Tag: 2003

  • Iain Duncan Smith – 2003 Speech in Loughborough

    Iain Duncan Smith – 2003 Speech in Loughborough

    The speech made by Iain Duncan Smith, the then Leader of the Opposition, in Loughborough on 23 October 2003.

    I know that the reputation students have for staying out late and drinking too much is only rivalled by the reputation journalists have for doing the same – so it’s particularly good to see so many representatives of both groups here today.

    This is an important event.

    It’s our opportunity to introduce to you some of the key people who will be fighting next year’s local and European elections for the Conservative Party in this area.

    And those elections are extremely important.

    Local councils are increasingly spending more and more of people’s money and being asked to deliver more and more of their services. That’s why next year’s local elections will be fought on the key battlegrounds of value for money and service delivery.

    In May this year, people across the country put their trust in the Conservative Party to deliver better standards of service for lower levels of tax.

    They did so, because Conservative councils have a good record of doing so. On average, Conservative councils charge £81 less on Band D homes than Labour councils, and £99 less than Liberal Democrat councils.

    Yet an analysis of performance figures provided by the Audit Commission shows that the standard of our service delivery far outstrips that of our political opponents.

    This is why today we are the largest and fastest growing party of local government in Britain.

    But next year’s elections are not just about the day-to-day issues of local government – they are also of crucial importance to the way Britain conducts its future relations with Europe.

    I pay tribute particularly, to the work of your two local Conservative MEPs in this region – Chris Heaton-Harris and Roger Helmer, who is here today.

    They have both worked extremely hard over the past four years to expose the fraud and maladministration at the heart of the European Commission.

    And they have been prepared to stand up for the interests of the East Midlands by opposing Labour’s destructive plans for regional assemblies and by supporting local industry and commerce.

    They will also be part of this team that will be at the forefront of the Conservative campaign we have launched this week to give the people a say on the proposed European Constitution which is as unnecessary as it is unwanted.

    We have a record of success on which to campaign next year.

    But we also have new ideas and solutions in many policy areas that we will continue to promote.

    We will show that it is once again the Conservative Party that is coming up with solutions to people’s problems.

    And it is once again the Conservative Party that is committed to holding no one back while leaving no one behind.

    John spoke earlier about the specific problems we want to address here today. Problems faced by young people who are under pressure to achieve their best but who get little help from their government to do so.

    For students in Loughborough those problems can take two main forms.

    For those who hope to go on to a successful sporting career, one of the key concerns is the pressure to use performance enhancing drugs to be able to train and compete better.

    As Conservatives, we are proud of our record in supporting British sport. For example, we established the National Lottery that has helped to fund many great sporting initiatives around the country.

    But today, the distribution of lottery funds is carried out by the same body that funds our doping control programme.

    That programme is often inconsistent and the grounds for appeal are sometimes unclear.

    It’s time to give a fair deal to Britain’s young athletes so that they know where they stand and so that we can keep our sport drug-free.

    So today, we call on the Government to establish a new UK Independent Agency for Doping Control in Sport – an agency that is completely free of interference from government or from those who fund sporting projects.

    This would strengthen the existing mechanisms for dealing with doping cases in a robust, consistent and fair way under a unified system to cover all Governing bodies of Sport.

    We hope the Government will accept this proposal now, so that our young sportsmen and women can have confidence they will be treated fairly and that we can be confident that our sport is as free from drugs as possible.

    There is, however, a further threat to our nation’s future potential that is not specific to this town or this area.

    Labour’s plans to impose a huge tax on learning – a charge of £3,000 a year for the average student – will deter many of our brightest and best young people from going to university in the first place.

    At the same time, their plans to socially engineer the selection process for universities are simply unfair and are unthinkable for our party – a party that believes in opportunity and achievement for all based on merit and hard-work.

    While the Government ploughs on with its plans in defiance of every strand of opposition and with arrogant disregard for general public opinion, I am happy to restate our commitment on tuition fees once again here today:

    We will abolish all Labour’s tuition fees.

    We believe access to university should be based on merit and merit alone.

    And we believe those young people who don’t want to go to university should have just as much opportunity in life as those who do.

    That’s our fair deal for young people.

    I’m delighted to be here today. To be able to visit this beautiful area, to be going to see the excellent facilities at Loughborough University and to be able to launch this excellent campaign team for next year’s elections.

    And I’m pleased to be able to bring the Conservative message of a fair deal for everyone to the people of the East Midlands.

    A fair deal for everyone is our ambition for this country. And we will continue to demonstrate how we will achieve that ambition by delivering practical solutions to the problems the people of Britain face today.

    Solutions like those I’ve spoken about this morning.

    A fair deal for everyone will be the message we campaign on through next year’s elections and on into the general election.

    It’s what British People deserve.

    It’s what we will deliver.

  • Iain Duncan Smith – 2003 Statement Saying he has Support of Grass Roots

    Iain Duncan Smith – 2003 Statement Saying he has Support of Grass Roots

    The statement made by Iain Duncan Smith, the then Leader of the Opposition, outside Conservative Central Office on 28 October 2003.

    I am pleased that the Parliamentary party has responded to my call for a swift resolution. I welcome the fact that this matter will now be decided quickly, openly and in the clear light of day, and I look forward to addressing the 1922 Committee tomorrow to make the case for my continued leadership of this Party.

    I believe that I have achieved a lot during the last two years. Following a second general election defeat and a divisive leadership contest, the Conservative Party was twenty points behind in the opinion polls. We are now equal with Labour in the polls, and we have become the largest party of local government.

    But I do not seek a vote of confidence solely on my past record. I seek the approval of my colleagues for the campaign that is now beginning.

    A vote of confidence in me will ensure we immediately start communicating to the British people the Conservative alternative to Labour. A vote of confidence in me can maintain the party unity on tax and Europe which we have achieved over the last two years – and ensure that we remain committed to the far-reaching set of policies in health, education, pensions, policing and asylum which we unveiled in Blackpool this month.

    I regard it as my duty to warn my party that a change of leadership at this stage will be regarded with despair and contempt by many loyal supporters, and gravely imperil the party’s prospects at the next election.

    I know I have the confidence of the grass roots – and I look forward to their original election of me, and their continued support, being validated by my Parliamentary colleagues. Then, united behind my leadership, we can begin the campaign to win the next election.

  • Iain Duncan Smith – 2003 Speech Following Defeat in Conservative Leadership Election

    Iain Duncan Smith – 2003 Speech Following Defeat in Conservative Leadership Election

    The speech made by Iain Duncan Smith, the out-going Leader of the Conservative Party, at the CPS in London on 30 October 2003.

    As I said last night, out there in Smith Square, it has been an immense honour to have led the Conservative party for the last two years.

    I very much hope that – as tonight seems likely – my successor is chosen quickly, so that we can all get behind the leader.

    The new leader will have my absolute loyalty.

    And I encourage all those members of the voluntary party who made me the first leader of the party elected by the grass roots, to also give that leader their whole-hearted support.

    From this moment onwards, we must never again allow our own private interests and squabbles to distract us from the task of opposition –
    …the task of exposing this government’s manifold failures and defeating them at the next election.

    This speech was planned a little time ago, as the beginning of our great push to communicate the policies we announced at Blackpool.

    I decided I wanted to make the speech here at the CPS.

    This think-tank has always performed the role of intellectual pioneer for the Conservative Party, and, indeed, for the country…
    …and I could think of a no better place to set out the programme for the first Conservative government of the 21st century – the government I hoped to lead.

    Events, you might have noticed, have somewhat overtaken me.

    But last night, after hearing the result of the confidence vote, I decided that I would still make this speech.

    Because although I will not lead the first Conservative government of this century, I believe I have provided its manifesto, its policy prospectus.

    I believe our Party now has an agenda as radical and attractive as that drawn up by Keith Joseph at the dawn of the Thatcher era.

    I’d like to take this opportunity to pay particular tribute to Greg Clark and his team in the Policy Unit.

    I know Greg has worked closely with the CPS in recent years and I am sorry he isn’t here tonight.

    He wisely went on holiday to Mexico at the end of last week!

    But he and his team – some of whom I see here – deserve the thanks of the entire party for what they have done.

    It is my deepest wish that the policies they have worked on for so long will form the programme of the next Conservative government.

    It is a settlement which, after much hard work, has won the support of all wings of the party – but which has lost none of its radicalism in the process.

    Tonight I want to talk about four inter-linked principles which I hope Conservatives will continue to stand for, whoever is elected leader –
    …the principles which will be my legacy to this Party.

    The first is the need for a complete renewal of our public services.

    The second is the need to place social justice, and concern for the plight of the vulnerable, at the very core of Conservative thinking.

    The third is the need for freedom, the rule of law and a strong and competitive economy.

    And the fourth is the need to defend the state itself, and the constitutional arrangements of the United Kingdom.

    The first task of the next Conservative government must be public service renewal.

    Of course, Conservatives were the joint authors of the welfare state.

    It was the Conservative health minister in Churchill’s wartime government who drew up the first plans for the NHS.

    It was Rab Butler who passed the great Education Act of 1944, ensuring mass education for Britain’s children.

    It was Harold Macmillan who, as housing minister in the early 50s, built up the public housing stock.

    Conservatives can share the credit for the creation and maintenance of the welfare state…

    …but we must also take our share of the blame for its failures – and commit ourselves to its renewal.

    The era of uniform, comprehensive, state-run services is over.

    Consumers are no longer prepared to be told to get what they’re given and be grateful.

    The professionals who deliver public services are no longer prepared to be treated like cogs in the machine.

    Taxpayers are no longer prepared to be billed, again and again, to pay for the ever-rising cost of a failed system.

    If the plans I have laid down are followed by my successor…

    …the next Conservative government will make a real and immediate difference to people’s lives.

    Every parent in England and Wales will have a Better Schools Passport, giving them total control over the education of their child.

    Every citizen will have a Patient’s Passport, entitling them to free care anywhere in the NHS.

    And if, for whatever reason, they have to go private, they will get help to do so.

    The right-to-buy programme will be extended…

    …so that housing association tenants can also experience the satisfaction and responsibility of home ownership.

    We will scrap Labour’s tuition fees for students and stopped their plans for extra top-up fees.

    And we will work to end the means test for pensioners and improve and incentivise saving for retirement.

    We will begin this process by raising the basic state pension in line with earnings.

    All these are radical, feasible, Conservative policies.

    They are based on the simple principle of trust.

    The welfare state was founded in a period when people were expected to trust the government – not government to trust the people.

