standards and improved value for money by insisting on compulsory competitive tendering.

    The development of Challenge Funding and the shift in the role of local authorities from direct employers to purchasers of services will transform local authorities over the coming years. In the meantime we will, for so long as is necessary, retain the power to cap local authorities to protect taxpayers.

    Strikes in Essential Services

    Industrial relations in this country have been transformed. In so far as there is a still a problem it is concentrated in a few essential services where the public has no easy alternative and strikers are able to impose massive costs and inconvenience out of all proportion to the issues at stake. We will protect ordinary members of the public from this abuse of power.

    We will legislate to remove legal immunity from industrial action which has disproportionate or excessive effect Members of the public and employers will be able to seek injunctions to prevent industrial action in these circumstances. Any strike action will also have to be approved by a majority of all members eligible to vote and ballots will have to be repeated at regular intervals if negotiations are extended.

    Transport

    Our railways are already improving now they have been liberated into the private sector Passenger numbers are up: more people are using the railways every day. Investment is up: Railtrack plans to spend £4 million each day on improving stations and maintaining and renewing the network. The new train operators are committed to investing £1.5 billion in new and refurbished rolling stock. And key fares are set to fall in real terms for the first time in a generation, with guaranteed price controls keeping fare increases below the level of inflation until at least 2003. We intend to build on this growing success story to create a thriving railway network for the new century.

    We will complete the successful transfer of British Rail into the commercial sector

    We now want to draw in private investment to modernise London Underground and improve services to passengers.

    We will bring forward plans to privatise London Underground. Proceeds from privatisation will be recycled in order to modernise the network within 5 years – creating an underground system to serve the capital in the 21st Century. We will regulate fares so they rise by no more than inflation for at least 4 years after privatisation. We will also protect services – including the Travel Card and concessionary fares.

    After completing the modernisation of the network, the majority of the remaining surplus from privatisation will be channelled into additional support for transport investment in London and elsewhere in the country.

    We will continue to encourage public transport. In particular, we will use the existing funding for local authorities to promote developments which make it easier to interchange between bus and rail.

    We recognise the needs of road users, and will continue to work with the private sector to sustain our road building and maintenance programme. Already under the Private Finance Initiative the private sector is contributing some £1 billion to investment in roads and achieving significant savings in construction costs. We will also tackle road congestion by introducing new regional traffic control centres, by extending the use of variable speed limits, and by ensuring that local authorities have the necessary powers to act. We will promote a cleaner environment by supporting a Europe-wide reduction in vehicle emissions, and encouraging the manufacture of more fuel-efficient vehicles.

    We will continue to build on our record of improving safety on roll-on roll-off ferries and cargo ships through higher standards of survivability and the measures in the Merchant Shipping Act.

    We will continue to make it easier for people to travel by air Already over the last 5 years opening up the market in Europe has led to more services and lower fares. We will build on that success in negotiations with the United States and other countries. We will also continue to encourage the development of regional airports offering new direct services to the rest of the world in the same way that we have already opened up new regional links with Europe and the United States. We will privatise the National Air Traffic Service because it will be run better in the private sector.

    Competition and enterprise are the best way to improve our transport system.

    A Safe and Civil Society

    Our Record – A Safe and Civil Society

    Spending on the police has doubled since 1979 after allowing for inflation. There are now about 16,000 more police officers than when we took office. 2,360 more constables have been recruited since the last election and the Government is giving Chief Officers the resources to recruit 5,000 police constables over the 3 years to 1999.

    Recorded crime has dropped in each of the last 4 years. It is now over 10% down on 1992 levels – more than half a million fewer offences – the biggest drop since records were first kept.

    There are now 153,000 Neighbourhood Watch schemes in England and Wales – 38,000 more than in 1992 – covering 5.5 million homes. We have helped fund over 4,000 closed circuit TV schemes over the last 2 years for additional security.

    Our national DNA database – the first in the world – now has over 112,000 samples on it. 3,300 matches have so far been made between suspects and crime stains.

    The Government has increased the maximum penalty for taking a gun to a crime and for attempted rape to life imprisonment. Since 1985 the average sentence for violence against the person has risen by a third and for sexual offences by nearly 40%.

    The number of cars stolen has fallen by nearly 20% in the last four years – that is about 100,000 fewer cars stolen.

    We have built 22 new prisons since 1980. Slopping out has ended. No prisoners now sleep three to a cell designed for one. Prison escapes have fallen by 80% since the last election.

    Mandatory drug testing has been introduced throughout the Prison Service. Home leave has been cut back – down by half in two years.

    We have made witness intimidation a crime. 500 people were charged with that offence in 1995 alone.

    We have stepped up the fight against drugs and organised crime, giving the Security Service powers to support the police and Customs and Excise in tracking down the serious criminals.

    7. Law, Order and Security

    People have a right to sleep safely in their homes and walk safely on the streets. Governments have a duty to maintain that security.

    Our reforms are aimed at ensuring that crime does not pay. And they are working – the pessimists and the scoffers are wrong. Recorded crime has fallen every year for the last 4 years. It is now 10% lower than it was in 1992. That is over half a million fewer crimes – the biggest drop since records were first kept in the middle of the 19th century.

    But crime is still too high. We must do more. Our aim is to keep crime falling over the lifetime of the next parliament. This is what we will do.

    Safer Communities

    Anti-social behaviour and petty crime disrupt communities and spread human misery. The police are rightly now vigorously tackling problems such as graffiti vandalism and drunkenness. Where such behaviour goes unchecked more serious crimes will follow.

    We will support chief constables who develop local schemes to crack down on petty crime and improve public order.

    Closed circuit television has proved enormously successful in increasing public safety.

    We will fulfil the Prime Minister’s pledge to support the installation of 10,000 CCTV cameras in town centres and public places in the 3 years to 1999. We will provide £75 million over the lifetime of the next parliament to continue extending CCTV to town centres, villages and housing estates up and down the country that want to bid for support.

    We will also continue to take other steps to improve the safety of our streets and communities. In this parliament we have given the police power to seize alcohol from under-18s caught drinking in public. The police have been given the power to stop and search in a specified area for up to 48 hours if they reasonably believe people to be carrying knives.

    Identity Cards can also make a contribution to safer communities.

    We will introduce a voluntary identity card scheme based on the new photographic driving licence it will, for example, enable retailers to identify youngsters trying to buy alcohol and cigarettes or rent classified videos when they are under age.

    Tackling Juvenile Crime

    A fifth of all crime is committed by under-18s. We are encouraging schools to reduce truancy through the publication of league tables and by supporting local projects to tackle the problem. We are developing a network of local teams to identify children who are at risk of turning to crime and to take early steps to address the factors which put them at risk.

    We will encourage these local child crime teams to refer children from primary school age upwards who are at risk of, or who are actually, offending to programmes to tackle their behaviour and fully involve their parents.

    The courts would be able to impose an order – a Parental Control Order – on the parents of children whom they believed could keep control of their children but were refusing to do so.

    Courts will be given the power to attach conditions to Parental Control Orders. Conditions might include a requirement to keep their children in at night, taking their children to and from school, attending a drug rehabilitation clinic or going to sessions to improve their skills as parents. Parents who breached these conditions – in defiance of the court – would face a range of possible sanctions.

    Appearing before a youth court should be a daunting experience for the juvenile concerned. All too often it is not. At the moment about a third of all juveniles appearing before the youth courts are discharged without any punishment at all This sends all the wrong signals to youngsters – particularly first time offenders – who then feel they can get away with crime.

    We will give the courts the power to impose speedy sanctions on youngsters, involving wherever possible an element of reparation to the victim. The probation service – rather than social services – will be responsible for enforcing community punishments for under-16s.

    Persistent juvenile offenders need to be properly punished. We are piloting a tough new regime, with a heavy emphasis on discipline, at a young offenders institution and at the military prison in Colchester In 1994 we doubled the maximum sentence for 15-17 year olds to 2 years detention in a young offenders institution. We have given the courts the freedom to allow the publication of the names of convicted juveniles. We will give the courts the power to detain persistent 12-14 year old offenders in secure training centres once the places become available.

    We have given the courts the power to impose electronically monitored curfews on 10 to 15 year old offenders. We will introduce pilots to test their effectiveness. If successful we will consider extending them nationwide.

    Catching, Convicting and Punishing

    We back the police every inch of the way. There are now about 16,000 more police officers – and over 18,000 more civilians helping them – than when we took office. We are providing chief constables with the resources to recruit 5,000 extra police constables in the three years to 1999.

    We support police initiatives to target the hard core of persistent criminals. Intelligence is crucial for this.

    We will establish a national crime squad to provide on improved nationally coordinated approach to organised crime.

    Once caught, criminals must be convicted and then properly punished. The public needs to be protected. We have reformed the right to silence, despite opposition from Labour. The number of suspects refusing to answer police questions has nearly halved as a result.

    We have piloted curfew orders for adult offenders. They have been shown to keep criminals indoors – curbing their freedom as a punishment – and keeping them out of trouble in the meantime.

    We will extend electronically monitored curfew orders nationwide for those aged 16 and over.

    Persistent offenders account for a high proportion of all crime. Prison works – not only as a deterrent, but in keeping these criminals off the street. Those sent to prison are less likely to re-offend on release than those given a community punishment. We will provide another 8,500 prison places by the year 2000.

    We will introduce minimum sentences for violent and persistent criminals to help protect the public more effectively, reversing Labour’s wrecking amendments to our tough Crime Bill.

    Anyone convicted of a second serious sexual or violent crime, like rape or armed robbery, will get an automatic life sentence.

    Persistent house burglars and dealers in hard drugs will receive mandatory minimum prison sentences of 3 and 7 years respectively.

    We will restore honesty in sentencing by abolishing automatic early release.

    Support for Victims

    Concern for the victim must be at the heart of our entire approach to the criminal justice system. We will continue to give strong backing to Victim Support.

    We will give courts in all cases the discretion to allow witnesses to give evidence anonymously if they believe them to be at risk from reprisal.

    We will also take action to allow a judge to stop a defendant from personally questioning the victim in rape cases and other cases where the victim is particularly vulnerable.

    Conservatives are on the side of the victims not the criminal.

    Strengthening the Fight Against City Crime

    Crime that takes place through manipulation of financial accounts and markets is as serious as crime on the street.

    The City’s unchallenged position as Europe’s most dynamic and successful financial centre owes a great deal to its reputation for honesty and fair dealing. We will help ensure that this reputation is maintained.

    We will bring forward in the next parliament a package of measures designed to modernise the current systems for dealing with City fraud.

    This will include legislation to allow the Inland Revenue to pass confidential information to the police, the Serious Fraud Office and the financial regulators to assist in the investigation of cases involving serious financial fraud. We will also remove the remaining legal obstacles to the controlled exchange of confidential information between the police and the regulators in this kind of case.

    Faster Justice

    Justice delayed is justice denied. It is wrong that people who are innocent should face an excessive wait before the start of their trial. The guilty must be held to account for their actions promptly. And victims should be given the chance to draw a line under their experience as quickly as possible. We are determined to speed up justice without diminishing the genuine rights of every citizen to a fair trial.

    Last October the government set up a review of delays in the criminal justice system. It made a series of detailed recommendations. We see merit in those recommendations and will seek the views of interested parties. We believe that taken together they could dramatically speed up the prosecution process, bringing the guilty to justice and acquitting the innocent more quickly.

    All defendants would appear in court the next working day after they were charged. At least half of them would be convicted the next day compared with just 3 per cent at the moment. And the time taken to bring juveniles to court would be cut from 10 weeks to a matter of days.

    Civil Justice

    The civil justice system of this country is a vital part of its competitive economy and has a high international reputation. The commercial courts attract substantial litigation from all over the world, generating significant foreign earnings. We will work to maintain the high standing of these courts.

    We have greatly improved the service the civil courts provide for the aggrieved citizen. The simple procedure for small claims has been extended to claims up to £3,000. For large claims the county court now provides an efficient local service with specialised courts in many locations around the country leaving the High Court to deal with the more complex and difficult issues.

    We will push ahead with the major reforms now under way which will greatly speed up the process and improve the delivery of justice without imposing additional burdens on the taxpayer.

    The Legal Profession

    We will ensure that the framework in which the legal profession operates is responsive to the changing needs of our people and is one in which unjustified restrictions have no place. We have, for example, given most solicitors rights of audience in the higher courts under appropriate conditions.

    Legal Aid

    People are rightly concerned about the rising costs of legal aid. We have taken many steps to control the burden and to deny access to legal aid to the “apparently wealthy” – those who qualified technically, but whose lifestyles suggested they should not.

    But more is required:

    We will change the structure of legal aid to ensure that it, like other vital public services, functions within defined cash limits.

    This will enable us to identify priorities and serve them much more efficiently than the present system.

    Drugs

    Drugs are a menace to the very fabric of our society They ruin the lives of addicts and their families. They can destroy whole neighbourhoods. The promising youth of today can too easily become the sad dropouts of tomorrow turning to crime and violence.

