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Mr. Lang: It is to the credit of our employment measures that 68 per cent. of the eligible population in the
United Kingdom are in work, which is more than any other comparable country in the EU. The point that I was making is that our flexible labour market policies are creating jobs and thus creating more job security. The Opposition's policies include the national minimum wage and the social chapter, which would destroy hundreds of thousands of jobs. That is no way to create job security. The rigidity that would come in with the stakeholder policy--the unions would stake out their share of power and fence in the economy--would result in a loss of jobs and a lack of confidence.
The deputy leader of the Labour party--the right hon. Member for Kingston upon Hull, East (Mr. Prescott)--said of the national minimum wage on London Weekend Television:
From their own mouths, Labour's policies stand condemned. The only fools left are those in the right hon. Gentleman's party, who would pursue policies that they know would destroy jobs, not create them.
What are the Labour party's policies? We listened in vain today. We hoped that we might hear more about the social chapter, which was introduced by the Labour party leader as just a set of principles. As soon as he discovered that it would be part of a solemn and binding treaty and an obligation and that most of its proposals, coming through under qualified majority voting, would be imposed on the United Kingdom, he suddenly announced that he would start picking and mixing, backing off, and trying to negotiate some special arrangements.
We know that Labour Members want a national minimum wage, but they will not tell us at what rate because they know that, at £4 an hour, it would cost us 900,000 jobs if only half the differentials were restored. We hear that they are backing off from their training levy. We hear that stakeholding, the big idea of just a couple of months ago, is now just a slogan. The sweetheart deal with BT to set up a cable network around Britain--a special favour for party advantage to a monopolist company--has suddenly been abandoned. All the Labour party's policies are quietly being put back in their box. Like the Cheshire cat in "Alice in Wonderland", piece by piece, Labour's policies are disappearing and all we are left with is the smile.
Labour has no inflation target and no borrowing target. There is just one commitment from the Labour party, and that is for a windfall tax. What an appalling message to send to the people of this country. A windfall tax is, by definition, a one-off tax. It cannot be spent 10 times over, as it has been by the Labour party, on successive policies. It would destroy investment plans, it would be unfair and capricious and it would penalise success. Nothing is more designed to destroy competition in the privatised utilities than such a tax.
Labour Members talk about investment. They should look at our inward investment record as well as the indigenous investment record. Since 1981, not only has our overall investment rate over the cycle been faster than that of every nation in the G7 group except Japan, but we have seen the world's verdict on Britain in inward investment. We see billions of pounds creating tens of thousands of jobs and bringing many new industries and new technologies to this country.
Just as it is with inward investment, so it is with outward investment and with trade. Britain is first and foremost a trading nation, out again on the world stage.
With 1 per cent. of the world's population, we are the fifth largest exporter. We export more per head than either Japan or the United States. We are selling more goods and services than ever before. Our underlying export volumes have risen by a third since the beginning of the recovery.
We will continue to work to expand global trade and to secure free trade through multilateral trade liberalisation. Just as we were a key player in the Uruguay round, so we shall seek to secure progress through the World Trade Organisation. We have identified areas in which we can develop the case for further open trade around the world at the meeting in Singapore.
Britain is now back on its feet again. The Labour party has made strenuous efforts to convince anyone who will listen that we have fallen behind many of our main competitors. My right hon. and learned Friend the Chancellor pointed out Labour's deceit in seeking to project a table of world prosperity growth in which, it transpired, the slippage from 13th to 16th place took place not over the term of this Government, but in 1979-80, the first year of our period in office when, as everyone knows, we had a mess to clear up after the Labour Government.
What Labour Members have neglected to say is that our GDP per head is actually in line with that of the European Union and 10 per cent. ahead of that of Europe as a whole. They neglected to point out that our living standards have risen by 40 per cent. since 1979 compared with only 1 per cent. under the previous Labour Government. They neglected to point out that we have closed three quarters of the gap in manufacturing productivity against France and Germany since 1979, a gap that widened under the previous Labour Government.
Labour Members clearly enjoy league tables, so I shall give them some of my own. Between 1974 and 1979, of the major EU countries, the United Kingdom had the slowest GDP growth, the slowest growth in manufacturing productivity, the second slowest growth in manufacturing output and the slowest growth in private consumption.I reinforce what I say with a statement today by Mr. David Kern, the NatWest bank's chief economist. He says:
Writing in the March issue of the group's "Economic and Financial Outlook", he then says:
He is right.
