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Public Expenditure: Review of Commitments

I am grateful to the noble Baroness for that question. On Sheffield Forgemasters, the problem with the loan is simply that it is unaffordable. In the context of tighter resources, we have had to focus support in areas where market failures are clearest and, where we can, we need to look to the private sector and private investment to provide solutions. I know that my right honourable friend the Chief Secretary to the Treasury has spoken to my right honourable friend the Secretary of State for Business, Innovation and Skills about this project and we hope very much that there will be a private sector investment solution. The noble Baroness made a point about the connection between jobs and investment. There is a particular connection with Sheffield Forgemasters and the nuclear industry and we are of course continuing to support collaborative projects such as the nuclear Advanced Manufacturing Research Centre, which is led by Sheffield University, so we remain absolutely sensitive to the job creation priority to which she referred. She also talked about the construction industry. In respect of all industries, I go back to where we start on this, which is that we have to keep interest rates low and show that we are getting a grip on the deficit. We also have to provide a basis on which the private sector can lead the economy forward.