UK political parties and the future of the economy

All the three main party leaders have attacked the irresponsible practices that contributed to the financial crisis.  Here we highlight some of their key statements and policy proposals.

The government

Government launches low carbon industrial strategy - Mandelson

The Low Carbon Industrial Strategy: A vision was launched on 6 March and sets out the scope and ambition of the Government’s plans. Businesses and others with an interest are asked for their input to inform a final Strategy to be published before the summer.  The www.hmg.gov.uk/lowcarbon interactive website provides an opportunity for stakeholders to engage on how the Government can be a catalyst for low carbon growth and set business on the path to building the low carbon economy.  The full report is available to download from: http://www.berr.gov.uk/files/file50373.pdf [Source: BERR website, 6 March 2009]

Gordon Brown seeking international agreement on tax

The Guardian has started a campaign titled "Tax Gap" - see http://www.guardian.co.uk/business/series/tax-gap .  Picking up on the campaign the Liberal Democrat Leader, Nick Clegg, pressed the Prime Minister Gordon Brown on the issue of tax paid by British companies at Prime Minister Questions and called on the Brown to ensure that British companies paid British taxes.  In response Gordon Brown said it “needs not only the efforts that we are making to clamp down on tax avoidance and tax evasion, but an international agreement.”

For further reporting see:

http://www.guardian.co.uk/business/2009/feb/04/international-information-tax-avoidance

Sources: Hansard, 4 Feb. 2009, col. 840 and The Guardian]

Harriet Harman launches inquiry into bank executives’ bonuses and gender equality

Harriet Harman has expressed concern that “men get paid on average 40% more per hour than women in the financial services industry”, despite women making up nearly half of the workforce (49%). This is the highest gender pay gap for any industry in the UK and compares with a national average of 22.6%. The Equality and Human Rights Commission will conduct an inquiry into the male dominated culture at the top of the finance industry, the gender pay gap and reports of sex discrimination in the industry, and make practical recommendations later this year. [Source: Government Equalities Office Press Release, 9 Feb. 2009]
 
PM launches “Road to London Summit” with call for global economic cooperation

Harriet Harman has expressed concern that “men get paid on average 40% more per hour than women in the financial services industry”, despite women making up nearly half of the workforce (49%). This is the highest gender pay gap for any industry in the UK and compares with a national average of 22.6%. The Equality and Human Rights Commission will conduct an inquiry into the male dominated culture at the top of the finance industry, the gender pay gap and reports of sex discrimination in the industry, and make practical recommendations later this year. [Source: Government Equalities Office Press Release, 9 Feb. 2009]
 
PM launches “Road to London Summit” with call for global economic cooperation

The Prime Minister has called for a global deal on the world economy, with all countries and continents taking coordinated action to tackle the worldwide recession and the credit crunch, as he launched the Road to the London Summit document at Downing Street.  The Prime Minister’s statement followed meetings with the Heads of the IMF and World Bank. [Source: Downing Street website 18 Feb.2009]

Conservatives - HM opposition

Conservative Plan for Low Carbon Economy

David Cameron has launched the Conservative Party's plans to create a low carbon economy. The policies outlined include an “electricity internet” to introduce a smart grid and the use of smart meters in homes, thereby allowing demand and supply to be intelligently managed and pave the way for large-scale use of renewable energy sources.  Other measures include a system of feed-in tariffs to create a decentralised energy revolution by paying people who produce energy from renewable resources; a new national recharging network to enable the greater use of electric and plug-in hybrid vehicles; the promotion of methane to replace up to 50% of our residential gas heating; and support for low carbon buildings, transport and commerce – including a new entitlement for every home to be fitted with up to £6,500 of energy efficient improvements. [Source: Conservative Party website, 16 Jan. 2009]

Conservative Economic Recovery Committee announced

David Cameron has announced a new Economic Recovery Committee, which will meet fortnightly to discuss the economic crisis and review policy. Its role will be to review and analyse the domestic and international economic situation, discuss immediate policy proposals to deal with the current crisis and co-ordinate strategy for the long term reconstruction of Britain’s economy.  The Committee includes leading members of the Shadow Cabinet, representatives from business and finance, as well as former Civil Servants. [Source: Conservative Party website, 9 Feb. 2009]

Liberal Democrats

Liberal Democrats urge a “green road out of recession”

The Liberal Democrat Leader, Nick Clegg, claimed the Liberal Democrats “are the only party with a detailed plan on how to put Britain on a green road out of recession. We have set out how we would make big, permanent and fair tax cuts, giving £1,000 in income tax cuts to families on average incomes." [Source: Liberal Democrat website, 5 Jan. 2009]

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