    We’ll reverse that relationship.

    Under the first Conservative government of the 21st century, the state will not be a monopoly provider of education and healthcare.

    It will primarily be a funder, and a regulator.

    Government will trust teachers and doctors, managers and ministers, to make the decisions about how they work.

    Politicians often talk about how much we value our public service professionals.

    Conservative policies prove we mean it.

    Second is my commitment to one nation Conservatism.

    A child born into poverty in the first decade of the 21st century is more likely to stay poor than a child born into poverty in the 1950s.

    This is a shameful fact.

    Sadly, this Labour government – despite its best intentions – has not succeeded in reversing the trend.

    Inequality has actually widened under Tony Blair.

    Gordon Brown’s notional target of lifting a million children out of poverty has only been met by lifting families from just below the poverty line to just above it.

    Persistent poverty – real, grinding hardship – has often got worse under Labour.

    For too long the Labour Party have abused a monopoly position on these issues.

    Labour have failed to address the material roots of poverty and haven’t even begun to address the relational and spiritual dimensions of deprivation.

    But if Conservatives are to become an effective party of social justice we must not just oppose the worn-out approach of the liberal left…

    We must also oppose the nihilistic individualism of the libertarian right.

    One nation will never be built if public policy ignores some of the leading causes of poverty…

    Causes like family breakdown and drug addiction.

    There is nothing compassionate about weakness in the face of the drug menace.

    Social justice will never be achieved if government undermines society’s most basic institution –

    …the marriage-centred family and the many people of all backgrounds who benefit from its care.

    The poverty and crime killing so many communities won’t be defeated if we don’t help young people stay off drugs and recover from their addictions.

    That much was made clear to me when I met with a support group for the parents and grandparents of drug addicts in Glasgow.

    The faith and courage of the Gallowgate Family Support Group also taught me that drugs can be defeated.

    As Jim Doherty of that support group told me – “just give us hope and we will do the rest.”

    If the Conservative Party has half as much courage as those parents and grandparents,

    …then we will go forward to the next election with a policy on drugs that does – indeed – bring hope to Britain’s hard-pressed communities.

    We will also need courage if we are to do the right thing by Britain’s hard-pressed families.

    Those who believe that family breakdown is a purely private matter are blind to the enormous public consequences –

    …as well as the personal consequences for the children to which we all owe a duty of care.

    I am personally determined that a hard-headed and open-hearted approach to questions of poverty becomes a central theme of conversation and debate within the Conservative Party.

    An effective approach to drugs.

    Help for families to stay together.

    And a renewal of very local forms of voluntary activity and social entrepreneurship that often succeed where the centralised state fails.

    These should be the leading ingredients of one nation Conservatism in the twenty-first century.

    My social justice agenda springs from my visit to Easterhouse in February 2002.

    That was dismissed by many as a media stunt.

    But that visit – and many more to hard-pressed neighbourhoods since – have had a profound impact on me.

    If my main legacy to the Conservative Party is a body of policy…

    …my commitment to fight poverty is that body’s beating heart.

    In the coming weeks I intend to think carefully about how I, personally, will take that commitment forward.

    Freedom

    The third principle I wish to leave my successor is the enduring Conservative commitment to freedom.

    Not a freedom that cuts people off from one another…

    …but build communities where no one is held back by a lack of opportunity, and no one is left behind by a lack of compassion.

    Today, Britain feels like a place where you need a license to live your life.

    Taxes have risen by a half since 1997 – regulations rule every aspect of our lives.

    We must cut taxes and red tape.

    The next Conservative government must be a low tax government.

    It was John Stuart Mill who said: ‘a state that dwarfs its citizens, will find that with small men, no great things can be accomplished’.

    Today we are too afraid of risk…

    …the risks that bring reward.

    Everything I have been talking about tonight tends to this: we must unleash the creative energies of the British people…

    …to serve themselves, their families and their communities far more effectively than the state ever will.

    But there is another freedom – the freedom from fear.

    You can’t have a free people without order.

    That’s why the fight against crime is a fight for freedom.

    Conservative proposals will deliver 40,000 extra policemen and give every local community real control of their local force.

    I now come to my third principle of my legacy to the Conservative Party.

    Labour has not only undermined the cultural defences of civilisation.

    It has undermined the state itself.

    It has politicised the civil service.

    Eroded civil liberties.

    Suborned our once-independent intelligence services.

    Neglected the armed forces.

    And held in Parliament in contempt.

    I have talked about a Government that trusts people.

    We also need a Government that people can trust.

    Conservatives must restore the integrity of our national institutions – and restore integrity to public life.

    Most of all, we must have some honesty about Europe.

    Because we are now, truly, at a fork in the road.

    It has been the genius of our evolving Constitution that every step forward has been the continuation of an older tradition.

    But this is different.

    The proposed EU Constitution represents an explicit and total break with the past.

    The Constitution gives EU law primacy over UK law, and creates the European Court of Justice as the sovereign legal authority of the United Kingdom –

    …the position previously held by the Queen in Parliament.

    This Treaty is something no Government can accept on the authority of its own elected mandate.

    The British Constitution is not the property of Tony Blair, to do with as he will.

    It is the property of the British people, held by the Government only in trust.

    No Prime Minister or Member of Parliament can vote away the basis on which he holds his office or his seat.

    So I have established the Conservative Party policy on this question: we are against the European constitution in principle.

    Three months ago, in Prague, I set out Conservative policy clearly and simply – and with the support of all wings of the party.

    Under the Conservatives, Britain will reclaim exclusive control of agriculture, fisheries and foreign aid.

    We will stem the tide of European regulation, and refuse to be part of a common foreign policy or a European army.

    And we will retain control of our borders and of our economy.

    This is not a blueprint for withdrawal from the EU.

    It is a positive step towards the sort of EU which most Europeans want: diverse, flexible, comprising independent states.

    We must build a new Europe.

    Not a single, unitary and unaccountable super-state –

    …but a loose association of independent democracies, co-operating as they see fit but retaining their sovereign right to run their own affairs.

    We must take this vision forward.

    A great deal has changed for me over the past two years.

    Serving as leader of the opposition meant challenges on a scale that no one who hasn’t done the job can appreciate.

    There have been some privileges – but many more problems!

    All of this – from the sweet moments of victory to the bitter moments of defeat – have changed me.

    I’m still stubborn, and self-opinionated – and I’m still almost always right!

    But anyone with a modicum of sensitivity and insight – and I hope I’ve got at least a bit of both –

    …couldn’t help but be changed by what I’ve seen and done since 2001.

    So I’ve got an admission.

    I’ve been on a journey.

    A political journey as well as one all around this country.

    I’ve been appalled by much of what I’ve seen.

    In 21st century Britain, children dying of drugs that their parents died of too.

    In 21st century Britain, poverty still real.

    In 21st century Britain, pensioners trapped in their homes by fear of crime.

    On this journey, I’ve been reminded of something that lies deep in the Conservative conscience…

    …buried too deep for too long…

    …that our party fulfils its greatest purpose when we bring social solidarity by delivering social justice.

    The people who taught me this lesson weren’t academics.

    They certainly weren’t the national media.

    Our party is sometimes accused by the media of being out of touch with modern Britain.

    In truth, the whole political class has lost touch with those in greatest need.

    Can we wonder that millions despair of politicians – and so opt out of the political process?

    My teachers were those often patronisingly described by those on the Westminster scene as ‘ordinary people’.

    In Gallowgate and Easterhouse, Hackney and Handsworth…

    …I’ve met extra-ordinary people who fight for the poorest Britons, in communities ruined by drugs and crime.

    These remarkable men and women taught me more about leadership than any politician could have.

    They are real leaders.

    Their strength is their certain belief in the most profound of human qualities – hope, compassion, and a sense of fairness –

    …beliefs derived from real lives, lived on the front line.

    The only meaningful freedoms for them are the freedom from fear and want, crime and addiction – they yearn not for license, but for order.

    My journey is not a trip to an uncertain future – but the journey home.

    To a Conservative home, where the security of family and community bring hope and fairness.

    My journey is not over.

    My mission will continue.

    It is the Conservative mission for fairness…

    …true to our inheritance…

    …vital for our people…

    …worthy of our nation.

  • Michael Howard – 2003 Speech Launching Leadership Campaign

    Michael Howard – 2003 Speech Launching Leadership Campaign

    The speech made by Michael Howard to launch his leadership campaign at the Saatchi Gallery in London on 31 October 2003.

    I am announcing today that I am a candidate for the leadership of the Conservative Party.

    I pay tribute first of all to Iain Duncan Smith, to his courage, to his dignity, to his decency and to what he has achieved for us in the last two years.

    At its best, we are a party broad and generous -broad in appeal and generous in outlook -a party capable of representing all Britain and all Britons. I will lead this party from its centre. I will call on the talents of all in the party and the party will expect all to answer that call.

    We will offer a new kind of politics, for people today view conventional party politics with contempt. We won’t hesitate to give credit to the Government when it gets things right. We won’t oppose for opposition’s sake. People want better than that.

    We will expose the Government’s failures not with gleeful pleasure at seeing them fail, but because we passionately want things to be better for our fellow citizens.

    We will never place our electoral self-interest before the good of the country. No narrow partisan opportunism for us. I will always tell the truth. I will say it as I see it.

    Most of you know that I’m a lawyer. But I won’t argue a lawyer’s case. If something is true but tough, I won’t shrink from saying it. If something can’t be done, I will level with the public.

    Rigorous honesty, measured criticism, realistic alternatives. Only that way can we revive people’s trust in politics.

    We must look forward not back. Many people have forgotten that in 1979 we won more support among younger people than in the electorate overall. But we didn’t do that by pandering to youth or by trying to be hip or cool, but by showing that we understand how younger people aspire to live their lives, by depicting a Britain of the future where people would have more freedom, more power to do good things for themselves, for their families, for their communities, for their neighbourhoods -a vision of Britain in tune with people’s aspirations.

    Today, we know that there are pockets of desperate poverty in our cities, whole communities left behind by decades of failure. No party that aspires to govern a great nation can ignore them. Modern Britain must be a country where those now left behind can rebuild communities rich in opportunity, self-respect and mutual support.

    Many of our great provincial cities are Conservative deserts today. It’s my mission to change that. There can be no no-go areas for a modern Conservative Party.

    I was lucky. My parents weren’t rich, but I had the chance to go to a good grammar school. Britain offered me a ladder to climb and put the first rung within my reach.

