Budget Resolutions and Economic Situation

Part of the debate – in the House of Commons at 5:42 pm on 14 April 2003.

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Photo of Patricia Hewitt Patricia Hewitt Secretary of State, Department of Trade and Industry 5:42, 14 April 2003

The hon. Gentleman is somewhat confused, as is so often the case. No one is proposing the abolition of national pay bargaining for the public services. The agreement in the Prison Service makes it amply clear that the necessary flexibility can exist in a nationally bargained pay framework to meet the problems of higher costs of living and specific skills shortages in different areas. Such local flexibility exists in the nationally bargained framework for the Prison Service and, of course, it is provided for in most of our public services through the London weighting. Indeed, I think that the hon. Gentleman wants Scottish weighting, so he should be supporting the greater flexibility to meet local needs, which we are proposing in the Budget.