Tag: Welsh Conservative Party Conference

  • John Major’s Speech to the 1996 Welsh Conservative Party Conference – 14 June 1996

    Below is the text of Mr Major’s speech to the Welsh Conservative Party Conference in Porthcawl on Friday 14th June 1996.


    PRIME MINISTER:

    Britain Transformed

    People will ask you ‘What have the Tories ever done for me?’

    It’s an honest question – bluntly put – and deserves an honest answer, equally straightforward.

    So spell it out for them.

    Remind the questioner there’s been a revolution in education. In 1979 one in eight young people went on to higher education. Today it’s almost one in three. A third of all families can look with pride to their child’s achievement. A third of our young people enter the world of work armed with a better education.

    ‘Well’, they may say “So there’s education. But what else have the Tories ever done for me?”

    Under the last Labour government, if you needed an operation, you had a one in five chance of waiting over two years. Today, only a handful of people are waiting that long.

    ‘Fine – there’s education, health. Fair enough. Anything else?’

    Inflation. There’s another certainty. If we’d kept inflation at the level we’d inherited and followed Labour’s policies, today a loaf of bread would cost £1.25 and a pint of milk 70p. About double today’s prices.

    ‘All right. I give you that. But what else have the Tories ever done for me?’

    Well, there’s tax. If we still had the tax system we inherited from Labour, the average earner would be paying £17 more a week- £17 a week – in tax. How about that?’

    “Mmmmm. Education, health, inflation, tax. Is that all the Tories have ever done for me?’

    Look, don’t have to tell you ladies and gentlemen, they’re tough on the doorstep. So come right back at them.

    There’s the unions. In 1979, we lost twenty nine and a half million days to strikes. Twenty nine and a half million. The dustmen, the council workers, the car workers all proving Labour doesn’t work. Since then, the number of days lost to strikes has hit the lowest since records began.

    ‘Yes, well’ they may say. ‘Apart from education, health, inflation, tax, strikes. That’s all very well, but what have the Tories ever done me?’

    Take a deep breath, and broaden the picture.

    Under Labour, loss-making nationalised industries cost the taxpayer £50 million a week.

    Today, privatised industries contribute £50 million a week in tax. £50 million a week – enough to pay for 11,500 hip replacements, 1 new hospital a month and 5 new schools.

    What’s more, electricity bills are down £18. Gas bills – excluding VAT – down over £90. Phone bills still falling – down £44 in the last three years. Privatisation works.

    ‘So there’s education, health, inflation, tax, strikes, household bills. But what have the Tories ever done for me?

    Jobs. Under Labour, unemployment rose by 122 per cent. 2.500 people became unemployed every week. This week, unemployment fell again – down by 800,000 since its peak. We’ve more of our people in work than any major country in Europe.

    ‘Sure, sure. That’s all very well. But how else have the Tories helped me?’

    There’s mortgages. Average monthly mortgage payments are around £170 lower than they were 6 years ago. At less than 7%, they’re at a 30 year low. The average rate under Labour was 11 per cent.

    ‘So that’s it, is it?’

    No. Here in Wales. William has been working to improve the environment. Intending to designate the Menai Straits as a nature reserve. Aiming for 50 of Wales’ beaches to be of the highest, blue flag, quality. Helping to protect Wales’ coast. So there’s health. Education. Inflation. Tax. Strikes. Bills. Jobs. Mortgages. The environment. How about that for a success story?

    ‘Yes … but why didn’t you tell me about all that in the first place?’

    Madam Chairman, that’s what life under the Tories has brought about: it’s quite a story. The story of a Britain transformed.

    Which part of our United Kingdom do you think has recorded over 1,500 new inward investment projects, worth billions, during the last thirteen years?

    Where has unemployment fallen by almost 26,000 over the last three years?

    Where has self-employment risen by almost 30 per cent since ‘79?

    Where have days lost from industrial action fallen to less than 1% of those lost in 1979?

    Here in Wales. That’s the kind of change Conservatism brings in its wake. Change for the better. And it doesn’t stop there.

    Look at Caerphilly. Once overshadowed by Cardiff and Newport, today a thriving major retail and commercial centre in its own right.

    Or the new Severn Crossing. Built with private finance as a vote of confidence for the growing South Wales economy.

    Or the new Ford plant I visited this morning, a £340 million investment bringing almost 500 new jobs to Bridgend.

    One success after another under a Conservative Government. To borrow a phrase you may have seen about town: ‘Yes, it worked’,

    Life is better. And if people want a change, they need to be clear what they’re changing from, and what they’re changing to.

    The Next Election

    At the moment too many people are sleepwalking into the next election – which is precisely what Labour want them to do. It’s the whole point of their strategy. They want to drug people into thinking that voting Labour is risk free. They don’t warn people to realise that if they vote Labour, Britain will never be the same again.

    Madam Chairman, that’s not my idea of politics. Britain is the oldest democracy in the world. I’ve always believed that if you give the people the facts, and treat them like adults, then you can trust them to make their own minds up.

    Our job is to set out our case. To make people think before they vote. And to leave them in no doubt what the consequences would be for Britain if they decide to cast aside everything we’ve achieved and take a massive step into the dark.

    Because the next election is a watershed election. Many of the changes Labour want to slip past us are irreversible.

    Three over-arching issues will lift this election out of the run of the mill. Issues that will decide the kind of country we live in.

    First, there’s the United Kingdom itself. You might think it’s right to give Scotland its own Parliament and Wales an assembly. Or you might think that’s a rotten idea, as I do. But whatever you think, once you go down that route, it’s difficult to turn back. The change might be irreversible. It would be no use saying ‘No one told me that would happen’. It would be too late. The Union would be gone.

    Then there’s Europe. You might think that Britain’s destiny lies in being drawn ever deeper into a federal Europe. Or you might, like me, believe we should resist that tooth and nail. Because once you’ve given powers to Europe it’s all but impossible to get them back. No use saying ‘Oh I didn’t think that would happen’. It would have happened.

    Finally, there’s the economy. You can eve an argument about whether you have more state control, as Labour believe, or less, as you and I think we should. Whether or not you agree, don’t doubt what’s at stake. You’d be throwing away the strongest economy in Europe – I repeat the strongest major economy in Europe. No point in complaining ‘Oh, I didn’t think that would happen’ when taxes, strikes, inflation all start going up – as they always do under Labour. By then it would be too late.

    Britain’s success, our Union, our nation – that’s what Labour threaten. Between now and the next election I’m going to set out the difference, the major difference, if I may say so, between us and Labour – and I’m going to say it and say it and say it until everyone understands all that is at stake.

    The Choice

    On the day they go to the polls, people will think of a number of things. High on their lists will be which party will make me and my family better off?

    The Conservative answer is simple. We believe in rewarding hard work. Encouraging people to set up their own business, to save and invest for the future.

    We want to give people the chance to spend more of their money as they wish.

    So as soon as we can safely do so, our instinct is to cut taxes. They’re still too high.

    Britain will never be able to compete in tomorrow’s world if we’re lumbered with high taxes, cramping enterprise and investment. That’s what you’d get under Labour.

    But to cut taxes we need to keep spending under control. We’re doing just that. For the first time in its history, spending on the welfare state will grow slower than the economy. Of course we’ll always help those in genuine need. But let spending spiral out of control, and we can wave goodbye to a strong economy.

    Now look at Labour, they’re addicted to the spending state.

    Look at what they’re planning.

    First, anyone earning as much as Clare Short could be taxed more. Care has a bee in her bonnet. She thinks they’re doing too well. So it’s bad news for them.

    It’s also bad news for anyone living in Scotland. They’d be clobbered by Labour’s Tartan Tax.

    Bad news for any middle class parent with a child staying on at school. They run the risk of losing their child benefit. Labour’s Teenage Tax.

    Bad news for anyone who owns shares in a privatised utility. Labour’s Windfall Tax.

    And heaven help anyone who uses a company car or drives to an out of town shopping centre. They’d run straight into Labour’s Shopping Tax.

    Oh, they’re high on tax in the Labour Party. So to keep your money, make your choice: lower taxes under the Conservatives, higher taxes under Labour.

    As for jobs, we’ve the lowest unemployment of any major European economy.

    Why? Because of our policies.

    Look how much it costs to employ someone across Europe. I don’t mean wages. I mean extra costs over and above wages.

    For every £100 an employer spends on wages, he’d have to pay an extra £32 in Germany. An extra £34 in Spain. An extra £41 in France. An extra £44 in Italy.

    But here in Britain, the cost is just £18. That’s why we’re competitive. It costs less in overheads to employ people here than in other European countries.

    That’s why we’ve attracted more foreign investment than any other country in Europe.

    And that’s why I won’t sign the Social Chapter or have a minimum wage.

    But Labour would. They say they’re after full employment – what they’d get is more unemployment. The minimum wage would price job-seekers out of the market. The Social Chapter would price Britain out of the market.

    So once again, the choice is clear. Policies to create jobs under the Conservatives. Policies to destroy jobs under Labour.

    Of course, the only way Britain will remain competitive is if our children learn the skills of the future. Education is vital.

    Conservative Britain has come a long way. Schools are no longer a secret garden. Just look at our record. A national curriculum, tests, performance tables, regular inspection. Choice for parents – every parent – even Labour politicians. That’s all right. We’re broad minded. And more young people going on to higher education than ever before.

    That’s the Conservative record on education and I’m proud of it.

    And here’s the future under the next Conservative Government.

    More choice.

    More grant-maintained schools.

    Tougher teacher training.

    More selective schools – including grammar schools.

    More Assisted Places.

    More results published.

    Every child is different. Every parent deserves choice. Opening doors for everyone. That’s Conservative policy.

    Labour’s idea of education is a scorched earth policy. First they enjoy it, then they destroy it.

    Some Labour politicians went to private school. But do they support them? Not a bit of it. They’d deny others the chance they had by abolishing assisted places.

    Some of them went to grammar schools. So now they’d like to abolish them.

    Some of them make the most of choice. They send their children to grammar or grant- maintained schools. They’d be abolished too – once the children have left.

    Labour standards are double standards. And their motto: ‘do what I say, not what I do’.

    When it suits them Labour mouth platitudes about teaching children the basics. But when it came to the crunch, oh, that’s different. Where were they when we had to fight to introduce the national curriculum, tests, and league tables and the rest? Who opposed us at elections, in Parliament and in councils up and down the country?

    You’re right – Labour. My motto is: ‘watch what they do, not what they say’.

    So it’s clear. More choice, higher standards, more freedom under the Conservatives. Less choice, more control, more restriction under Labour.

    The Nation

    A strong economy. A skilled workforce. A nation that’s winning in markets around the world. That’s how we’ll become the Enterprise Centre of Europe.

    But, just when we’re enjoying economic success, nothing would be more disastrous than Labour’s plans to carve up Britain. It would be an act of constitutional vandalism.

    Our nation’s prosperity and future depends on unity. Once broken up, it would be difficult – probably impossible – to put it together. And that’s the second reason why the next election is all important.

    I don’t say this for party political reasons. Nothing would improve the partisan, political fortunes of the Conservative Party than to see Scotland and Wales with Labour and Nationalist MPs going their own way. But we don’t want that.

    For one thing, we want Scotland and Wales electing more Conservative MPs. But irrespective of how they vote, we believe the people of Scotland and Wales want to remain part of the United Kingdom.

    Our United Kingdom has been moulded over the centuries, battered by the tide of history. Yes, it has changed. And it is changing. But necessary change, not change for change’s sake.

