Labour’s PFI costing the NHS 63 billion pounds

Commenting on Number 10’s refusal to answer questions about the £63bn PFI (Public Finance Initiative) bill facing the NHS, Liberal Democrat Shadow Health Secretary, Norman Lamb, said: “Labour’s scandalous mismanagement of the NHS has left many hospitals facing PFI bills they simply cannot afford.

“Gordon Brown’s speech contains even more spending commitments but he has yet to explain how on earth he intends to pay for the damage he’s already done to the future of the NHS.

“Despite the enormous amounts of money we owe for these hospitals, many of them will never end up in public ownership. Hospitals all over the country are mortgaged to the hilt and there are serious concerns that these repayments will lead to cuts in vital services.

“We need a new approach to public services in this country. By setting up an infrastructure bank the Liberal Democrats will ensure that key projects get access to the funding they need to revitalise our economy.

“The Liberal Democrats will change the way the NHS works so that money goes further and patients come first.”

Figures released yesterday by the Liberal Democrats have revealed that the NHS is facing a £63bn bill for PFI hospitals which are only worth £11bn. The figures also reveal that:

· The first payments for hospital PFIs began in 1999 and the NHS still owes £58bn on 106 PFI contracts over the next three decades

· The NHS will have to pay back £7.3bn in PFI payments over the next Parliament alone (2010-2015)

· The most expensive PFI contract was for Wythenshawe Hospital where the NHS will pay back 16 times the original capital value

Liberal Democrats will fight for fair votes

Commenting on BBC reports that the Government intends to put forward a referendum on the Alternative Vote for the House of Commons, Liberal Democrat Shadow Home Secretary, Chris Huhne said: “If this is confirmed then it is a deathbed conversion to electoral reform from a party facing an historic defeat, which is why scepticism is warranted.

“The Alternative Vote is a small step in the right direction, but it is not a proportional system and it does not give voters real power over both the party and the person elected as MP.

“Only the Single Transferable Vote in multi-member seats would abolish MPs‘ meal tickets for life, and we will fight to amend this proposal to give people a real choice for a more significant change.”

Shelter report highlights Labour failure on housing

“Housing costs are making the elderly more isolated and keeping families apart,” said the Liberal Democrat Shadow Housing Minister.

Commenting on today’s report by Shelter, which reveals the impact unaffordable housing is having on families, Sarah Teather said:

“This report highlights Labour’s failure to provide affordable housing and get a grip on the housing crisis.

“It is appalling that housing costs are making the elderly more isolated and keeping families apart.

“Allowing thousands of houses across the country to sit empty is nothing short of a scandal. The cost of bringing these homes back into use is just a fraction of the cost of building, yet the Government is sitting idly by while they fall into disrepair.”

Labour failure to give extra support to poorer children shameful

“The Liberal Democrats would give schools the extra money they need to cut class sizes and give individual attention to children who are struggling,” said the Liberal Democrat Shadow Schools Secretary.

Commenting on Government figures showing that almost a third of poor boys cannot write their own name after a year at primary school, David Laws said:

“These depressing figures reveal that the gap between poorer children and the better-off is clear when they are only five years old.

“Labour’s shameful failure to give children from disadvantaged backgrounds extra support means that this gap grows wider as children grow older.

“The Liberal Democrats would give schools the extra money they need to cut class sizes and give individual attention to children who are struggling.”

Iraq inquiry evidence suggests Blair and Brown knew war was illegal

Liberal Democrat Shadow Foreign Secretary, Edward Davey says: “Michael Wood’s statement is the final nail in the coffin of the case for a legal war. We need to know just who saw this advice. Did it reach Tony Blair and Gordon Brown? And if not, why not?

“This startling revelation suggests Tony Blair, Jack Straw and probably Gordon Brown knew the war was illegal and may have deliberately and knowingly misled Parliament and the public. This puts Labour’s leadership squarely in the dock.

“Blair and Brown must be closely interrogated on this when they appear before Chilcot.”

Ed Davey was commenting on the statement of Michael Wood, the FCO’s legal adviser from 2001-06, that: ‘I considered that the use of force against Iraq in March 2003 was contrary to international law’, and ‘[I] did not agree with the position, stated in the Parliamentary Answer of 17 March 2003 and the paper of the same date entitled “Iraq: Legal Basis for the Use of Force”, that SCRs 678, 687 and 1441, read together, amounted to such authorization,’

Tameside MEP fights for fuel efficient cars

Car drivers are getting more miles to the gallon out of their vehicles, with big improvements still to come. Tameside’s Lib Dem MEP Chris Davies says that fuel efficiency is set to increase by by 20% over the next six years.