Since 1980, the United Kingdom has had the fastest growth in GDP, equal to that of Germany. It has had the fastest growth in productivity bar none, the fastest growth in manufacturing output, the fastest growth in investment and the fastest growth in private consumption, with the lowest tax burden.
Free enterprise and free trade are the twin pillars of our economic policy, and both are bringing growing success in an increasingly competitive global economy. Our policies--privatisation, liberalisation, deregulation and flexible labour markets--are increasingly finding favour around the world. We are in the mainstream--we are leading world opinion. We are punching above our weight as a nation because, under this Government, we are competitive again. Socialism is in retreat and decline all
over the world. Last Saturday in Australia, the Labor party bit the dust. Yesterday in Spain, Labour bit the dust. Last year in France, Labour bit the dust. Socialism is irrelevant there, and irrelevant here. I urge the House to stick by the Government's policies, throw out the amendment and support the motion.
Question put, That the amendment be made:--
The House divided: Ayes 242, Noes 288.
Tellers for the Ayes:
Tellers for the Noes:
Amendment accordingly negatived.
Main Question put and agreed to.
"I knew that the consequences were that there'd be some shake-out, any silly fool knew that".
"Perceptions of UK underperformance are incorrect and need to be carefully reassessed".
"In terms of per capita GNP/GDP, the UK has narrowed the gap with its main West European and North American competitors; while growth has been higher in the UK than in comparable economies since the early 1980s."
AYES
Abbott, Ms Diane
Ainger, Nick
Ainsworth, Robert (Cov'try NE)
Allen, Graham
Alton, David
Anderson, Donald (Swansea E)
Armstrong, Hilary
Ashton, Joe
Austin-Walker, John
Barnes, Harry
Barron, Kevin
Battle, John
Bayley, Hugh
Bell, Stuart
Bennett, Andrew F
Benton, Joe
Bermingham, Gerald
Berry, Roger
Betts, Clive
Blunkett, David
Boateng, Paul
Bradley, Keith
Bray, Dr Jeremy
Brown, Gordon (Dunfermline E)
Bruce, Malcolm (Gordon)
Burden, Richard
Byers, Stephen
Callaghan, Jim
Campbell, Mrs Anne (C'bridge)
Campbell, Menzies (Fife NE)
Campbell, Ronnie (Blyth V)
Campbell-Savours, D N
Canavan, Dennis
Cann, Jamie
Chidgey, David
Chisholm, Malcolm
Church, Judith
Clapham, Michael
Clark, Dr David (South Shields)
Clarke, Eric (Midlothian)
Clarke, Tom (Monklands W)
Clelland, David
Clwyd, Mrs Ann
Coffey, Ann
Cohen, Harry
Connarty, Michael
Cook, Robin (Livingston)
Corbyn, Jeremy
Corston, Jean
Cummings, John
Cunliffe, Lawrence
Cunningham, Jim (Covy SE)
Cunningham, Roseanna
Dafis, Cynog
Dalyell, Tam
Darling, Alistair
Davies, Bryan (Oldham C'tral)
Davies, Chris (L'Boro & S'worth)
Davies, Rt Hon Denzil (Llanelli)
Davies, Ron (Caerphilly)
Dewar, Donald
Dixon, Don
Dobson, Frank
Donohoe, Brian H
Dowd, Jim
Eagle, Ms Angela
Eastham, Ken
Etherington, Bill
Evans, John (St Helens N)
Ewing, Mrs Margaret
Fatchett, Derek
Field, Frank (Birkenhead)
Flynn, Paul
Foster, Rt Hon Derek
Foster, Don (Bath)
Foulkes, George