    Yet Labour’s plans are just that.

    When was the last time you heard someone looking for a job saying ‘What we really need is an assembly. Then I’d get a job?’

    Or parents concerned about their children’s education. Are they thinking ‘An assembly! That’s what my child needs to get through school’?

    And how many pensioners have you heard muttering ‘Welsh assembly. Welsh assembly – that’s what we need to fight crime on the streets’?

    Madam Chairman, a Welsh assembly is as pointless as a blunt pencil.

    Worse still, Labour’s plans are an humiliating, patronising slap in the face for Wales.

    Labour’s lust for power has forced them to promise Scotland a tax-raising Parliament. Why? Because the only way Labour can hope to compete against the Scottish Nationalists is to propose barmy plans for their own party political advantage. That’s why Labour want a Scottish Parliament. It’s their bid for Scottish votes.

    As a result, Scotland would become widely over-represented at Westminster. The only way Labour could attempt to redress the balance is by lumbering England and Wales with totally irrelevant assemblies.

    I come to Wales as an Englishman. A Conservative Prime Minister. But Prime Minister of a United Kingdom.

    Labour Prime Ministers – one of them even sitting for a Welsh seat – have governed the United Kingdom without holding a majority of seats in England. But they never said they had no mandate to rule England. They never said England should go its own way.

    But now Labour are singing a different tune. My duty is to point out the dangers of following Labour down the route they’d take us.

    Wales will choose.

    If the Welsh people want a focus for division, then a good way of doing so is to vote for a Welsh assembly. If they think an inspiring way to greet the Millennium is to have more politicians, chattering away in an assembly, then by all means they can vote for one.

    If, unlike Mr Blair, they can guarantee that an assembly won’t demand powers to spend other people’s money, they can vote for one.

    If they know why a Scottish Parliament should be elected by PR, but a Welsh Assembly by first past the post, they should telephone Mr Blair- because he hasn’t the foggiest.

    I have only one vote. I know how I’ll be using it. To protect and defend the United Kingdom from policies that would hurt and never work.

    But Labour’s madness knows no bounds. It spreads to the third great issue – Europe.

    Labour believe that our future lies in a sort of superstate. Let me remind you, Labour would undermine the veto. Jeopardize our rebate. Sign up to the Social Chapter. Give more powers to the European Parliament.

    No wonder Mr Blair says he’d never be isolated in Europe. Armed with a blank cheque, he’d agree to what is wholly against our nation’s interests. With his set of policies, he’d have little choice.

    Some people might like his idea of being part of a European superstate. If so, they can vote Labour. That’s their prerogative.

    Others – like all of us here – have a very different vision. It’s a vision of a Europe of nation states, linked by traditions of freedom and democracy and a single market, trading together but preserving their own identity.

    I don’t want to see our nation swept aside. Our Parliament at Westminster must remain the focus for British democracy – not Brussels.

    Yes, of course we must remain a part of the European Union. We can’t afford to be outside the world’s largest single market. We created that single market. It remains in our national interest to be part of it. The Union has made co-operation, not conflict, the habit between the nations of Western Europe.

    But we need to persuade our partners that the way forward is by building a partnership of nation states. A partnership that respects the cultures and traditions of European countries.

    We will argue for the Europe we want. And if we disagree, and think Europe is going in the wrong direction, we’ll simply say politely but firmly – ‘no, that’s not for us’.

    Europe must be flexible enough to allow us to do that. As more countries join, we can’t hope to fit into some universal blueprint. Nation states can’t be expected to march in institutional step.

    Flexibility, patience and understanding are essential. So I say again, if Europe goes federalist. Britain will not follow.

    Peroration

    Madam Chairman, no party has the right to point the British people towards the polling booth anaesthetised by warm words, hollow generalities, and a vague wish for change.

    We Conservatives inherited a Britain on the rocks.

    We’ve spent seventeen years rescuing this country from that inheritance and turning it round.

    Turning the tide of progressive thought in schools takes years.

    Reversing liberal approaches to crime takes years.

    Curbing the powers of the unions takes years.

    Getting inflation down to all time lows takes years.

    Building a Europe of nation states takes years.

    But on Britain’s doorsteps pointing to what we’ve achieved is only half the picture.

    We need to alert people to the choice they will have to make. When they go into the polling booth and pick up that stubby little pencil, what they’re voting for will be nothing less than the future of Britain.

    Say to the people before they vote ‘If you want a fragmented country, a weaker Britain, the end to our economic strength and that’s what you vote for, then fair enough, that’s democracy. You have that right’.

    But don’t leave them on the doorstep under the illusion that they’re voting for something else. Don’t let them be conned by that sort of thing: it’s a false prospectus.

    These issues are too great, too important to be brushed aside. If Labour had their way, the face of Britain would be changed for good. Forever. And irredeemably for the worse.

    We Conservatives can’t afford to let that happen – and we won’t. Which is why New Labour, Old Labour, any old Labour, are trying to pull the political wool over people’s eyes.

  • Mr Major’s Speech to the 1995 Welsh Conservative Party Conference – 9 June 1995

    Below is the text of Mr Major’s speech to the Welsh Conservative Party Conference, held in Llangollen on Friday 9th June 1995.


    PRIME MINISTER:

    Bosnia

    Mr Chairman, I’d like to turn first to the remaining Royal Welch Fusiliers – and the Royal Air Force military observer – still being held hostage in Bosnia.

    That is where the thoughts of many people in Wales will be until they are safely home.

    Of course, we’re all relieved that so many of their colleagues have now been released unharmed.

    But let us be clear. These are impartial peacekeepers who should never have been seized in the first place.

    To hold just one hostage, just one peacekeeper – let alone dozens – is despicable.

    No reputable army would have contemplated doing it.

    The leaders of the Bosnian Serbs know that they will be held personally responsible if they let any harm befall our men.

    They should release them unharmed.

    Release them unconditionally.

    And release them immediately.

    Mr Chairman, I spoke this morning to the Commander of the First Royal Welch Fusiliers in Gorazde, Colonel Jonathan Riley.

    Let me tell you about the vital work the Fusiliers are doing.

    One company of the Fusiliers is at Bugojno – a base in Central Bosnia I visited last year.

    There British soldiers helped to establish a ceasefire between the Muslims and the Croats 15 months ago.

    The Fusiliers are making that ceasefire work.

    They and their colleagues are patrolling 140 miles of the old battle lines.

    They are helping former enemies to live together, work together, and rebuild their lives – in peace.

    Just a few months ago people there were killing each other in their thousands.

    Today, thanks to British and other United Nations soldiers, across a large area fields are being planted and children are playing safely and happily.

    In Gorazde, where three companies of the Fusiliers are stationed, there are about 45 thousand people.

    United Nations agencies have been supplying them with food and medicine.

    But Gorazde is now under heavy bombardment. Serb artillery is ranged against a large force of Bosnian government infantry.

    But the Welch Fusiliers are facing these difficulties with great determination and are in good spirits, as Colonel Riley told me.

    Let me give you just one example of the work the Fusiliers have done.

    On 23rd May, a little over a fortnight ago, two of the Fusiliers’ armoured cars were escorting an aid convoy.

    They came under heavy fire from the Bosnian Serb army. They fired back in self defence – as is their right.

    Their vehicles were hit, but they came away without casualties.

    On its way back, the patrol stopped to help a heavily pregnant Bosnian woman – and the Royal Welch Fusiliers delivered her baby and took mother and child to safety.

    Mr Chairman, life in Gorazde for the Royal Welch Fusiliers is arduous, uncomfortable and at times dangerous.

    But they have done a superb job.

    And I believe we should be very proud of them.

    I want the UN forces in Bosnia to be able to go on doing their job, so long as they are not facing unacceptable risks.

    We have a clear duty to save lives and prevent mass slaughter in our own continent.

    Yet there is an even stronger reason for us to have our troops there.

    There are war memorials across Wales and throughout the United Kingdom bearing the names of the millions who died in World Wars which began in the Balkans and Eastern Europe.

    In the years before 1914, and again in the 1930s, Britain paid a heavy price for the mistaken view that events hundreds of miles away had no importance to us.

    By the time we learned that we could not turn our back on the fate of fellow Europeans, it was too late.

    So the British troops who are in Bosnia today are upholding a vital national interest – the preservation of stability in Europe.

    But while they are there they must have all the protection we can give them in discharging their duties.

    That is why the Government has decided to send reinforcements to Bosnia.

    It was a hard decision.

    But I am sure that it was also the right decision.

    One thousand men – an armoured engineer squadron and two artillery batteries – are already on their way.

    And I can confirm today that, as soon as details are finalised with the United Nations, over 5,000 men of the 24th Air Mobile Brigade will be deployed to Bosnia.

    They will form half of a new UN Rapid Reaction Force at the disposal of General Rupert Smith and his fellow commanders.

    They will provide additional protection for UN forces – and our British troops – so that they can defend themselves. And so that they can respond more robustly if they are attacked.

    But I must make this clear: British troops are not there to fight a war.

    It is possible the warring parties might make their job impossible.

    And, if they do, we might be forced to withdraw those troops. I don’t want that to happen, but it could.

    That would have dire consequences for everyone in Bosnia and grave risks for the whole region.

    Mr Chairman, that is why we should give our total backing to our forces.

    We ask much of our young soldiers.

    They are performing magnificently.

    And they should know that this Government will do whatever is necessary to provide them with the protection they need and the security they deserve.

    The Nation

    Mr Chairman, the Conservative Party has always had a strong vision of the right future for our country.

    Throughout the last twenty years we have set the agenda for Britain.

    The Right to Buy.

    Trade union reform,

    The free market.

    Strong defences.

    Membership of Europe.

    Tests in schools.

    Punishing not rewarding crime.

    Time and time again it has been policies which have been vindicated by events.

    And yet, all the time, our opponents have fought our ideas ferociously, and then been forced belatedly – and half-heartedly – to accept them.

    We have been successful in determining the terms of debate in this country because:-

    – our fundamental convictions haven’t changed;

    – our instincts and values have always been close to those of the British people;

    – and we have always put the national interest first.

    Many of the details of our agenda over the last 15 years are nearing completion.

    Now we are ready once again to move the terms of the political debate forward.

    While our opponents modernise themselves – up to a point – by catching up with our agenda of the 1980s, we will be moving ahead to shape the agenda of the 21st century.

    Let me remind you of the five key themes which we will pursue in building a stronger nation.

    They can be summarised by saying that we will work for:

    – A Nation of Enterprise and Prosperity;

    – A Nation of Opportunity and Ownership;

    – A Nation of Law and Order;

    – A Nation of First Class Public Services;

    – A Sovereign Nation.

    It is on the fifth of those themes – a sovereign nation – that I wish to concentrate today.

    Wales – the economy transformed

    A strong nation needs first and foremost to have a strong economy.

    Here in Wales the economy has been transformed by Conservative reforms.

    Wales is now more competitive.

    – There are 16 per cent more businesses in Wales today than in 1980. Self-employment is up by 40 per cent.

    – Wales has secured nearly £7 billion of inward investment in the last decade – creating or securing over 120,000 jobs.

    – With only 5 per cent of the UK’s population, Wales consistently attracts between 10 and 20 per cent of the UK’s investment from overseas.

    The fruits of this new prosperity may not be obvious to opposition politicians with their gift for competitive whingeing.

    But they’re clear for people with eyes to see – and clear right around Wales.

    – Home ownership has soared from 59 per cent in 1979 to 72 per cent – higher than anywhere else in the UK.