    The Conservative Government has a comprehensive strategy, launched in 1995, committed to fighting drugs in communities and in schools. It is tough on criminals and vigilant at our ports. It is respected throughout the world. We spend over £500m every year in tackling all aspects of drug problems.

    We will continue the fight against drugs through a coordinated approach: being tough on pushers; reducing demand by educating young people; tackling drug abuse at local level through Drug Action Teams; saying “No” to legalising drugs; and working with international agencies and foreign governments to resist the menace spreading.

    This pernicious evil has to be fought by all of us.

    A Confident, United and Sovereign Nation

    Our Record – The Nation

    Many of our old cities have been rejuvenated through a partnership of public and private investment.

    The area of green belt has doubled since 1979.

    Water and air quality in the UK have improved significantly.

    We are one of only a few nations on course to meet our commitment to return emissions of all greenhouse gases to 1990 levels by 2000.

    The Lottery has been established as the most successful in the world – raising £3 billion for good causes in a little over 2 years.

    More support is now given to arts and heritage than at any time in our nation’s history. We now provide nearly 20% more for the arts than the last Labour Government, over and above inflation.

    British talent was this year nominated for 30 Oscars. British music is again receiving international acclaim. The industry is worth £2.5 billion, more than shipbuilding or electric components: one in 5 CDs and records sold anywhere has a British connection.

    There is record investment in our sports facilities. Already the Lottery has provided £480 million for sport, including the planned British Academy of Sport, English National Stadium and, for the first time, direct funding for British athletes.

    We have continued to stand up for British interests in Europe, protecting our opt-out from the Social Chapter, maintaining our border controls, and preserving our budget rebate – worth £18 billion since it was introduced.

    We have the most professional armed forces in the world. We have modernised our nuclear deterrent by replacing Polaris with Trident.

    8. The Best Place in the World to Live

    Britain is admired the world oven Every year, millions of tourists travel here to enjoy our heritage and culture, our cities and countryside, our way of life. Our nation’s history is an anchor in a sea of change. We need to protect, cherish and build upon what is great about our country so our children grow up in a better Britain. We also must make sure that everyone, wherever they live, has the support of a strong, tolerant and civilised community.

    Our aim is for this generation and future generations to take pride in Britain as the best place in the world to live.

    Britain’s Cities

    London is one of the world’s greatest cities. It is livelier than even Our vision of its future is set out in a separate manifesto.

    Many of our cities have undergone a complete transformation over the last decade. We have promoted partnerships –through schemes such as Urban Development Corporations, the Single Regeneration Budget and City Pride – to attract private enterprise and investment back to inner-cities. These initiatives are bringing hope, opportunity and prosperity to what were once wastelands of urban decline.

    As the country thrives and becomes more prosperous, one of our central tasks is to apply the same approach in transforming the legacy of soulless, decaying public housing estates. They are places that suffer from the very worst kind of poverty – poverty of aspiration.

    We have already made a start – spending more than £2bn over the last 10 years on improving 500 of the worst estates. And we have shown how it is possible to tackle the economic and social problems alongside new investment in buildings – where possible, bringing in a greater mix of public tenants and private housing to recreate a more balanced community. Now we will extend this approach, focusing the Single Regeneration Budget to launch a combined attack on crime, unemployment and under-achievement, and developing the government’s partnership with the private sector to help fund the massive investment that will be required.

    Over the next decade, we aim to raise some £25bn of new private investment in housing estates by encouraging tenants in more than half of the remaining public sector housing stock to opt for transferring their homes to new landlords. These transfers will only occur where tenants choose this mute to improve theft estates.

    We will use this approach to regenerate the worst housing estates and transform the lives of those who live in them –targeting support for programmes to improve education standards, employment and crime prevention alongside new private sector investment.

    As well as this attack on poor housing, we will continue to help the homeless. We will carry through our planned extension of the Rough Sleeper Initiative from London to other big cities.

    We will provide sufficient hostel places to ensure that no-one need sleep out on the streets.

    Rural Communities

    Britain is blessed with some of the most beautiful countryside in Europe.

    We need to protect the best of the countryside whilst ensuring good jobs and living conditions for people who live there.

    We have to strike a balance: our rural communities must not become rural museums, but remain vibrant places to live and work. We will make sure government departments work together to ensure that balance is kept.

    We will continue to protect the green belt from development, making sure that derelict and under-used urban land is developed in preference to greenfield sites.

    We will use the planning system to ensure that more new homes are built on reclaimed sites in our towns and cities. We will aim for more than 60 per cent of all new homes to be built on derelict sites.

    This will reduce the pressure to build in our countryside and expand choice where it is needed most.

    We will support our rural communities, by giving special rate support to small village shops and post offices. The planning system can do more to help too.

    We will introduce a new Rural Business Use Class to encourage job creation in the countryside.

    We will increase support for schemes which promote care for the countryside – like Countryside Stewardship.

    We believe participation in traditional country pursuits, including fishing, is a matter for individuals. A Conservative Government will not introduce legislation that interferes with the rights of people to take part in these activities.

    We will also encourage managed public access to private land – in agreement with farmers and landowners – but strongly resist a general right to roam, which would damage the countryside and violate the right to private property.

    We aim to double Britain’s forest cover over the next fifty years. We will continue to encourage tree planting by targeting grants, encouraging investment in wood processing, and using new freedoms with the reform of the Common Agricultural Policy.

    Agriculture and Fisheries

    We will continue to provide robust support to the British beef industry through the BSE crisis until its long term strength is restored. We will vigorously pursue the eradication of BSE in the United Kingdom, as we have been doing successfully for the last eight years. We will spare no efforts in our fight against the unwarranted ban on British beef exports.

    Public health and food safety have been the government’s top priorities throughout the BSE crisis.

    We will tighten up control over food safety by appointing a powerful and independent Chief Food Safety Adviser and Food Safety Council to advise government

    We will continue to push for fundamental reform of the Common Agricultural Policy, moving away from production support to measures that will give our farmers the opportunity to compete while safeguarding the rural environment. We will ensure that no change to the Common Agricultural Policy unfairly disadvantages British farmers.

    Fishing is a vital industry in many parts of coastal Britain. We will continue our fight to secure a prosperous long term future for the industry and sustainable management of our fish stocks.

    We will insist at the IGC and elsewhere on measures to stop quota hopping and prevent the vessels of other countries from using UK fishing quotas.

    The integrity of our 6 and 12 mile fishing limits is not negotiable. We reject any idea of a single European fishing fleet.

    We believe that fishermen should have more say in decisions affecting their industry We will press the European Commission to establish regional committees to give fishermen a direct influence in fishing policy. We will use these committees to develop new ways of managing quotas and regulating fisheries which are more sensitive to the industry’s needs.

    Animal Welfare

    A civilised society respects animals. Britain will continue to take the lead in improving standards of animal welfare in Europe. In 1995 we secured a major breakthrough in the treatment of animals in transport; in 1996 we won victory in our campaign to ban veal crates throughout the EU. We are determined that standards should continue to rise and that all EU countries should have to meet them.

    We will seek to ensure that all European countries have to raise animal welfare standards.

    We are not going to take any risks with rabies. There may however be ways other than quarantine which maintain or increase protection for public health, while improving the welfare of pets and reducing the costs to travellers.

    We will publish a Green Paper on rabies protection, setting out all the options including the existing controls, early in the new parliament.

    Britain’s Environment Britain has an enviable track record in protecting our environment. Our rivers, beaches and water are cleaner and we are using our energy more efficiently. We are leading the world in reducing the level of the “greenhouse gases” that cause global warming and pressing for policies that will enable the world to sustain development without long-term damage to the environment. Our Green Manifesto is published separately.

    We have clear objectives to build on this record. We will set tough, but affordable targets, with published environmental strategies to improve air quality and banish city smog – with tighter standards on vehicle emissions and pollution crackdowns around the country We aim for sustained improvements in water quality, at a pace which industry and consumers can afford. We will develop labelling of products that gives consumers information to show the environmental impact of how they were made.

    In addition, we will continue to use the tax system and other incentives to encourage the use of vehicles and fuel which do not pollute the environment. And we will continue to explore policies based on the principle of polluter pays: those who contaminate land, pollute the environment or produce harmful waste should be made responsible for their actions and pay for the consequences.

    Britain – A Tolerant Country

    Tolerance, civility and respect have always been hallmarks of our nation. It is thanks to them that we have an excellent record in race relations.

    Everybody, regardless of colour or creed, has the right to go about his or her life free from the threat of intimidation. We are taking tough action to tackle harassment. Under proposals in the Protection from Harassment Act 1997, it will be a crime to behave in a way which causes someone else to be harassed. The maximum penalty will be 6 months in prison.

    Firm, but fair, immigration controls underpin good race relations. We will ensure that, while genuine asylum seekers are treated sympathetically, people do not abuse these provisions to avoid normal immigration controls.

    A World Leader In Sports, Arts and Culture

    Britain is enjoying a cultural renaissance. British music, films, television, fashion, art and food are winning plaudits the world oven They add excitement, fun and enjoyment to our lives. Our success brings pride to everyone.

    The National Lottery, which John Major set up, will pump billions of pounds into Britain’s good causes. Its proceeds will weave a new, rich thread of opportunity and charity into the tapestry of British life. In addition to benefitting major national institutions, about half of the awards are for amounts under £25,000 – benefitting local communities up and down the country. We will encourage new ways of distributing awards to support the performing arts – through support for amateur productions and community events, providing more musical instruments, and helping productions tour round the country.

    The National Lottery will also help us train and promote British sporting talent. The English National Stadium and British Academy of Sport, funded by the Lottery, will be new focal points for sporting events and excellence. We will encourage more young people to play sport by ensuring every school plays a minimum level of sport, including competitive sports, and developing a network of Sporting Ambassadors – sporting celebrities who will visit schools to inspire young people. We will also encourage the Sports Council to use Lottery money to employ over 1000 additional community sports coaches to assist in schools.

    We will encourage the use of Lottery money to train young athletes and artists, with revenue funding for bursaries, concessionary tickets to professional performances and support for young people’s organisations and productions.

    The development of young talent is important in all fields.

    The Lottery will also fund our Millennium celebrations. They will be inspirational as well as enjoyable. We want these be a showcase of British excellence. Britain will be able to look back on past achievements with pride, and look forward with confidence.

    9. Europe and the World

    Britain is a world leader as well as a European nation. Our economic strength, our history and our language make us a global trading nation with links right around the world. Only the United Kingdom is a member of the European Union, the United Nations Security Council, the Commonwealth, NATO and the Group of Seven leading industrial nations. In the Gulf, Bosnia, Cyprus and Northern Iraq, John Major has shown how our nation can contribute to world peace.

    We will continue to work with international partners to secure peace and stability in areas of tension such as former Yugoslavia; in Kashmir; in Cyprus; and in the Middle East. We will promote reform of the United Nations to make it a more effective organisation for securing international stability. Britain will continue to deploy our outstanding Armed Forces as peacekeepers under the United Nations. And we will support the aspirations of the Poles, Czechs, Hungarians and others to join the European Union and NATO.

    After the transfer of Hong Kong, we will work under the terms of the Joint Declaration to help sustain the prosperity and way of life of the people of Hong Kong and build on the substantial British interests that will remain.

    We will continue to support the Commonwealth, our unique global network, to encourage the spread of democracy; as set out in the Harare Declaration. We will focus our aid programme to encourage sustainable development in countries that are growing towards self sufficiency under democratic government. We have taken the lead in alleviating the burden of debt for the world’s poorest countries. We also have significant flows of private investment to developing economies. We are more than achieving the long term UN target of 1% of GDP for the transfer of wealth to less developed countries. We will continue to maintain a significant bilateral and multilateral aid programme reflecting the aspiration of meeting the UN’s target of 0.7% of GDP for aid as a long-term objective.

    We will also continue to provide leadership in Europe and internationally on environmental issues, building on the Rio Conference to encourage sustainable development – meeting our commitment to reduce Carbon Dioxide (CO2) emissions by 10% on 1990 levels by 2010 to prevent climate change. The Prime Minister has committed himself to attending the next UN Environmental Conference in June.

    Britain and the European Union

    We believe that in an uncertain, competitive world, the nation state is a rock of security. A nation’s common heritage, culture, values and outlook are a precious source of stability. Nationhood gives people a sense of belonging.

    The government has a positive vision for the European Union as a partnership of nations. We want to be in Europe but not run by Europe. We have much to gain from our membership of the European Union –in trade, in co-operation between governments, and in preserving European peace. We benefit from the huge trade opportunities that have opened up since Britain led the way in developing Europe’s single market. We want to see the rest of Europe follow the same deregulated, enterprise policies that have transformed our economic prospects in Britain.

    However, in June, the nations of the European Union will gather in Amsterdam to negotiate possible amendments to the Treaty of Rome. It is a moment of truth, setting the direction in which the European Union will go. It will also be crucial in ensuring that we have a relationship with the rest of Europe with which we can be comfortable.