    We won’t be afraid to make the case for lower taxes. You don’t just have a stronger economy, you have a more cohesive society when people pay less tax. They do more not just for themselves but for each other and for their communities…

    But we will be responsible. Not for us reckless pledges that mortgage Britain’s future. We need to repair Britain’s mortgaged public finances and to respond to the crying need for urgent reform of our public services.

    We’ve begun to unveil the policies. Trust the people. That means trusting parents, trusting patients and trusting families, and trusting professionals, doctors, nurses, police officers. Giving choice to all, not just to those who can afford to buy it.

    And unleashing the creative powers of innovation to reinvigorate our public services in the next decade, just as we did for business 20 years ago.

    Our party will be internationalist in outlook. My parents were immigrants. They saw Britain as a beacon in a dark and threatening world.

    Conservative Britain will never flinch from confident engagement with the wider world. We know that while our obligations begin within our shores, they don’t end there. We must look confidently outwards.

    If we have concerns about the direction of the European Union, it’s not because we are little Englanders or because we hark back to some bygone Golden Age. It’s because we see it as too intrusive, too rigid for the fast-flowing networks of the era of globalisation.

    I wasn’t born into the Conservative Party. I chose it. I chose it because I thought, as I still do, that it offers Britain its brightest future.

    I’ve been in Parliament for 20 years now. I think I’ve learnt a bit in that time.

    I’ve learnt that if we want to persuade people, we need to preach a bit less and listen a bit more. I’ve learnt that just winning an argument doesn’t on its own win hearts and minds. I’ve learnt that politicians won’t be respected by the public unless they respect each other and that people won’t trust us unless we trust them.

    There may be no more than 18 months before the next general election.

    We’ve come some way in the last two years. We’ve talented candidates that show us capable of representing today’s Britain in all its splendid diversity.

    We’ve begun to renew our policies. But we are still only in the foothills of our ascent. The hard climb still lies ahead. We will need stamina and comradeship. We will need to show respect for each other as well as for our opponents.

    In the contemporary Conservative Party that we forge there will be no place for ancient feuds or rankling discords. We will build afresh, knowing that we have no God-given right to hold our place.

    Britain deserves better than it has today. It is our destiny to provide it. We must prove that we are equal to that challenge.

  • Michael Howard – 2003 Speech to the 1922 Committee

    Michael Howard – 2003 Speech to the 1922 Committee

    The speech made by Michael Howard, the new Leader of the Opposition, on 6 November 2003.

    Who was it who said a week is a long time in politics?

    This has been a bruising period for the party. Some hard things have been said on all sides. It has obviously been hardest on Iain. All of us here will want to thank him for what he has done, in what I am about to discover is the toughest job in politics.

    But now it’s time to move on. To look ahead not back.

    And I want to begin by thanking you all for the confidence you have placed in me. It is an immense privilege to lead this Party – the most successful party in the history of modern democracy. But it is also a truly awesome responsibility.

    I will work tirelessly not to let you down. But I will make mistakes. And I will inevitably at times upset some of you.

    And when that happens – indeed even when it does not happen – there are things we will need to remember. That we are a party broad and generous; broad in appeal and generous in outlook.

    We are here to serve – the syllable at the heart of our name, and at the heart of our purpose.
    We are here to work – because all of us have been sent here to safeguard our constituents and our country.

    And we are here to win. Because if we don’t win we cannot put into practice the things we believe in for the good of our country. If we don’t win we can achieve nothing – and we will be letting so many people down.

    And if we are to win we must work together as a team. We must rediscover the habit of thinking the best of each other. We must rediscover the virtues of mutual support and friendship.

    Let us, in this party that vaunts its belief in personal responsibility, each resolve that we will, all of us, assume a personal responsibility for the success of our endeavour. No bystanders. No snipers from the sidelines. Every one of us a fully engaged participant in the great battle of hearts and minds and ideas.

    Because we have an extraordinary common thread that binds us all together. We all want to see a Conservative Government elected. We are all crew on what at its best is the most superb campaigning vessel politics has ever known.

    I said last week that we are all trustees of this party. It doesn’t belong to any of us. We have taken it in trust from those who went before; we are obliged to pass it on in better repair than we found it.

    This afternoon I am making a speech in one of our key marginal seats, Putney. I will set out a little further the direction that I propose we should take. You won’t find a huge amount of policy detail. It’s about the over-arching ideas, the arguments, the principles that will inform everything that we do.

    We have an enormous opportunity.

    People really have begun to see through Labour. Their trust ratings are way down. Their support levels are down. Tony Blair’s own personal ratings are in tatters. Britain is not working properly.

    Our challenge is to build up ourselves as a credible and appealing alternative government. And we can do it. We already have a platform of exciting new policies on which to build.
    We really can do it. Of course it will be tough, uphill work. The hard slog’s only just beginning. As I said last week, we will need stamina and comradeship, and total commitment. Whether we win lies with us.

    We can’t depend on Labour failure, nor with economic downturns, nor any other brigade of the US Cavalry riding to our aid.

    But if we are to succeed every Conservative must ask themselves each morning “What can I do today to persuade the people of this country that we can serve them more effectively than this failing and discredited government”.

    It is sometimes said that oppositions don’t win elections, Governments lose them. Well yes up to a point. But Oppositions can lose them too. Our high and heavy duty is to ensure that as disillusion with Labour turns to dismay, we are there as the next Government: firm of purpose, clear of mind, united in our common goal. Our destiny, and therefore the destiny of our country, lies in our own hands. Let’s work together to seize it.

  • Michael Howard – 2003 Speech on Leading the Conservatives from the Centre

    Michael Howard – 2003 Speech on Leading the Conservatives from the Centre

    The speech made by Michael Howard, the then new Leader of the Opposition, at Alton Parish Hall, Roehampton on 6 November 2003.

    A week ago I set out why I was seeking the leadership of the Conservative Party. Today, with a speed and degree of consensus that has confounded the pundits and astonished me, I am excited, if daunted, to find that it has happened.

    I wanted my first public statement as Leader to be away from Westminster, here in Putney, on an estate in a constituency where Conservatives must start to win again. And surrounded by those who as candidates will be in the front line of our campaign.

    I said I would lead this party from its centre. A party that is uniting around its central principles. Our task is to put these principles to the service of 21st century Britain.

    I also said that we would offer a different kind of politics. Something better. Rigorous honesty, measured criticism and realistic alternatives.

    A different kind of politics does not mean that there are no longer any differences. Labour’s preferences are still for state control and central diktat. Faced with a problem they are still programmed to tax and regulate their way out of it. Our approach is based on different solutions, on what people themselves can do in their own communities and families. People are already disillusioned with Labour’s approach. They see the inadequacies of Labour’s delivery; and above all they see that Labour continually present public service failure as success. The only result is a growing cynicism about the whole political process, from which we suffer as much as they do.

    Our task is to be once again a credible and appealing alternative government. 21st century Conservatives must show they understand 21st century Britain. Of course a great and historic party has a strong feeling for Britain’s history. We feel no need to reject Britain’s past. We are proud of it. We know that Britain’s future has to be built on what is already there.

    But we have to look forward, not back. We must understand how Britain has changed in the last twenty years. And that means we have to be respectful of decisions people make about how to live their lives.

    I want us to be a party for all Britain and all Britons. Conservatives know that most of what we do is done together – with others, whether in the family, at work, sports, clubs, church. A living thriving community is one where people come together to make things happen. They don’t assume that everything is someone else’s responsibility. Self-help, mutual support, neighbourliness in action.

    In Britain today, people are making choices all the time in their daily lives. We live in a free and sophisticated society, in which every day people make myriads of decisions which determine the quality of their lives. They want the opportunity to do the best for themselves and their families. Parents know their own children best, better than any bureaucrat. So parents should have more say and more choice over their children’s education. And greater choice in health care.

    And people work hard for the money they earn. They want to keep more of it, to save more, to support better their families and communities.

    People want a sense of security. They want to know they can get the health care they need. To feel secure in retirement. To be safe in their homes, and on their streets.

    And they want fairness. No one should be over-powerful. Not trade unions. Not corporations. Not the government. Not the European Union. Wherever we see bullying by the over-mighty, we will oppose it, and stand up for people’s rights and freedoms.

    There is a growing consensus today that our public services are inadequate.

    Let me be clear about what I mean. There are many thousands of talented and dedicated people working in our schools, hospitals and other services. They strive to provide excellence – and often they deliver it.

    But the quality of the services used by most people no longer matches our greatly increased expectations.

    This is emphatically not the fault of those working on the front line. On the contrary, they are as much the victims of the system as the patients, pupils, parents and passengers.

    It is the system of central control that needs changing. For too long, politicians have preferred to offer false assurance and increased expenditure as a substitute for serious thought and action.

    I’m quite sure that Tony Blair and some of the people around him now realise that things cannot go on as before.

    But he knows that the Labour Party will never accept the reforms needed to build first class public services. For too many of his MPs words like ‘choice’ and ‘competition’ are as welcome as a clove of garlic to Dracula.

    Indeed it is an exquisite irony that the Prime Minister who railed against ‘the forces of conservatism’ now finds himself at the head of the forces of reaction.

    We are different. We are passionately committed to the transformation of our schools, hospitals, transport and policing.

    The modern Conservative approach for modern Britain is to trust people. Trust the users of services to make choices. Not to patronise them by assuming they’re not capable of it. Give people choice and people will generally make good choices.

    And trusting those who deliver services to know how best to do it. We’ll cut the fly-by-wire controls that lead straight back to a dashboard in Whitehall. We want the police to be answerable directly to the residents they serve, not to remote target-setters and bean-counters in London SW1.

    Central control stifles initiative and innovation. If people don’t have the freedom to make mistakes then they will never have the space to make the huge step changes that fuel human progress.

    For as long as I’ve been in politics Labour have claimed that Conservatives would destroy public services. The scare stories flow off the word-processors as if hard-wired into the system. Even Mr Blair’s half-hearted reforms have been condemned as vandalism by trade union reactionaries. And no doubt the same Mr Blair will use the same language to denounce us at the next election.

    I don’t think people will be swayed this time. Because the ideas we put forward won’t come out of thin air. They have been tried and tested in other advanced democracies – and have worked.

    Britain has the fourth largest economy in the world. We are a first class country with second-class public services. It isn’t good enough, and it’s our challenge to put it right.

    But the election won’t only be about public services. It will also be about tax.

    Tony Blair said he wouldn’t raise taxes. But he’s presided over sixty tax rises.