    – For the first time in decades unemployment in Wales is down to the UK average – and it’s falling steadily.

    – Ownership of consumer durables has soared. Half of households in Wales now own a microwave. 69 per cent – more than two thirds – have a video. And 72 per cent – nearly three quarters – have a car.

    Mr Chairman, what created this unparalleled prosperity?

    It wasn’t socialism.

    It wasn’t Liberalism or nationalism.

    It was Conservatism.

    And it is only Conservatism that will preserve that prosperity – and expand it.

    Wales has changed. It’s no longer famous as the home of dying trades, outdated technologies and clapped-out union attitudes.

    Today it has tomorrow’s industries, not yesterday’s problems.

    Now Wales exports televisions, computers, and compact disc players.

    It is a major tourist destination. And a growing financial centre.

    That is the strong and secure future for Wales under the Conservatives.

    Europe and the Social Chapter

    But our opponents have a very different approach.

    Even though Labour copy our rhetoric daily, there remain many differences between their policies and ours.

    But one difference is fundamental.

    At heart Labour believes that Britain should steadily progress down the road which leads to a federal European superstate.

    The piecemeal erosion of our sovereignty.

    The step by step construction of a United States of Europe.

    Mr Chairman, that is not the right way for a successful Europe.

    It’s not what I believe the people of Europe want. Or the people of the UK. Or the Party.

    And it is not what this Government will ever accept.

    We believe in an effective Single Market with rules fairly applied to all.

    A Europe which strengthens its competitiveness instead of undermining it.

    A Europe built around the free co-operation of sovereign nation-states.

    A Europe which, as it enlarges, recognises that it must be more flexible and cannot become too rigid.

    We will not ride on an escalator that takes us where we do not want to go.

    We will battle for the right sort of Europe – and Britain’s interest in it – in all circumstances and at all times.

    That is why, so long as I am Prime Minister, our opt-outs and our right to say no will not be negotiable.

    Labour’s misguided approach to Europe is summed up by their devotion to the Social Chapter.

    Of course, these days they are happy to use the language of markets, competitiveness, and of success.

    They don’t understand it, but they use it.

    But they talk more loudly and enthusiastically about their commitments to the Social Chapter and the minimum wage.

    Those policies are the ball and chain which Labour would put round the ankle of British business – and thereby cripple our chances of winning in the world’s markets.

    Mr Chairman, I fought to keep Britain out of the Social Chapter.

    I did so at Maastricht even though I was outnumbered on this issue by eleven to one.

    Monsieur Delors lamented that by doing so I had made Britain a “paradise” for foreign investment.

    What has happened since has justified his judgement – and mine.

    For the Social Chapter is not a fixed menu of measures.

    It’s a mechanism which would allow Brussels to foist an endless stream of directives on British business. And just look at some of what we have avoided in the last two years alone, thanks to our opt-out.

    The Works Council Directive.

    The Parental Leave Directive.

    The Part Time Work Directive.

    They might sound harmless.

    But they’re not. Together they would blunt the competitive edge of British businesses.

    Just those three directives alone would cost our companies almost £2 billion a year.

    But don’t just look at the statistics.

    Listen to what foreign companies say. And do.

    Companies like Black and Decker. They’ve switched their factories from Germany to Britain.

    Companies like Daimler Benz. Their Chairman has warned that his company may do the same unless the German government sorts out the problem of rising social costs.

    Companies like Nikko, a large Japanese bank. Their Deputy Chairman has said that firms invest in Britain because of our lower employment costs.

    Companies like Sabena, the national airline of Belgium. They say that they cannot compete with British airlines because

    Belgian social costs are almost three times higher than in Britain.

    So, Mr Chairman, when some suggest that we should surrender the huge competitive advantage which we have gained by staying outside the Social Chapter, my answer is simple.

    That opt-out was hard-won.

    And it is not negotiable.

    And while the opt-out stays in the UK, foreign investment will stay in Wales.

    That’s a Conservative promise that no other party can match.

    But what is Labour’s reaction to this enormous competitive advantage which Britain has gained from sixteen years of Conservative government?

    Do they queue up to praise it?

    Do they promise to build on it?

    Do they even to undertake to protect it?

    No, of course not.

    Labour’s pledge is to do everything they can to eliminate that competitive advantage as fast as possible.

    The Labour leader has said that one of the first acts of a Labour Government would be to sign up to the Social Chapter. That would be a huge and wholly unnecessary blow to British business and British jobs.

    And Mr Chairman, when it really matters, I don’t believe that the British public will vote for a party which is offering them the fastest sell-out since the Christmas sales.

    The Minimum Wage

    Then there is Labour’s commitment to a minimum wage.

    Of course the idea sounds attractive. Who would not want to help people on low incomes.

    But it is a delusion.

    The only way to make people better off is to strengthen the economy, raise skill levels and cut costs.

    That is what we have been doing.

    It is the reason why Britain has seen unemployment fall further and faster in the last two years than anywhere else in Europe.

    It is down by 650,000 since 1992.

    And it is still falling by around 600 a day.

    Falling unemployment is the most effective anti-poverty measure of all.

    And taking measures that destroy jobs is the fastest route to impoverishing a nation.

    Yet that is precisely what a minimum wage does.

    And it would be the low income jobs which the low-skilled, the part-time and the young depend on – either as the first rung on the ladder or as a useful supplement to the family income which would be lost.

    Mr Chairman, we must continue to tell people the truth about the Minimum Wage.

    We must not let them by seduced by its friendly sounding name.

    Under its sugar coating lies the bitter reality that it will cost people their jobs.

    Labour and Devolution

    But, Mr Chairman, of all Labour’s ideas the one which would cause most damage to Wales – and to the United Kingdom – is their plan to tamper with our nation’s constitution.

    Those who want to rip it up should realise that it is not some patchwork quilt that can be stitched together in a different way.

    It’s not a mix’n’match assembly kit.

    It is the product of generations.

    A union that has weathered trial and tribulations because we realise that, united, we are stronger, divided we are weaker.

    No wonder then that we have learned today that a clear majority of the British people – and even most Labour supporters – believe that Labour’s devolution plans would weaken the United Kingdom.

    They are right to think that.

    For Labour’s plans would potentially set each part of the United Kingdom against the others.

    That is why the last time this poison pill was offered, the Welsh people rejected devolution overwhelmingly.

    And that is why they would be wise to do so again.

    Frankly, Labour’s plans for a Welsh assembly are an insult to Wales.

    They carry no conviction.

    They are the left-overs of their plans for Scotland.

    There would be a Parliament at Westminster, a Parliament in Edinburgh, but only an assembly in Wales.

    Now, I think a Parliament in Edinburgh is a mistake.

    But Labour don’t.

    So, if it is right for Scotland, why isn’t it right for Wales?

    Why are Labour taking Wales for granted when it has so often been loyal to them? Let me tell you.

    Labour want a Scottish Parliament in Edinburgh for their own party political reasons.

    They are afraid of the Scottish Nationalists.

    But a Scottish Parliament, with wide powers including the power to raise more taxes, ought to mean fewer Scottish MPs at Westminster.

    That would mean fewer Labour MPs.

    So to justify keeping Labour’s over-representation at Westminster they have cooked up the idea of a Welsh Assembly and Regional Assemblies around England.

    It’s a blatantly self-interested partisan policy to benefit the Labour Party.

    So the people of Wales would have foisted upon them a whole new layer of bureaucracy, and a whole new class of politicians, just so that Labour can protect their narrow party political interest in Scotland.

    It is a shameful spectacle – and Labour deserve to be punished for it by the electorate.

    In England, Labour’s desperate attempt to find a rational policy has produced a lurch from one policy to another. One day they support regional assemblies everywhere.

    Another day they want regional assemblies to be phased in, in some places.

    Because on yet another day they say regional assemblies would never appear in regions where they were not wanted.

    In Scotland, there is no answer to the big questions.

    Why should Scottish MPs be allowed to vote at Westminster on matters affecting England and Wales, when English and Welsh MPs would not be allowed to vote the same matters affecting Scotland?

    How can that be defended? No answer.

    What is the justification for the Tartan tax – forcing Scottish people to pay more tax than the English and Welsh just because they live North of the border?

    No answer.

    And what happens when a Scottish Prime Minister answerable to a Scottish Parliament finds himself in conflict with a United Kingdom Prime Minister answerable to a United Kingdom Parliament?

    You’ve guessed it – no answer.

    In Wales, as Neil Kinnock said, “Rightly or wrongly, the people will see the Assembly as a body which, in order to justify its forlorn existence, will have to take power from whatever tier of government it can get it’

    So the assembly would try to grab the powers of Welsh councils.

    That’s Labour’s new meaning of devolution.

    Not devolution down to the people, but p to the bureaucrats.

    Labour say their Welsh assembly wouldn’t be allowed to raise taxes.

    But have any of us ever met a socialist elected at any level who doesn’t want to spend more of the public’s money?

    So how long would it be before this Assembly started to demand the power to do so?

    These ideas would produce a decade of constitutional upheaval and muddle.

    But the damage would not stop there.

    The Assembly would become the focus of resentment against Westminster and a recipe for conflict with the rest of the United Kingdom.

    The Nationalists at least have logic on their side.

    They are profoundly wrong, but at least their arguments are logical.

    As for Labour, they have abandoned even the pretence of rationality in their schemes.

    The Mad Hatter could have dreamed them up.

    In their eagerness to tamper with the historical constitution of our Houses of Parliament, to divide up the United Kingdom internally, and to cast aside many of the veto powers protecting our sovereignty in Europe, Labour would inflict great damage on this nation.

    Mr Chairman, we must fight with all our strengths to stop the nation sleepwalking to such a disaster.

    That is our historic task.

    And you have my pledge to put the maintenance of our United Kingdom – and of the place of Wales within it – at the very centre of our campaign for the next Election.

    The Liberals

    Mr Chairman, a few days ago Mr Paddy Ashdown announced that the Liberals were dropping the pretence of being neutral between the Conservative and Labour parties.

    He said that the Liberals would never do a deal with us. Mr Chairman, I have news for Mr Ashdown.

    We’ve always known that he would be happy to prop up a Labour government.

    That’s no surprise at all.

    Mr Ashdown would no doubt be happy to be Minister for Morris Dancing in a Blair Cabinet.

    In fact, I’m sure he’d do that very well.

    But the Leader of the Liberal Democrats announcing the death of Liberalism as an independent political force is of some significance.

    Liberalism has in the past been a powerful force in the history of Wales.

    Whatever our quarrels with the Liberals, we should acknowledge that in parts of Wales they have fought socialism as vigorously as us.

    So I suspect that there will be some Liberals who cannot stomach being a wholly owned subsidiary of the Labour Party.

    They now know from the lips of their own Leader that there is now only one political party in this country which is committed to fighting the divisive, illiberal force of socialism and state control.

    Us.

    So those Liberals who still support the ancient Liberal virtues of individual liberty, of limiting the state, and of ever wider opportunity are welcome to join us.

    For only the Conservative Party now stands for those values.

    And we are open to anyone who shares them.

    Peroration

    Mr Chairman, I’ve no time for fainthearts in this Party.

    At the next election we will defeat Labour and their fellow travellers just as decisively as we have at the last four.

    We will be able to point to clear evidence of rising prosperity, as our decisions bear fruit.

    We will have a detailed agenda of policies to shape a stronger Britain in the new millennium.

    And we will have the knowledge that we and we alone will defend our nation’s interests abroad and our national unity at home.

    That is a strong platform.