    A Conservative Government will seek a partnership of nation states. Some others would like to build a federal Europe. A British Conservative Government will not allow Britain to be part of a federal European state.

    The diversity of Europe’s nations is its strength. As more nations join the European Union, it needs to become flexible not more rigid We must also ensure that any developments which only include some members do not work to the disadvantage of others.

    Our priorities for Europe’s development will be enlargement of the Community, completion of the single market, reform of the European Court of Justice, and further strengthening of the role of national parliaments. We will seek more co-operation between national governments on areas of common interest – defence, foreign policy and the fight against international crime and drugs. We also believe the European Union itself should do less, but do it better. So we have proposed incorporating the principle of subsidiarity – that the European Union should only do that which cannot be done by member states acting alone – into the Treaty. This is how we are approaching the Inter-Governmental Conference.

    We will argue for a flexible Europe which fully accommodates the interests and aspirations of all its member states and where any new proposals have to be open to all and agreed by all. We will not accept other changes to the Treaty that would further centralise decision-making, reduce national sovereignty, or remove our right to permanent opt-outs.

    We will retain Britain’s veto and oppose further extension of qualified majority voting in order to ensure we can prevent policies that would be harmful to the national interest. We will defend the rights of national parliaments and oppose more powers being given to the European Parliament at the expense of national parliaments.

    We will take whatever steps are necessary to keep our frontier controls. We will resist attempts to change the inter-governmental nature of co-operation in justice and home affairs. We will not accept the development of new legal rights that extend the concept of European citizenship.

    Britain’s rebate has so far saved British taxpayers £18bn and we will protect it.

    One of the greatest challenges Europe faces is to cut unemployment and make its businesses competitive. Here Britain is leading the way. We will continue to argue for deregulation and lower costs on Europe’s businesses, the policies that have helped give Britain one of the strongest economies in Europe. We will not put that achievement at risk by signing up to the Social Chapter, which would open the door to imposing the high costs of the European social model on British business. Once Britain accepted the Social Chapter we could not stop many of these damaging policies being imposed on us by qualified majority voting.

    We will insist that any new Treaty recognises that our opt-out from the Social Chapter enables Britain to be exempt from the Working Time Directive, and prevents any abuse of our opt-out. And we will not accept a new employment chapter in any revised Treaty, which would expose British businesses to new costs.

    We made it clear in the previous chapter that we will continue to work for further reform of the Common Agricultural Policy and the lifting of the worldwide ban on British beef and will insist on measures to stop quota hopping by foreign fishing vessels.

    Protecting Britain’s interests demands tough, experienced negotiation. John Major has proved he has these qualities – including the resolve to say no when necessary even if that means being isolated. Labour have said they would never let Britain be isolated in Europe: they would damage Britain’s success by undermining our veto, signing up to the Social Chapter and following in others’ footsteps – even where they lead in the wrong direction. They support policies that would fragment the United Kingdom’s influence within a Europe of Regions. The Liberal Democrats welcome the end of the nation state. Only the Conservatives can be trusted to stand up for Britain in Europe: our national interest must be protected.

    A Single Currency: Our Referendum Guarantee

    The creation of a European single currency would be of enormous significance for all European states whether they are members or not. We must take account of all the consequences for Britain of such a major development of policy.

    John Major secured for us at Maastricht an opt-out from the commitment to enter a single currency. It is only because of this opt-out that we have the right to negotiate and then decide whether it is in Britain’s interest to join.

    It is in our national interest to take part in the negotiations. Not to do so would be an abdication of responsibility. A single currency would affect us whether we were in or out. We need to participate in discussions in order to ensure the rules are not fixed against our interests. The national interest is not served by exercising our option – one way or the other – before we have to.

    For a single currency to come into effect, European economies will have to meet crucial criteria. On the information currently available, we believe that it is very unlikely that there will be sufficient convergence of economic conditions across Europe for a single currency to proceed safely on the target date of January 1st 1999. We will not include legislation on the single currency in the first Queen’s Speech. If it cannot proceed safely, we believe it would be better for Europe to delay any introduction of a single currency rather than rush ahead to meet an artificial timetable. We will argue this case in the negotiations that lie ahead.

    We believe it is in our national interest to keep our options open to take a decision on a single currency when all the facts are before us. If a single currency is created, without sustainable convergence, a British Conservative government will not be part of it.

    If, during the course of the next parliament, a Conservative government were to conclude that it was in our national interest to join a single currency, we have given a guarantee that no such decision would be implemented unless the British people gave their express approval in a referendum.

    Defence in an Unstable World

    The old rivalries of the Cold War have been replaced by new tensions. Britain must be able to react rapidly to protect our security and interests around the globe.

    Our armed forces are the most professional in the world. We have cut unnecessary bureaucracy and increased efficiency, and directed money to support our Services in the frontline. We have made the changes necessary to adapt our Services to the threats which we might now face. We have set out defence plans based on stable levels of funding. There is no need for a defence review, which would raise fear and uncertainty about the future.

    We will continue to ensure the Services have the modern weapons they need to guarantee their superiority against potential aggressors. We will make sure we can conduct military operations throughout the world, and develop our capability to deploy the three services together and rapidly, including the ability to transport heavy equipment into an operational zone. We will take part in ballistic missile defence research so we can decide whether we should procure any such system for the United Kingdom.

    We will continue to target our efforts on recruiting for the armed forces. We will set up an Army Foundation College, which will provide 1,300 places for 16 and 17 year olds who want to join the Army. We will also enable the reserve forces to play a more active role in operations. We appreciate the enormous value of cadet forces, and our current plans include resources to encourage their further development.

    We will continue to support Britain’s defence industry, and we will work with companies to identify the technologies of the future.

    NATO will remain the cornerstone of our security. We will resist attempts to bring the Western European Union under the control of the European Union, and ensure that defence policy remains a matter for sovereign nations.

    10. The Constitution

    Alone in Europe, the history of the United Kingdom has been one of stability and security; We owe much of that to the strength and stability of our constitution – the institutions, laws and traditions that bind us together as a nation.

    Our constitution has been stable, but not static. It has been woven over the centuries – the product of hundreds of years of knowledge, experience and history.

    Radical changes that alter the whole character of our constitutional balance could unravel what generations of our predecessors have created. To preserve that stability in future – and the freedoms and rights of our citizens – we need to continue a process of evolution, not revolution.

    Conservatives embrace evolutionary change that solves real problems and improves the way our constitution works. In recent years we have opened up government, devolved power and accountability, and introduced reforms to make parliament work more effectively. It is that evolutionary process that we are committed to continue.

    Open, Accountable Government

    In recent years we have taken significant steps to open up government to public scrutiny, and give individuals more information to hold government and public services to account.

    We have introduced a code on access to government information, policed by the Ombudsman. We have published information on the workings of government previously held secret –including the composition of cabinet committees, and the structure of the security and intelligence services. We have introduced a new civil service code, and reformed the process for public appointments. We are pledged to legislate on the commitments in our 1993 White Paper on Open Government, including a statutory right of access by citizens to personal records held about them by the government and other public authorities. And we have set up the Nolan Committee and have implemented its proposals to ensure that the highest standards are maintained in public life.

    But our reforms go even wider than that. We have transferred power from central bureaucracies to local organisations such as school governors and hospital trusts. We have introduced the Citizen’s Charter We have also required them to publish information on their performance – information which enables the local community to keep a check on standards and apply pressure where needed. Wherever possible, we are widening competition and choice in public services. We showed in Chapter 6 how we wished to push this agenda forward.

    Regional government would be a dangerously centralising measure – taking power away from elected local authorities. We wish to go in the opposite direction, shifting power to the local neighbourhood – for example, by giving more power to parish councils.

    Parliament

    Parliament – alongside the Crown and our legal system – is one of the three key institutions that uphold our constitution. The supremacy of parliament is fundamental to our democracy, and the guarantee of our freedoms. The last 17 years have seen many changes to strengthen parliament and make it more effective – the flourishing of select committees, new procedures to scrutinise European legislation, reform of parliament’s working day, and a budget that brings together tax and spending.

    We have therefore already done much to improve the way parliament works and will do more. We have accepted the proposal from the Public Service Select Committee and put before the House of Commons a clear new statement of the principles underlying ministerial accountability to parliament.

    All these developments have made parliament open to the citizen, and the government more accountable. In the next session of parliament we will continue this careful reform.

    To give parliament more time to consider legislation thoroughly we will extend the Queen’s Speech to cover not only legislation for the immediate year but also provisional plans for legislation in the year after that

    This will mean that more draft bills will be subject to public scrutiny before they reach the floor of the House of Commons. It will give select committees more time to take evidence and report. And this should also mean better legislation.

    We do not believe there is a case for more radical reform that would undermine the House of Commons. A new Bill of Rights, for example, would risk transferring power away from parliament to legal courts – undermining the democratic supremacy of parliament as representatives of the people. Whilst this may be a necessary check in other countries which depend upon more formalised written constitutions, we do not believe it is appropriate to the UK.

    Nor do we favour changes in the system of voting in parliamentary elections that would break the link between an individual member of parliament and his constituents. A system of proportional representation would be more likely to produce unstable, coalition governments that are unable to provide effective leadership – with crucial decisions being dependent on compromise deals hammered out behind closed doors. This is not the British way.

    We have demonstrated we are not against change where it is practical and beneficial. But fundamental changes which have not been fully thought through – such as opposition proposals on the House of Lords – would be extremely damaging. We will oppose change for change’s sake.

    The Union

    The Union between Scotland, Wales, Northern Ireland and England underpins our nation’s stability. The Conservative commitment to the United Kingdom does not mean ignoring the distinctive individuality of the different nations. On the contrary, we have gone further in recognising that diversity than any previous government. We are publishing separate manifestos for Wales and Scotland.

    While preserving the role of parliament at the centre of the Union, we have given new powers to the Scottish Grand Committee and Welsh Grand Committee – enabling Scottish and Welsh MPs to call Ministers to account and debate legislation which affects those countries – something that would be impossible with separate Assemblies. For the first time, Welsh members of parliament can ask their questions to Ministers in Welsh in Wales. Most recently we have similarly extended the basic powers of the Northern Ireland Grand Committee.

    We believe this is the right way to go. By contrast, the development of new assemblies in Scotland and Wales would create strains which could well pull apart the Union. That would create a new layer of government which would be hungry for power. It would risk rivalry and conflict between these parliaments or assemblies and the parliament at Westminster. And it would raise serious questions about whether the representation of Scottish and Welsh MPs at Westminster – and their role in matters affecting English affairs – could remain unchanged.

    Nor do we believe it would be in the interests of the Scottish or Welsh people. A Scottish tax-raising parliament, for example, could well affect the choice of where new investment locates in the United Kingdom.

    In a world where people want security, nothing would be more dangerous than to unravel a constitution that binds our nation together and the institutions that bring us stability. We will continue to fight for the strength and diversity that benefits all of us as a proud union of nations.

    Northern Ireland

    While we cherish the Union and Northern Ireland’s place within it, we recognise that there exist within the Province special circumstances which require further action to be taken.

    After a quarter of a century we wish to see the unique and originally temporary system of direct rule ended and a successful restoration of local accountable democracy achieved. We want to see this brought about in a form which carries the broadest agreement possible. And we want to see the rights, traditions and interests of all parts of the community recognised within any such agreement.

    We will accordingly continue to pursue a policy of dialogue and negotiation with and between the democratic Northern Ireland parties. We will continue to underpin such negotiations with the guarantee that the constitutional position of Northern Ireland cannot and will not be changed without the broad consent of the people of Northern Ireland. At the same time we will continue to take whatever security measures are required to protect the people of Northern Ireland from those who seek to achieve their political goals by violent means.

    We seek peace. But we will never be swayed by terrorist violence nor will we ever compromise our principles with those who seek to overthrow the rule of law by force.

    A Choice of Two Futures

    At this election the British people face a stark choice. A choice of two futures.

    They can elect to continue down the road of success and achievement. An opportunity that has been hard won by the efforts and sacrifices of the British people. An opportunity that has only come about because successive Conservative governments have been determined to face up to the long term problems facing Britain, and take the tough steps needed to arrest our slow decline.

    Or they can elect to take a huge risk with that future – the future of themselves, their children, their nation – by handing over the government of the country to politicians who have fought, opposed and denigrated every step that has been taken to restore Britain’s economic health and standing in the world. Politicians whose own declared policies would burden the United Kingdom with new spending and taxation, new regulations, and new threats to the stability and sovereignty of the nation itself.

    You can only be sure with the Conservatives.

    Our Vision for Britain:

    25 Pledges for the Nation

    The Enterprise Centre of Europe

    TAX AND SPENDING. keep tight control of public spending priorities, aiming for our target of a 20p basic rate of income tax over the next parliament.

    PRICES AND MORTGAGES. Stick to the policies which have delivered the lowest inflation levels and mortgage rates for a generation, meeting our inflation target of 2½ % or less.

