Tuesday, 10 March 1981
The House met at half-past Two o'clock
[MR. SPEAKER in the Chair]
Order for Third Reading read.
asked the Secretary of State for Education and Science what percentage of pupils in secondary schools in England took O-level mathematics in 1980; and what percentage achieved a pass.
asked the Secretary of State for Education and Science if he will now arrange for reports of Her Majesty's inspectors about standards in schools to be published annually.
asked the Secretary of State for Education and Science which local authority education departments no longer provide school uniform grants.
asked the Secretary of State for Education and Science whether he is satisfied with the volume of resources available for education at primary and secondary level in the light of the recent...
asked the Secretary of State for Education and Science what proposals have been made by Sir Derek Rayner for economies in his Department; what progress has been made; and if he will make a statement.
asked the Secretary of State for Education and Science what is his latest estimate of the cost of providing free school meals to those teachers in schools in England and Wales who receive them.
asked the Secretary of State for Education and Science if, in his consultations on the report on education for 16 to 19-year-olds, he will pay special regard to the need to make provision for...
asked the Secretary of State for Education and Science how many children were in receipt of free school meals in England for the last date for which figures are available.
asked the Secretary of State for Education and Science if he will take steps, in conjunction with the University Grants Committee and the research councils, to ensure that research scientists on...
asked the Secretary of State for Education and Science if he is satisfied with the progress that has been made in improving education standards since he took office.
asked the Secretary of State for Education and Science if he will require subjects taken and grades achieved in public examinations to be published by secondary schools.
asked the Secretary of State for Education and Science what evidence he has of schools issuing requests for parental subscriptions for essential school materials as a response to education cuts.
asked the Secretary of State for Education and Science what steps he is taking in consultation with the Avon education committee to bring about the end of selective education in the Bristol north...
asked the Secretary of State for Education and Science how many students from overseas are currently studying at United Kingdom universities and polytechnics on first degree courses; and what was...
asked the Secretary of State for Education and Science if he is satisfied that the information required to be published by secondary schools is sufficient to enable parents and parents-to-be to...
asked the Secretary of State for Education and Science if he will make a further statement on his review of student grants and loans.
asked the Prime Minister if she will list her official engagements for Tuesday 10 March.
Before I call the Chancellor of the Exchequer, it may be for the convenience of hon. Members if I remind them that at the end of the Chancellor's speech, as in past years, copies of the Budget...
The annual presentation of the Budget is rightly regarded as the principal economic act of Government. But every Chancellor—indeed, every Member of the House—very well understands...
But Britain is not alone in facing these problems. In the spring and summer of last year, output fell sharply in six out of seven of the major economies. Unemployment rose by about 3 million in...
There are still many businesses in Britain that lead the world. But the obstacles to recovery are none the less greater here than in other countries. Many parts of our industry have long been...
It is against this background that I turn to the central objectives of my Budget.
There is now world-wide recognition that inflation is the enemy of growth and employment. And it is just as widely recognised that sustained monetary restraint is necessary if inflation is to be...
It is time for us to start thinking ahead to the advantages that can accompany a permanent reduction in inflation, for to live once again in a world that has banished the spectre of accelerating...
The first reason for rapid monetary growth over the year is the abolition of the so-called corset. That was long overdue. All that the corset achieved was to make the published figures...
It is important to express the medium-term strategy in terms of a wide measure of money, because it has close links with public spending and borrowing. So I am maintaining continuity by keeping...
I turn next to the public sector borrowing requirement, the PSBR. Some people, I know, are tempted to regard the PSBR as something mystical, of interest only to economists. How I wish that they...
Meanwhile, it is necessary not only to reduce Government borrowing but to finance it in a non-inflationary way. By drawing more efficiently on possible sources of savings it should be possible to...
Imaginative use of national savings can help to reduce pressure on the capital markets. Thanks to the initiative announced last autumn we have already achieved our national savings target of...
We also propose an important extension of the structure of Government borrowing by introducing an indexed gilt-edged security. This will be sold to pension funds and to life insurance companies...
I am proposing some new measures which will help short-term monetary management by smoothing the uneven flow of tax revenue. The most important area is that of North Sea oil taxation, to which I...
These initiatives will be accompanied by other improvements in monetary control. Following extensive consultations based on last year's Green Paper, I outlined last November some changes that...
Further progress towards lower inflation and lower interest rates does not depend primarily on improvements in funding techniques or in managing the money markets, important though these are. The...
In the coming year, some of the upward pressures on public sector spending are bound to remain with us. I have in mind, for example, last November's decision to spend more on industrial support...