    It is the right platform.

    And it is a winning platform.

  • Mr Major’s Speech to the Welsh Conservative Party Conference – 11 June 1993

    Below is the text of Mr Major’s speech to the 1993 Welsh Conservative Party Conference, held on 11th June 1993.


    PRIME MINISTER:

    I had hoped to be here a little earlier to join you for lunch and to have the opportunity of meeting a number of you, but I was a little delayed by the weather as well. I’m very sorry about that, but I’m much more concerned about the people who’ve suffered as a result of the weather. They’ve suffered a great deal more than inconvenience, the need for evacuation, many people whose homes have been damaged in the floods on the North coast. I’m delighted that Wyn has already been there and delighted that John and Wyn will be returning later on today. I’ve asked them to give me the fullest possible report of the damage that has been caused. But I would like to express my sympathy to everyone who has faced these particular difficulties over the last few hours and also my congratulations to the emergency services. They’ve acted swiftly, they’ve acted efficiently and I believe they deserve our thanks for everything that they’ve done.

    Before I turn to domestic matters, I just want to say a word or two about something happening in the last few hours in Bosnia. Many of you will know, all of you will know, for many months now British troops have been in Bosnia helping and protecting convoys in a most remarkable way. As a result of the work of those troops in Bosnia, many thousands of people are alive who otherwise would not have survived the last winter. It has been a superb performance by the British troops who’ve been there.

    Yesterday, as you know, they were involved in some incidents when a convoy they were supporting was attacked. The British troops, rightly in my view, responded in self-defence and, let me make it absolutely clear, our commander on the spot has complete authority to take any decisions he considers necessary to protect the safety of our troops. They’re there in Bosnia for humanitarian reasons and there are two criteria governing their presence there – can they carry out their mandate and can they carry out their mandate without unacceptable risk?

    The recent incidents we’ve seen may, may be relatively isolated, but I have to say to you that there is now increasing evidence of widespread deterioration on the ground. We have contingency measures in hand to protect our troops in Bosnia and to ensure their reinforcement if that should prove to be necessary. Yesterday, we announced further measures to supplement them. There have been long-standing measures, of course, the Ark Royal lying offshore and with cranes on that particular ship. There will be more reinforcements as necessary. And I wish just to give you this assurance today we will not take any unacceptable risks with the lives of our troops in Bosnia.

    Madam Chairman, it’s always fun to be back in Wales. I dare say that sounds to you like an all-purpose politician’s general issue compliment. I dare say it does, but it isn’t. I just think that Wales is wall-to-wall knock-down beautiful and every time I come here I find that opinion reconfirmed. From the southern approaches to the dark mountains, wherever you go there’s something very special and very beautiful to see and I’m delighted to be back here again today.

    And let me just say a quick word about Welsh secretaries of state. David Hunt succeeded by John Redwood. Superlative performance succeeded by superlative promise. Achievements for Wales to be followed by further achievement for Wales. John Redwood is here to fight the corner for the principality and I can tell you from my experience of him in Government he will fight it very hard, very often and very fiercely. You will have a very good champion.

    It’s possible, communications being what they are, that you may not have heard that the Cabinet changes involved the odd scratch. This move in Wales was oil-sweet and brilliant and, when people see how successful it is, I shall be happy to take all the credit for it. Change of Secretary of State. But Wales is used to change, not just changes of secretaries of state, but change on a much wider canvas than that. If you look down the last decade or so of the history of Wales, it is a story of change, the story of a modern country, a growing country, a winning Wales steadily building itself up and today leading the United Kingdom out of recession.

    There was a time when you could have pushed Wales to one side, as though it was just there on the side of England, but you certainly can’t do that any longer and no one would wish it. Since 1979, on average, every year there’s been 1,500 new businesses a year, 1,000 new inward investment projects – and not tiny ones, great companies like Toyota, Bosch, Sony, all coming here to establish themselves in Wales not just temporarily, but permanently. Over 800 new manufacturing plants and, the most latest example of course, Amcor’s 26 million pounds.

    They could have gone anywhere, they could have gone anywhere in the European Community and established themselves to do future business. But they came here. They choose of their volition to come here and establish themselves in Wales and they did so I believe for two overwhelming reasons. Firstly, because of the skills that are available in Wales and the attractive quality of life that they can find here. And, secondly, because of those Conservatives that made it attractive for overseas investment to come to the United Kingdom rather than other countries in the European Community. That combination – Welsh skills, Welsh quality of life and Conservative polices – has been a formidable combination for the prosperity of Wales in the last decade.

    And Wales has benefited, as well as the rest of the United Kingdom, from that. Of course it hasn’t always been apparent to everyone. Not everyone has always taken the long-term view of what needed to be done. I wonder, I wonder if you remember, just about 10 years ago, the great Tory crime of closing down the steelworks of Shotten. Mighty steelworks. Steelworks with a great history for which there was great affection, understandably. But a steelworks with no more work. A steelworks that it was said, what was the phrase that was used – “a steelworks and jobs cynically thrown on to the scrapheap” – that was the expression that was used. That’s what Labour said. They felt we should have burned money at its altars, as the world market for steel went down, that we should have carried it through the streets in procession like the embalmed corpse of a Mediterranean saint. They have a lot of primitive religion at the heart of the Labour Party.

    But, what has happened? What has happened to those people they said would never work again after the Shotten steelworks closed down? What actually happened has been dramatic and it shows the qualities and the opportunities that exist in Wales. What has happened is that a realistic Shotten has come through, it’s come alive, it competes and it lives on its own energies – a living competitor, not a tax-eating shrine. That is what has happened over the past decade. And it means the people who worked there had jobs with a future, not jobs that only had a past and were dependent day to day upon subsidy and the hope that something would turn up in the future.

    The fact is that Labour just took the short-term option. Here was an opportunity to kick the Government with a difficult decision and of course they were not prepared to take the long-term view. Then as now, short-term opportunism dominated their attitudes. But if we had listened to them then, what today would be the position of those working in the steelworks at Shotten? They would still be living in daily fear of their jobs. They would still be on yearly subsidies. They would have no security and no future. And if that attitude had been spread right the way across Wales, we would not have seen the quantum leap in opportunity and living standards that has stretched right across the principality over the last decade.

    Have they changed? Our opponents? Have they, hell. Cardiff Bay barrage. Now you’ve had the Labour resistance to the Cardiff Bay barrage. Here is a great development, a development that will do immense good for the future and so it must, by some Labour MPs, it must be stopped. A remarkable development opposed by unremarkable, bone-headed socialism. A small festival of negativity. What an attitude that is! What is it they actually say to the people of Cardiff? What is they’re saying, the opponents of this great project? They’re saying, we can’t have these jobs and these buildings mucking up Cardiff just when the council’s got everything right. That’s what they’re saying. If they’d been around on the day of creation they’d have demanded an adjournment.

    And it’s no good the leadership walking on the other side of the road and washing their hands of it. They have done nothing, nothing to restrain these Labour MPs holding back this moment and I think I can understand why. Up there in Scotland where the Labour leadership lives, they can’t see the importance of investment here in Wales; but we can. Here, here in the principality and may it always be a principality, people are proud of being Welsh and they’re right to be proud of it. Few political ideas have been worse served by politicians in this century than the idea of nationalism. I’m unapologetic about it. I am a nationalist, a British nationalist. Any leader of the Conservative and Unionist Party could be no other.

    Disraeli used to say that our party was a national party or it was nothing and, to understand what it means to be a Conservative, you must first understand what it means to be a nationalist. A true nationalist doesn’t need to prove himself by exaggerated histrionics, doesn’t need to promote himself by wrapping himself in a flag and offering a cheap imitation of what nationalism really means. Those people are offering symbols, they’re not substance. Put them aside and ignore them. Nations are made up of people; the true nationalist, the true nationalist wants those people to live at ease with themselves, confident, secure, able to reach out themselves, to reach and touch and achieve their own individual ambitions. His isn’t a sectional interest. He wants to build a society where every single citizen, wherever they may have started from, rejoices in their own common birthright, in their own country that they love.

    And to do that, we must understand what it is that people actually want, what their ambitions are, what their hopes are for themselves and their families. They have their place, no doubt, but go out into the housing estates of Cardiff or Peterborough, or Birmingham, or Leeds and Glasgow. Go into the living room of the three-bedroom semi-detached house and ask them, what do you want? What sort of country do you want to live in and see built up? It is the answer to those questions that determines where the heartbeat of Britain lies and what it is that people want.

    I will tell you what the answer is I believe you will consistently get, whether in Wales or Scotland or any of the regions of England. First and foremost, they want jobs that allow men and women to provide for themselves and their families. Jobs that give them independence and self-respect. Secondly, they want a decent home and the opportunity to own that decent home as 7% of people do in the principality. Thirdly, they want to be confident that their children have access to a good school, that the whole family will have access to good medical care if and when they need it and that a structure exists to provide them with financial security in old age, in hardship or in the advent of ill health. And it’s when those fundamental securities that are rooted deep in the marrow of the instincts of the British, it is when those fundamental securities seem uprooted that most people feel most threatened. And that, right the way across Europe, from one and to the other, has what has happened in recent years.

    And yet we Conservatives, we Conservatives care for those fundamental securities above all else, so we have a task on hand. We must convey that message that we understand and care about those fundamental matters right back to the British people in every part of the United Kingdom. Nothing’s more important, nothing is more pressing, so let me just pass this message to everyone who wishes the Conservative Party well. No diversions, no squabbles, let’s get on with that job of passing back that message and then we will have the self-confident expanding country that we all want to see.

    But our people are ambitious. They want a good deal more than what I’ve just set out in the last few minutes and they’re right to do that. They want with every justification, in my view, to feel safe at home and safe on the street. And they want to feel that the nation to which they belong can hold up its head in the world, play its part in the world and be a force in the world. I believe those are the instincts and the ambitions of the people who elected us and of millions of others who did not vote for us at the last occasion but share those same basic, patriotic instincts. We have no particular control over patriotism. It stretches across all parties, and I freely, I freely acknowledge that.

    But those are the ambitions of the people who did elect us. And they are also the ambitions that we have as a Party for the people of this country of all parties. And it is our task in Government to find ways of enabling those ambitions to be met. So how do we do it? If the 1980s taught us nothing else, and in fact it taught us a great deal, it was a very remarkable decade. But if it had taught us nothing else, it did teach us one vital lesson. You cannot spend what you haven’t earned. There’s not the slightest point in arguing about spending priorities until you have first addressed the question of how you pay for whatever it is that you want. And so all social policy must begin with economic policy. And all economic policy must begin with sound money. Our commitment as a Party instinctively, an instinctive commitment, our commitment to sound money, to keeping inflation down isn’t for us an abstraction, a by-way on the political high road. It is the absolutely essential bedrock upon which our economic policy and therefore everything else must depend.

    The last two years have been cruelly difficult, I know, for many people. We came from a boom in the late 1980s and into a recession. The boom spiralled above anything we had imagined and the recession lasted longer and was deeper than we anticipated. So it’s been a long period, a painful period, but as we emerge from that recession and as we lift our eyes and look beyond our own shore, we see that our problems are not just in this country. As we emerge from recession, Germany, Spain, Italy, Portugal. Japan, even the United States all have to one degree or another, and in some cases very seriously, economic difficulties. And I have to say, Madam Chairman, some of their leaders – shock, horror! – are even said to be unpopular.