    JOBS. Protect jobs by keeping Britain out of the European Social Chapter; build on our record of falling unemployment; and help get the long term unemployed back to work – including by requiring those on benefit for some time to undertake work experience on a community project.

    ENTERPRISE. Support growth and investment by keeping Britain the lowest tax major economy in Europe. pursuing Britain’s global trade opportunities. and curbing unnecessary regulations.

    SMALL BUSINESS. Reform business rates to help small businesses.

    THE FUTURE. Keep Britain ahead in the technologies of the future, encouraging new entertainment and information services and using the Millennium Lottery Fund to give people access to new computers and information links in schools, libraries, and other public places.

    Opportunity and Ownership for Individuals and Families

    HELP FOR FAMILIES. Give priority to reducing tax bills for families looking after dependent children or relatives by allowing one partner’s unused personal allowance to be transferred to a working spouse where they have these responsibilities.

    HELP FOR CARERS. Help family members with heavy responsibilities caring for a relative to take a much needed break through a new Respite Care Programme.

    OWNERSHIP. Encourage schemes that help employees build a shareholding in the company they work for, alongside tax benefits for other savings schemes.

    PENSIONS. Transform pensions by providing all young people entering the workforce with a personal pension fund paid for by a rebate on their national insurance contributions, while maintaining a state pension guarantee.

    CARE IN OLD AGE. Make it easier for people to afford the cost of care in old age without giving up their house and savings.

    SCHOOL STANDARDS. Guarantee school standards by intervening directly to raise standards where schools or local education authorities are letting children down.

    SCHOOL CHOICE. Widen choice and diversity in schools, with more freedom for schools to develop their own character, more specialist schools, and a grammar school in every town where parents want that choice. We will also maintain our nursery voucher scheme offering a choice of places for parents of all 4 year olds.

    World Class Health and Public Services

    NHS FUNDING PLEDGE. Continue, year by year, to increase the real resources committed to the NHS, so NHS spending will continue to share in a growing economy.

    FAMILY DOCTORS. Enable all family doctors to provide a wider range of services in their surgeries and in practice-based cottage hospitals – offering faster and more local treatment.

    CITIZEN’S CHARTER. Continue to improve the standards and value for money of Britain’s public services, giving those who use them more information and, where possible, wider choice.

    ESSENTIAL SERVICES. Introduce measures to protect the public against strikes that cause excessive disruption to essential services.

    A Safe and Civil Society

    PUBLIC SAFETY. Support local police schemes to crack down on petty crime, and continue our funding for the installation of TV security cameras in town centres and public places that want them throughout the next parliament.

    JUVENILE CRIME. Give the courts power to impose speedy sanctions on youngsters, including an element of reparation to the victim; and continue our war against drugs.

    PERSISTENT CRIMINALS. Ensure persistent house burglars and dealers in hard drugs receive mandatory minimum prison sentences.

    A Confident, United and Sovereign Nation

    QUALITY OF LIFE. Continue the renaissance of our towns and cities, in particular harnessing private capital to regenerate the worst public housing estates; continue to protect our countryside and heritage; and use the National Lottery to help promote British sports, arts and culture.

    THE ENVIRONMENT. Maintain our international leadership role in protecting the environment, and continue improving air and water quality at home alongside effective conservation of our wildlife.

    THE NATION. Maintain the unity of the United Kingdom and preserve the stability of the Nation through an evolutionary – rather than revolutionary – approach to constitutional change.

    EUROPE. Seek a partnership of nation states in Europe, and not allow Britain to be part of a federal European state.

    THE POUND. Guarantee that Britain will not join a single currency in the next parliament unless the British people give their express approval in a referendum.

  • PMQT – 4 March 1997

    Below is the text of Prime Minister’s Question Time from 4th March 1997.


    PRIME MINISTER:

     

    Engagements

    Q1. Mr. Soley: To ask the Prime Minister if he will list his official engagements for Tuesday 4 March.

    The Prime Minister (Mr. John Major): This morning, I had meetings with ministerial colleagues and others. In addition to my duties in this House, I shall be having further meetings later today.

    Mr. Soley: Does the Prime Minister agree that, if the negotiations in Northern Ireland result in a devolved assembly, Members of Parliament for Northern Ireland should continue to be able to speak and vote in this House on matters affecting England, Scotland and Wales? If he does agree with that, why would it not be a threat to the Union?

    The Prime Minister: I think that the hon. Gentleman is confusing the powers that are likely to go to a Northern Ireland Assembly with those proposed for a Scottish Assembly. As he knows, they are not remotely comparable.

    Mr. Soley indicated dissent.

    The Prime Minister: The hon. Gentleman shakes his head, but they are not comparable. That is why his corollary is the wrong one.

    Mr. Budgen: Will my right hon. Friend agree that one of the great successes of the past 18 years has been the strict control of immigration, which has much reduced racial tension in this country? Will he condemn the proposals, even by new Labour, to abolish the primary purpose rule and to grant immigration rights to the extended family? Does he agree that that will increase racial tension and create resentment even among sections of the Asian community?

    The Prime Minister: In the past 18 years, we have seen the most extraordinary changes and improvements in race relations in this country. I think that is immensely important. I am certainly not going to lend my voice or my policy to anything that would damage that improvement.

    Mr. Blair: The Prime Minister deserves credit for that answer. [Interruption.]

    Madam Speaker: Order. Hon. Members must come to order. Mr. Jamieson.

    Mr. Blair: Thank you, Madam Speaker. Does the Prime Minister agree, following the past 48 hours, that it would be better for the Secretary of State for Health to concentrate on dealing with the crisis in the national health service, rather than adding to the crisis in the Conservative party?

    The Prime Minister: My right hon. Friend has done a great deal to improve services in the NHS, and he has also tackled many social service matters that required examination and improvement. I think that he has been an outstanding Secretary of State for Health, and I believe that many people who are treated in the health service these days appreciate the improvements that have occurred.

    Mr. Blair: Will the Prime Minister at least accept the evidence contained in a report due to be published on Thursday? A survey of 300 accident and emergency departments across the country shows that many are in acute and chronic crisis and that many simply cannot make do. The survey says that the problem has been made worse by the Conservatives’ internal market reforms.

    If the Prime Minister is to stumble on in office until 1 May, would it not be better for Ministers to use that time not playing games about who the next Tory leader will be but showing real leadership and tackling the problems facing the country?

    The Prime Minister: Over the past five years, as we have tackled the problems facing the country, we have had nothing but opposition from the Labour party. Whatever fresh proposition was put forward–whether for health, education or controlling public spending–we could be certain that the Labour party would oppose it, and it did.

    The fact is that we are creating a modern health service fit for the 21st century. Instead of carping about the health service, it would make a change if the Opposition offered some constructive proposals because, as yet, we have seen none. They say that they oppose bureaucracy, but they opposed us when we abolished the entire regional health tier. They say that hospitals are underfunded, but they will not match our pledge to increase funds. They say that they would increase efficiency, but they would abolish our reforms and set up a new tier of bureaucracy. The very last thing that the national health service needs is an ideological Labour Government causing chaos and disruption.

    Mr. Blair: The very problem that the health service has had is an ideological Tory Government causing difficulties. That is why we have 20,000 more managers and 50,000 fewer nurses. If the Prime Minister believes his case on the health service, education and other issues, let him have the courage of his convictions and put the matter to the country now.

    The Prime Minister: I shall certainly be taking our case on the health service and other matters to the country. I look forward to discussing the reality of what has been done in the health service.

    It is no good the right hon. Gentleman saying that he seeks to improve the health service. The Opposition opposed national health service trusts, which are delivering better hospitals; they opposed fundholders, which are transforming primary care; and they attacked managers despite the fact that, before the reforms, no one could tell anyone where the money was going in the national health service.

    The Opposition also attacked compulsory competitive tendering, despite the fact that it is saving millions of pounds that can go to patient care; and they are committed to a minimum wage, without saying how much it would cost the health service and whether they would fund it.

    The Opposition will not match our pledge to increase funds in real terms for the health service in each successive year of the next Conservative Government.

    Sir Michael Shersby: Is my right hon. Friend aware that accidents involving NHS employees are costing £154 million a year, according to evidence given to the Public Accounts Committee only a few days ago? Will he therefore ask the Health and Safety Executive to ensure that the guidance given by the national health service executive to hospitals is put into practice? That would lead to great savings from fewer accidents; that money could be redeployed to acquire more nurses, more doctors and more services.

    The Prime Minister: We are certainly keen to ensure that the money goes to patient services. That is happening increasingly now that we know how the money is being spent in the health service–before our reforms, we did not have that information. Of course I shall ask my right hon. Friend to consider my hon. Friend’s suggestion.

    Mr. Ashdown: When last week the Prime Minister instructed members of the Conservative party to start the fight back immediately, did he expect them to take him quite so literally? Lord Tebbit attacks the Deputy Prime Minister, Lord McAlpine seeks to duff up the Prime Minister and the Health Secretary seems to want to take on the whole Cabinet. In deciding how to deal with these delinquents, has the Prime Minister ever considered making use of secure accommodation and electronic tagging?

    The Prime Minister: If that is an indication from the right hon. Gentleman that he does support measures such as electronic tagging, I am pleased that in some areas he is moving towards the Government’s policy.

    Sir Patrick Cormack: Does my right hon. Friend agree with the proposition propounded by the post-war Labour Government that constitutional measures should always be taken in Committee on the Floor of the House?

    The Prime Minister: Yes, I do. That has been the constitutional position in this House. It is the way in which matters have normally been handled. I cannot conceive that anyone would wish to change that long-established tradition.

     

    Q2. Mr. Winnick: To ask the Prime Minister if he will list his official engagements for Tuesday 4 March.

    The Prime Minister: I refer the hon. Gentleman to the reply I gave some moments ago.

    Mr. Winnick: Is Lord McAlpine correct to say that the Prime Minister asked him to collect a very large sum of money and that the person concerned turned out to be a Greek shipping tycoon, a very dubious character who had supported the Greek military dictatorship? Do the Prime Minister, the Home Secretary and the Attorney-General feel any responsibility for the fact that stolen money–and it is stolen money–from Asil Nadir is being used by the Conservative party for its election campaign? Should not all those matters be referred to the Nolan committee?

    The Prime Minister: The Labour party has just been canvassing for resources in the United States, presumably from overseas donors. It is interesting to hear the hon. Gentleman, of all Members of the House, propounding the idea that it is acceptable to take money from Americans but not from people of other nationalities, were it to be offered. If he is concerned about funding, he should concern himself with the funding of his leader’s office and his deputy leader’s office, and with the trade unions buying votes in the Labour party.

    Mr. Luff: Is it not all really rather simple, when properly understood? Can my right hon. Friend confirm that this country has the most successful economy of any major country in Europe? Are not the Government determined to protect the interests of the United Kingdom in Europe and to protect the unity of the United Kingdom and its interests and influence throughout the world, and would not all that be put at risk by the Labour party’s policies?

    The Prime Minister: My hon. Friend is entirely right about that. The most important element of the economy’s success is the fact that success and growth yield the resources to fund the services, such as education and health, that we wish to improve but which could not be improved without an improving economy.

     

    Q3. Mrs. Helen Jackson: To ask the Prime Minister if he will list his official engagements for Tuesday 4 March.

    The Prime Minister: I refer the hon. Lady to the reply I gave some moments ago.

    Mrs. Jackson: Following the very decisive statement by the voters of Wirral last week, will the Prime Minister take the opportunity today to redeem his long-established reputation for indecisiveness and tell us whether the election will be on 1 May?

    The Prime Minister: I warmly congratulate the new hon. Member for Wirral, South (Mr. Chapman) on his success, but I would advise him not to unpack his bags.

    Mr. Richards: Is my right hon. Friend aware that the rate of unemployment in every constituency in Wales is lower than that in Germany and France? Does he agree that if the United Kingdom were to copy the European social model, as the Dollies opposite would have us do, unemployment in Wales would double?

    The Prime Minister: The levels of unemployment have fallen dramatically across the United Kingdom over recent years, as a result of the policies that we have followed. For example, in the constituency of the hon. Member for Hammersmith (Mr. Soley), they have fallen by 25 per cent., and by 36 per cent. in the constituency of the hon. Member for Walsall, North (Mr. Winnick). Unemployment has fallen by 31 per cent. in Sheffield, and by 40 per cent. in Sedgefield. On the back of that, one would expect the Opposition to agree that the policies that we have been following create jobs, whereas the policies that they are following have created unemployment across Europe.

     

    Q4. Mr. Illsley: To ask the Prime Minister if he will list his official engagements for Tuesday 4 March.

    The Prime Minister: I refer the hon. Gentleman to the reply that I gave some moments ago.

    Mr. Illsley: Would the Prime Minister care to comment on the attack by Lord Tebbit on his Deputy Prime Minister, whom he described as

    “tasteless, tacky if not dishonourable, and self-centred”?

    The Prime Minister: My right hon. Friend the Deputy Prime Minister replied for himself quite adequately on that matter.

  • PMQT – 25 February 1997

    Below is the text of Prime Minister’s Question Time from 25th February 1997.