Car manufacturers are gearing up to meet the requirements of a new EU law that forces them to reduce CO2 emissions from the fuel they burn. Latest figures for the 12 million cars sold in Europe in 2008 reveal that average emissions were down by 3.3%, the largest fall since records began to be kept a decade ago.

Our Liberal Democrat Euro-MP Chris Davies, who helped negotiate the new law, says that the manufacturers are introducing long overdue changes.

He said: “They were slow to start, but car builders are now being forced to curb CO2 emissions.

“Vehicles are becoming more fuel efficient and this will help to keep down the cost of driving.”

Average emissions from new cars sold in the UK during 2008 stood at 158.2 gCO2/km compared to a European average of 153.5 gCO2/km. Across Europe currently 47.3% of car sold are fuelled by petrol, 51.4% by diesel, while 1.3% use alternative power sources.

Workers should be entitled to protection from their employer

“Christian youth workers for example, should be entitled to protection from their employer,” said the Liberal Democrat Equality spokesman.

Commenting on the news that church leaders have warned new equality laws would force them to work against their faith, Dr Evan Harris MP said, “The Europe-wide laws which protect women and gay, divorced or unmarried people from work-place harassment and discrimination is intended to provide a narrow exemption for churches and mosques who appoint people to religious and representative roles.

“Christian youth workers for example, should be entitled to protection from their employer over their lawful private sexual behaviour and you should not be able to sack a good head-teacher for getting divorced.”

Bring empty homes back into use

The Liberal Democrats today set out plans to bring a quarter of a million empty homes back into use, making homes available for people who need them and creating 65,000 jobs. There are over 760,000 empty properties across England which are no longer used as homes but can be brought back into use with some investment. People who own these homes will get a grant or a cheap loan to renovate them so they can be used: grants if the home is for social housing, loans for private use.

The plans form part of the economic stimulus package outlined as a core principle of the Liberal Democrat election manifesto. In the first year of the new Parliament, the party would redirect over £3.6bn of spending to create jobs and build up Britain’s infrastructure. In the following years this money will be redirected to other Lib Dem spending priorities and reducing the structural deficit.

Liberal Democrat Leader Nick Clegg today launched the plans with Liberal Democrat Shadow Chancellor, Vince Cable and Liberal Democrat Shadow Housing Minister, Sarah Teather. Visiting the College of North West London, they met students on construction and engineering courses who would benefit from these new plans.

Commenting, Nick Clegg said: “Allowing thousands of houses to sit empty when millions of families have been waiting years for a home is nothing short of a scandal. These plans are a clear example of where Liberal Democrat priorities lie: creating jobs and providing more family homes.

“The cost of bringing these homes back into use is just a fraction of the cost of building new ones, yet the Government is sitting idly by while they fall into disrepair.

“This is one element of our economic stimulus package that will generate jobs and help Britain on its way to building a fair, sustainable economy.”

Nick Clegg puts fairness at the heart of the Liberal Democrat manifesto

Today, Nick Clegg set out the priorities that will be at the heart of the Party’s election manifesto. The value that connects everything the party wants to achieve is fairness. There are four priorities for how the Liberal Democrats will make Britain a fairer place: fair taxes; a fair start for every child; fair, clean and local politics; and a fair, green economy with jobs that last.

There are four priorities for how the Liberal Democrats will make Britain a fairer place: fair taxes; a fair start for every child; fair, clean and local politics; and a fair, green economy with jobs that last.

The first priority is to introduce fair taxes, with radical proposals for the biggest tax reform in generations. The Liberal Democrats will close loopholes for the richest and introduce a tax on mansions to fund tax cuts of £700 for everyone else. No-one will pay income tax on the first £10,000 they earn, meaning millions of low earners and pensioners will stop paying taxes altogether, while millions more will get hundreds of pounds back in their pockets. Only the Liberal Democrats will make taxes permanently fair.