    We’ll do something different. We won’t promise tax cuts unless they are backed by rock solid savings in wasteful spending. Nor will we play ducks and drakes with Britain’s precarious public finances. Not for us the spend today, pay tomorrow approach into which Labour are now falling.

    We will be responsible custodians of the public finances. The next Conservative Government will be a reforming administration. Our priority will be to shape our public services to meet the legitimate expectations of the British people.

    Some will say: ‘Why can you not do that AND deliver tax cuts?’

    To them I say this: when the public services have been reformed the money will certainly go further. And yes, we would like to cut taxes. I hope we can.

    And we will make the case for low taxes. You don’t just have a stronger economy; you have a more cohesive society when people pay less tax. They do more not just for themselves but for each other and for their communities. But we will be responsible.

    My approach is a simple one: Promise less, deliver more.

    I said last week that a Conservative Party that aspires to lead a great nation cannot ignore the pockets of desperate poverty that disfigure modern Britain. I meant it. The poverty that traps generations is concentrated in inner city neighbourhoods where communities have been failing for a generation or more.

    So often these failing communities suffer from very high levels of crime, failing schools, poor quality housing, poor health. Breaking the cycle of failure requires concerted action and strong new local leadership with the power to force through change. I don’t claim for a second that we have all the answers yet. But our policies to enlarge choice and opportunity point the way forward.

    It’s not just in terms of geography that we will not accept no-go areas. On policy too we insist on our duty to talk frankly and directly to the voters.

    We aren’t going to duck any of the problems that face Britain. No retreat into blandness. No turning the other way.

    I am proud of Britain’s history as a safe haven for refugees over the centuries. People have always wanted to come to Britain, as my own family did.

    But like every other country, we know that immigration has to be strictly controlled. We have a choice. We either create an orderly system in which those who are entitled to come here are admitted, or we can persist with the chaos of the status quo.

    And let no one argue that the current muddle is in any way humane. It is not humane to allow desperate deprived people from the third world to believe that they will be able freely and lawfully to enter Britain, making them prey to the human traffickers who exploit them. It is no kindness to genuine refugees to keep them waiting sometimes for years before their cases are resolved.

    I said last week that I had learned quite a bit in my time in politics. I’m probably a bit more mellow than I was. I’ve had more time in recent years to see and enjoy this amazing country of ours; to meet lots of people. I’ve learned quite a lot more about Britain and its people. And I’m constantly inspired by their qualities. Generosity. Respect. Humour. Ingenuity. And sheer enjoyment of life.

    Every one of us can do the most astonishing things. But only if we get the chance. If we have the space, the freedom, the education, the good health, the opportunity, to do great things, great things will be done. There is no higher privilege I can imagine than to be entrusted with the government of this country.

    It will not be easy to win that trust. The Conservative Party will have to show day by day through what we say and what we do that we are fit to govern. When the day of decision arrives, if we have earned it, we will be called to serve. We must be ready to answer that call.

  • Iain Duncan Smith – 2003 Speech at Congress for Democracy

    Iain Duncan Smith – 2003 Speech at Congress for Democracy

    The speech made by Iain Duncan Smith, shortly after he ceased being Leader of the Opposition, at the Congress for Democracy on 7 November 2003.

    My speech today was planned some time ago under rather different personal circumstances.

    I am, however, very glad to honour my agreement to speak, in my new capacity as a backbench MP.

    I take this opportunity to congratulate Michael Howard very warmly on his election…

    …to pledge my absolute loyalty to him as my new leader…

    …and to wish him the very best of luck as he continues the Conservative campaign against this failing Labour government.

    When I became leader in 2001, we were told by every pundit and commentator that the Party would never unite on Europe.

    We were told it so often we nearly believed it ourselves.

    At the end of my leadership, I consider that prediction to have been confounded.

    One of the greatest legacies that I leave my party is unity on the question of Europe.

    This unity was not achieved at the cost of principle.

    Our position remains firmly anti-federalist.

    If the Party stays true to the line I laid down…

    We will repatriate our fisheries and our foreign aid budget.

    We will never accept a European army or a common foreign policy.

    We oppose the single currency not just for the moment, but for ever – on principle.

    And in Prague earlier this year –

    …following many weeks of consultation with all shades of opinion within the Party –

    …I stated that we oppose the European Constitution also, on principle.

    Labour’s dishonesty: tidying up?

    With every passing day, the dishonesty of the present Government has become more clear to the British people.

    In almost every aspect of its activity, Labour has lied about its record and its intentions.

    But nowhere has this tendency been more marked than on the question of Europe.

    Remember when Tony Blair declared his love for the pound?

    For seven years, we have been solemnly assured by Mr Blair of his intention to defend our national independence.

    For seven years, one item of independence after another has crossed the channel to Europe.

    Remember when he said he would never consent to a European army?

    Remember when he said foreign judges would never have power over British citizens in Britain?

    Treaty after treaty… summit after summit… directive after directive…

    …the right of the British people to govern themselves has drained away.

    The colours are fading from the Union Jack.

    For seven years, Labour have shifted and shuffled, twisted and turned…

    …to justify what can never be justified: the ceding of our sovereignty to Brussels.

    And the ultimate, the crowning insult to the intelligence of the public…

    …has been Labour’s rhetoric on the European Constitution.

    The Foreign Secretary has said that that the draft Constitution simply codifies the principles on which Europe already operates.

    The Minister for Europe has said that the draft Constitution is merely a ‘tidying up exercise’.

    And the Prime Minister has said that the draft Constitution:

    ‘do[es] not involve any fundamental change in the relationship between the EU and Member States.’

    All three men are either deceiving themselves – or they are trying to deceive the British people.

    [As we have heard from Martin Howe], the Constitution goes much further than existing treaties.

    Everyone knows it is far more than a tidying up exercise.

    Other European nations certainly think so – which is why they’re holding referendums on it.

    It does represent a fundamental change in the relationship between the EU and the Member States.

    It gives Brussels a new power to ‘co-ordinate’ the economic, employment and social policies of the Member States

    It incorporates the EU Charter of Fundamental Rights into UK law.

    It makes criminal and judicial affairs no longer subject to intergovernmental decision-making…

    …but to the new supranational area of ‘freedom, security and justice’.

    It lowers the hurdle of Qualified Majority Voting to an even lower level than that agreed at Nice…

    …which we were told would be the last change before enlargement.

    It establishes a common asylum policy, and does not include the opt-out Britain has previously negotiated on this issue.

    It makes provision for an autonomous EU defence capability outside NATO – in other words, a European army.

    And it requires Member States to – I quote –

    ‘actively and unreservedly support the Union’s common foreign and security policy in a spirit of loyalty and mutual solidarity…

    …[and] ensure that their national policies conform to the positions of the Union.’

    These are all unacceptable examples of the encroachment of Brussels –

    …and they are telling evidence of the way the Blair-Brown Government has lied to the British people about Europe.

    Some claim the British people will lose influence if they reject Old Europe’s agenda.

    But influence must never be bought at the price of our permanent interest.

    Influence is a means.

    Britain’s permanent national interest is an end.

    Every one of these changes is unacceptable because none of them is in Britain’s national interest.

    Changes to our lives

    How will these changes impact on our daily lives?

    The Constitution stipulates that the EU will pursue a ‘social market economy’ –

    …that is, the high unemployment, low growth model of France and Germany.

    The EU will ‘co-ordinate’ health and education policy –

    …meaning NHS and schools reform will have to wait on the approval of Brussels.

    The Constitution gives the EU the right to raise its own taxes.

    It reverses the industrial legislation of the Thatcher years, allowing workers the unlimited right to strike.

    It allows the EU to define criminal offences and set minimum sentences.

    In every area of domestic policy, it diminishes Britain and the British people.

    Treaty or Constitution

    So there is a more fundamental principle at stake than the Government’s dishonesty.

    Article I-10 of the Constitution states that:

    ‘The Constitution, and law adopted by the Union’s Institutions in exercising competences conferred on it, shall have primacy over the law of the Member States.’

    And yet the Government insists that the Constitution marks no fundamental change.

    Some of the Government’s deceit may be born of ignorance.

    There is certainly some confusion in the Government.

    In September Jack Straw told Parliament that international treaties already take primacy over UK law.

    But in the same month he issued a White Paper saying that our ‘ultimate guarantee of Parliamentary sovereignty’ is protected…

    …because Parliament may repeal the Acts which give effect to the treaties.

    He is simultaneously arguing that the Constitution changes nothing because the EU has primacy already…

    …and that the Constitution changes nothing because we will keep our national sovereignty.

    What, I wonder, does the Government think is not undergoing any ‘fundamental change’ –

    …our dependence or our independence?

    The reality is, of course, that fundamental change is happening – and it is happening to our independence.

    We’re losing it.

    Jack Straw’s obfuscations hint at an important truth.

    Of course treaties take primacy over UK law…

    …in the sense that a country may not plead national obligations to escape international ones.

    And of course Parliament may repeal an Act giving effect to a treaty.

    But [as Martin has made clear,] what is envisaged here is much more than a treaty.

    It is a Constitution.

    And the difference is crucial.

    Treaties derive their authority from the assent of independent states – and they lapse once that assent is withdrawn.

    A Constitution is its own source of legal authority – and once enacted, it becomes permanent.

    In all the Treaties of the EU, authority explicitly derives from the ‘High Contracting Parties’, i.e. the Member States.

    Under the new Constitution, authority explicitly derives from the text of the Constitution itself…

    …and under the terms of Article I-10 which I quoted just now, the authority of the Constitution is binding and permanent.

    The Constitution formally dissolves the present EU and creates a new one –

    …an EU which, for the first time, has a legal personality distinct from the Member States.

    And it creates the European Court of Justice as a supreme court…

    …with supremacy over British law and with the power to determine its own powers.

    The British Constitution

    If this is not a fundamental change, one wonders what Mr Blair and Mr Straw think would be!

    From being an international agreement between Governments…

    …the EU is becoming a part – and, what’s worse, the governing part – of the internal Constitutions of the Member States.

    Because this is the really important thing about the new Constitution.

    It does not merely alter the legal basis of the European Union.

    As the House of Lords Select Committee on the Constitution reported last month…

    …it alters the Constitutional arrangements of the United Kingdom itself.

    Jack Straw states that this is ‘a Constitution for the EU, not for Member States’.

    He’s wrong.

    This is a Constitution for Britain – and one which abrogates the Constitution we already have…

     

    …the oldest Constitution in the western world.

    Democracy only thrives when it is embodied in a living culture and society –

    …and as Edmund Burke said, a nation extends in time as well as space.

