The Economy

Part of Bill Presented – in the House of Commons at 9:41 pm on 12 July 1995.

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Photo of Mr William Waldegrave Mr William Waldegrave , Bristol West 9:41, 12 July 1995

That is a nice easy question to answer: yes. When we can afford to do it, we shall do it.

My hon. Friend the Member for Wolverhampton, South-West should be interested in my next point. Labour Members' commitment to a belief in market economics does not go as far as believing in rewarding the winners in a market system. We believe that the abolition of those taxes will make capital markets work better so that everyone will be better off. Labour Members cannot stomach that, so they fall off the train. At that stage, they do the populist bit and say, "It's going to make some people richer, so we're against it."

That is also their reaction to privatisation. We did not hear anything about the fact that the privatised industries now contribute £55 million a week to the Exchequer, when they cost £50 million a week when they were left to us by Labour. We hear only persistent attacks on a few individuals whom Labour Members allege are overpaid. They go for the cheap populist vote in order to disguise the fact that they have no belief in privatisation.

My hon. Friend's point was eloquently reinforced by a number of Labour Members, a few of whom referred to more spending. They have been house trained to the point where they do not state any figures; they have been told to disguise the fact that their spending pledges are real. That is what so offends the honest socialists on the Opposition Benches who want to spend money and who believe in spending money. That is what so offended the right hon. Member for Birmingham, Sparkbrook (Mr. Hattersley). He recently wrote in The Guardian newspaper that Labour now has a clear choice: it can be either the party of high taxation and proud of it, or the party of higher taxes which it is ashamed to describe.

The Labour party has now become the party that is ashamed to mention its own name—the party that dare not speak its name. It is really the party of high spending and high taxation, but it will not be brave enough to say so.