Fyfe, Maria
Galbraith, Sam
Galloway, George
Gapes, Mike
Garrett, John
George, Bruce
Gerrard, Neil
Godman, Dr Norman A
Godsiff, Roger
Golding, Mrs Llin
Gordon, Mildred
Grant, Bernie (Tottenham)
Griffiths, Nigel (Edinburgh S)
Griffiths, Win (Bridgend)
Grocott, Bruce
Gunnell, John
Hain, Peter
Hanson, David
Hardy, Peter
Harman, Ms Harriet
Harvey, Nick
Hattersley, Rt Hon Roy
Henderson, Doug
Heppell, John
Hill, Keith (Streatham)
Hinchliffe, David
Hodge, Margaret
Hoey, Kate
Hogg, Norman (Cumbernauld)
Home Robertson, John
Hood, Jimmy
Howarth, Alan (Strat'rd-on-A)
Howells, Dr Kim (Pontypridd)
Hoyle, Doug
Hughes, Kevin (Doncaster N)
Hughes, Robert (Aberdeen N)
Hughes, Roy (Newport E)
Hughes, Simon (Southwark)
Illsley, Eric
Ingram, Adam
Jackson, Glenda (H'stead)
Jackson, Helen (Shef'ld, H)
Jamieson, David
Janner, Greville
Jones, Jon Owen (Cardiff C)
Jones, Lynne (B'ham S O)
Jones, Martyn (Clwyd, SW)
Jones, Nigel (Cheltenham)
Jowell, Tessa
Kaufman, Rt Hon Gerald
Keen, Alan
Kennedy, Charles (Ross,C&S)
Khabra, Piara S
Kilfoyle, Peter
Lestor, Joan (Eccles)
Liddell, Mrs Helen
Litherland, Robert
Livingstone, Ken
Lloyd, Tony (Stretford)
Llwyd, Elfyn
Lynne, Ms Liz
McAllion, John
McAvoy, Thomas
McCartney, Ian
McCartney, Robert
Macdonald, Calum
McFall, John
McKelvey, William
McLeish, Henry
McMaster, Gordon
McNamara, Kevin
MacShane, Denis
Madden, Max
Maddock, Diana
Mahon, Alice
Mandelson, Peter
Marek, Dr John
Marshall, David (Shettleston)
Marshall, Jim (Leicester, S)
Martin, Michael J (Springburn)
Martlew, Eric
Maxton, John
Meacher, Michael
Meale, Alan
Michael, Alun
Michie, Bill (Sheffield Heeley)
Milburn, Alan
Mitchell, Austin (Gt Grimsby)
Morgan, Rhodri
Morley, Elliot
Morris, Rt Hon Alfred (Wy'nshawe)
Morris, Estelle (B'ham Yardley)
Mowlam, Marjorie
Mullin, Chris
Murphy, Paul
Oakes, Rt Hon Gordon
O'Brien, Mike (N W'kshire)
O'Hara, Edward
Olner, Bill
Parry, Robert
Pendry, Tom
Pickthall, Colin
Pike, Peter L
Pope, Greg
Powell, Ray (Ogmore)
Prentice, Bridget (Lew'm E)
Prentice, Gordon (Pendle)
Prescott, Rt Hon John
Primarolo, Dawn
Purchase, Ken
Radice, Giles
Randall, Stuart
Raynsford, Nick
Reid, Dr John
Rendel, David
Robertson, George (Hamilton)
Robinson, Geoffrey (Co'try NW)
Roche, Mrs Barbara
Rooker, Jeff
Ross, Ernie (Dundee W)
Rowlands, Ted
Ruddock, Joan
Salmond, Alex
Sedgemore, Brian
Sheerman, Barry
Sheldon, Rt Hon Robert
Shore, Rt Hon Peter
Short, Clare
Simpson, Alan
Skinner, Dennis
Smith, Andrew (Oxford E)
Smith, Chris (Isl'ton S & F'sbury)
Smith, Llew (Blaenau Gwent)
Snape, Peter
Soley, Clive
Spearing, Nigel
Spellar, John
Squire, Rachel (Dunfermline W)
Steinberg, Gerry
Stevenson, George
Stott, Roger
Strang, Dr. Gavin
Straw, Jack
Sutcliffe, Gerry
Taylor, Mrs Ann (Dewsbury)
Taylor, Matthew (Truro)
Timms, Stephen
Tipping, Paddy
Touhig, Don
Trickett, Jon
Turner, Dennis
Tyler, Paul
Vaz, Keith
Walker, Rt Hon Sir Harold
Walley, Joan
Wardle, Charles (Bexhill)
Wareing, Robert N
Wicks, Malcolm
Williams, Rt Hon Alan (Sw'n W)
Williams, Alan W (Carmarthen)
Wilson, Brian
Wise, Audrey
Worthington, Tony
Wright, Dr Tony
Young, David (Bolton SE)
Mr. George Mudie and
Ms Janet Anderson.