    It is an historical community as well as a geographical one.

    This is a change to the way we are governed…

    …as profound as anything that has happened in 1,000 years of British history.

    In particular, Tony Blair is reversing the Glorious Revolution of 1688…

    …when sovereignty was established in the people of the United Kingdom…

    …and incorporated in the name of the ‘Queen in Parliament’.

    He’s about to do away with both Queen and Parliament –

    …and by a final irony, he will do so by ordering a Parliamentary majority and demanding the Royal Assent.

    He should get neither.

    Under this unwanted and unnecessary Constitution, ultimate sovereignty will rest not with the Queen in Parliament…

    …but with the European Court of Justice.

    This is something no Government – nor Parliament, nor Queen – can accept on their own authority.

    The British Constitution is not the property of Tony Blair, to do with as he will.

    It is the property of the British people.

    It is held only in trust by the Government.

    No Prime Minister or Member of Parliament can vote away the basis on which he holds his office or his seat.

    Martin Howe’s book [launched at the event] quotes John Locke in the defence of the Revolution of 1688…

    Locke said:

    “the Legislature cannot transfer the power of making laws to any other hands. For it being but a delegated power from the People, they who

    have it cannot pass it to others.”

    This is a fundamental principle and one I could scarcely feel more strongly about.

    The power we as politicians have is not our own.

    It does not come down to us by divine right.

    Our power is the people’s – it is the power of the collective will of our nation.

    We do not have the right to vote it away –

    …any more than we can vote never to have another general election, and decide to hold our seats forever.

    In Britain, sovereignty rests with the people, represented by the Queen in Parliament.

    If it is to be represented by the institutions of the European Union, then its ultimate source, the people, must be consulted.

    No sham of a Parliamentary division, called by the Prime Minister and whipped along the party line…

    …is going to make legitimate a change of this magnitude.

    New Europe

    Only one thing can possibly do that – a referendum.

    Mine is a positive vision of the future.

    A vision of a new Europe.

    This is not a blue-print for withdrawal from the EU.

    We will always have institutional links with our European partners.

    Britain does not want to exist independently of the continent we form part of.

    But nor do we want to exist as a part of a single, unitary and unaccountable super-state.

    We must reject the false choice laid down by Mr Blair.

    It’s not ‘old Europe’ or ‘no Europe’.

    There is a third option.

    A new Europe.

    A Europe of independent democracies, co-operating as they see fit…

    …but retaining their sovereign right to run their own affairs.

    A Europe diverse and flexible, harmonious and free.

    Transparent and accountable to the people who pay for it.

    A Europe of national democracies.

    The sort of Europe most Europeans want.

    An EU which looks to the world outside, not one focused on constantly reorganising its own internal arrangements.

    An EU which wants to expand more than it wants to deepen.

    An EU actively committed to the relief of poverty and disease in Africa…

    …the former colonial territories of the European powers, now so shamefully neglected.

    A New Europe of nations dedicating their will and wealth to the twin objectives of global justice and global security.

    A truly global Europe would see its greatest challenge to be responsibility to those in greatest need.

    But the EU is pitiful.

    The world is hungrier because of what EU agriculture and fishing policies…

    …have done to the world’s poorest farmers and producers.

    Why does so much of the EU aid budget end up in the hands of corrupt officials?

    Why is so much of the current EU aid budget having to pick up the pieces from the Union’s protectionist trade policies?

    And why does the EU spend its time frustrating – rather than furthering –
    …the efforts of the civilised world to root out terrorism?

    New Europe must do better.

    Peroration

    My path in politics has been guided by my belief in Britain…

    …my respect for our nation’s past and my ambitions for its future.

    My leadership of the Conservative Party has been inspired by belief in the strength and qualities of the British people…

    …and the expression of their will in institutions accountable to them.

    This belief has sustained me throughout my time as leader – and as a Member of Parliament.

    From Maastricht to the present day, I have always been prepared to fight for our country’s independence…

    …no matter the personal cost.

    And I will continue to do so.

    I fear little.

    But I do fear the might of an insensitive, destructive and distant power…

    …uncaring of Britain’s interest…

    …and uncompromising in its campaign to deprive the British people of their democratic birthright.

    All good men and women should fear such a threat.

    But let our fear breed energy.

    Let it breed a fierce appetite for the fight ahead.

    This is a fight for our nation.

    But not only for our nation.

    It is a fight for all nations.

    For generations Britons have fought for freedom – for their freedom and for the freedom of others.

    Surely my party, with its proud history, must stand up for others as much as for ourselves…

    …and fight for a better way – for a new Europe.

    This is a fight for the truth.

    A fight we must win.

    The fight of our lives.

  • Howard Flight – 2003 Speech at the Institute of Economic Affairs Conference

    Howard Flight – 2003 Speech at the Institute of Economic Affairs Conference

    The speech made by Howard Flight, the then Shadow Chief Secretary to the Treasury, at the Institute of Economic Affairs Conference in London on 11 November 2003.

    Political Context

    Michael Howard sends his apologies that he cannot be with you today – as you may have noticed, he has got a new job.

    I believe his becoming the Leader of the Opposition, marks a “Tipping Factor” for the Conservative Party’s fortunes since 1992. The media, the business community, and the public, now perceive the Conservative Opposition as led by our most experienced, heavyweight and able politician. Moreover, at a time when the Conservatives have come together, the Labour government is beginning to tear itself apart. The Cabinet cannot agree on Europe, the Euro, foundation hospitals, ID cards or top-up fees – apart from the growing personal strains.

    Our key objectives as the next government, are to improve the delivery of public services, and to get better taxpayer value from public expenditure – two sides of the same coin.

    We continue to believe that lower taxed economies tend to have higher growth potential and we hope to be able to reduce the tax burden; but we will not promise tax cuts unless and until these can be backed by carefully worked-out and agreed savings in non-value added public expenditure.

    My main task as Shadow Chief Secretary to the Treasury is to provide the analysis of how we can improve taxpayer value. I have nearly finished a year’s work on a top-down analysis, department area by department area, and I am now starting on a bottom-up review of particular problem areas in public sector spending.

    I remind you of the ECB’s report this summer, that there is £70 billion of wasteful public expenditure by the UK government, which it described as particularly inefficient in comparison to the US and Japan. Years of bumper increases in tax revenues have exacerbated the inevitable, profligate tendencies and poor management in the monopoly, non-commercial public sector.

    Fact and Fiction – the Policy Framework

    Michael Howard has also made it clear that his style of politics will not be to oppose just for Opposition’s sake and to give credit where credit is due. This contrasts with the government’s own continuing rhetorical spin.

    In his book “Reforming Britain’s Economic and Financial Policy”, the Chancellor claimed he would pursue a wholly new monetary and fiscal framework. Both claims were, in truth, a fiction. Under the new monetary framework, however, Gordon Brown changed only who should do the interest rate targeting. Under IEA influence, the last Conservative government determined what should be targeted and made controlling inflation a key objective. Post 1997, the monetary framework was not wholly new – albeit that we accept and support the decision to entrust the Monetary Policy Committee and the Bank of England with the task of setting interest rates.

    The monetary policy framework is, moreoever, now threatened by the government’s in principle commitment to join the Euro, which would mean a one-size fits, all-in interest rate, not based on the UK’s particular economic conditions.

    Part of the Chancellor’s Euro convergance strategy also involves changing the existing inflation target from 2½% p.a. RPIX to an unspecified HICP target. This will leave the Monetary Policy Committee and the Bank of England with significant problems as the Governor of the Bank of England has pointed out recently – especially given the omission of housing costs from the HCIP inflation index. This is also, at the very time when Council Tax increases are a growing concern to citizens, where the Chancellor is shifting to an inflation index, which excludes the effects of Council Tax. Also, on 12 occasions since the end of 1999, HICP has been more than 1% below the anticipated 2% HICP target; and during the year to September, the gap between HICP and RPIX was 1.4%, not the 0.5% the average which the Treasury has pointed to.

    We have two proposals for improving the workings of the MPC:-

    To replace the 3-year term with possible re-appointment for members with a fixed, 4 year, non-renewable term.

    To increase transparency, by requiring the appointment of members of the Monetary Policy Committee to be approved by a joint committee of both Houses of Parliament.

    Fiscal Policy

    On fiscal policy, the Chancellor has based his “prudence” claims on his Golden Rule, requiring the current budget to be balanced over the economic cycle; and the Sustainable Investment Rule, requiring public sector net debt to be stable, at a level below 40% of GDP. Here, again, these principles are not wholly new.

    Essentially, Ken Clarke’s framework set out in the 1996 Red Book, planned to bring the PSBR into balance in 1999/2000 and to reduce public sector debt to below 40% of GDP in 2001/2.

    The biggest fiction is, however, that the rules are not clear.

    The Chancellor is free to determine when the economic cycle started and ends. In the US, this decision is taken by the National Bureau of Economic Research – an independent body. In the case of the Sustainable Investment Rule, the figures for public sector net debt have been fudged by the government’s extended usage of PFI, PPP and similar off-balance sheet arrangements such as Network Rail. Off-balance sheet government funding is now equal to approximately £100 billion in total, calculated as the present value of future PFI/PPP liabilities.

    Public sector debt figures also ignore the dramatic growth in unfunded, public sector pension liabilities, recently reported by the government at £380 billion but using the private sector’s pension discount rate rather than the real yield on index-linked Gilts.

    These two main rules are, moreover, not the final word on economic and fiscal policy. Borrowing for investment, could in principle, be unlimited; the distinction between investment and current expenditure is also capable of being blurred – including the Chancellor’s own use of language when referring to investment in public sector services. Right now, Treasury spin also appears to be downplaying the Golden Rule in principle.

    We will be looking at the US, Congressional Budget Office as a model for independent consideration and analysis of spending, borrowing and taxation.

    Downgraded Forecasts and Britain’s Performance relative to other Economies

    The Chancellor has claimed his repeated downgrading of growth forecasts and increases in borrowing forecasts have been caused by events in the world’s economy. He claimed 2001 saw the sharpest contraction in world growth since 1974. Yet, the IMF advised that the world economy grew by 2.4% in 2001 and by 3% in 2002, compared with growth of around 1% p.a. for the three years in the early 1990s. The Chancellor also claims the UK economy is performing better than other countries, but the IMF says Britain will grow less this year and next year than either the USA or the world as a whole; it has also grown by less than the US, Canadian and Australian economies since 1997.