    There’s a novelty for a politician. We here are out of recession. Inflation is now at under one and a half per cent. Interest rates are at 6%. The exchange rate is extremely competitive. Our exports are growing and our business opportunities are ahead. Now is the time to lift our prospects, lift our hearts and take the opportunities that lie immediately in front of us. And if we’re to take them, we have to do so in partnership with business, for it is private enterprise that we Conservatives look to generate the growth we want to see. It cannot be done in Whitehall by politicians and it cannot be done in Whitehall by bureaucrats. So let’s be quite clear about that. It’s not we politicians who create jobs. It is successful businesses providing what people are prepared to purchase that actually provide jobs in this country.

    Key decisions aren’t taken by a few politicians in Whitehall, They’re taken every single day by millions of individual people, deciding firstly that they’ll spend their money and secondly in deciding on which goods and which services they’re prepared to buy. Now, our relationship as a Government is changing with business. And it is right in my view that it should change. If we look back with that 20/20 vision that we can all have with hindsight and we’ve seen a bit of that from time to time, if we look back with 20/20 vision at the ‘60s and ‘70s, I think it is clear in retrospect that governments were too keen to tell business what to do, to make their decisions for them, to decide where they should invest and how. To pick the right winners in Whitehall rather than let them win in the marketplace. We learnt it didn’t work.

    And then in the 1980s, I think as we look back in the 1980s, it is clear in retrospect that perhaps we were just a touch too laissez-faire on some occasions. Too keen to tell businesses to go out entirely on their own, it was cold bath time with a vengeance. And sometimes that may have left some of our businesses at a competitive disadvantage. We have learned, too, from that, particularly building on the remarkable growth that business achieved n that bracing climate. And so in the 1990s we’re embarking on an evolution of our partnership with business. Business, as in the ‘80s, must make its own decisions and exercise its own skills. Only they can do that.

    But we in Government, perhaps should take every opportunity to smooth the way for our businesses to build the success and the prosperity we wish them to achieve. And there’s much we can do to achieve this, to set on course the right economic environment, a consistent low level of inflation and all the economic things that follow that. To make the supply-side changes and to push the jargon aside. To make sure we have the right education system producing the right youngsters with the right skills and I’ll turn back to that a little later. To make sure that our training systems are the right training systems to produce the right skills for the 1990s and the new century. To complete those elements of trade union reform still left undone but now almost wholly completed, finally – to put them in place.

    For the Government to use its political muscle for British contracts abroad. When our ministers go abroad, I want them, whenever they can, to take trade missions with them. Trade missions to fight to sell British goods abroad and to attract investment from abroad into this haven of European investment as M Delors so kindly put it for us. Not all his comments are always so helpful. Ministers in the Welsh Office have led the way in taking trade missions abroad and you have seen the results here. And I know the plans that John and Wyn and William have for the future. They will be in Wales most of the time, indeed most of the time and may occasionally visit the House of Commons in between.

    They will be taking the Welsh case abroad and bringing foreign investment to Wales. And then we must use our political muscle to lobby politically for our great British companies and we must make sure that the changing attitude in our foreign representation at embassies and elsewhere continues. I want our embassies to be as concerned about trade as they are about cocktail parties and diplomacy.

    And we must make sure that we don’t put our British firms at a competitive disadvantage. That is why there have been the very remarkable changes in export credit cover, both the breadth of it and also the cost of it, over recent months so British firms can compete fairly with their European and other competitors. The growth in export promotion services and other ideas that are coming through at present. And then of course there’s the Government’s role to provide the right infrastructure for business. This isn’t just a question of huge taxation and huge Government expenditure. That has its part but we are unlikely to deliver the infrastructure that business would truly like simply through taxation on companies and on individuals.

    And so we’re going back to our basic instincts. Who built the great canals and many of the railways in the first place? It was the private sector. There’s nothing novel about that, it’s just a post-war phenomenon that believes it can only be built by money compulsorily extracted from your pocket and recycled in Whitehall and then spent as the men in Whitehall think best. And what we’re doing is throwing away the old rules so that private finance and joint finance can go out and help the Government build the infrastructure that this country and British business needs. But where old rules, old Treasury rules – they were, you will I know be shocked to hear restrictive rules. I spoke to a very distinguished civil servant who had drawn up these rules that prevented so much private finance. And I said to him, probing delicately, “Do you think these rules are quite right?” “Well,” he said, “I think they’re barmy.” Well, he was right, they were barmy and they’re now defunct.

    And then in the interest of this growing business and jobs and prosperity, we need to oppose unnecessary social costs upon our great and small companies in this country. Whenever anyone mentions the Social Charter, you can see a socialist quiver. “Social Charter sounds good, we better have a slice of that.” But they don’t read what it is. Sounds very amiable The Social Charter is a job destruction programme for the European Community, European employers get extra costs, their goods become less competitive and the United States, the Pacific Basin and Japan get the orders and get the jobs. The only right that workers get out of it is the right to be out of work while Brussels politicians decide that they will provide extra socialist systems.

    That’s not a bargain – that’s a slow acting poison for prosperity in this country and right the way across Europe. And I have to say to you I’ve always been a strong supporter of our place in Europe because that is where 60% of our trade goes. No point in wrapping ourselves in [indistinct] and pretending it isn’t all there. But we need influence there and if ever there was an indication of why we needed influence, it is their wish to impose these extra costs right the way across the community. Because they look inward only; they do not realise that the whole of Europe must compete with the United States, with Japan and with the Pacific Basin. And until that time they recognise that, acknowledge that and act upon that, we will export our prosperity and we will give them the jobs that ought to be here in Europe. And for those of them who say, “Well, you’re not whole-hearted,” whenever you bump into a liberal, “Well, you’re not whole-hearted about Europe.” That’s what they say. “You don’t want to swallow everything the Commission propose.” Too true, I don’t. It’s a pity that they do. I would just suggest one thing you say to our liberal friends when they say that to you. “The good European fights for the right Europe” and that is what we’re doing.

    Of course I don’t expect the Labour Party to understand that. Mr Smith in auto reflex action regards it as demeaning for Britain to proclaim our lower costs. What a fatuous comment! Can you imagine selling your house – “I’m not going to project this nice low cost, it’s very expensive” you tell the purchaser. Of course we project our lower costs. We want people to come here. I want them to be in work. That’s why we project our lower costs. That’s why we have a low tax structure. That’s why we’ve been deregulating. That’s why we’ve had so much inward investment over the last decade that we wouldn’t have had if John Smith’s philosophy had been in charge.

    But if pronouncing that lower costs is what we’re after is a bad thing, it does raise an interesting question. What would he like? Higher costs? Higher costs – less jobs? Less opposition? What a brainless policy for this country, No wonder he thought that higher taxes would win them the last General Election. And in order to emphasise his non-point, he talks about a sweatshop economy and then he goes on, he goes on to demand a high-tech, high investment economy. What insight. Why did I never think of that? We all want that. The question is not whether we want a high-tech, high investment economy. Every sensible person wants that. The question is how we get that economy and keep it in the future, and we won’t get it if we pile on taxes and we pile on social costs and that is the message you must take to every doorstep in the land.

    Success for us these days – we don’t have a great empire, a market waiting there automatically willing to snap up anything we produce. It’s a different world now. Our businessmen have to go out there and they have to fight like hell in a difficult environment for their sales. It isn’t as once it was. Success doesn’t come at the imperial clicking of a British finger. We’re not beggars in the world but we’re not altogether choosers either. We have to go out there and fight for our prosperity and fight for our future. And if you look at what’s happening on your own back door, solid jobs, good jobs, permanent jobs, they’re coming to Wales and thank God for it. And the things that I’ve described as happening in Wales are happening elsewhere. The investment, the incoming companies, the new competitiveness: these are the steady-built walls of recovery and security for this decade and for the new millennium. That is the long term policy that is right for this country and from which this Party will never deviate.

    And let me say this to you, Madam Chairman. If in the decade of Conservative governments still to come, if we build everywhere as we have built in Wales, with jobs, with productivity and with exports in mind, we shall build to last. And all the questions that need addressing about this country are long term questions and so the answers need to be long term answers. And one of those answers, I believe, is that new arm-in-arm partnership, Government and business using their own skills together, working together for the prosperity of Britain.

    Madam Chairman, one thing business knows is that we have no choice but to control public spending and restrain taxes. And when I say that I know what will happen when I say that, know that the Labour Party will immediately jump around. Mr Gordon Brown will issue a press release. He’ll tell us that this proves that all his scare stories were right. He’ll undoubtedly demand a parliamentary statement. He will tell us things are terrible and they’re getting worse. You know, I can’t think why, but it reminds me of a toy that my son had when he was very small, many years ago; it was a small, a small Action Man toy that was on a little string. And when you pulled the string, this little Action Man uttered a few predictable sentences. I don’t actually recall whether he asked for a parliamentary statement or not but, thankfully, I do recall that when the string broke he went silent, so all is not lost.

    So, we must control public spending and restrain taxes. That’s not just a populist cry for lower taxes. We know we must restrain public expenditure, not because we’re opposed to public expenditure per se, but because we’re bound by the laws of arithmetic. You can’t spend what you’re not prepared to finance from either taxes or borrowing. And I hope there is no doubt in anyone’s mind we’re not prepared to see an ever-increasing tax burden. And nor are we prepared to mortgage our future by unrestrained borrowing. So, we have to ensure that expenditure is properly disciplined.

    At present, we have a very large deficit, much larger than we would wish it to be at around 50 billion. And people say, “how”? Tory deficit, the opponents of our party call it. How has it happened, we had a surplus three or four years ago? Yes, we did. We had a surplus on the back of an unsustainable boom with all the tax revenues that helped put our finances into surplus. But the flip side of boom is recession and the flip side of surplus is deficit and we must now rid ourselves of the deficit. Seventy per cent, or thereabouts, one can never be entirely precise about the figures, but as close as we can get, around 70% of the deficit is cyclical. By that I mean, stripping away the jargon, it is the effect of recession the fact that we have a tower tax revenue – fewer people in work, less taxes, fewer spending, less VAT, fewer house sales, less stamp duty. And of course higher public expenditure to protect people in difficulty. And therefore a gap opens up between income and expenditure that we have to borrow in the short term during the recession. That is the effect of recession – lower tax revenue, higher social expenditure and a gap between income and expenditure.

    That will, over time, reverse itself, but there are other more fundamental reasons for the deficit as well. There are demographic changes, more thankfully as a result of the work done by the Health Service, not least by Norman Fowler who was Secretary of State for many years in that crucially difficult job. Our Health Service is better than ever it has been before.

    And I may say, those people who said otherwise at the Monmouth by-election learned different at the General Election. But there are demographic changes. Because of the changing diet and the changing healthcare that’s available, more people live much longer. More of our elderly can expect to live longer and more fruitful lives in retirement and that is very expensive. It adds to costs, costs willingly met, but costs that must be met. There are more students. We want more of our young people to go on into further education and, at an astonishing rate, that is what they’re now doing. There are more demands we wish to meet – the healthcare that was never there a few years ago is perhaps the most obvious example of that. And all that’s expensive, but these are matters we wish to meet.

    [small section of speech missing]

    Madam Chairman, over the last few months, there has been something of a rumpus about education. We have been very heavily abused from many sides on the subject of testing, cardboard images have been set up. On one side there are the professionals, dedicated teachers serving the nation and, on the other side in this cardboard image, an intruding old Government interfering, bossy and setting irrelevant tests to interfere with the peaceful life our children have at schools. And our critics, including the Labour leader, are devoted to that cardboard image. I can’t think why he had such an affinity for cardboard images. But what he doesn’t have and what our critics don’t have, is a criticism of the performance of much of our education system. And let me be blunt, we should have a criticism of the performance of much of our education system because the reality is, I am sad to tell you, that one in four of our children leave secondary education and can’t read properly, can’t write properly and are not competent in grammar. And what are they going to do? They can’t all be Prime Minister. I’d better tell the press, that was a joke. But I bet it turns up in more columns than you’ve had hot dinners this year.