    PRIME MINISTER:

     

    Engagements

    Q1. Mr. Sheerman: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister (Mr. John Major): This morning, I had meetings with ministerial colleagues and others. In addition to my duties in the House, I shall be having further meetings later today.

    Mr. Sheerman: Will the Prime Minister join me in condemning the Ministers and Conservative Back Benchers who queued up yesterday to denigrate the reputation and character of the former Prime Minister and Father of the House? Does he agree that such attempts to vilify the Father of the House do great damage generally to the democratic process and particularly to the reputation of the Prime Minister and his Ministers?

    The Prime Minister: My right hon. Friend the Member for Old Bexley and Sidcup (Sir E. Heath) has had a long and distinguished career. [Hon. Members: “Hear, hear.”] We admire him and are fond of him.

     

    Q2. Sir Michael Shersby: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister: I refer my hon. Friend to the reply I gave some moments ago.

    Sir Michael Shersby: Does my right hon. Friend agree that the privatisation of British Rail has been a great success story–so successful that it has confounded its critics? Is he aware that many of my constituents would like the same principles to be applied to London Underground, particularly if the proceeds were ploughed back into further investment?

    The Prime Minister: My right hon. Friend the Secretary of State for Transport will make a statement on that matter very shortly. The plans that he will announce will give London the world-class underground network that we wish it to have. We will expect standards and investment to rise while prices do not.

    Mr. Blair: Most people remember who has been in charge of London Underground for 18 years. May I lead on from the question to the Prime Minister asked by the hon. Member for Uxbridge (Sir M. Shersby)? The Transport Secretary has said that any proceeds from selling London Underground will go back into transport investment. This morning, however, the Chancellor said that he is relying on at least some of those proceeds as greatly benefiting the Exchequer to pay off Government borrowing. Who is right?

    The Prime Minister: If the right hon. Gentleman will contain himself for a moment, my right hon. Friend the Secretary of State for Transport will make a statement that will answer all the questions that he and his hon. Friends are likely to ask about the proposed future of London Underground, but I shall not anticipate his statement.

    Mr. Blair: I am not asking the Prime Minister to anticipate the statement–

    Hon. Members: You are.

    Madam Speaker: Order.

    Mr. Blair: I am asking him to comment on the Chancellor’s remarks this morning. The Chancellor said that some of the proceeds would be used to pay off the national debt, which he has doubled. Is that correct? If all the proceeds do not go back into transport, what will happen if they do not cover the investment requirement? Will the customer pay more, will the public pay more or will the service be cut? I think that the Prime Minister should tell us.

    The Prime Minister: The right hon. Gentleman will be told in detail and at length by my right hon. Friend the Secretary of State for Transport in just a few moments. The privatisation of any industry is always a complex matter. It deserves to be set out clearly, comprehensively and at length, which my right hon. Friend will do shortly.

    Mr. Blair: I assume that the Transport Secretary will tell us the precise percentage of money that will be reinvested in transport. [Interruption.] Conservative Members may shout, but is not London Underground worth £7 billion to £13 billion, and do not many people fear that, once again, a key public service will be sold off at a fraction of its true value so that a few people can make a vastly inflated profit with no guarantee of a proper service for the future?

    The Prime Minister: The answer to each of the right hon. Gentleman’s questions is no. He is wrong on almost every point, as will become clear in a few moments. I find it extraordinary that the only two places in the world where privatisation is reviled and state ownership preferred are the Labour party and North Korea. No wonder the hon. Member for Great Grimsby (Mr. Mitchell) called the right hon. Gentleman the Kim Il Sung of the Labour party.

    Mr. Norris: Does my right hon. Friend agree that not the least of the advantages of the privatisation of London Underground would be the substantial capital receipts that could be reinvested in the system? How could any Government who voluntarily chose to deny themselves that capital receipt make good that funding other than through a substantial increase in public expenditure and the taxation necessary to raise it?

    The Prime Minister: My hon. Friend is correct, of course. I find it odd that the Labour party criticises the level of investment in London Underground when the shadow Chancellor is committed lock, stock and barrel to every penny of my right hon. and learned Friend’s spending plans, except that the right hon. Member for Dunfermline, East (Mr. Brown) has a £12 billion black hole in his plans, as he has failed to understand ours.

     

    Q3. Mr. Campbell-Savours: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister: I refer the hon. Member to the answer I gave some moments ago.

    Mr. Campbell-Savours: May I return the Prime Minister to what is clearly a central contradiction in his programme for the general election–the statement by a former Prime Minister, Mr. Edward Heath–[Hon. Members: “Sir.”] Forgive me, Madam Speaker. Sir Edward Heath–[Hon. Members: “Order.”]–a former Prime Minister, who said that he agreed with the Labour party. He said that we were right on the social chapter, the national minimum wage and devolution. He agrees with us. Who is now standing up for the tradition of the Conservative party? Is it the Father of the House, a former Prime Minister, or is it the current Prime Minister, who has been manipulated by a bunch of extremists on his Back Benches?

    The Prime Minister: The hon. Gentleman sits beside a bunch of people whom I would never consider calling extremists, but who hold almost every possible view on Europe and every other issue, so I find his question distinctly rum. It deserves to be ignored, which I shall do.

    Mr. Amess: Is my right hon. Friend aware that tomorrow, Her Majesty the Queen, in the presence of the President of Israel, will unveil a monument to Raul Wallenberg–a man whose bravery is an example to us all? Will my right hon. Friend also support the efforts of the Secretary-General of the United Nations to find out exactly what happened to Raul Wallenberg 50 years ago?

    The Prime Minister: I think that everyone will happily support my hon. Friend’s request. The unveiling of the statue tomorrow is a welcome development and a just recognition of a great man who saved many lives during the last world war.

     

    Q4. Mr. Home Robertson: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister: I refer the hon. Member to the answer I gave some moments ago.

    Mr. Home Robertson: Lady Thatcher said back in 1974 that the establishment of a Scottish Assembly was a top priority. The right hon. Member for Old Bexley and Sidcup (Sir E. Heath) has now confirmed that the establishment of a Scottish Parliament poses no danger to the integrity of the United Kingdom. Can the Prime Minister remember the last time his two predecessors agreed with each other about anything? How has he got himself into a position in which he appears to disagree with both of them?

    The Prime Minister rose–

    Mr. Home Robertson: Wait for it. Is the Prime Minister sure that Britain’s fossilised constitution is the securest ground to choose for Major’s last stand?

    The Prime Minister: It really was not worth waiting for, I have to tell the hon. Gentleman. He is trying to pick out what my noble Friend Lady Thatcher and my right hon. Friend the Member for Old Bexley and Sidcup (Sir E. Heath) said 20 years ago. What the leader of the Labour party said in 1983 is contradicted today by the leader of the Labour party in every particular. The proposals of 20 years ago that the hon. Gentleman referred to were not comparable with the tax-raising monstrosity proposed by the Labour party today.

    Mr. Butcher: My right hon. Friend will need no reminding that any objective assessment of economic trends in Europe shows that Britain is now winning. Does he share the bewilderment of a number of foreign commentators, who cannot understand the logic of saying that it is time for a change? “Does that mean that you want to be losers?” they wonder. Will my right hon. Friend use every effort to make sure that that weird logic is not accepted by the British people?

    The Prime Minister: I certainly undertake to do as my hon. Friend recommends. The economic criteria right the way down the board–growth, investment or the fall in unemployment–make it patently obvious to those who wish to examine the figures for a moment that the United Kingdom is out-performing most of its comparable continental rivals. That is because of the policies that we have followed. The policies that they have followed, which have led them into greater difficulty, are the policies advocated by the Opposition parties.

     

    Q5. Mr. Gordon Prentice: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister: I refer the hon. Member to the answer I gave some moments ago.

    Mr. Prentice: The hon. Member for Uxbridge (Sir M. Shersby) referred to the alleged success of railway privatisation, whereby £19 billion of public assets went under the hammer for less than £2 billion. Is it not a disgrace that £13 billion of assets resting in London Underground could be sold off in a fire sale for less than £600 million?

    The Prime Minister: I suggest that the hon. Gentleman, like his right hon. Friend the leader of the Labour party, waits for the statement that will follow in a few moments.

    Mr. Prentice indicated dissent.

    The Prime Minister: The hon. Gentleman produces all sorts of disparaging gestures. The interesting fact about the new Labour party is that it does not wish to know the arguments and it does not wish to know the facts; it just wants to parade the soundbites and prejudice invented by the hon. Member for Hartlepool (Mr. Mandelson).

    Mr. Allason: May I draw my right hon. Friend’s attention to the commitment–which became a promise, which became a pledge, which then became a withdrawal–by the Liberal Democrats to scrap the Christmas bonus in favour of an extra week’s income? Does he agree that the best thing for pensioners, especially those in the south-west, is lower bills, which means no windfall levy on South West Water, whose customers are already paying far too much for their water?

    The Prime Minister: I entirely agree that a windfall tax would undoubtedly add to the cost of fuel, water and other utilities–how much, of course, we do not know, because the shadow Chancellor either does not know what his plans really are or cannot say. It was very unkind of my hon. Friend to draw attention to the consistency of the Liberal Democrats concerning the retired.

     

    Q6. Mr. Chris Davies: To ask the Prime Minister if he will list his official engagements for Tuesday 25 February.

    The Prime Minister: I refer the hon. Gentleman to the reply that I gave some moments ago.

    Mr. Davies: What discussions does the Prime Minister intend to have with Governments of other nations to ensure that there are adequate international controls over the cloning of animals and other life forms?

    The Prime Minister: My right hon. Friend is examining what discussions may be appropriate.

  • Mr Major’s Commons Statement on the British Constitution – 20 February 1997

    Below is Mr Major’s Commons Statement on the British Constitution, given on 20th February 1997.


    PRIME MINISTER:

    Madam Speaker Because of the large number of hon. Members who wish to speak, I have had to limit speeches – other than those from Front Benchers, of course-to 10 minutes throughout the debate.

    The Prime Minister (Mr. John Major) Last summer, the other place had a two-day debate on the constitution. It was a worthwhile and constructive occasion, and I hope that today will prove to be so as well.

    We have no written constitution in this country – it evolves. It has changed in this Parliament, and it will change in the future. I agreed with the leader of the Labour party, when he said last week: ‘The idea that the British constitution should never change and evolve and develop is completely absurd.’ I entirely agree with that – of course it is right – and I made precisely the same point myself when speaking in Wales. The point is not whether our constitution should change, but how it should change and at what pace it should change.

    We have given a new role to the Welsh and Scottish Grand Committees; we have devolved powers to schools and hospitals; and we have reformed procedures in this House and increased Government accountability to Select Committees. I am in favour of more change. We have agreed to set up a Northern Ireland Grand Committee similar to those for Scotland and Wales.

    I favour further reform of the procedures in this House. We have set out our proposals to ensure that new legislation is better considered, with a two-year parliamentary programme and more draft legislation for consultation. As the two Houses are complementary, I see a case for similar examination of the other place. We will continue the process of improving public services, because we wish to give people more choice and opportunity.

    Mr. Tony Banks (Newham, North-West) Will the right hon. Gentleman give way?

    The Prime Minister I want to make progress – I shall give way a little later. All that change has been gradual; it is sensible, and it has been thought through before it has been produced. We on this side of the House have always advocated a Europe of nations. Labour’s plans would undermine the strength of the nation state. Like many on the continent, Labour seems to be advocating a Europe of the regions, but England, Scotland, Wales and Northern Ireland are not regions – they are four nations within a united kingdom. A Europe of the regions would be the sure way to enable a bureaucracy to bypass national Governments. It is the wrong way forward, and it is not for us.

    That is only one reason – it is by no means the principal reason – why I do not favour a tax-raising parliament for Scotland.

    Mr. Tony Benn (Chesterfield) Will the right hon. Gentleman give way?

    The Prime Minister If the right hon. Gentleman will let me make a little progress, I undertake to give way later.

    Mr. Benn It is on the European question.

    The Prime Minister Oh, all right.

    Mr. Benn May I ask the First Lord of the Treasury, in that capacity, what democratic justification there could be, in principle, for handing over his powers on public expenditure, taxation and interest rates to a central bank in Frankfurt, so that the responsibility that he now exercises – accountable to Parliament and the people – would no longer be exercised through the ballot box? Has he read the book of Genesis and of how Esau handed over his birthright for a mess of pottage, and has been remembered ever since as having made the biggest mistake of his life?

    The Prime Minister I have, but I am not sure that I would draw a direct relationship between that story and the treaty of Rome, although the right hon. Gentleman might do so. There was a pained expression on the faces of the Labour Front Benchers as he asked his question. As he knows, if we had not obtained the opt-out that I obtained at Maastricht, we in this House would not have the option to make at some stage in the future the decision that the right hon. Gentleman wishes us to make.