    On tax, Labour was elected on Blair’s 1995 pledge that “We have no plans to increase Tax”. Since 1997, there have been 60 tax increases and the tax take has risen by 50% in cash terms. As a proportion of GDP, it has risen by 2% since 1997 and is projected to rise by 4% in the Chancellor’s forecast through to 2007/8.

    Spending, Reform and Productivity

    Labour committed in 1997 to be wise spenders, not big spenders and to route out waste. Extra spending on public services was promised, only on the principle of it being tied to reform, in order to improve the delivery of services. Overall, since 1997, of the 50% increase in public sector spending, 83% has gone in public sector inflation. On the ONS figures, public sector inflation has risen from 1.6% in 1997 to 6.5% this year and is now over 7%. In the year to Q2, 2003, government consumption expenditure was up 11.8% but outputs were up only 3.9%, implying a 7.6% rate of public sector inflation. The ONS figures have shown public sector productivity falling by 5% over three years to 2001.

    Moreover, overall UK productivity growth since 1997 has been only half the pre-1997 level – at an average of 1.58% p.a. compared with 2.85% p.a. in the last six years of the Conservative government.

    Business investment fell by 3.5% in 2002, where in announcing his £5 million p.a. increase in pension tax in 1997, the Chancellor said the changes would encourage investment.

    Employment

    While the overall employment figures have remained strong, they have masked the fact that private sector employment has been falling – the fall of 75,000 last year was offset by the rise of 86,000 in public sector jobs, with a total increases in public sector employment of 400,000 since 1999.

    Through to 2006, public sector employment is scheduled to increase by 674,000 from 1997, costing £20 billion p.a.

    In the productive economy, manufacturing employment is down 698,000 since May 1997, and manufacturing output down 4.1% last year, and below 1997 levels.

    Burdens on Business

    Business investment has been weak, reflecting in part, rising tax and regulatory burdens. In 1998, the Chancellor said ” I want tax cuts for businesses not tax rises”. The CBI has reported total UK business costs pushed up as much as £60 billion over the five years from 1997 to 2002, with government policy actions specifically driving up business costs by £15 billion p.a. The CBI estimates that by 2005/6 – using the Treasury’s own figures – business taxation will have risen cumulatively by £54 billion. The IOD estimates the extra cost for business from Labour’s additional regulatory burdens is £6 billion p.a.

    When the Chancellor cut employers NIC as part of his 2000 budget, the Treasury press release said this would provide employment opportunities. The increase in employers’ NICs this year will cost an average of £166 p.a. for each employee earning £20,000 p.a.

    Savings

    Finally, before 1997, Labour argued that Britain needed a savings culture, both to benefit individuals and to increase investment. The savings ratio has halved under Labour, from 10.0% in Q2 1997 to 4.8% in Q2 2003. The Stakeholder Pension initiative has been a failure, in part as Pension Tax Credits, no matter how well intended, serve as a major disincentive to more than half the population to save for a pension.

    The wider economy

    1. The essential point is that all is not as rosy as government spin has implied – several chickens could come home to roost.

    For 11 years, since 1992, and since Stirling’s expulsion from the ERM, the UK’s overall economic performance has been impressive. Average growth has been 2.8% p.a., with output up every quarter, and inflation averaging only 2.5% p.a. Unemployment has fallen from 10% to 3%. This has reflected both the major supply side and labour market reforms of the Conservative governments in the 1980’s; rising consumer expenditure across the Anglo-Saxon economies, and generally propitious economic circumstances for the West as a whole. Between 1992 and 2003, the UK economic performance was, however, less impressive, at 36% compound growth, than those of Australia at 50%, Canada at 44% and the USA at 41%, but very impressive against France at 22%, Italy at 17%, Japan at 15% and Germany at 14%.

    An important contribution to both growth and stability has been the 10% improvement in our terms of trade since 1996, enabling rising consumption in relation to national income, well above the extent of the deterioration of the external balance.

    There are now growing threats to growth and stability.

    1. As pointed out above, UK productivity growth has fallen and is in danger of falling further, with the significant shift of resources and employment to the public sector.

    2. The increase in government spending, and in the tax take (up 7% this year alone) has served already to reduce disposable income growth in the private sector to zero over the last 18 months.

    3. Continuing growth and demand in consumption will depend on further increases in household borrowing – largely dependent on further and potentially unsustainable rises in house prices. UK consumer debt now equals GDP and was up 13% year on year to this September.

    4. There is the risk of at least part of the 10% improvement in the terms of trade over the last 7 years reversing. Already, shipping rates have risen markedly and raw material input costs from Asia and elsewhere are rising.

    5. The Treasury now seems to be implying that the Chancellor may break his Golden Rule on borrowing and may breach the EU 3% of GDP rule.

    6. The ECB is concerned at the high rate of growth in the UK money supply with M3 up 8% y.o.y in the year to September. The output gap – spare capacity – is estimated by most economists at no more than 0.7-1% and well below the Treasury’s projected 1.5%.

    In short, the dangers now are of rising inflation and rising interest rates, which could end the remarkable consumption driven run of the last 11 years in due course.

    In the near term, the UK economy should benefit from the bounce in the US – US third quarter growth was the fastest in 20 years, at a rate of 7.2% annualized, with a surge in consumption and business investment – albeit also with a rise in inflation. There should be some, long-awaited, pick-up in UK business investment, although the UK has declined to being only the 3rd most attractive EU location for business in terms of tax and NI costs.

    The next two years are likely to see a more difficult environment for the UK economy and for the Labour government, in which the options for fiscal manoeuvre have been curtailed severely by Labour’s massive shift to “Tax and Spend”. The key risk is an “economic shock” if there are more than small increases in interest rates and inflation and particularly via the impact on house prices. The change to the HICP inflation measure is unlikely to conceal, or of itself, to prevent this.

  • Michael Howard – 2003 Speech on the Responsible Society and the Voluntary Sector

    Michael Howard – 2003 Speech on the Responsible Society and the Voluntary Sector

    The speech made by Michael Howard, the Leader of the Opposition, at the Charities Aid Foundation annual conference on 13 November 2003.

    First, may I thank you for inviting me to speak at your Conference today. You invited me to address you as Shadow Chancellor. But I am delighted to do so in my new role as Leader of the Opposition. It is, in fact, the first major speech I have delivered since my acceptance speech. That I should do so at a Conference with the theme `Mission Tough, but not Impossible’ seems to me to be rather apt.

    Indeed, the qualities which your Conference publicity says are required for getting your job done – namely ingenuity, creativity and resourcefulness – are qualities which any Opposition requires too.

    We have much to learn from you. Ingenuity, creativity and resourcefulness have characterised the work of the Charities Aid Foundation throughout its entire history – and, indeed, have characterised the charitable sector as a whole. And the discussions you are having over the course of this Conference, together with the exhibition and Cyber Café, demonstrate these qualities in abundance.

    Responsibility

    At the heart of what I have to say lies the concept of responsibility: the responsibility that people have towards their neighbours; and the role of government in facilitating and fostering that sense of responsibility.

    It is important for politicians to keep sight of both these aspects of responsibility. Government can never supplant the responsibility that people themselves have for each other – as families, as local communities, as a society, and as fellow human beings. I do not accept that personal responsibility can somehow be `nationalised’ or handed over wholesale to the State. But I also do of course accept that there is a proper role for government.

    The Conservative Approach

    My party has a long and proud record. Social housing provides a good example. Disraeli’s path-breaking legislation in the 1870’s was the start. In the 1920’s and 1930’s Conservative ministers laid the foundations for what later became modern council housing and in the 1960’s it was Keith Joseph as Housing Minister who recognised the potential of housing associations.

    Modern social services departments are largely the product of Conservative legislation. The landmark event was the decision by Keith Joseph and Ted Heath to go ahead with Lord Seebohm’s recommendation to set up local authority social services departments. And most of the important legislation that underpins the work of a modern social services department was passed by recent Conservative governments. As a result of the 1989 Children’s Act, we have one of the most coherent and sophisticated legislative frameworks setting out the principles for children’s policy in the world.

    The 1990 National Health Service and Community Care Act was an important step in making care in the community a practical reality for people who wanted to choose it and it ended the perverse set of incentives that sometimes obliged people to accept care in circumstances where they had no real choice.

    The 1990 Community Care Act directly led to the position where we now have a genuine mixed economy in the provision of social care. The public sector, through local authorities, still directly provides and organises social services itself, but local authority social services departments also fund other organisations like voluntary organisations and charities which directly provide care.

    Today many social services departments spend over 50 per cent of their budgets in the independent and voluntary sectors.

    There are many occasions where the voluntary sector can provide services in a new and imaginative way or in a way that is more flexible and provides the users of the service with greater choice. These developments in social services illustrate that there will often be occasions when the state should step aside from directly providing the service itself and fund other people like voluntary organisations to do so instead.

    Getting the Economy Right

    That role of government is many-faceted.

    Too often politicians compartmentalise their policies. Much of what I have to say will, indeed, relate specifically to charities and how government can help them – or, at the very least, not set obstacles in their path.

    But there are wider responsibilities too. Governments must help to create the economic climate in which people are encouraged to show responsibility for others. That means a climate in which taxes are kept low and enterprise is encouraged.

    The promotional literature for this Conference notes right at the start that high consumer debt and economic uncertainty have hit those in the charitable sector, `dependent as they are’, it says `on the surplus cash of their supporters’. It is true that when real net disposable earnings are falling, as they have been doing as a result of the tax rises which came in last April, people will be less able to donate money to the voluntary sector. And people will feel similarly constrained if they are concerned about their future financial security, as a result of the record combined levels of consumer and government debt which now exist.

    There are some ironies here. Governments which seek to create an enterprise climate, to keep taxes down, to limit the role of the state, are sometimes accused of fostering selfishness. You will not be surprised to hear that I do not accept that. It is no coincidence that charitable giving is often highest in countries – such as the United States – which have adopted the free enterprise model.

    But, while an enterprise economy may assist in the fostering of a responsible society, this is by no means the limit of the government’s role.

    Other Government Responsibilities

    Governments themselves have direct responsibility for the alleviation of need and for the funding, and in some cases provision, of important services. Of course the last six and a half years have shown that merely levying ever higher taxes is rarely if ever the best way to fulfil that responsibility. While taxes have risen, expectations have been disappointed. We believe that reform is required – of public services and of welfare.

    These government responsibilities will not always involve the not-for-profit sector. But sometimes they will. And this brings me to the government responsibility I want to focus on today: the responsibility to protect and promote a vibrant voluntary sector.

    The Importance of the Voluntary Sector

    Why is this important?