    But that education outcome, that fails our children. Many of our teachers are excellent and I have a great admiration for them, but they aren’t all excellent. There’s a choking [indistinct] of educationalists, a theory that despises grammar, looks down on vocabulary and derides the well-stocked mind. And it’s not new: perhaps we should have faced up to it years ago. But there is in modern teaching, and in my view there has been for nearly 30 years, a trade unionism of the mind, a willingness to accept low performance far too readily. And that thinking’s decreed learning – learning’s reactionary! What you go in the classroom for is to have some haphazard discovery. Well, I don’t mind my children having some haphazard discovery, but I really send them to school to learn so that when they leave school they’re equipped for a tough competitive world that will lie ahead of them. And far too much well-meaning, theorising nonsense is poked at our children in school. And I will not mince my words – I think that is a betrayal of our children’s prospects in schools and no government could or should stand aside from it.

    I’ll never forget, I’ll never forget a male teacher in a TV documentary and he was holding up a page of paper and it had blots and words and every fifth letter was spelt the wrong way round. “That’s pretty good,” he said. “That boy’s trying to tell us something.” Too true, he was. He was trying to tell us, poor lad, that he hadn’t been well taught, that he’d been let down by his school, that he was another victim of theorising educationalists in a mission for search and destroy, he was trying to tell us that his future would be less adequate than it would have been if he’d really been taught to read and write and add up and emerge from school with good qualities and with good manners.

    So whatever our problems in promoting John Patten’s brave policies – and they are the Government’s policies – whatever the problems in promoting John’s brave policies. When you’re criticised for it, remember that teacher, monstrously complacent, proud and happy with self evident failure. What I want for our children in our schools is self-evident success, for that is what is in their interest and in this nation’s interest. We may get the worst of the propaganda war in education, but the Government’s right about education. We are right to have tests to find out what our children learn and what they do not learn. And we are right to expect schools to let parents know how well their children are doing at school, for they have the primary responsibility for them.

    So, let us hope we soon get out of this impasse and back to a sensible approach, working as we wish to with the very best of the education profession. That is our aim and I think that is our responsibility and their responsibility in the interest of the children who are our joint charges as they go through school. And I hope the unions will give up their opposition, that they apparently at the moment want the Government to congratulate inadequacy and garland mediocrity. Well, we can’t do it and we won’t. All John Patten and I want to know – and it is not to ask a great deal – all we want to know, quite dispassionately, is what works and what doesn’t and, when we have that information, we can out it right in the interests of our children, in our schools. We may get things wrong and move on, but those children have only one chance of education at school. And between us, the Government, the trade unions and the teachers, must not let them down.

    I know we’ve been pushing against a great settled glacier of trade unionist conformist mind, an attitude that despises evidence about educational problems, the way it despises most evidence and most knowledge. Knowledge, they seem to think, is bourgeois. Well, Madam Chairman, I define the task and I tell you, big and menacing as it is, we will not give up on this issue. As they used to say on the Left, the struggle continues and for us it will in the interests of our children.

    Madam Chairman, our party’s policies address directly the problems that matter to everyday lives. Always have done. That’s why our party has won and won and won again, because our instincts flow from the innermost instincts of the majority of the British people. We are there in Government to help people meet their ambitions. It has been a difficult year. But that’s yesterday; it’s gone. We’ve learned from that and we’ve moved on. We’re working for what we believe in – free market and private enterprise. Low income tax and private choice. Control of inflation so that never again do we go in supermarkets to peel off the sticker and find the price that was there yesterday before a new price was put on top of it. Modern trades unions. Legislation almost completed, a revolution in trade unionism over the last decade. Good public services. Good public services are not the prerogative of the Left. We say that where services need to be provided by the public, they should be, that they should be efficient in precisely the same way that we would demand efficiency as if they were in the private sector. We want to ensure we maintain a modern, growing Health Service, available irrespective of need to people, irrespective of resources to people whenever they may need it. We want ever higher standards in schools. We want wider personal ownership. We want the private sector to expand, through privatisation where necessary, as far as it credibly can. We want security at home and we want security abroad. And we want to say “no” to something. No to tampering with our constitution. No to breaking up the United Kingdom. And no to proportional representation. PR, that sly deception that delivers governments into the hands of tiny and sometimes extreme political parties, is not a servant of democracy but its very enemy. Madam Chairman, those are the Tory truths, they’re truths that last, they’re truths we care about, they’re truths we’ll fight for and they’re truths that we’ll win with.

  • Mr Major’s Speech at 1991 Welsh Conservative Party Conference – 14 June 1991

    Below is the text of Mr Major’s speech to the 1991 Welsh Conservative Party Conference in Swansea on Friday 14th June 1991.


    PRIME MINISTER:

    This is my first opportunity to speak to the Welsh Conference as Prime Minister. I look forward with pleasure to many more. The Conservative Party is giving a clear lead in Wales, setting the agenda for all the other parties. Much of the credit for that goes to David Hunt and his team. They are doing a superb job. I am lucky to have them. And so is Wales.

    Their work and their commitment makes me even more determined to lead this Party forward in Wales. Not only to win back Monmouth, Brecon and Radnor and Ynys Mon. But to take other seats as well. And, with your help, when the day comes we will achieve it.

    In politics – as in life – it is easy to miss the turning-points. Only afterwards are we able to say: this was when it was clear the struggle was being won. This was when determination, grit and patience began to yield their rewards.

    I believe, right now, that we are at one of those turning-points. For we have seen, over the past week, an unmistakeable advance in this country’s toughest economic battle – against inflation. We learnt in the 1980s how easily it can counter-attack against economic prosperity. And we know how painful it can be to force it back again.

    Over eighteen months ago as Chancellor my first action was to set a course against inflation. So I take particular pleasure in the signs of success we are now seeing. It is not merely that the all-important inflation headline has fallen sharply this week – and is now down over five percentage points since last autumn’s peak. Today’s figure is an encouraging 5.8 per cent.

    But more important is what this week’s figures say for the future. New realism in pay bargaining, which has brought the average increase down sharply this spring. And a new flexibility and variety in settlements. At the same time we have seen long-awaited evidence of a slowdown in price increases charged at the factory gate.

    The message of this week’s figures is of real success. On any sensible measure, underlying inflation is coming down. We are coming into line with the best of Europe. We are learning how to compete, and to win. And we can be more confident still that our forecast for the end of this year – an inflation rate of only 4 per cent – will be met. And it will fall further next year. It has been a hard battle against inflation, fought during a world recession. But the news this week shows that we are succeeding.

    Six months ago, three urgent tasks faced us:

    – to prepare for a possible Gulf War and to steer Britain through whatever crisis arose;

    – to sort out what seemed then to be the insoluble problems of local government finance, and;

    – to reverse rising inflation and interest rates and set the economy back on the road to recovery.

    GULF WAR

    It did come to war in the Gulf despite all our efforts. In that war our Armed Forces, including many young men and women from Wales, performed superbly. They were well armed, well trained and well supported. We can be proud of what they did – and how they did it.

    But now there are some who argue for concessions to be made to Iraq. I am not among them. So long as Saddam Hussein stays in power, we will maintain our firm line. We will veto any UN resolution to drop sanctions on Iraq. In the last six months we have driven Saddam out of Kuwait. His weapons of mass destruction are being destroyed. Of course he will lie and cheat – he is doing. But we will dog his footsteps. By whatever means it takes we will not allow Iraq to rebuild its nuclear, biological and chemical arsenal. So there should be no doubt. Iraq cannot return to the international community of nations white Saddam Hussein remains in control.

    At the war’s end, when we saw the tragedy of the Kurds unfolding, it was Britain who took the initiative to help them. Again, some derided our efforts to bring help to the Kurds. But we continued to press our “safe havens” proposal. And first the European, then the whole international community accepted our ideas. The ‘safe havens’ were established and a human tragedy of enormous proportions was avoided. We can be proud that it was Britain that took the lead in bringing support to the Kurds.

    COUNCIL TAX

    Meanwhile, at home we were tackling a second acute problem that faced us last November. To cut through the divisive problems of local government finance.

    Norman Lamont’s reforming Budget dramatically eased the burden of payment on local taxpayers. It made a £140 cut in headline charges. And gave extra help where it was most needed.

    Then, in April, we published detailed proposals for a new Council Tax. It avoids the disaster of a return to the rates against which this Party rightly campaigned for so long. We are now converting our plans into legislation for the very next Session of Parliament, while Labour are still floundering, trying to fathom out just how their unrealistic rates policy will work.

    COMING OUT OF RECESSION

    The third great task we faced last November was to lead Britain out of the world recession. That recession is not unique to this country. It has hit economies as strong as the United States and as far apart as Canada and Australia. But as we come out of recession, we need to look to the future. We need a stable framework for the 1990s that will keep inflation down so that the problems of the last two years will never occur again.

    That is why last autumn we took Britain into the European Exchange Rate Mechanism. Since then we have had five cuts in interest rates in just seven months. We have lowered interest rates by 3 per cent from their peak last autumn.

    A STRONGER ECONOMY IN WALES

    We are now reaping the rewards that flow from co-operation in Europe. No-one in Wales should need convincing of that. Our central role in Europe has been the prime reason for the massive flow of foreign investment into Wales over the last 12 years. In that time we have set out a new course for Wales, reversed its decline, and opened new prospects for the future.

    In doing so, it has not been the State on which we have relied. It is the choices and ambitions of millions of men and women that lead our country forward. The Conservative Party stands for variety and for independent action. In that it is akin to the natural instincts of the Welsh. The cultural, religious and practical inheritance of Wales bring a special quality to the character of the United Kingdom. We have done much to nurture the Welsh language and sustain Welsh traditions. We have swept away attitudes that patronised Wales, and brought new life to the Welsh economy. Where once it was dependent on old and declining industries, it now has new industries, new confidence, and jobs with a long-term future. It offers wider opportunities to its young people than ever before.

    In Wales we have also seen a revolution in investment. Companies from around the world have been attracted here. Bosch from Germany, Delanair from France, Matsushita, Toyota and Sony from Japan among many others. I tell you this. None of those companies would have come here if we had stood outside the European Community, as Neil Kinnock himself demanded we should, year after year until he became Leader of his Party.

    This investment drive continues. Take just the last few weeks. At Bridgend Sony, backed by Government support, creating some 1,400 jobs in television and computer display. And in the same period the 50th and 51st German-backed companies investing in Wales. Nine important new job announcements were made in Wales in May – with more to come in the pipeline. In the last financial year alone nearly 70 investment projects from overseas have been announced in Wales, totalling almost £300 million and creating or safeguarding over 8,500 jobs.

    I know that the recession has pressed hard on businesses – large and small – in Wales. But I also know that Wales is now in a stronger position than ever before to confront it. It is sought out as an investment base more today than at any time in history. This Government can be proud of that.

    Government support for Wales goes much further than promoting inward investment. Remember the unnecessary delay and obstruction over the planned Cardiff Bay barrage? How typical it was of many in the Welsh Labour Party to complain about job losses in Wales and then hold up a project to create 25,000 jobs. The very day after their members had filibustered for hours in the House of Commons to block new opportunities for 25,000 people, Labour had the sheer effrontery to launch a bogus policy document called ‘Opportunity Britain’.