The next priority is to give every child the fair start they deserve through a huge transformation of our education system that will build the foundations of fair society. That means cutting class sizes so children get the individual attention they need to thrive. The Liberal Democrats will be putting an extra £2.5 billion into schools to pay for more teachers, better discipline and catch-up classes so children get the individual attention they all need. This means an average of £2,500 extra per pupil for the schools teaching the million most deprived children in the country, funded by taking above-average earners out of the tax credit system and cutting wasteful programmes at the Department for Education. The Liberal Democrats will also phase out tuition fees over the course of six years, so that, after school, everyone who gets the grades has the opportunity to go to university without fear of debt, no matter what their background.

Thirdly, the Liberal Democrats are the only party committed to real change of our political system. This means getting big money and corrupt donors out of politics altogether, reducing the number of MPs by 150, giving power over the police and NHS to local communities, changing the voting system to abolish safe seats and giving you the right to sack corrupt MPs. These are changes that would upend our political establishment. Neither Labour or the Conservatives will ever offer change on this scale – they will defend the status quo to the last. Only the Liberal Democrats offer the chance for a different politics. Another whitewash is unacceptable, we need permanent change to make politics clean, fair and local.

The Liberal Democrats will shift the economy away from the traditional over-reliance on the City of London and on financial services. Our plans will usher in a new era where growth is enabled in every part of Britain in a way that promotes green technology and creates lasting jobs. We will put an end to the casino banking that caused the financial crisis by breaking up the banks and encouraging regional and local ways to bring competition back to the financial sector and make sure businesses can find the money they need to grow. Under our plans, councils will regain control of business rates, reconnecting local enterprise with local politics; Local Enterprise Funds will help people invest in growing businesses in their area and Regional Stock Exchanges will give companies a way to move into public equity without the huge risks and costs of a London listing. The Liberal Democrats will also create a new National Infrastructure Bank to bring in private money to build the transport links, energy grid and public buildings we need for a sustainable, low carbon economy in every part of Britain.

Four steps to a Fairer Britain says Nick Clegg

Today the Leader of the Liberal Democrats, Nick Clegg outlined the principles behind the party’s General Election Manifesto. He said:

Last week’s phoney election campaign was a depressing experience.

The other parties managed to produce a greatest hits compilation of almost everything that has turned people off politics.

Airbrushed posters, meaningless slogans.

All set against the spectacle of the Government turning in on itself when the country is crying out for leadership.

But most depressing of all was that we learned that the Labour and Conservative parties have decided to run their election campaigns as if the world hadn’t changed:

Bombarding people with gimmicks and promises the country can no longer afford.

Treating people like children, as if winning elections is simply about who can provide the best shopping list of policies to buy off voter groups one by one.

Nobody believes a word of it.

Certainly not the voters and probably not even the politicians.

Playground politics.

Make-believe economics.

It really can’t go on like this.

I start this election year with a different assumption: voters know the game’s up for the old politics.

Shopping lists of pledges don’t wash any more. The politics of plenty are over.

After the expenses scandals most people will have no time for implausible promises and no interest in attempts to buy their favour with cheap trinkets.

But neither are they interested in relentless prophecies of doom and despair.

Faced with these new circumstances, I start from three simple beliefs:

First, treat voters like grown ups. People know that the country faces one of the greatest crises in our public finances in generations. They know that difficult decisions must be taken. So they want politicians to spell out their priorities, spell out the choices, rather than live in denial about the dilemmas we face.

Vince Cable and I have gone further than any other politicians in spelling out some of the steps which must now be taken to address the deficit and redirect money to our priorities: a 10% levy on banks profits as long as they are underwritten by the taxpayer; no to the like-for-like replacement of Trident; an end to tax credits to above average income families; cancelling the Government’s Baby Bond scheme; a £400 cap on all public sector pay increases.

These cuts and revenue raising measures are, in our view, unavoidable if we are to persuade people that we are serious – and we are deadly serious – about tackling Gordon Brown’s astronomical deficit, yet alone generate the resources we need for our social and political priorities.

Second, the importance of conviction. I have heard the claim that at a time of crisis in the Government’s finances, values and conviction must take a backseat to the immediate task of balancing the books.

I strongly disagree.

I do not believe it is possible to balance the books, yet alone transform British society, unless you are guided by strong values which guide you through the difficult choices which now must be made.

People will not support a Government which merely presents itself as a team of bean counting accountants – just as it will dismiss a Government living in denial about the enormity of the task ahead.

People want leadership that is realistic about the difficult decisions ahead, but optimistic about the way forward and guided by clear values.

