Proceeding contribution from Lord Beamish (Labour) in the House of Commons on Thursday, 22 March 2007. It occurred during Budget debate on Budget Resolutions and Economic Situation.
Budget Resolutions and Economic Situation
I agree with my hon. Friend; indeed, this is a great opportunity for schools. Schools and further education colleges are up for the 14-to-19 agenda; however, it is not just about putting young people through GCSEs. I must agree that this Government’s method of measuring success just through GCSEs has sometimes been a bit crude; we must also look at apprenticeships, and make sure that employers play a part by providing training places. The hon. Member for Sevenoaks mentioned globalisation. If young people do not drop out of the education system at 16 but continue and get the skills and training that they need, that will make this country competitive. Young people who drop out of the education system can also be led into crime, for example; moreover, it is a wasted opportunity. Given the right opportunities, most go on to be productive members of society. Importantly, they have a job, a place in the world and a reason to get up in the morning, as I said earlier. I turn finally to air travel. The Chancellor referred yesterday to the proposal to impose a 17.5 per cent. tax on internal domestic air travel, which has been put forward by some of the ““green Taliban”” in the Conservative party. I am glad that he rejected that proposal. We need to take a more sensible view of air travel. We must recognise that airports such as Newcastle’s—I was, but no longer am, a director of it, so I need not declare an interest—are an important economic driver in regions such as the north-east. Taxing people and effectively saying to them, ““You cannot travel by air”” would not improve the environment substantially, as was proved by the figures that the Chancellor announced yesterday. It would also inhibit economic growth in such regions. If we are going to consider green tax proposals, we need to find more sophisticated, less blunt methods. Certain people in the green lobby, including Conservative Front Benchers, seem to be saying that the only way to achieve this aim is to hammer the airline industry, but it produces only 2 to 3 per cent. of this country’s carbon emissions. We need to find ways to incentivise the industry to buy aircraft that are more efficient, and to invest in the more efficient use of fuel. We could also consider simple steps such as reducing the amount of fuel used when taking off and landing at airports. Such proposals need some work, but I want to highlight the importance of regional airports. If we make ourselves uncompetitive in a globalised world by imposing an arbitrary green tax, our example will not be followed by certain of our European counterparts, and certainly not by India, China and other such places. This Budget is the Chancellor’s eleventh, and it builds on the stability that we have enjoyed since 1997. Irrespective of what the doom-mongers in the Conservative party and others say, the people out there realise that our economy is productive and a leading world economy. They realise that their mortgage rates are low, that employment is secure and that this Government are committed to investing in the public services that they value. Interestingly, when I asked the hon. Member for Tatton whether he would match our spending commitments, he said yes. I hope that over the next few weeks, as we get a new spending commitment every week, they will add to his announcement today. Thanks to this Budget and the continuing economic stability that we have come to enjoy, this country can go from strength to strength over the next 10 years.
Secondary information
- Type
- Proceeding contribution
- Reference
- 458 c1020-1
- Session
- 2006-07
- Chamber / Committee
- House of Commons chamber
- Subjects
- Corporation tax Budgets Health services Finance Education Further education Income tax Higher education Economic situation NHS Welfare tax credits Schools Taxation Budget March 2007
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- View this Proceeding contribution on www.publications.parliament.uk
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