NOES
Ainsworth, Peter (East Surrey)
Aitken, Rt Hon Jonathan
Alison, Rt Hon Michael (Selby)
Amess, David
Arbuthnot, James
Arnold, Jacques (Gravesham)
Arnold, Sir Thomas (Hazel Grv)
Ashby, David
Atkins, Rt Hon Robert
Atkinson, David (Bour'mouth E)
Baker, Nicholas (North Dorset)
Baldry, Tony
Banks, Matthew (Southport)
Banks, Robert (Harrogate)
Bates, Michael
Batiste, Spencer
Bellingham, Henry
Bendall, Vivian
Beresford, Sir Paul
Biffen, Rt Hon John
Body, Sir Richard
Bonsor, Sir Nicholas
Booth, Hartley
Boswell, Tim
Bottomley, Peter (Eltham)
Bottomley, Rt Hon Virginia
Bowden, Sir Andrew
Bowis, John
Boyson, Rt Hon Sir Rhodes
Brandreth, Gyles
Brazier, Julian
Bright, Sir Graham
Brooke, Rt Hon Peter
Brown, M (Brigg & Cl'thorpes)
Browning, Mrs Angela
Bruce, Ian (South Dorset)
Budgen, Nicholas
Burt, Alistair
Butler, Peter
Butterfill, John
Carlisle, John (Luton North)
Carlisle, Sir Kenneth (Lincoln)
Carrington, Matthew
Carttiss, Michael
Cash, William
Channon, Rt Hon Paul
Chapman, Sir Sydney
Clappison, James
Clark, Dr Michael (Rochford)
Clarke, Rt Hon Kenneth (Ru'clif)
Clifton-Brown, Geoffrey
Coe, Sebastian
Congdon, David
Coombs, Anthony (Wyre For'st)
Coombs, Simon (Swindon)
Cope, Rt Hon Sir John
Cormack, Sir Patrick
Couchman, James
Cran, James
Currie, Mrs Edwina (S D'by'ire)
Curry, David (Skipton & Ripon)
Davies, Quentin (Stamford)
Davis, David (Boothferry)
Day, Stephen
Deva, Nirj Joseph
Devlin, Tim
Dicks, Terry
Dorrell, Rt Hon Stephen
Douglas-Hamilton, Lord James
Dover, Den
Duncan-Smith, Iain
Dunn, Bob
Durant, Sir Anthony
Dykes, Hugh
Eggar, Rt Hon Tim
Elletson, Harold
Emery, Rt Hon Sir Peter
Evans, David (Welwyn Hatfield)
Evans, Jonathan (Brecon)
Evans, Nigel (Ribble Valley)
Evans, Roger (Monmouth)
Evennett, David
Faber, David
Fabricant, Michael
Fenner, Dame Peggy
Field, Barry (Isle of Wight)
Fishburn, Dudley
Forman, Nigel
Forsyth, Rt Hon Michael (Stirling)
Forth, Eric
Fowler, Rt Hon Sir Norman
Fox, Dr Liam (Woodspring)
Fox, Rt Hon Sir Marcus (Shipley)
Freeman, Rt Hon Roger
French, Douglas
Fry, Sir Peter
Gale, Roger
Gallie, Phil
Gardiner, Sir George
Garel-Jones, Rt Hon Tristan
Garnier, Edward
Gill, Christopher
Gillan, Cheryl
Goodlad, Rt Hon Alastair
Goodson-Wickes, Dr Charles
Gorman, Mrs Teresa
Gorst, Sir John
Grant, Sir A (SW Cambs)
Greenway, Harry (Ealing N)
Greenway, John (Ryedale)
Griffiths, Peter (Portsmouth, N)
Grylls, Sir Michael
Gummer, Rt Hon John Selwyn
Hague, Rt Hon William
Hamilton, Neil (Tatton)
Hampson, Dr Keith
Hannam, Sir John
Hargreaves, Andrew
Harris, David
Haselhurst, Sir Alan
Hawkins, Nick
Hawksley, Warren
Hayes, Jerry
Heald, Oliver
Heath, Rt Hon Sir Edward
Heathcoat-Amory, Rt Hon David
Hendry, Charles
Heseltine, Rt Hon Michael
Higgins, Rt Hon Sir Terence
Hill, James (Southampton Test)
Hogg, Rt Hon Douglas (G'tham)
Horam, John
Hordern, Rt Hon Sir Peter
Howard, Rt Hon Michael
Howell, Rt Hon David (G'dford)
Howell, Sir Ralph (N Norfolk)
Hughes, Robert G (Harrow W)
Hunt, Rt Hon David (Wirral W)
Hunt, Sir John (Ravensbourne)
Hunter, Andrew
Hurd, Rt Hon Douglas
Jack, Michael
Jackson, Robert (Wantage)
Jenkin, Bernard
