---

Budget Resolutions and Economic Situation

The only years when productivity fell in the United Kingdom were Tory years. I do not know if the hon. Gentleman was in his place at the beginning of the debate but, as my right hon. Friend the Secretary of State for Trade and Industry said when he opened it, over the economic cycle, which is the proper measure of productivity, there has been 2.3 per cent. growth compared with 2 per cent. in the previous cycle. The hon. Member for Rutland and Melton, joined by the hon. Member for Twickenham, the right hon. Member for North-West Hampshire (Sir George Young) and the hon. Member for Cheltenham (Martin Horwood) mentioned the home computer initiative. The changes have been made to ensure better targeting of resources to meet the Government’s objective of improving access to technology. The home computer initiative was never intended to subsidise those who can already afford computers. Exemptions were being used, contrary to the original intention, for second personal computers and, indeed, for games consoles. There has been a huge fall in computer prices since 1999, and the Government want to focus resources on those who would not otherwise be able to gain access to a computer to increase their IT literacy skills. In addition, computer ownership has risen from 28 per cent. to 60 per cent.—[Interruption.]