    Let me return to saying what I was about to turn to. I do not favour a tax-raising parliament for Scotland, or a toothless Welsh Assembly, or 10 regional assemblies, taking powers either from this House or from local government or from both – it is uncertain where they would come from. Nor do I favour unpicking the House of Lords, changing the voting system and ceding further powers from this House to Europe.

    The Labour party has given in to the temptation to put party before country. [Interruption.] There is no nice way of expressing that, nor does there deserve to be. The plans drawn up by the Labour party, with the Liberal Democrats in tow, are a blueprint that would undermine the unity of the United Kingdom and erode the authority of this Parliament. As they stand, any Member of this House should be ashamed to endorse them.

    Mr. Dafydd Wigley (Caernarfon) A moment ago, the Prime Minister recognised the nationality of Wales and Scotland, but the provisions that he suggested might be available for changing the government of those two countries were all encapsulated within this institution in London. Does that mean that, if the Conservative Government are elected to power, for however long they are in office, there will in effect be an English veto on any aspirations of Wales and Scotland to national autonomy, and that the only alternatives for Wales and Scotland are the status quo or full self-government?

    The Prime Minister As the hon. Gentleman knows, the last time the people of Wales had the opportunity to choose, they chose by a majority of four to one not to have devolution, but to remain part of the United Kingdom.

    The plan to set up an income-tax-raising parliament in Scotland, partly elected by proportional representation, on the bogus mandate of a referendum with two questions, before the legislation has even been considered, is deeply flawed. So is the plan to have an assembly in Wales without tax-raising powers, and a pre-legislative referendum with one question.

    In essence, it is proposed that Parliament would be presented with what is little more than a public opinion poll and told to endorse it, however absurd examination of the subsequent proposals showed them to be; and if this Parliament exercised its constitutional right and radically changed the legislation, as well it might, there is no plan in the minds of the Labour party or the Liberal party for a subsequent referendum to discover whether that change would be acceptable. I believe that this is an abuse of the way in which constitutional change should be approached.

    Mr. Tony Banks A moment ago, the Prime Minister talked about putting party before country. Is he not doing precisely that by keeping the whole country guessing about the date of the next general election? Is not that all about putting party before country? Does he not find it outrageous that one person should have the power to decide when the rest of the country will be allowed to vote? Would he support fixed-term Parliaments?

    The Prime Minister A straight answer to the hon. Gentleman is no, and I will waste no more time on him.

    Mr. John Maxton (Glasgow, Cathcart) Will the Prime Minister give way?

    The Prime Minister I will give way a little later, if the hon. Gentleman will forgive me.

    We have in the House constitutional parties that favour separatism – an independent Scotland and an independent Wales. Devolution plans, for them at least – and for others – cloak separatist ambitions. The Labour and Liberal parties may well believe that they are buying off the separatists. I believe that they are selling out to the separatists. [HON. MEMBERS: “Hear, hear.”] Let me now consider their plans for Scotland.

    Of the 129 members of a Scottish Parliament –

    Mr. Maxton rose –

    The Prime Minister Just a minute. Of its 129 members – [Interruption.]

    Madam Speaker Order.

    The Prime Minister Of its 129 members, 56 would be placemen, drawn from lists approved by party leaders, with no accountability to constituents or responsibility for them. There would be gender quotas – a politically correct idea, which many people would find patronising.

    There will be no revising chamber – no second chamber. The House of Lords would not be permitted to scrutinise Scottish legislation; neither would anything replace it. [Interruption.] I am pleased to see Labour Members hoot. Nor would anything replace it. Five million British subjects, on the threshold of a new millennium, would be brought under unicameral Government – the object of suspicion to every democrat for centuries. [HON. MEMBERS: “Oh.”] That is what they propose. No checks; no balances – that is the plan, and it is a complete rag-bag.

    Mr. John Home Robertson (East Lothian) rose

    The Prime Minister I am sorry. I give way to the hon. Member for Glasgow, Cathcart (Mr. Maxton).

    Mr. Maxton As the Prime Minister is talking about devolution, will he explain why he is prepared to devolve power to Northern Ireland but not to Scotland and Wales?

    The Prime Minister I shall come directly and in detail to Northern Ireland, to answer the hon. Gentleman’s question. It is – [HON. MEMBERS: “Answer.”] It is a fair point, and I will discuss it in detail.

    If I may return for a moment to Scotland, the other question unanswered is whether, in any legislation, there is to be Royal Assent. I am not sure, and I hope that it can be made clear. Then, of course, there is the – [HON. MEMBERS: “Why should there be?”] I did not hear what was said; perhaps it was not worth hearing. Then there is the West Lothian question.

    Mr. Home Robertson rose

    The Prime Minister I wish to make a little progress, if the hon. Gentleman does not mind.

    Mr. Home Robertson What about the East Lothian question?

    The Prime Minister West Lothian is more logical that East Lothian. I shall deal with West Lothian.

    The Labour leader has the opportunity to make history today: he can answer the West Lothian question. How could Scottish Members of Parliament in this House continue to legislate on matters in England, if English Members had no control over the same matters in Scotland? I hope that we will get an answer.

    More insanely than that, those Scottish Members of Parliament voting on, say, health and education, and law and order, in England would not be able to vote on the same issues affecting their own constituents, because that would be the privilege of the Scottish Parliament.

    Let me illustrate the point more clearly. The shadow Chancellor, who, alas, is not here this afternoon, would not be able to vote on health, education or other important matters relating to his constituents in Dunfermline, but he could get stuck into Dagenham or anywhere else in England, closing down grammar schools, abolishing GP fundholding practices and all the other regressive nonsenses that Labour supports. I do not understand how anyone can defend such unconstitutional nonsense.

    Several hon. Members rose

    The Prime Minister In a moment. I shall finish this passage, and then give way first to the right hon. Member for Tweeddale, Ettrick and Lauderdale (Sir D. Steel). We have long known that those difficulties exist. The Labour leader himself has honestly admitted that “the anomaly is there” and said that the answer to the West Lothian question is – [Interruption.]

    Madam Speaker Order. Mr. Campbell-Savours, I am sick and tired of hearing you shout out from a sedentary position – [Interruption.] Order. There was a great deal of pressure last Thursday on the Leader of the House to bring the Prime Minister and the Leader of the Opposition to the Dispatch Box today for this important debate. I want to hear the debate in silence. I call the Prime Minister.

    The Prime Minister Let me, Madam Speaker –

    Mr. D. N. Campbell-Savours (Workington) I want to ask the Prime Minister a question.

    The Prime Minister I think that we have heard enough from the hon. Gentleman for the moment. Let me repeat what hon. Members may not have heard. The Labour leader has honestly admitted that “the anomaly is there”, and said that the answer to the West Lothian question ‘is the answer we’ve always given”.’ But what is that answer that he has “always given”? And where is it? It is as elusive as the Loch Ness monster. Has anyone seen it – or heard it? Will we hear what it is today?

    Then, of course, there is the position of Scottish Members of Parliament who might be appointed as Ministers at Westminster. Will the leader of the Labour party confirm the statement of the shadow Foreign Secretary who, when responsible for health, said: ‘Once we have a Scottish Parliament handling health affairs, it is not possible for me to continue as Health Minister administering health in England”?’ The same principle would apply to education, the legal system, local government, home affairs and so on.

    Since the 19th century, all devolution schemes have foundered on the question whether to withdraw voting rights from Westminster Members of Parliament representing nations with devolved Parliaments, or whether to reduce their number. The Liberal Democrats, to their credit, recognise that. They are already advocating a cut from 72 to 60 Scottish Members. The hon. Member for Linlithgow (Mr. Dalyell) does ‘not believe it will be possible to get a devolution Bill through Parliament without a reduction in the number of Scottish MPs to 57 or less.’ The Labour leader has said: ‘of course there are consequences in what we plan; we don’t ignore them.’ So what are those consequences, and what does he plan?

    At present, Scotland has more Members of Parliament than a strict justification on grounds of population would produce. The Labour Opposition wish to keep them in Parliament, because, without them, they would have a diminished chance of a UK majority. So, in their party interest, they are prepared to gerrymander the electoral system. The powerful office of Secretary of State for Scotland would also be abolished, lessening the voice of Scotland in the House and in Whitehall.

    Sir David Steel (Tweeddale, Ettrick and Lauderdale) I recognise that the Prime Minister believes strongly and genuinely that creating any devolved Parliament could lead to the break-up of the United Kingdom. I hope that he would respect the reverse view, which is that, without devolution, we risk the break-up of the United Kingdom. No anomaly that he has so far mentioned is as great as the present one, where 580 non-Scottish Members of Parliament determine purely Scottish legislation, such as the poll tax, which we had in Scotland before it was introduced in the rest of the United Kingdom.

    The Prime Minister The right hon. Gentleman referred to the poll tax and the grievance that it was introduced in Scotland first. The tartan tax is to be introduced in Scotland only.

    Mr. Alex Salmond (Banff and Buchan) I wonder whether the Prime Minister had time to look at a survey published in The Scotsman on Monday, which showed that three quarters of Scots believe that the Tories are an English-based party with little relevance to Scotland. That included a third of Tory voters, although that was admittedly a small sample. After almost seven years of his prime ministership, why do so many Scots believe that he leads an anti-Scottish party? Might it be something to do with his implacable hostility to legitimate Scottish aspirations?

    The Prime Minister I know that the hon. Gentleman would wish to peddle that line, but if he looked at what has happened to the quality of life in Scotland during the 18 years of Conservative Government, he would see the extent to which it has improved. If he looks at the growth of employment prospects, he will see the extent to which they have improved. If he sees the improvement in the education system or the health system, that has happened under Conservative Government during the past 18 years. If he were totally frank, he would acknowledge that that was the case.

    I come to the point led into by the right hon. Member for Tweeddale, Ettrick and Lauderdale – the infamous tartan tax. Why should people in Scotland pay income tax at a starting rate 15 per cent. higher than in England, Wales and Northern Ireland?

    Mr. Brian H. Donohoe (Cunninghame, South) Or lower.

    The Prime Minister Or lower? The hon. Member for Cunninghame, South (Mr. Donohoe) clearly thinks that the extra public expenditure voted by the House to Scotland per head of population would continue, so that the Scottish Parliament could offer lower taxes to the people in England, Wales and Northern Ireland. He knows that that is unreal.

    The Labour party has just put up posters giving a five-year pledge by the Labour leader not to put up income tax rates. However, Labour would put them up in Scotland, where it is pledged to establish a tartan income-tax-raising Parliament within a year, which would put up tax rates. That is a little insensitive of the right hon. Member for Sedgefield. The Islington elite clearly forgot about Scotland, and certainly forgot about the hon. Member for Hamilton (Mr. Robertson), although I suppose that that is part of the Labour constitution. The hon. Gentleman should move to Islington.

    Perhaps today the Labour leader will clarify the situation: income tax up in Scotland or not? If he has no plans to raise tax, why shackle his party to a policy that enables tax to be raised? What would the tartan tax do to jobs, investment and pensioners’ savings in Scotland?

    An increase of 3p in the basic rate of tax would leave someone on average earnings in Scotland £6 a week worse off. For a married couple who both worked, it could be double that. It would cost families £300 with one person in employment, and perhaps as much as £600 with two people working. Scottish pensioners who saved all their lives or contributed to pension plans would be worse off, just because they live in Scotland.

    If that injustice goes ahead in Scotland, how would it work? How much would it cost? Would not the Inland Revenue have to set up a separate tax regime for Scotland? Does not a separate tax regime acknowledge the blatantly separatist implications of Labour’s plans for a different tax system? Separate tax regimes define separate nations.

    Several hon. Members rose –

    The Prime Minister I am not the only one who thinks so. As another critic said: ‘The moment powers to raise taxation are offered and taken … the fracture of the United Kingdom will have begun.’ They are not my words – although I agree with them – but those of Mr. Neil Kinnock when he was a Member of Parliament. [Interruption.] The hon. Member for Workington has shouted at me from a seated position often enough over the years, so he can stay seated today.

    Would the tartan tax be levied according to where people live, where they work, or where their company is located? Could it become the tweed tax, spreading across the border? If someone from Islington was employed by a Scottish company, would he pay the tartan tax?

    I shall give the right hon. Gentleman a practical example to chew on and respond to. Take the case of an important Scottish company, Kwik-Fit. I urge the right hon. Gentleman to listen, as he may wish to respond to this point. I am sure that the conversation of the hon. Member for Dewsbury (Mrs. Taylor) is diverting, but he can talk to her later. Kwik-Fit has 4,000 employees in England and 1,200 in Scotland, but all are paid from the payroll in Edinburgh. Would they all pay the tartan tax, or would Kwik-Fit be expected to apply different tax rates to different employees? [Interruption.]

    When Labour Members do not like it because they do not have the answers, they try to drown it out. I repeat: would Kwik-Fit be expected to apply different tax rates to different employees? If not, employees in England would pay the tartan tax. If they did not, they would face a tax rise if they were transferred to their head office in Scotland. What would that do to the competitiveness of an extremely successful Scottish company? Opposition Members have not thought about any of that.

    Mr. Campbell-Savours We have.