    But we were not prepared to let Wales be filibustered. So we stepped in and gave full backing to the Cardiff Bay project. We will now make sure, through our own Government Bill, that the Cardiff Barrage and the thousands of jobs it will create will go ahead. And so will the housing for people on low incomes, many elderly and disabled, that go with this scheme.

    When we look at the progress made since 1979 in Wales as elsewhere, we see a picture of a nation transformed. There are three reasons for this.

    The determination and skills of a whole generation of people.

    The leadership in Wales that Peter Walker and David Hunt have given. That has been outstanding. They have fought to open up new opportunities for Welsh business and families. As a result more people than ever before now have homes, savings, shares, pensions. They have a stake in the present and the future. Many of them didn’t dream that was possible in the 1970s. Now it’s an everyday reality.

    EUROPE

    But the third reason for Wales’ revival has been our membership of the European Community.

    I have said before that I want to see Britain at the heart of Europe. A Europe which has seen, over the past two years, historic changes. A Europe in which the barriers of half a century have broken down. A new and wider Europe of free nations.

    Throughout the twentieth century, Europe has inflicted its worst wounds on itself. Now we must ensure that the years of division and hostility are finally put behind us.

    To secure our future, we need not abandon our past. Or accept the imposition of uniformity on the nation states of Europe. But we must not – cannot – turn our backs on the construction of the new Europe. That is where our history points; and our interest lies.

    There have been times, in our island story, when we have turned aside from Europe. But we have always been drawn back to Europe. There are still those, today, who argue that Britain should step off our chosen path. They seem to believe that Harold Macmillan was wrong to make our first application to join the European Community. That Ted Heath’s government was wrong to sign the Treaty of Rome. That the British people were wrong to vote overwhelmingly for Britain in Europe. And that Margaret Thatcher’s government was wrong to sign the Single European Act. I do not share those views. Sulking on the fringe of talks about the destiny of Europe cannot be the right role for Britain. Europe is not a battle between “them” and “us”. It is our continent, too.

    Of course, there are frustrations in membership of the European Community. Things on which one member will disagree with another. Things we fail to get right. But the opportunities dwarf the disappointments. We have gained much; we can hope to gain more from membership of a thriving Europe.

    There are people, of course, who readily admit we need a place in Europe, but suggest we might leave the Community for EFTA. What an irony, when so many EFTA countries are preparing themselves for membership of the Community. Indeed, this very morning Sweden announced its application to join. They want to be at Europe’s top table – where we already enjoy our rightful place. What a folly it would be to leave a party in full swing, to join one whose other guests are departing.

    In years to come, the European Community will have far more members than it has today. It must be in our interest to be an architect of that wider Europe.

    Our presence in the Community has helped to shape its development so far. Britain’s free market principles have been a powerful force for good. The single market, free of national barriers, will be the clearest expression of our contribution in Europe.

    And these same principles govern our approach to the Community’s long term objective. An objective formally approved by our Conservative Government in 1985, in the preamble to the Single European Act: the progressive realisation of economic and monetary union in Europe.

    For we bring another distinctive contribution to the European debate: a habit of asking how ideas will work in practice. A habit of subjecting them to hard-headed tests of their effect on our freedom and prosperity. That is the contribution we are making, yet again, to the current – critical – negotiations on the future of the Community. There are inevitably some faint hearts who think the outcome of these negotiations is bound to be bad for this country. I am not among them. And for good reason. We are negotiating vigorously. Positively. Clear in our aims, and confident of our position.

    Let me make one thing quite clear. There can be no change in the Treaty of Rome taking us towards economic and monetary union unless all members – Britain included – agree. We could say no. If we cannot find common ground, we may have to say no. And if necessary we will. But no-one should imagine that our European partners would simply abandon their ideas. That Europe would remain fixed in aspic. Or that we could insulate ourselves from the effect of what the rest of the Community decided to do.

    I do not intend to let Britain be sidelined. The potential damage to our trade, to the City of London and to our future prospects would be immense. Moreover, the rest of Europe does not want to sideline us. We all want to find common ground. There has been much talk recently of offers and compromises. But we are not interested in a fudge – in the kind of waffle we have heard from Neil Kinnock on Europe. So let me make the Government’s position clear.

    I will not agree to a treaty on economic and monetary union unless it is practical and workable. It would not be in our interests, or in the interests of our partners, to endorse economic nonsense.

    I will not put to the House of Commons a treaty unless I believe it conforms with our free market principles, and unless I believe it is in the interests of Britain to sign.

    I support the idea of a common currency, which all Europeans could use if they wish. But I am wholly opposed to the imposition of a single currency.

    I am not alone in Europe in my appreciation of how economically damaging it would be to put widely divergent economies into the straitjacket of a single currency. Act in haste; repent not at leisure, but in failure. I believe the whole European Community will come to see the need for caution.

    But I do not rely solely on this belief. I will promise you one thing more. We may, by the end of this year, have before us a treaty. A treaty that could, amongst other things, allow Europe to develop a single currency at some time in the future. If so, such a treaty would have to contain the following clear provision. The British Government and the British Parliament would only move to a single currency if they took a further, separate and explicit decision to do so. Not just when to do so. But whether to do so at all.

    That is a question that would not arise in this parliament. It might not even arise in the next parliament. But if or when it arose, it would be for Parliament to decide. Parliament will not be committed in advance. In no circumstances will I agree a treaty which does not contain that safeguard. Of course, that safeguard is not all we require. I have spelt out today a number of other important considerations. In long and complex negotiations, many issues arise.

    I believe the interests of this country lie in negotiating toughly and forcefully. Europe’s aim must be to achieve a treaty on which all can agree. This may not prove possible. But for my part, I believe the chances of successful negotiation are greater if it is clear where we stand.

    So, as you would expect of us, this Government will do what is right for the future of Britain. And I know that this Government and only this Government is capable of completing these negotiations and building the new Europe in the way that our country needs. So we intend to lead this country through to the conclusion of these talks later this year. That is my position. That is the Government’s position. That is the Conservative Party’s position. That is where we stand.

    LABOUR’S KEBABBLE

    Mr Chairman, I have today set out our position on Europe and set it out clearly. Just compare that with the sheer babble we heard from Mr Kinnock earlier this week when he was asked to explain where Labour stood. He claimed that there was “real understanding” of his ideas among European Socialists. Frankly, if they understand that, they’ll understand anything.

    Of course, Mr Kinnock never likes being asked to explain what Labour’s policies are. He calls it being “kebabbed”. Do you remember? When he refused to go on with an interview because he didn’t like the questions. Mr Kinnock was kebabbed alright on Europe this week. And his Euro-kebabble can’t hide the absence of a policy. He should be under no illusions. Over the next few months we’re going to put the search-light on Labour and expose Kinnock’s kebabble, not only on Europe but on every other issue as well.

    SOCIALISM – THE ROAD TO NOWHERE

    For there is only one thing that could stop the progress Britain has made over the last 12 years. A Labour Government. And that would do worse than stop progress. It would reverse it.

    Just remember. Year after year through the 1980s, Labour opposed all our advances for the people of Britain. They were against lower taxation. Against home ownership. Against denationalisation and better public services. Opposed to the right to buy shares in privatised companies. Against rights for parents in schools. Against help for savings and personal pensions. Against the hope and the independence that millions of people yearned for under the bankrupt Labour Governments of the ‘70s.

    Throughout the last 12 years Labour have fought and fought and fought again, against a better future for the people of this country.

    Labour have one constant criticism of us. Whatever the issue, whatever the problem, whatever the Department, they say we don’t spend enough of your money. It might have been Wilfred Pickles’ approach to politics. Do you remember? “Give ‘em the money, Mabel”. You name it; spend more on it. That’s Labour’s approach.

    But promises have to be paid for. And people are rightly afraid that under Labour their spending commitments would mean bigger tax bills. Labour don’t have the honesty to admit that. Instead they send John Smith out into the Boardrooms of the City to say that all those spending plans can be discounted. They promise the public they’ll spend. They promise the City they won’t. That’s what Labour call Public Relations. It’s what most people call public deceit.

    It’s the same on economic management overall. Labour seem to think it is possible to run the economy by giving everyone everything they want whenever they ask for it. Pay rises. Interest rate cuts. Spending increases. They will give you whatever you want. You name it. You can have it. All at the same time. As a result Labour have no credible policy on the economy at all. None on inflation. None on unemployment. None on investment. None on growth.

    But Labour’s policies do mean something. They mean a pay explosion, a huge increase in public spending, a surge in taxes, an increase in borrowing, a loss of confidence in our currency. Glad, confident morning would be followed by growing misery, devaluation, rising interest and mortgage rates for all. ‘Vote now, pay later’ is the essence of Labour’s plans.

    And there is one other basic truth about Labour Government which has not changed. Labour Government would be trade union government. The two are indivisible.

    Just consider some of Labour’s so-called new policies. The green light to flying pickets. Secondary action in industrial disputes. New life for the closed shop. A minimum wage that would destroy up to 2 million jobs. Labour say they have changed. But who is calling the shots when it comes to Labour policy?

    Who wants to scrap competitive tendering and waste money on direct labour in Councils and hospitals more than Rodney Bickerstaffe and the National Executive of NUPE?

    Who wants to bring in a National Minimum Wage more than Ron Todd and the National Executive of the TGWU?

    Who wants a National Economic Assessment, in which trade unions would parcel out the nation’s resources, more than John Edmonds and the General Council of the TUC?

    So whose policies are they really?

    Behind the Shadow Cabinet loom bigger shadows still – the big brothers at the TUC. In a Labour Britain they would be eased back into Downing Street faster and even more conspicuously than Neil Kinnock’s wardrobe.

    What does Labour’s National Economic Assessment mean? I’ll tell you. It means a glitzy gloss on meddling by trade union bosses. It means the elected Government surrendering its responsibility to unelected union bosses. Of this you can be sure. Just so long as the trade unions go on paying for the Labour Party, a Labour Government would go on paying off the unions.

    Mr Chairman, our duty in this Conservative Party is to stop there ever being a Socialist Government. Not just this year. Not just next year. Not just in 5 years’ time. But for good. For the hard-learned lesson of the twentieth century is this. Freedom, free enterprise, personal independence and wider ownership are the roots to richer, more inventive, more varied societies. Socialism is the road to nowhere. And it is on the road to nowhere that we will ensure the Labour Party stays.

    THE CONSERVATIVE APPROACH

    Our approach is far different from Labour’s. People say to me: ‘You cannot cut tax and improve public services’. But we have. We have. We have shown over the last twelve years how wrong these people are. Cutting income tax by record amounts, but spending far more than any Government before on improvements in health. Cutting back taxation on companies, but spending more per pupil on education than any Government before. Sweeping away the last Labour Government’s taxes on jobs, but committing billions of pounds to new roads, railways and hospitals.

    We will continue that work in the 1990s. And as we do I want us to concentrate, not simply, as Labour do, on what we spend, but on what we deliver for the money that we provide. That is why we are developing right across Government our Citizens’ Charter programme. The Charter initiative will bring new pride to those who work in public services, and still higher quality for those who use them.

    The 1980s were a decade of Government achievement. But we can’t stand still now. The world has moved on and so must we. So we are developing new policies. And improving familiar ones.