Jessel, Toby
Johnson Smith, Sir Geoffrey
Jones, Gwilym (Cardiff N)
Jones, Robert B (W Hertfdshr)
Jopling, Rt Hon Michael
Kellett-Bowman, Dame Elaine
Key, Robert
Kirkhope, Timothy
Knapman, Roger
Knight, Mrs Angela (Erewash)
Knight, Rt Hon Greg (Derby N)
Knight, Dame Jill (Bir'm E'st'n)
Knox, Sir David
Kynoch, George (Kincardine)
Lait, Mrs Jacqui
Lamont, Rt Hon Norman
Lang, Rt Hon Ian
Lawrence, Sir Ivan
Legg, Barry
Leigh, Edward
Lennox-Boyd, Sir Mark
Lester, Sir James (Broxtowe)
Lidington, David
Lilley, Rt Hon Peter
Lloyd, Rt Hon Sir Peter (Fareham)
Lord, Michael
Luff, Peter
Lyell, Rt Hon Sir Nicholas
MacGregor, Rt Hon John
MacKay, Andrew
Maclean, Rt Hon David
McLoughlin, Patrick
McNair-Wilson, Sir Patrick
Madel, Sir David
Maitland, Lady Olga
Malone, Gerald
Mans, Keith
Marland, Paul
Marlow, Tony
Marshall, John (Hendon S)
Martin, David (Portsmouth S)
Mawhinney, Rt Hon Dr Brian
Mellor, Rt Hon David
Merchant, Piers
Mills, Iain
Mitchell, Andrew (Gedling)
Mitchell, Sir David (NW Hants)
Moate, Sir Roger
Molyneaux, Rt Hon Sir James
Monro, Rt Hon Sir Hector
Montgomery, Sir Fergus
Neubert, Sir Michael
Newton, Rt Hon Tony
Nicholls, Patrick
Nicholson, David (Taunton)
Norris, Steve
Onslow, Rt Hon Sir Cranley
Ottaway, Richard
Page, Richard
Paice, James
Patnick, Sir Irvine
Patten, Rt Hon John
Pawsey, James
Peacock, Mrs Elizabeth
Pickles, Eric
Porter, Barry (Wirral S)
Porter, David (Waveney)
Powell, William (Corby)
Redwood, Rt Hon John
Renton, Rt Hon Tim
Richards, Rod
Riddick, Graham
Rifkind, Rt Hon Malcolm
Robathan, Andrew
Roberts, Rt Hon Sir Wyn
Robertson, Raymond (Ab'd'n S)
Robinson, Mark (Somerton)
Roe, Mrs Marion (Broxbourne)
Rowe, Andrew (Mid Kent)
Rumbold, Rt Hon Dame Angela
Sackville, Tom
Sainsbury, Rt Hon Sir Timothy
Scott, Rt Hon Sir Nicholas
Shaw, David (Dover)
Shephard, Rt Hon Gillian
Shepherd, Sir Colin (Hereford)
Shepherd, Richard (Aldridge)
Shersby, Sir Michael
Sims, Roger
Skeet, Sir Trevor
Smith, Tim (Beaconsfield)
Smyth, The Reverend Martin
Speed, Sir Keith
Spencer, Sir Derek
Spicer, Sir James (W Dorset)
Spicer, Sir Michael (S Worcs)
Spink, Dr Robert
Spring, Richard
Sproat, Iain
Squire, Robin (Hornchurch)
Stanley, Rt Hon Sir John
Steen, Anthony
Stephen, Michael
Stern, Michael
Stewart, Allan
Streeter, Gary
Sumberg, David
Sweeney, Walter
Sykes, John
Tapsell, Sir Peter
Taylor, Ian (Esher)
Taylor, John M (Solihull)
Taylor, Sir Teddy (Southend, E)
Thomason, Roy
Thompson, Sir Donald (C'er V)
Thompson, Patrick (Norwich N)
Thornton, Sir Malcolm
Thurnham, Peter
Townend, John (Bridlington)
Townsend, Cyril D (Bexl'yh'th)
Tracey, Richard
Tredinnick, David
Trend, Michael
Twinn, Dr Ian
Viggers, Peter
Waldegrave, Rt Hon William
Walden, George
Waller, Gary
Ward, John
Wardle, Charles (Bexhill)
Waterson, Nigel
Watts, John
Wells, Bowen
Wheeler, Rt Hon Sir John
Whittingdale, John
Widdecombe, Ann
Wiggin, Sir Jerry
Wilkinson, John
Wilshire, David
Winterton, Mrs Ann (Congleton)
Wolfson, Mark
Wood, Timothy
Yeo, Tim
Young, Rt Hon Sir George
Mr. Derek Conway and
Mr. Simon Burns.
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