    Mr. Major Good, then the Leader of the Opposition will give us the answers this afternoon.

    Mr. Campbell-Savours Will the right hon. Gentleman give way?

    Mr. Major No, we want the organ grinder, not the monkey.

    What of Scottish Members of Parliament who advocate the tartan tax? Would they not be exempt from paying that tax? Within three months, the people of Scotland and the rest of Britain will have to vote on those crazy proposals. They have a right to answers, and, if those answers are not forthcoming today, they will be entitled to draw their own conclusions.

    If anything could be as much of a mess as Labour’s plans for Scotland, it must be its plans for Wales. Wales is to have an assembly instead of a parliament.

    Mr. Home Robertson rose –

    Mr. Major I will not give way to the hon. Gentleman, as I am now talking about Wales. [HON. MEMBERS: “Oh”.] Perhaps I shall give way in a minute.

    What is it about the people of Wales that means that Labour would not trust them with the powers that it is prepared to give to the people of Scotland? When the shadow Welsh Secretary, the hon. Member for Caerphilly (Mr. Davies), talks of a Welsh assembly not having tax-raising powers, he adds “initially”. He says that Labour’s plans for Wales are “clear and becoming clearer”. What is becoming clearer –

    Mr. William McKelvey (Kilmarnock and Loudoun) On a point of order, Madam Speaker. Is it in order for the Prime Minister to refuse to give way to a Scottish Member of Parliament who wishes to ask a question about Wales, when the Prime Minister is arguing about the United Kingdom?

    Madam Speaker It is entirely up to the right hon. Gentleman to develop his speech in his own way. Perhaps the hon. Member for East Lothian (Mr. Home Robertson) will be called to speak later in the debate.

    The Prime Minister The hon. Member for East Lothian knows that I have given way often enough in my speech, and shall do so again.

    The shadow Welsh Secretary talks about a Welsh Assembly not having tax-raising powers initially. However, it is becoming clearer to the people of Wales that, in due course, they too will have to pay higher taxes for the privilege of living in Wales. I shall tell hon. Members why, and I quote: ‘No level of Government has been denied some control of revenue raising … indeed, the lack of such a power and the conflict this could provoke is a more significant danger than having it”.’ In essence, not having a tax-raising power is more dangerous than having a tax-raising power. That is not my view, but the view of the shadow Secretary of State for Scotland, the hon. Member for Hamilton (Mr. Robertson). If the Labour leader does not repudiate that view, we know the fate for Wales – increased taxation.

    Plans such as those mean that conflict between devolved Parliaments and the House would be inevitable. The outcome would be to damage the unity of the United Kingdom and lead to its fracture.

    Mr. Paul Flynn (Newport, West) Why does the Prime Minister persist in his nonsense of claiming that the choice before the people over Wales is for or against a devolved assembly? The choice is whether we have a vote or not. The Government are offering Wales no choice and no vote. That is what the people will decide in the general election. The Prime Minister is trying to stop Wales having a choice on devolution.

    The Prime Minister Wales had a choice and expressed its view very clearly in the past.

    Let me now move to what is proposed for England. A parliament for Scotland – [Interruption]. An assembly for Wales – [Interruption]. The more Opposition Members shout, the less they have the answers to the questions that I have put. There is a lot of sound and fury. We will see whether we get the answers. Then there are to be new assemblies for the regions of England.

    Where is the appetite for a whole extra tier of government?

    Mr. Graham Allen (Nottingham, North) Ask the people.

    The Prime Minister “Ask the people,” says the hon. Gentleman. I bet that they would be very pleased with more bureaucrats, more politicians, more taxes.

    Labour say that they will set up regional assemblies ‘if that is what local people want’ Presumably that means yet more referendums.

    Mr. Tony Banks What is wrong with that?

    The Prime Minister The Labour leader says that he is not in favour of referendums – that is one thing that is wrong with it. I suppose that the hon. Gentleman shares very few views with his leader, so it is unsurprising that he does not share that one.

    If some regions choose to have an assembly, what will happen in those regions that do not? What would the assemblies do? The shadow Environment Secretary is very vague about that. He says that they will have “a say” over health. What that means, heaven alone knows. He is not certain, but just possibly he might want them to monitor water and electricity companies. He goes on to say that their demand for “more services” would be “unstoppable”. What services? What nonsense! He has not the faintest idea what they are going to do.

    The real reason for establishing regional assemblies across England has nothing whatever to do with good government in England; rather it has to do with giving the Labour party a spurious justification for keeping the present number of Scottish and Welsh Members of Parliament in the House, even after establishing a parliament in Edinburgh and an assembly in Cardiff. That chaos – more government, more regulation – is the price that England would be asked to pay as the Labour party tries to appease separatism and tilt the electoral system in its favour.

    Mr. Robert Maclennan (Caithness and Sutherland) Has the Prime Minister not noticed that the Chairman of the Public Accounts Committee pointed out that the people of England have £17 billion of public expenditure per annum spent by his placemen and women through quangos, and the regions and the people living in the regions have no say in what the quangos are doing?

    The Prime Minister If that is a new Liberal policy to abolish them all, I am very interested to hear it. No doubt they want to set up whole new elected tiers of bureaucracy. I note very carefully what the hon. Gentleman asks.

    Let me turn to the point originally raised by the hon. Member for Glasgow, Cathcart (Mr. Maxton) about Northern Ireland. Northern Ireland remains one area where the Opposition parties have constantly supported Government efforts, and that has given the peace process added strength. I have publicly thanked them for that often enough, and I willingly do so again today. Unfortunately, some of them attempt to use the special circumstances of Northern Ireland to promote other views.

    The hon. Gentleman asked why we can contemplate an assembly for Northern Ireland but not for Scotland and Wales. [Interruption.] It is a fair question, and if Opposition Members will listen, I will give them a detailed answer. The best answer is that given by the shadow Scottish Secretary, who said: ‘We would be unwise to draw a parallel between Scotland’s … desire to have a parliament and anything going on in Northern Ireland.’ I shall elaborate the point. He is right, because the circumstances are not comparable. That is only the background to why the hon. Gentleman made that statement.

    What we have suggested for Northern Ireland is radically different from the plan that the Labour party has for Scotland and Wales. There is no suggestion of an assembly with tax-raising powers. There are no pluralist politics in Northern Ireland, as there are in Scotland and Wales. There is no representation by parties likely to form a United Kingdom Government. What we are seeking in Northern Ireland is a widely accepted accommodation based on consent. That would provide the surest possible foundation for maintaining Northern Ireland’s place firmly within the United Kingdom. That is our wish. Labour’s flawed proposals for Scotland and Wales would ultimately drive them out of the United Kingdom, and we oppose that.

    Labour also proposes to fiddle with the House of Lords, despite the fact –

    Mr. Campbell-Savours rose –

    Mr. Donohoe rose –

    The Prime Minister I shall not give way to the hon. Member for Workington (Mr. Campbell-Savours) until he has learnt better manners. I shall give way to the hon. Member for Cunninghame, South (Mr. Donohoe).

    Mr. Donohoe Will the Prime Minister’s proposals for Northern Ireland lead to a reduction in the number of Members of Parliament in the House?

    The Prime Minister When Northern Ireland had an assembly in the past, it had 12 Members of Parliament and constituency sizes were about 50 per cent. larger than constituency sizes across the rest of the United Kingdom. There is already over-representation in Scotland: there are 72 Scottish Members, as against 17 for Northern Ireland. Its powers were not comparable with the powers that would go to a Scottish Parliament.

    Rev. Martin Smyth (Belfast, South) Does the Prime Minister agree with me that, if Northern Ireland had proper representation in the House, comparable to that for Scotland, we would have 23 Members of Parliament? Does he further accept that the plan is to return devolved local administration with powers to Northern Ireland? Does he also accept that the signing over of certain consultative positions to the Dublin Government is an anomaly in a kingdom that expects to rule itself?

    As a graduate of Trinity college, I would have understood if the Government were guiding the appointment of a person to the senate of Trinity, but why, in the name of all that is wonderful, do we have to consult in quangoland on appointments to the senate of Queen’s university, the numbers of which must be sent to Dublin?

    The Prime Minister The hon. Gentleman is entirely right about the comparable number of Members of Parliament. Indeed, there would be rather more English Members of Parliament on a comparable basis were we to have the same population representation as Scotland. As I said a few moments ago, we are seeking to provide the surest foundation for maintaining Northern Ireland’s place in the United Kingdom. That will remain our constant policy.

    The Labour party also proposes to fiddle with the House of Lords, despite the fact that it works well as a revising chamber and as a forum for debate. There are times when we hear a little less from Labour Members about the House of Lords, such as last week, when they used it to undermine our plans to get tough on drug dealers, violent criminals and burglars. The House of Lords is all right then. What the shadow Home Secretary will not do in this House, he has his colleagues do in the other House if he possibly can. When the House of Lords so misbehaves itself that it agrees with the Government, Labour says that it is a bastion of unacceptable privilege.

    Labour proposes to change the House of Lords in a two-stage reform. First, it would remove the right of hereditary peers to sit. For stage two, with characteristic firmness of purpose, it undertakes to work it all out later. Labour risks creating the largest and most powerful quango in history, to pick up the point made by the hon. Member for Belfast, South (Rev. Martin Smyth). It would be a House filled with hand-picked appointments, which would give a whole new meaning to the term “trade union barons”: an Islington focus group writ large. If those people are not to be appointed, will they be elected? If so, would the Upper House set itself up in opposition to this House? Who would arbitrate between them? Indeed: ‘The prospect of a second Chamber challenging or replicating the power of the first would produce instability and inefficiency, and is to be avoided.’ That is my view, but that is also how the Labour party put it in its document. So it admits the dangers, but it still proposes the change.

    Mr. Elfyn Llwyd (Meirionnydd Nant Conwy) The Prime Minister has already referred to a revising Chamber two or three times, saying, for instance, that one would not be available in Scotland under Labour’s plans. Is he happy with the fact that, on Tuesday, this House reversed the decisions of the House of Lords on every amendment?

    The Prime Minister This House is sovereign. It is because the hon. Gentleman does not believe that that he follows the politics he does, but I do believe that this House is sovereign.

    The final lunacy in Labour’s plans is, of course, reform of the voting system. The Liberal Democrats have long favoured that, for reasons that I well understand. It is true that the “first past the post” system does them no favours, but I think that it is right for the country. Proportional representation would deliver permanent coalitions, for ever depending on back-room deals with minority parties that would withdraw support whenever it suited them. [Laughter.] It is interesting to see that the right hon. Member for Yeovil (Mr. Ashdown) knows that that is true.

    Labour’s view, however, is very murky. We are told that Labour flirts with the idea of a referendum on proportional representation – one of the dozen or so referendums that it now plans in order to keep the Liberal Democrats happy. But, at the same time, the Labour leader uses his familiar tactic of sending people out into the Lobbies to whisper that he personally is opposed to PR. We know that he says one thing in public and another in private; now we see that he says different things in private whenever it suits him. Today, he can tell us his position in public.

    We are told that constitutional reform would be a priority for a Labour Government. [HON. MEMBERS: “Hear, hear.”] I am glad that Labour Members confirm that. Constitutional reform would be a priority – not jobs, not taxes, not health, not law and order, but gerrymandering the constitution with these barmy propositions.

    Our constitution is the foundation of our democracy. It is the base on which our freedoms appear, and our economic prosperity. That is why I defend it. I would change it only cautiously, and after careful examination. If the case were to be made, I would support it, but no case has yet remotely been made for the changes proposed by the Opposition.

    The constitution should not be a political plaything for party gain. Ours is a united kingdom, a proud nation state, part of a Europe that is and should remain a partnership of nations and not a federal state. Labour’s constitutional proposals would affect not just Scotland and Wales, but the whole United Kingdom. They would affect this Parliament. They would affect the way in which this nation is governed. The damage they would do is massive, and the benefits they would bring are dubious. They are rightly an election issue, and we shall make them so.

  • PMQT – 18 February 1997

    Below is the text of Prime Minister’s Question Time from 18th February 1997.


    PRIME MINISTER:

     

    Engagements

    Q1. Mr. Whittingdale: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister (Mr. John Major): This morning, I had meetings with ministerial colleagues and others. In addition to my duties in the House, I shall be having further meetings later today.

    Mr. Whittingdale: Does my right hon. Friend agree that if the Scots and the Welsh were to be given their own Parliament there would be an overwhelming demand from my constituents in Essex, and elsewhere in England, for English Members of Parliament to be given exclusive control over English affairs? What consequence does he think that that would have for the integrity of the United Kingdom?

    The Prime Minister: I agree with my hon. Friend about the anomalies that would be thrown up were there to be a Scottish or Welsh Parliament. The shadow Foreign Secretary once said, when he was shadow Health Secretary, that he as a Scot could not be Health Secretary in England were health to be devolved to a Scottish Parliament. Clearly there are much wider applications than just health were such a Parliament to be established. That is just one of many anomalies thrown up by the policy of devolution which I hope that we will be able to examine this week.

