PRIME MINISTER
Engagements
Q1 Mr. Barron
To ask the Prime Minister if she will list her official engagements for Tuesday 23 October.
The Prime Minister (Mrs. Margaret Thatcher)
This morning I had meetings with ministerial colleagues and others, including one with the Emir of Kuwait. I also attended the arrival of the President of the Italian Republic, President Cossiga. In addition to my duties in the House, I shall be having further meetings later today. This evening, I shall be attending the state banquet given by Her Majesty the Queen in honour of President Cossiga.
Mr. Barron
Will the Prime Minister make her next instruction to a Minister one to the Chancellor of the Exchequer telling him to end the tax dodgers charter that was created by her and is used by her super-rich friends at a cost to the country of some £1 billion a year?
The Prime Minister
My right hon. Friends, successive Chancellors of the Exchequer, have reduced tax right across the income range, greatly to the benefit of all people. Perhaps the hon. Gentleman will remember that when we took over, the level of income tax was up to 83 per cent. on earnings. It is now down to 40 per cent. on both earnings and savings.
[column 186]Mr. Heseltine
Has my right hon. Friend had a chance to see the reports in this morning's newspapers that the Saudi Defence Minister, Prince Sultan, is reported to have said that he sees no harm in an Arab country giving to its Arab sister a site, land or a position on the sea? Will my right hon. Friend confirm her understanding that that represents no change in the position of Saudi Arabia that Saddam Hussein must not gain from his aggression? Secondly, will she confirm her understanding that it is imperative that no signals are sent to Saddam Hussein that the world coalition against him is losing its nerve?
The Prime Minister
I totally agree with my right hon. Friend. We were in touch this morning and our ambassador in Saudi Arabia was given a formal assurance that Saudi policy had not changed, that Prince Sultan had been misquoted, that Saddam Hussein must totally withdraw from Kuwait, the legitimate Government must be restored and that compensation must be paid for the damage. Then we shall have to deal with problems such as chemical, biological and nuclear weapons so that this matter does not ever arise again.
Mr. Kinnock
Will the Prime Minister say today that she is completely against the freezing of child benefit?
The Prime Minister
Our policy on child benefit was set out in the last manifesto. We have honoured it and shall continue to do so.
Mr. Kinnock
Since the Prime Minister is now the Minister in charge of child benefit, will she say whether she agrees with one of her Ministers who said yesterday that she wanted an end to the freezing of child benefit and that her “personal view” was that
“improving Child Benefit is preferable to bringing in a Tax Allowance as a Tax Allowance would not hit the right target.”
Is that the Prime Minister's personal view as well?
The Prime Minister
The right hon. Gentleman must await a statement from my right hon. Friend Tony Newtonthe Secretary of State for Social Security on his annual review of social security benefits. Our family policy has increased payments to the family. Indeed—[Interruption.] Whereas Labour cut—[Interruption.] They hate facts, Mr. Speaker. [Interruption.]
Mr. Speaker
Order. The Prime Minister has been asked a question; she must be given a chance to reply.
The Prime Minister
Let me compare our family policy with that of our Labour predecessor. Labour cut family support by 7 per cent.; under the present Government it has increased by 27 per cent. more than inflation, and for families with young children our support is among the most generous in the EC. Has the right hon. Gentleman got it? His Government cut support for the family by 7 per cent.; we have increased it by 27 per cent. more than inflation.
Mr. Kinnock
Surely, in her new role as the person in charge of child benefit, the Prime Minister does not expect us to wait for a statement from the Secretary of State. She could tell us herself exactly what is going on—or is it possible that she is starting to make a bit of a habit of dodging responsibility?
The Prime Minister
I am very pleased that the Government whom I lead can boast that they have increased family support by 27 per cent. more than [column 187]inflation. Despite his meaningless words, the right hon. Gentleman's Government cut it by 7 per cent. Furthermore, by means of family credit we have helped poorer families in particular: they now receive three times as much over and above inflation as they used to receive under Labour.
I do not wonder that the right hon. Gentleman is forced to go for trivia: his record is so bad. [Interruption.]
Mr. Speaker
Order. Mr. Riddick.
Mr. Riddick
rose—[Interruption.]
Mr. Speaker
Order. Mr. Riddick—come on. [Interruption.]
Mr. Riddick
Mr. Speaker—[Interruption.]
Mr. Speaker
Order. Come on, let us settle down.
Mr. Riddick
Would my right hon. Friend care to join me in condemning the free riders—many of them Opposition Members—who are refusing to pay their community charge, and who expect everyone else to pay for the local services that they receive? Does my right hon. Friend agree that there is now a case for turning the poll tax into exactly that—for taking the vote away from people who have not paid their community charge, and giving it back to them only when they have done so?
The Prime Minister
Mr. Speaker—[Interruption.]
Mr. Speaker
Order. If we continue at this rate, we shall make very slow progress.
The Prime Minister
People who do not pay their community charge must be dealt with by the law. The House passes the law; the law courts uphold it. Those who pass the law in the House must be prepared to set an example by upholding it as well.
Those who, by an act of will, do not pay their community charge are expecting to receive all the services themselves and to pass on the cost to their neighbours and constituents. That is most reprehensible.