I turn now to my specific tax and spending proposals. Even in a lengthy speech they cannot all be covered in detail, and more information about a number of them will be found in a series of press...
There is one group to whom we should pay special attention this year, despite the economic constraints that we face. I refer to the disabled, for this is the International Year of Disabled...
I come now to the range of measures that are necesary to raise the extra revenue for this year. First, the North Sea. In deciding on particular measures I have had to take into account recent...
Apart from oil, one other business sector has largely been protected from the effects of the recession, and that is banking. Indeed, bank profits in recent years have increased sharply, both...
Even so, for the reasons that I have already explained, it is necessary to look principally to the personal sector for the additional revenue needed. People in employment have in general had more...
First, the duties on alcoholic drinks and tobacco. From midnight tonight I propose to increase the duties on drinks by amounts which, incuding VAT, represent about 4p on the price of a typical...
Road fuel must also make a substantial contribution. The duties on petrol and derv will be increased from 6 pm tonight by the equivalent, including VAT, of 20p a gallon. These increases should...
I propose to increase the vehicle excise duty on all vehicles by about 15 per cent. The annual duty on cars will thus increase by £10, to £70. As the duty on derv is being increased in...
Finally, I propose extending the car tax to motor cycles, scooters and mopeds. This tax is charged at 10 per cent. on the wholesale value and is in addition to VAT. There is no longer any reason...
In all, these changes to the indirect taxes should raise about £2,400 million in 1981–82 and about the same in a full year.
I come now to income tax. Once again I must have the main priority in mind—the need to contain public borrowing so as to make it possible to secure lower interests rates and ease the...
At a time when the real burden of income tax has to be increased it is all the more important that it should be fairly shared.
So far I have been dealing almost entirely with a group of measures that will have the disagreeable but necessary effect of increasing the revenue.
Another area of concern to industry has been energy prices.
The construction industry is particularly hard pressed and it is in any case sensible to remove unnecessary obstacles to development. We have identified three helpful changes to development land...
As I have said, I am concerned that businesses should continue to invest for the future. Our tax system already provides generous incentives for investment in new machinery. But modern machines...
The measures I have just announced will in total be worth about £300 million next year. And the tax measures alone will be worth over £400 million in 1982–83.
In a year in which we can give no income tax relief, I cannot make major changes in capital taxation. I do, however, propose to continue the process of making more sense of the structure of...
I intend to include one stamp duty provision in the Finance Bill which will help those buying council houses. This will ensure that stamp duty will be payable only on the discounted price that...
Last year, I introduced a number of measures to help small firms. In addition to the major new initiative to establish enterprise zones, these included a venture capital scheme, improved tax...
First, VAT. I propose that, as last year, the registration threshold should be increased in line with prices—on this occasion from £13,500 to £15,000. This change will take effect...
Secondly, I propose to increase from £70,000 to £80,000 the limit up to which the lower 40 per cent. rate of corporation tax is payable by small companies. I also intend to respond to...
Thirdly, new businesses depend on ready access to fresh capital. Last year I relaxed the conditions governing tax relief for interest on money borrowed to invest in close companies. That was good...
Fourthly, as the House knows, the Government will shortly introduce new clauses in Committee on the Companies Bill, to enable companies to purchase their own shares. Corresponding changes are...
Fifthly, I intend to extend the venture capital scheme introduced last year. This scheme encourages investment in small businesses by allowing capital losses on shares in unquoted trading...
Sixthly, we have looked at ways of encouraging people who are unemployed, particularly those who have just become redundant, to help themselves, and the economy, by setting up in business....
First, as the House knows, I have been considering the introduction of a loan guarantee scheme. There are some people who, for one reason or another, have difficulty borrowing money to start or...
My second new proposal breaks entirely fresh ground.
These measures to encourage enterprise and risk-taking are essential if we are to replace the jobs that are disappearing elsewhere in the economy. There must be a healthy flow of new enterprises....
This Budget has been designed to sustain the fight against inflation, and to help redress the balance of the economy in favour of business and industry. It is only by giving priority to those...
Motion made, and Question,
AMENDMENT OF THE LAW
I beg to move, That the draft Local Government, Planning and Land (Northern Ireland) Order 1981 which was laid before this House on 29 January, be approved. Despite its title, the order is not a...
Motion made, and Question proposed, That this House do now adjourn.—[Mr. Newton.]
Debates in the House of Commons are an opportunity for MPs from all parties to scrutinise government legislation and raise important local, national or topical issues.
And sometimes to shout at each other.