    Mr. Blair: Does the Prime Minister recall the promise that he made on “Panorama” a couple of years ago that the excesses that we saw in the water industry would not be repeated in the rail industry? Is he aware that, in the next few days, the second of the railway rolling stock companies, which was bought on privatisation for £580 million, is to be sold for £900 million? The first rolling stock company, having been bought for just over £500 million, was sold a few months later for more than £800 million. Does he agree that such profits are entirely unjustified?

    The Prime Minister: I seem to recall the right hon. Gentleman saying that he supported the enterprise of the market and the rigour of competition. That seems to apply only in generality and not in the real world when companies are efficient and sold on. The right hon. Gentleman and his party are as opposed to private ownership and privatisation today as they have ever been at any stage. They know that that is so and take every opportunity that they can to try to denigrate the success across the whole range of privatisation.

    Mr. Blair: I certainly support the enterprise of the market. What I do not support is the incompetence of the Government. I believe that most people in this country will see the difference between making an honest profit and profiteering.

    Can I point out to the Prime Minister that, in the sale in the next few days, the managing director, who put in £110,000 a year ago, will make £20 million and the finance and engineering directors, who put in £80,000, will make £10 million each, and it is reported that the part-time chairman of the company privatised earlier, who worked for one day a month and put in £25,000, has walked away with £4 million? Does the Prime Minister believe that that is the enterprise of the market? Is it not simple profiteering?

    The Prime Minister: It is hard not to remember that the right hon. Gentleman’s private office is funded by the profits of privatisation. If such funds are so wrong, perhaps he will pay them back to those who provided them. It is not all that long ago that he was saying:

    “the pragmatic approach to privatisation is . . . correct. The key is . . . sticking to it regardless of the pressures.”

    Of course, he said that in South Africa; what he says here is quite different.

    Mr. Blair: May I suggest to the Prime Minister that, just for once at one of these Prime Minister’s Question Times, he tries answering the question put to him? Is there not the sharpest contrast between the massive windfall gains–[Interruption.]

    Madam Speaker: Order. Let us have a little order in this House. I can hear the hon. Member for Rugby and Kenilworth (Mr. Pawsey) shouting and bawling.

    Mr. Blair: Is there not the sharpest contrast between the massive windfall gains made on the sale of a public asset that is effectively run through public subsidy, and the misery of thousands of commuters yesterday at Waterloo station, who saw their trains cancelled and their services destroyed because the train company laid off one tenth of its drivers? Is not that the clearest example of a Conservative Government favouring the few at the expense of the many?

    The Prime Minister: The right hon. Gentleman remembers the bad old days of British Rail nationalisation–services were cut with no protection for the passenger. Now, penalties can be imposed and passengers have the right to apply for compensation. Clearly, from what he is saying, he is proposing new capital controls on the market. We look forward to hearing precisely what those are. He cannot deny that privatisation has been a success. Investment is at record levels. [Interruption.] It is interesting to see Labour Members’ opposition to private ownership. I shall let them hoot a little longer. New rolling stock is being introduced, extra services are being offered–new services, new investment and higher standards. That is through private ownership across the range of privatised industries. People recall what it was like when Governments tried to run them.

     

    Q2. Mr. Dunn: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister: I refer my hon. Friend to the answer I gave some moments ago.

    Mr. Dunn: Is my right hon. Friend aware that grammar schools and high schools exist in Dartford and in a further 60 constituencies across the country as a result of the election and re-election of Conservative Governments since 1979? The only guarantee of their continued existence is the Conservative party, and not the nightmare coalition of Opposition parties.

    The Prime Minister: That must be right. The message to parents is quite clear: Labour in office would wipe out grammar schools. Labour local authority leaders have made that absolutely clear. As the shadow education spokesman said some time ago,

    “Watch my lips. . . . With Labour there will be no selection.”

    There would be no selection, no choice, no improved standards, no opportunities and, if Labour had had its way, no tests, no information to parents and no improvement in education across the board. The worst 20 education authorities are all long-term Labour education authorities. That is not an accident; it is inevitable, given Labour’s policies and instincts.

     

    Q3. Mr. Winnick: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister: I refer the hon. Member to the answer I gave some moments ago.

    Mr. Winnick: Does the Prime Minister take the same view as I do: that the Daily Mail was right to campaign for the murderers of Stephen Lawrence to be brought to justice, and to name names? All law-abiding citizens are pleased that the murderer of Philip Lawrence, the headmaster who was knifed to death, is in prison–for a long time to come, I hope–but it is a matter of deep and continuing concern that the murderers of the 18-year-old lad who was knifed to death almost four years ago have not been brought to justice. Should not the authorities explore every avenue to ensure that his murderers are brought before the courts?

    The Prime Minister: The whole House is united in offering its sympathy to the parents of Stephen Lawrence, and in condemning this unpunished racist attack. There is total unanimity on that point. I am not a lawyer, but I understand that there is no question of statutory contempt as a result of the activities of the Daily Mail. As the House is aware, it is not through lack of effort that no successful prosecution has yet been brought. I hope that, even at this stage, it will be possible to mount a successful prosecution. If evidence is forthcoming, it will be examined. There is no lack of will to prosecute.

    Mr. Duncan: Will my right hon. Friend confirm that, unlike Labour’s foreign affairs spokesman, the right hon. Member for Livingston (Mr. Cook), he is not

    “at home with the European social model”?

    Will he also confirm that if we were to adopt that habit in this country, 23 million households would immediately face a £2,300 tax hike, which they would otherwise not need to pay?

    The Prime Minister: Unlike the shadow Foreign Secretary, who alas is not present, I am self-evidently not at home with the European social model. It is evident why no one should be. The head of European operations at one of Britain’s most successful companies was quoted in one of yesterday’s newspapers. He referred to one European country, and said:

    “The costs were absurd and everything we wanted to do was blocked by the unions . . . Whenever we wanted to do anything to improve the business, their first reaction was to call a meeting of the works council.”

    The senior executive of Grundig said:

    “No employee or business is safe.”

    That is the reality of the way in which these well-meaning ideas work in practice. The second reality is the 4.5 million unemployed in Germany, the 3 million unemployed in France and the 2 million plus unemployed in Italy.

     

    Q4. Mr. Loyden: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister: I refer the hon. Gentleman to the reply I gave some moments ago.

    Mr. Loyden: Does the Prime Minister agree that we owe a debt to those people who fought in the second world war and who, in their working lives, created the wealth of this nation, and that they should be treated with the greatest respect? Is he aware that in my constituency two elderly people’s homes are to be closed? The age of the people in those homes ranges from 70 plus to the 90s. Does that reflect a civilised society, and will the Prime Minister speak to the Minister responsible to ensure that some action is taken to avoid breaking up what is now a family of people in their dotage?

    The Prime Minister: Of course I agree with the general proposition with which the hon. Gentleman started his question. I do not know the details of the case that he raises, but I will certainly ask my right hon. Friend the Secretary of State for Health to examine it. When he has done so, I will write to the hon. Gentleman.

     

    Q5. Mr. Robathan: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister: I refer my hon. Friend to the reply I gave some moments ago.

    Mr. Robathan: In the course of his busy day, has my right hon. Friend had the opportunity to study the form for the 5 o’clock race at Market Rasen? If so, has he noted a sporting chance at 8/1 called “Pause for Thought”? While welcoming any convert to Conservative principles, does he agree that “Pause for Thought” might be a maxim to the recent converts to privatising the Tote?

    The Prime Minister: The plan to privatise the Tote, apparently floated by the shadow Chancellor, seems to have been shot down very speedily by the shadow Foreign Secretary. One might say that it fell at the first fence.

     

    Q6. Mr. Michael J. Martin: To ask the Prime Minister if he will list his official engagements for Tuesday 18 February.

    The Prime Minister: I refer the hon. Gentleman to the reply I gave some moments ago.

    Mr. Martin: On the question of a Scottish Parliament, I notice that the Secretary of State for Scotland says one thing and the Secretary of State for Health says another, but it would be petty, mean and spiteful if any future Tory Government tried to dismantle the Parliament that the Scottish people want.

    The Prime Minister: I hope that we shall have the opportunity of a detailed and sensible debate on devolution proposals–

    Mr. Skinner: What? In here?

    The Prime Minister: Yes, I had hoped in here on Thursday, and beyond here thereafter, because, despite the passions and convictions felt about this issue by people on both sides of the argument, we can all, I hope, agree that it is an issue of crucial importance to the future of Scotland, of Wales, of the House and of other parts of the United Kingdom. I hope therefore that we can deal with it in detail. There are many questions to be asked and answered. I hope that that is the nature of the debate that we will have in the weeks ahead.

  • Mr Major’s Comments on the General Election – 5 January 1997

    Below is the text of Mr Major’s comments on the General Election, made in an interview on 5th January 1997.


    QUESTION:

    [Mr Major was asked about the talks between the Labour Party and the Liberal Democrats].

    PRIME MINISTER:

    Well, I think there are several things to be said about it. I don’t think there’s any secret that they’ve been talking. The substantive part of what they’ve been agreeing of course has been secret. I’m rather surprised they’ve kept the whole thing quite as secret as they have, it’s clearly leaked in the Sunday Times and they then briefed other papers. But the substantive issue of what they’re discussing I think is very important.

    Now what is shown this morning of their agreement I suspect is just the hors d’oeuvre of what they’re really discussing. The key point of course, that they will turn to, is the Scottish Assembly, the Scottish Parliament and then of course changing the voting system in the United Kingdom. Those will be the points of greatest interest and I suspect that’s the agenda that they’re really turning to. Now I believe that is profoundly dangerous for a range of reasons, I think it is more important than pure party politics, I’ve set out often enough my fears about a Scottish tax-raising Parliament and my fear remains that if you go down the route of a Scottish tax-raising Parliament you are lighting the fuse towards an independent Scotland and the break-up of the United Kingdom.

    Now I have set that out before the last general election and I passionately believe that to be the case and you can see the way in which opinion in Scotland, particularly amongst young people, seems to be moving. And if you had a Scottish Assembly, it would fail, of course, that would come into conflict with the Westminster Parliament most certainly, then you are setting up the scenario for a dispute between Westminster and the Scottish Parliament that would lead to a demand for independence. Now whether that would be in five years, ten years, I don’t know, but I it is profoundly dangerous that people look, not just at the short-term politics of this, but as the long-term constitutional implications of what the Labour Party and the Liberal Party are proposing. I think it is very dangerous, it is certainly going to be a substantive part of their secret discussions, of that I’ve no doubt and I believe the impact upon the United Kingdom will be thoroughly bad and the job of politicians is to stand up and look at the long-term implications and to explain, even though it may be popular in the short-term, why it is a bad thing for the United Kingdom in the long-term.

    QUESTION:

    [Mr Major was asked if a bad thing for the United Kingdom would be popular north of the border].

    PRIME MINISTER:

    Well superficially popular in Scotland certainly, but I don’t think the extra taxes they’d get would be very popular. I mean this would be followed by a new Scottish Parliament, that’s going to have to be paid for, more money on more bureaucrats, more money on more politicians and an agreement already that they could raise tax in Scotland by 3 pence in the pound. Now in the abstract one can see that people are not too worried about that, when the reality occurs and they have to pay more tax than the English, the Northern Irish and the Welsh I think it will be different and then when companies stop investing in Scotland because their employees paid higher tax and demanded higher wages then the huge change you have seen in Scotland over the last ten years, the tremendous drop in unemployment, the great widening of job opportunities will begin to disappear and I think then people would look back and say ‘we have bought a pig in a poke’. I don’t believe Scotland wants to be divorced from the rest of the United Kingdom.

    QUESTION:

    [Mr Major was asked if he thought a Scottish Parliament would win votes for parties that supported it].

    PRIME MINISTER:

    Well I don’t see it primarily as that, I think it may well be providing we can persuade people of the dangers and I will attempt to do so and I’ve been consistent on this for a number of years. I believe it is a profound mistake to the United Kingdom, that is the first point. The other element of their agenda of course, is the proportional representation and what they’re seeking to do of course is to, as the with the Scottish parliament which they would propose to introduce without reducing the number of Scottish MPs at Westminster, what they’re proposing to do effectively is to gerrymander the constitution. They’re determined to try and change a voting system, we have seen what that means right across Europe where you have minority governments, the inability to take really difficult decisions and perhaps above all the removal of choice from the electorate. If you have proportional representation and cosy agreements between the political classes then the electorate’s choice is diminished, they cannot say “I’ve had enough of this lot, out with them”. Because they’re fixed with other people unless there is a quite cataclysmic change in voting habits that would simply return the same people time after time.

    So I believe it is very, very damaging and I hope people will focus firstly on the fact that this has been done in secret, I wonder how many of the Shadow Cabinet know about the detail of these discussions before they leaked. I wonder how many of the Liberal Parliamentary Party know. I wonder after all this Labour talk of consultation what consultation there’s been with the average Labour supporter up and down the country. The answer is none of course, absolutely none.