Mr. Ashdown
The Prime Minister has said that she will not accept the imposition of a single European currency. Does that mean that she will never accept such a currency, whatever the conditions?
The Prime Minister
A single European currency would mean a form of economic and monetary union under which the House gave up control of economic and monetary policy. Is the right hon. Gentleman's policy to come into the House only to denude it of its powers?
Mr. Lord
Is my right hon. Friend aware that many people believe that the A-level examinations are now the only true benchmark of academic achievement in our schools? Will she assure the House that there are no plans to alter or undermine those examinations?
The Prime Minister
I know of no plans to undermine the most excellent A-level examinations. When our young people go to university, they provide the basis for one of the highest rates of achievement in degrees anywhere in the world.
Q2. Mr. Pendry
To ask the Prime Minister if she will list her official engagements for Tuesday 23 October.
[column 188]The Prime Minister
I refer the hon. Gentleman to the reply that I gave some moments ago.
Mr. Pendry
When the Secretary of State for the Environment was in Tokyo last month, he promised to inject some £3 billion into the north-west economy should Manchester win the bid for the 1996 Olympic games. Is the Prime Minister aware that many organisations as diverse as chambers of trade, chambers of commerce, trade unions, investment agencies and local authorities insist that that sort of investment must be made in any case, if the infrastructure of the north-west is not to be in danger of collapse? Olympic games or not, will she back the north-west and give it the money that it deserves?
The Prime Minister
The Manchester Olympics committee is an excellent organisation. The Duke of Westminster is in charge of it—[Laughter.]—and he has great faith in the infrastructure—[Interruption.]
Mr. Speaker
Order.
The Prime Minister
One reason why Manchester's bid was so excellent is that the road and air services to Manchester are extremely good and there is excellent hotel accommodation within easy reach. The infrastructure is first class, and the committee has given me to understand that it is obtaining any necessary finance from the private sector. We firmly backed the bid, but we made it clear that no public sector money would be forthcoming.
Q3. Mr. Thurnham
To ask the Prime Minister if she will list her official engagements for Tuesday 23 October.
The Prime Minister
I refer my hon. Friend to the reply that I gave some moments ago.
Mr. Thurnham
Is my right hon. Friend aware that this country is the first in the world to carry out commercial field trials for the new ozone-friendly refrigerant gas R134A? Will she ensure that the Government follow that private sector lead? Should not the Opposition realise that voluntary measures work best?
The Prime Minister
I am aware that my hon. Friend has first-hand knowledge of that matter. I know that the new gases have been produced, and I understand that ICI is to set up the first commercial plant for the production of ozone-friendly refrigerant gases. That is excellent news for the country and for the environment.
Q4. Mr. Orme
To ask the Prime Minister if she will list her official engagements for Tuesday 23 October.
The Prime Minister
I refer the right hon. Gentleman to the reply that I gave some moments ago.
Mr. Orme
How can the Prime Minister reconcile the statement made by the Secretary of State for Employment on Sunday that the Government now have an incomes policy, especially in the public sector, of about 7 per cent., with the fact that chairmen, managing directors and chief executives are having pay rises of 30 per cent? Is not it outrageous that this country is being robbed of £5 billion a year through tax evasion? Are not the low-paid having to pay for the Government's disastrous policies?
The Prime Minister
The Government do not have an incomes policy for the public sector of 7 per cent. or any other figure. Each settlement must be negotiated separately. My recollection is that a figure of 7 per cent. [column 189]was given in evidence as the then underlying inflationary pressure—I think that it related to nurses' pay—and it has no more relevance than that. We negotiate each pay claim in accordance with the need to retain and various other factors, including, of course, what the taxpayer can afford to pay.
Mr. Gregory
Is my right hon. Friend happy with the slow progress on competitive tendering being made by socialist authorities such as York? Does she agree that either inefficiency or corruption is behind such slowness, and that the community charge in such authorities is unnecessarily high as a result?
The Prime Minister
I agree with my hon. Friend. Competitive tendering leads to more efficient services at lower cost and, therefore, to a lower community charge. It should be followed by all who are interested in keeping their community charge down and their efficiency up.
Q5. Ms. Ruddock
To ask the Prime Minister if she will list her official engagements for Tuesday 23 October.
The Prime Minister
I refer the hon. Lady to the reply that I gave some moments ago.
Ms. Ruddock
Does the Prime Minister recall that her last words at the world summit for children were:
“We will go away from here knowing that it is what we do that will count”[column 190]
If she really believes that, will she today announce the restoration of the full value of child benefit, or does she regard that as trivia?
The Prime Minister
The trivia was attempting to say that I was in charge of everything. [Interruption.]
Mr. Speaker
Order. The House wants to hear the answer.
The Prime Minister
Neil KinnockThe Leader of the Opposition and the hon. Lady refuse to turn their attention to the Government's excellent record on family support. The children's summit was more concerned with children overseas and the amount of help that they need and, as the hon. Lady knows, the Government's record on overseas aid to children in need is very good indeed. Let me give the hon. Lady some additional statistics. We have given extra help to poor families on income support or family credit, which is now worth £350 million a year, and the average family credit payment is now £30 a week—three times what it was under Labour, even taking inflation into account.