    One reason is a practical one. Quite simply, there are some things that charities can do better. They are often more responsive, more flexible, and more innovative than the state sector, as a result of being less rigid and less bureaucratic.

    There are also philosophical reasons. Voluntary activity is a vital channel through which people can show responsibility for others in society – whether those next door or those at the other side of the world. That is a healthy thing in itself. A thriving voluntary sector, by virtue of the very fact that it is voluntary, is a sign of society in which people are willing to show that responsibility.

    60 Million Citizens

    I believe Government can encourage the voluntary sector in two principal ways.

    First, it can encourage people to be responsible for others through voluntary activity, by donating their time or their energy or their money to voluntary organisations.

    Second, it can give voluntary organisations themselves more freedom, and more opportunity, to serve the communities they were established to serve.

    Some policies to back these principles up are set out in our Green Paper, Sixty Million Citizens, which was published earlier this year.

    The central idea behind the paper is the need to ‘unlock Britain’s social capital’. That is not referring to the state or to the apparatus of government, but to people giving of their own time, energy, money – and allowing them more say over the resources they already provide.

    Here I want to pay a tribute to the work of Iain Duncan Smith. He recognised the importance of the voluntary sector in Britain, and of policies to promote the voluntary sector to the Conservative Party. It is my intention that such policies will become a core component of our programme for government.

    The Green Paper sets out a range of proposals. These do not yet represent official Party policy. We have been consulting on them and considering the best ways to take them forward. This work will continue.

    Today I want to outline some of these proposals.

    They include the establishment of a new Office of Civil Society, championed by a Cabinet minister. We want to ensure that the voluntary sector is no longer under-represented and overlooked when important policy initiatives are being developed.

    And they include specific suggestions under the two broad themes I have set out: encouraging people to be more responsible through voluntary activity; and freeing voluntary organisations themselves to get on with the work they were established to do.

    Encouraging Individual Responsibility

    The work of the Charities Aid Foundation in showing people and business how they can give tax-effectively is invaluable. You have pioneered ideas such as the Charity Account. But the fact that only about one third of individual giving is tax efficient is a sign that there may be room for government action too.

    First we have been looking at the costs and mechanics of tax relief on spontaneous giving, in recognition of the generous work of those who collect money through, for example, collection boxes.

    The Green Paper also proposes that people in receipt of universal benefits – such as the state pension or child benefit – should be given the option of donating these benefits to charity.

    The idea of government-matched funding, focused on endowments for poorer areas, would also encourage other charitable or private forms of giving.

    But people don’t just donate money. We want to support those who donate their time to voluntary causes too. As in the case of voluntary activity as a whole, volunteering should be encouraged both for its practical usefulness and for its inherent value as a core component of a responsible society.

    So the Green Paper proposes the creation of a volunteer bounty for every volunteer or mentor signed up to tackle certain social challenges and who becomes part of an accredited training programme.

    The Voluntary Sector

    Those are some of the ways in which a Conservative Government would encourage people to be more responsible for others. But that is not all we need to do. Voluntary organisations themselves need to be given greater opportunity to serve the communities they want to serve.
    That means a better legal structure. We have pressed the Government to make room for a Charity Law Bill in its legislative timetable.
    Sometimes what is required is just for government to get out of the way – or, at least, to make the bureaucracy of government as straightforward as possible.

    We want to see less red tape in the grant-making process, and have suggested a single application form across government departments and less bureaucracy for those organisations which belong to approved voluntary sector umbrella groups. And more fundamentally there is room for a greater emphasis on the results which organisations achieve rather than the precise means by which they do so.

    Of course where public funds are involved there are bound to be conditions attached. That is perfectly legitimate – and proper. But we do not want to see an over-zealous interpretation of those rules. Because risk aversion comes with no cost to the officials involved, there is an inbuilt tendency in Whitehall to implement legislation more rigidly than the legislators intended.

    Voluntary organisations need someone there to put the other case. Our suggestion of “Bureaucracy Busters” has this in mind. They would have the authority to curb over-zealous application and interpretation of regulations, and the powers to require fast communication and decision-making across government departments. They would also report back on those regulations which could be eliminated.

    After all, too much red tape from the centre risks negating some of the very attributes which make the voluntary sector so valuable in the first place. We have seen how the Government’s rigid and centralised target culture is suffocating innovation and local discretion in the public services. The last thing we want is to see it suffocate these values in the voluntary sector too.

    There are of course plenty of other ways in which voluntary sector organisations can be encouraged by government.

    For example an unfair competition test would protect not-for-profit organisations from being usurped by handsomely-funded government initiatives.

    We want fairer treatment for faith-based organisations.

    And, more radically, we have suggested a right for community organisations or entrepreneurs first to manage and then to assume ownership of under-used public sector assets such as community halls, parks or vacant land, subject to necessary safeguards. Such Community Asset Trusts could then apply to manage and deliver other local public services.

    Indeed, our wider reforms to the public sector, in which more funding will follow the users of the service rather than the providers, will also open new opportunities for the voluntary sector. If voluntary organisations are able to provide services which people prefer to those provided under existing structures, then increasingly they will be able to do so.

    Protecting Charities from Government

    So these are all ways in which we see government helping the voluntary sector.

    But I know that a note of caution is needed. I have already alluded to the fact that too much attention from government can put at risk the very qualities which make the voluntary sector unique – diversity, innovation, flexibility.

    Such attention may well be well-meant. But being smothered by an elephant is no less painful if there is no deliberate malice involved.
    We must seek to ensure that such smothering does not occur.

    In some cases, where government has a specific end in mind, it may well be that voluntary organisations will adapt to meet that end, if given the chance, more effectively than statutory organisations would do so. But we do not want to see an unintended diversion of activity away from those areas where the voluntary sector itself has identified need. We want to encourage – not discourage – social entrepreneurs to find new ways to meet those needs.

    Our Green Paper proposes mechanisms to avoid, for example, the problem of `mission creep’ – the diversion of promising community enterprises from their start-up goals and activities. This is made worse by the government’s habit of changing its own mission priorities. Instead, a new system of ‘Mission Reward’ would reverse this ‘mission creep’ and direct the flow of public money and assets to social enterprises that are successfully delivering sustainable community renewal.

    Under our proposals, proven successes would win an escalating series of presumptive rights to public funding, control of public assets, and the opportunity to improve delivery of publicly-funding local services.

    Conclusion

    These are all fresh and innovative ideas which I hope you will find appealing.

    But I appreciate that some voluntary organisations will find some of the ideas more appealing than others. All, I imagine, will be keen to embrace our offer of less red tape and less interference. But some, precisely because you value your independence from government, will be less keen to enter into new partnerships for the delivery of services.

    And my message is this: our invitation will be just that – an invitation. We will not feel offended if some turn it down! Many in the not-for-profit sector will feel their priorities and ethos would inevitably be compromised in any such partnership with government. And they will continue to fulfil a role which is just as valuable. A thriving voluntary sector, in all its diversity, is an end in itself. It is the very embodiment of the responsible society which Conservatives wish to see.
    So I hope that what I have outlined today is a distinctly Conservative agenda. I believe it goes with the flow of the sector in which you work.

    It is an agenda based on the concepts of freedom and opportunity. These are often challenging concepts. But they are essential if we are truly to create a society in which people are able to be more responsible for each other. And at a time when people and voluntary organisations alike are looking for less of a stranglehold from the state, they are concepts whose time has come.

  • Michael Howard – 2003 Response to the Queen’s Speech in the House of Commons

    Michael Howard – 2003 Response to the Queen’s Speech in the House of Commons

    The response made by Michael Howard, the Leader of the Opposition, in the House of Commons on 26 November 2003.

    I begin by paying tribute to Paul Daisley. He came to this House with a formidable reputation as a reforming council leader.

    Tragically, his election to Parliament was overshadowed by the diagnosis of his cancer. Obviously in pain, but with an equally obvious pride in his constituency, many remember the courage he showed when he delivered his maiden speech some eight months later. I am sure Hon Members in all corners of the House will join me in expressing the hope that his spirit will live on after him through the work of the Paul Daisley Trust.

    And his spirit lives on in another way too. Paul campaigned vigorously for his predecessor, Ken Livingstone, to be readmitted to the Labour Party. It looks as though he’s going to have the last laugh.

    On all sides of the House, Mr Speaker, we will miss Paul Daisley.

    I warmly congratulate the proposer and seconder of the loyal address.

    The Hon Gentleman the Member for Dumbarton spoke with passion. He always does.

    Like the Prime Minister, he long had a passionate and principled devotion to the cause of unilateral nuclear disarmament – despite the fact that both Faslane and Coulport employ hundreds of people in his constituency.

    Indeed, the Hon Gentleman’s constituency is undoubtedly one of the places in the world where even the Prime Minister could find weapons of mass destruction.

    The Hon Member serves as the highly respected Chairman of the Treasury Select Committee, where he has a fearsome reputation.

    When he recently asked the Governor of the Bank of England the same question nine times, he was compared to Jeremy Paxman. Let me assure the Hon Gentleman. Nine questions are easy. Try fourteen, and then you really could move to Newsnight.

    I am sure I speak for the whole House when I congratulate the Hon Member on his speech today.

    The Hon Member for Gloucester spoke with the eloquence we have come to expect of him.

    He must have been very surprised to be asked to second the motion today. For earlier this year, he voted against the war.

    The website diary of the Hon Member gives a fascinating account of his private meeting with the Prime Minister just hours before the crucial vote. It is full of startling political insights.

    ‘The Prime Minister’, he said, `had obviously had a long and hard day’.

    `His shirt, usually impeccably pressed, looked slightly creased’.

    But `his eyes were bright, focussed and full of conviction’.

    `Parmjit’, he said, `we are where we are’. The Prime Minister was clearly at his most persuasive.

    `It’s a far from ideal position, I know, but I need your support’.

    `A far from ideal position’. I don’t remember that phrase creeping into the Prime Minister’s speech in the House that day. Could he possibly have been saying one thing in public, and another in private? Surely not.

    I hope all this hasn’t killed off the political prospects of the HM for Gloucester. For, on the basis of today’s performance, he has a great career ahead of him.

    I also want to congratulate the English rugby team on their outstanding achievement in Australia. It is a great shame that the Sports Minister wasn’t there to see it.

    There are different accounts of the Minister’s reaction when he was told to come back early. The Secretary of State said that was always planned. But the Minister’s Spokesman, when asked how he really felt, said `I can’t tell you. It’s before the watershed’. The Prime Minister was reported as being profoundly unimpressed by the Minister’s reaction. Indeed, a source close to the Prime Minister said of the Minister `I think he may regret it’. It may not be very long before the Sports Minister is proposing the Loyal Address.