    Things will be different in the 1990s as we build on the bedrock of the last decade. It will be an era in which we develop further the wider competition, the choice, and the personal opportunities we have brought in in the 1980s. But it will also be an era in which we extend a helping hand to those still not aware of, or still not able, to take the opportunities that Conservative policies bring. A helping hand to help people up. That is our way.

    Our distinctive Toryism is the polar opposite of Socialism. It rejects their policies based on envy. It rejects their attitudes which foment class division. For our belief – our Tory belief – grows from the commonsense instincts of the British. From their fairmindedness, their sense of what is right and their sense of obligations to other people. It builds on the instinctive friendliness of our people. It seeks to unite, and not to divide. I want no barriers in my Party. And no barriers in our country either.

    I want our Tory approach to strike a common chord with all generations – a Toryism based on the liberal free market but sensitive to individual needs. A Toryism that stands for a stable way of life rooted in decency. For the breaking open of closed doors in our society, whatever or wherever they may be. For a culture of generosity, public and private; respect for the contributions and opinions of others; and pride in our great national institutions. For making it easier for everyone to build up something to call their own and to pass it on to their children and those after them. For all those values that, as I believe, go to create a nation that is sure in its aims and at ease with itself. We want a Toryism that encourages and does not threaten. That is as relevant in the high rise housing estate as by the village pond.

    I want to build a nation that can put hesitation and self-doubt aside. A nation that will act confidently in the world. That will accept its obligations and defend its rights. I stand for a strong, independent Britain playing a positive part in building a better and wider Europe. And playing its part, too, as a cornerstone of NATO in the defence of peace and security.

    Only a Conservative Government can build and sustain such a nation. And together we must fight to ensure that it is a Conservative Government that leads our country through the 1990s and beyond.

  • Mr Major’s Speech to Welsh Conservative Party Conference – 6 July 1990

    Below is the text of Mr Major’s speech to the Welsh Conservative Party Conference, made on Friday 6 July 1990 in Llandudno.


    CHANCELLOR OF THE EXCHEQUER:

    “This Conference recognises the need for stringent measures to curb inflation and to ensure growth and welcomes the specific measures to increase the commercial success of Wales.”

    This motion addresses the need to control inflation and the measures that are required. It recognises – rightly – the connection between curbing inflation and promoting economic growth and prosperity.

    The economic history of our first ten years demonstrates this connection with utter clarity. The reduction of inflation from the quite unacceptable levels reached in the 1970s was the essential prelude to the recovery of Britain’s industrial health and our national prosperity, and two achievements the cynics thought impossible. They are achievements we must both preserve and build on. I have no doubt that we can. But the absolute condition of our doing so is that we get inflation under control. No-one should regard this aim as an optional extra.

    For there is no hiding the damage inflation does to competitiveness. To investment. To industrial relations. Where it is the mother and father of industrial strife.

    On its own this would be reason enough. But there is another – equally vital – reason why we must get inflation down. And that is the social damage inflation does, to the people who are least able to protect themselves, the people who have contributed least to the problem. Inflation breeds fear and resentment. It punishes savers and penalises everyone who relies on a fixed income. That penalty is cruel, and it is permanent.

    But Mr Chairman, there is a legitimate question we must answer, one that genuinely puzzles many people, not least amongst the supporters of the Party. The question is: why has inflation come back? Why has it proved such a stubborn problem? And why indeed has it risen recently, despite our anti-inflation credentials and our real determination to reduce it?

    I think it is clear that the answer lies, in large part, in the tremendous surge of confidence we saw in this country in the aftermath of our third election victory in 1987. There was confidence on the part of industry, which resulted in a 40 per cent increase in business investment in the three years to 1989. That investment was of course welcome. We shall see the benefits of it in years to come – indeed, we are already beginning to see them – but the colossal scale of it nonetheless added to demand.

    And just as industry and business felt confident, so too did millions of individuals. And they too expanded their spending and borrowing, so that they and their families could be better housed, and as an investment for the future. The combination of this behaviour on the part of both business and consumers at the same time was unprecedented in the last fifty years, and it is at the root of our present inflationary problems.

    We were not slow to tighten policy as it became apparent this was necessary. But we can see now that our initial response underestimated the problem. However, that is only clear with hindsight. At the time, almost all outside commentators – like us – underestimated the inflationary pressures we faced. Now we need to reduce these pressures and that is why we have to maintain high interest rates, and a tight fiscal stance too.

    I know high interest rates are difficult, painful. But they are unavoidable. That magic potion, the painless cure for inflation, simply does not exist. I wish that it did, but it doesn’t. The truth is, as in every other country, the use of interest rates is essential to reduce inflation.

    There is no doubt, Mr Chairman, that they will work. Their effects are abundantly clear in the housing market, and in the high street too. Demand has slowed by a very considerable amount, but it is proving to be a longer haul than anyone expected. Disappointingly, we have still to see the RPI turn down, and I fear it will be a while before it does so decisively.

    We have to see inflation come down – and keep on coming down. Back down to the average level of our competitors; then beyond that to the level of the best, and then lower still. Nothing less will do. For this is the absolute precondition of all our hopes for the coming years. Low inflation will deliver them for us. High inflation will destroy them.

    I hope it will be clear from what I have said, Mr Chairman, that the policy is a long term attack on inflation. I have no intention of relaxing monetary policy prematurely, before the job has been done.

    Inevitably this means that it will be a difficult year. I in no way underestimate these difficulties. But neither should anyone underestimate the underlying long-term strength of the economy. This will endure, and continue to work to our advantage long after our present problems have been overcome. We should not forget what has already been done and what has been achieved. In the 1980s we have seen enormous changes. Many problems that appeared to be insurmountable ten years ago have been swept away.

    In 1979 no-one thought we could seriously return nationalised industries to the private sector. No-one thought that we could reform corporation and personal taxes in the way that we have done. No-one thought that we could deregulate and improve the supply side of our economy as we have. No-one thought in 1979 that a Government could successfully reform trade unions.

    In the 1980s we have done all these things. Deregulated. Privatised. Cut tax rates and abolished taxes. We have moved from being a Government that constantly had to borrow to finance spending to one that has repaid a large proportion of the debts accumulated by Governments over the last 200 years. Who in 1979 would have thought that a modern Government would have repaid £25 billion of the national debt, as we have done in the last three years?

    The 1980s have been one of the most successful decades in the history of the British economy. We have had strong growth in investment, in productivity, in new businesses and in jobs. Over the last six years this country has produced more new jobs than any other country in Europe. And after decades of decline, we have seen our share of world trade first stabilise and in the past year actually rise.

    The effects of our policies on ordinary people up and down the country are also clear. Since 1979 real take-home pay for a married man with a family has increased by more than a third. More people now own their own homes, more people now own shares and more people than ever before have their own pensions. Ownership – with all the security and opportunities it gives you – is now an everyday aspiration for the many, not just the few.

    But in Wales you do not need to look at the statistics. Here you have the evidence before your eyes. Wales is – manifestly – a success story. You have attracted businesses and investment from all over the world at a remarkable rate. Indeed, in 1988 over a fifth of all the inward investment to the UK went to Wales. Companies like Toyota, Bosch and Ford are investing billions of pounds in the principality. They chose the UK in Europe, and in the UK they chose Wales.

    Mr Chairman, we all know that Governments cannot create jobs and Ministers cannot legislate for prosperity. But I believe that much of the success of Wales in the last ten years flows from the commitment, flair and energy of Nick Edwards and Peter Walker. They have applied the Government’s policies with enormous vigour and imagination and it has produced very real rewards for the people of the Principality. There is no-one better than David Hunt to build on that.

    Ten years ago Wales was still heavily dependent on a narrow range of heavy industries. In the main, these were nationalised corporations, unproductive, inefficient and loss making. But today the prosperity and jobs of the Welsh people are based on a more balanced and a wider range of economic activities. Who would now turn the clock back? And if so, for what reason?

    That may sound like a rhetorical question. But it is not. For – amazing as it may seem – there are people who want to turn the clock back, for Wales, and for Britain. This regressive organisation goes under the name of the Labour Party.

    A couple of weeks ago the nation had the opportunity to see an interview with the leader of this small and increasingly desperate band. A rare opportunity indeed – for as a species they tend to shun occasions where they will be forced to answer straight questions. And what did we hear? Words, yes – lots of them. But answers? No, none.

    All the old Labour reflexes were there: tax to the hilt and spend as if there was no tomorrow. But what about taxation? If you look carefully you’ll see that Neil Kinnock committed himself to compensate only working people with his tax plans. Why only “working people”, I asked myself?

    I have found the answer. It lies buried in their last policy document: “Meet the Challenge, Make the Change”. In that, you’ll find that Labour plan a new tax on savings, to be levied at 9 per cent.

    Savers have always suffered under Labour. In the 1970s pensioners saw Labour rob them of their savings, by letting inflation rip. And they plan the same again. On my calculations that tax plan alone would make a million people worse off, and half of those are pensioners.

    And then there’s Mr Kinnock’s confident assertion that fourteen out of fifteen basic rate taxpayers would be no worse off. If he knows that, he knows who they are, but he doesn’t dare tell them. If he knows that, he knows what his growth projections are, but he doesn’t dare announce them. If he knows that, he knows what their public expenditure plans really cost, but he won’t tell us.

    Or, if he doesn’t know, then this “fourteen out of fifteen” line is just make believe, an empty phrase that sounds good but means nothing.

    But a tax on savings is just the tip of Labour’s tax iceberg. Let me give you a flavour of some of their other pledges:

    – They intend to freeze the married couple’s allowance. That would make all married couples in this country, 24 million people, worse off.

    – They have a plan to abolish the upper earnings limit on National Insurance contributions, making over 3 million people worse off.

    – And on top of this Labour plan to increase the top income tax rate to 50 per cent.

    – They plan to restore capital transfer tax and to meddle with mortgage interest relief.

    – And they plan to introduce a new local government tax. But they won’t tell us what it is. When Mr Dimbleby asked Mr Kinnock all he said was: “I’m sorry, I can’t enlighten you”.

    Well, I can enlighten Mr Kinnock about one thing. Taxpayers aren’t fooled. They know Labour would cost them dear. And as for spending, all we ever hear is pledge after pledge from Labour spokesmen, but never a number in sight.

    Mr Kinnock hasn’t been doing his sums. Perhaps he won’t add up the numbers. Perhaps he can’t add up. Perhaps it’s not the numbers that don’t add up. Perhaps it’s Mr Kinnock.

    The fact is, the Labour Party has nothing to offer this country other than a determination to put the clock back. I have no doubt that the Party that has these policies to secure Britain’s future is the Conservative Party. We are the Party with the policies that will bring inflation down and keep it down. We are the Party that will promote saving. We are the Party that will enable Britain’s businessmen to translate our opportunities into success.

    Mr Chairman, I believe that in the next decade these opportunities will be immense. The next ten years will be years of great change and rapid progress. The single market in Western Europe will be completed. The dramatic transformation of the countries of central and eastern Europe will open up wholly new trading opportunities.

    In the 1990s there will be more countries that are genuinely free; and there will be a wider and more prosperous world market. There will therefore be tremendous opportunities for this Principality and for the other parts of the United Kingdom. This will be a world in which British businesses will be able to generate the wealth and the jobs that will provide prosperity, security and opportunities for all our citizens.

    The economic changes of the 1980s mean that this country starts with a formidable base to take advantage of the 1980s. We have a sound base; and we have the flair and enterprise to build on it. We have immense opportunities. I believe that the long term outlook for the people of this country is brighter today than at any time for a generation.