    Before I examine the Gracious Speech in detail there are certain matters that do not fall directly within the remit of the Government’s programme.

    Today the people of Northern Ireland go to the polls to elect a new Assembly. On these benches we support the Government in its efforts to re-establish devolution in the Province and we hope that there will be a constructive and stable outcome to today’s elections.

    In Iraq too the Government is engaged in a commendable endeavour to replace tyranny and terror with peaceful democracy. The Prime Minister has shown political courage in standing shoulder to shoulder with our allies in America and elsewhere and we support him.

    We must also remember, in everything we say and do, that many British servicemen and women are demonstrating physical courage every day in Iraq. Their job is a dangerous one and I am sure I speak for the whole House when I express my gratitude to them. In that context I pay tribute to the two Members of this House whose duty as members of the reserve forces has taken them to Iraq: my Hon Friend the Member for Westbury, who has happily returned safely to rejoin us, and my Hon Friend the Member for New Forest West who continues to serve our country in Nasiriyah.

    Many of us have constituents who have suffered the tragic loss of close family members in Iraq, and we owe it to them to ensure that their loved ones did not die in vain. The House will also wish to pay tribute to the three British citizens, including the Consul General, who died in the bombings in Istanbul, and to the many others who so tragically lost their lives there.

    On these benches we welcome a number of the measures contained in the Gracious Speech. We regard them as constructive and will support their passage.

    We are pleased to see the Government turn its attention to child protection and domestic violence.

    We will study the draft Disabilities Bill, when it is published, and hope that it will live up to the billing which the Minister for Disabled People has given it.

    And we support the principle of a Civil Contingencies Bill. Those recent terrorist atrocities in Turkey and elsewhere require us to do everything possible to protect British citizens and interests.

    The Civil Partnerships Bill aims to address some genuine grievances that are acknowledged on all sides of the House. I believe we all have a duty to recognise and respect the fact that people in our society choose to live their lives in many different ways. I also accept that there are a range of sincerely held opinions on how the law should reflect this. Members on this side of the House will have a free vote, and I hope that will also be the position on the Government side.

    But while we welcome some of the individual proposals in the Gracious Speech, the overall reaction to it – even, I suspect, on the benches opposite – will be one of disappointment.

    And that sums up the general feeling of disillusionment which has built up over the last six and a half years.

    This Government was elected with great promise and a sweeping mandate. It had the world at its feet and a vast Parliamentary army ready to carry forward whatever measures it proposed.

    And what has happened? In the words of Paul Daniels: `Not a lot’.

    We are, after all, about to embark on the seventh Parliamentary session since the RHG became Prime Minister. He’s been in office longer than Attlee. And what has he got to show for it?

    During that time we have had seven education Acts. They promised in 1998 to cut truancy by a third. What’s happened? Truancy has gone up 15 per cent overall and 25 per cent in secondary schools. What hope is there for our future if so many of our young people don’t even go to school at all?

    We have had five transport Acts. Yet we have more congestion, and twice as many trains run late as before.

    We have had 18 Acts from the Health Department. None of them will be of any comfort to the million people languishing on waiting lists.

    And we have had no fewer than 30 pieces of legislation from the Home Office.

    But crime is up by 800,000, gun crime has doubled, and we have the
    highest level of violent crime ever.

    Are the major Bills in this year’s Speech likely to be any different?

    The Asylum Bill, the third Immigration and Asylum Bill, is merely the latest chapter in the sorry story of incompetence and irresponsibility that has marked the Government’s attempts to deal with this problem.

    Almost five years ago, the then Home Secretary said he was legislating to `provide the United Kingdom with a modern, flexible and streamlined [asylum] system’.

    Whatever happened to that?

    They have wasted the last six and a half years reversing the measures brought in by the previous Government – and then reintroducing them!

    But this time they’ve gone further than any civilised government should go. Earlier this week we read in our newspapers that the Government proposes to use the children of asylum seekers as pawns to cover up their failure to get a grip on their asylum chaos.

    Children of asylum seekers are to be taken into care in order to force their parents to leave the country.

    The Prime Minister and the Home Secretary should be ashamed of themselves.

    We shall oppose any legislative provision that seeks to give effect to this despicable provision.

    And I have no doubt that when we do so we shall be joined in the lobbies by the many Honourable Members on the Government benches who, unlike the Prime Minister and the Home Secretary, still retain their self-respect.

    What about pensions? The Pensions Bill will do nothing to tackle the main causes of the pension crisis. Without reform of the State Pension and a reversal of the spread of means testing, the pension crisis will continue to get worse. Without new incentives to save, pension provision will continue to shrink.

    What of the pledge in the 1997 Labour Manifesto to `make the House of Lords more democratic’? Well, we now know exactly what the Prime Minister means by democracy. `One flatmate one vote’.

    And while we’re talking about Manifestos, what happened to the pledge in 2001 – just two years ago?

    ‘We will not introduce ‘top-up’ fees’, it said. And there was more. The Manifesto boasted that Labour had `legislated to prevent them’.

    Perhaps the Prime Minister could tell us what exactly happened there.

    Was it a misprint? Was it meant to say `we will legislate to introduce them’?

    Or did the Prime Minister simply miss that line?

    Was it perhaps sneaked in by the Chancellor at the last minute?

    Is that why the RHG the Member for Hartlepool has been brought in to oversee the Manifesto? To keep an eye on any last minute changes from the Chancellor?

    Isn’t it extraordinary. It doesn’t matter how many times the RHG is sacked from the Cabinet and forced to leave Downing Street by the front door, the Prime Minister will always find a way of smuggling him in through the back door.

    Today there was no mention of the phrase top-up fees in the Queen’s Speech. It is the tax that dare not speak its name.

    Mr Speaker, Government plans for regional assemblies will take the number of referendums held by this Government to 37. But there is also a Bill in this Queen’s Speech about a referendum they dare not hold. And that is the draft Bill for a referendum on the Euro.

    There is one thing surely on which we can all agree. No one believes that the Government will call a Euro referendum before the next general election. So why on earth are we wasting any time on it?

    On regional assemblies we are being given referenda we don’t want. On the euro we are being given a referendum that won’t be called. But on the new Constitution for Europe – a measure of the utmost significance – we are being given no referendum at all.

    No-one could say that the late Hugo Young was a Eurosceptic. Indeed the Prime Minister recently paid a handsome and well-deserved tribute to him. But the Prime Minister would do well to listen carefully to the wise words Mr Young wrote in July when he said:
    “..this change in the shape of the EU is indeed constitutional, does mark something pretty big, and merits the thumbprint of the nation to endorse it.”

    There is now total confusion at the heart of his government. The Prime Minister said that the Euro Constitution is good for Britain. The Chancellor has said it’s bad for Britain. The Prime Minister has told us that the Constitution is essential for enlargement. The Foreign Secretary has now said that it isn’t.

    That is why the Prime Minister won’t hold a referendum. That is why he won’t even try to persuade the British people that this Constitution is either good or essential. He cannot even persuade the Chancellor of the Exchequer or the Foreign Secretary. No wonder he won’t allow the country a say.

    After all, it’s not as though the Government is against consultation.

    This evening the Prime Minister will be launching what is pretentiously described as a `conversation with the nation’.

    It won’t come as much of a surprise to the nation to learn that this conversation will be rather one-sided.

    On Sunday the Leader of the House was asked by Jeremy Vine what would happen if, in this conversation, the people said they didn’t want top up fees.

    He replied:

    `Well indeed but er…’

    `Well the point I’m making is that top-up fees are an issue which are current now, today, this year, in this coming year, in the coming couple of years’.

    So that’s clear then.

    But what’s this conversation with the nation about?

    Again the Leader of the House was crystal clear.

    `Because’, he said, `in the context of a long term future… that is, that was what the Prime Minister was talking about and not in respect of you know, the need for reform’.

    We all know the real conversation that the Prime Minister needs to have. He needs to have a conversation with his next door neighbour. The current situation makes you wonder who’s the leader and who’s being led. Real Prime Ministers lead their Chancellors. He follows his.

    And what is the Prime Minister’s response? He can’t get his way on policy; he can’t get his way on strategy: all he can do is deny his Chancellor a seat on the National Executive.

    The Prime Minister may strut his stuff on the world stage but when it comes to domestic policy, never in recent history has a Prime Minister been so weak, so feeble, so utterly unable to do what he wants. And all this with a huge majority in this House. How utterly humiliating for him – and how very damaging for our country.

    “Outmanoeuvred” by a “politically obsessed Chancellor” – not my words Mr Speaker, but those of the RHM for Hartlepool, probably the world’s leading authority on his ten-year feud.

    Is it any wonder that this Government has given up on delivery?

    You don’t have to take my word for it.

    We have it on no less an authority than the Trade and Industry Secretary. She has admitted – and these are her words –`when we talked about delivery, that may have been something of a mistake’.

    `We are not in government’, she said, `in order to show that we can be more competent than the Conservative Party was’.

    She knows – as we all do – that Labour promised far too much and has delivered far too little.

    They know they can’t deliver. They know they are incompetent. They know they have failed.

    And this Gracious Speech will do nothing to remedy that.

    We could be doing so much better. After all, we are the world’s fourth largest economy. We are a nation of hard working, energetic and enterprising people. We have great potential. But this Government, which promised so much, has let our country down.

    In the absence of real reform, its only answer is higher tax. When that fails, it can only turn to higher taxes still. They approach every problem with an open wallet and an empty mind. They are taxing and spending and failing.

    After six and a half years, this is a Prime Minister who has lost his grip and a Government which has lost its way.

    They are running out of steam and they know it.

    We need better schools – but this Government gives us top-up fees. We need safer streets – but this Government just abolishes the Lord Chancellor. We need improved hospitals – but this Government gives us legislation on the euro.

    This Prime Minister and his Government are simply unequal to the task.

    They have run out of ideas.

    They have run out of money.

    And they are running out of time.

    All they have to offer is open wallets and empty minds.

    This Queen’s Speech should have included a programme that delivers real power to patients, to parents and to front line professionals. It should have included a programme that gives value for taxpayers’ money and security for the national interest.

    But that programme will only be put in place by a different government.

    A government that boosts the economy rather than chains it. That implements serious reform of our public services. A government that gives real power to people.

    That government is the next Conservative Government. The sooner it comes the better life will be for the people of our country.”