The party which will win the argument in this year’s election campaign is the party which finds a way of marrying credibility and hope, restraint and generosity, discipline and compassion. That is what the Liberal Democrats will provide.

And, third, stick to the big ideas. The coming election will be no ordinary election. For once, the hype about the future of Britain being at stake is true.

Elections should be an opportunity for us all to ask: where next?

And for voters to choose.

As a country, we face acute social, environmental, economic and political problems.

The next Government will not only need to deal with the immediate crisis in the public finances.

It must reinvent our rotten political system, heal the social divisions which still thwart the hopes of millions, and put our economy on a new, more balanced, more sustainable footing.

None of this can be achieved if we merely tinker at the edges – the Labour and Conservative approach.

Talk of change is cheap.

Delivering big, permanent change is the real challenge.

We are putting our cards on the table now.

The heart of our manifesto will be short, direct and to the point.

We have stripped away everything that is not essential because the country cannot afford it.

We have isolated only two areas where we will make immediate, significant additional spending pledges: in education and in infrastructure investment.

And both will be funded from specific cuts in other areas of current Government spending.

No other party in British politics today has taken such a deliberate step to be open and credible with the British people about what we can and cannot afford.

And, yes, that means that some multi billion pound spending commitments we have promoted in the past – like new free childcare entitlements, a new citizen’s pension or free personal care – will no longer be firm commitments in our manifesto, but will be put on hold until they become affordable again. And some of our other pledges such as the scrapping of tuition fees will have to be phased in over a longer period of time.

Our manifesto is based on a single insight: that the dreadful crises we have faced gives us the chance to reshape our country. And it is built on one simple and very British value: fairness.

Making this country fair will not be easy. There are huge vested interests standing in the way.

We will offer the British people the chance to vote for the four steps that are essential for a fairer Britain.

Only four. But they are four big changes – more significant than anything Labour or the Conservatives will offer at this election – that together will reshape the country we live in.

Fair taxes.

A new, fair start for all children at school.

A rebalanced, green economy.

And clean, open politics.

Four steps to a fairer Britain.

Why have we chosen these four priorities?

What do they say about the kind of society we are seeking to build?

As I set out in a pamphlet this Autumn, The Liberal Moment, I believe power, opportunity, good fortune is unfairly distributed in Britain.

I want fairness to be hardwired into every aspect of British life.

It’s just plain wrong that a child born in the poorest neighbourhood of Sheffield today will on average die fourteen years before a child born in the wealthiest neighbourhood down the road.

It’s just plain wrong that the City of London has been cossetted for years while first rate manufacturing companies have been ignored.

It’s just plain wrong that young people leaving school, College and University find it so difficult to get a foot on the property ladder, a steady job, and are saddled with crippling debt before their adult lives have even started.

It’s just plain wrong that our political system is the plaything of two old parties who do not represent the vast majority of people in Britain today.

It’s just plain wrong that a wealthy banker pays a lower rate of tax on his capital gains than his cleaner does on her monthly wages.

As a Liberal, I passionately believe in the potential of everyone to do well for themselves, their families, their communities – if only they are allowed and supported to do so.

That is why I have never shared the pessimism of the Labour party, a party still fixated with the idea that people’s lives can only be improved if someone in Whitehall tells them what to do.

That is why I have always rejected the lack of compassion and imagination of the Conservative Party, a party still fixated with giving tax breaks to the wealthy few rather than opportunity to the aspirant many.

My liberalism, then, is all about giving people the power to get ahead.

Fairness means opportunity is for everyone.

And that means that power must be dispersed, and never allowed to accumulate among elites – be they political, social or corporate – who inevitably exercise that power in their own interests.

It is the failure to disperse power that has made Britain unfair.

It was the failure to disperse the excess power accumulating in the City of London and the global financial markets that brought about the economic collapse.

And it was the failure to disperse political power that made politicians so isolated from reality that they created the expenses scandal.

The four priorities we will set out in our manifesto will put power back into people’s hands.

They will upend the status quo and dismantle, once and for all, the vested interests that have dominated our political and social life for too long.

They will make Britain the fair country I believe people want it to be.

Our tax plan would be the biggest tax reform in a generation.

It is needed because, in our society, money gives people power.

When money is unevenly distributed, so is power.

Of course, no tax system should try to create total equality of income.

But it can and should help redistribute some wealth – and power – to alleviate the worst excesses of inequality.

Under Labour’s unfair taxes, however, power is taken away from the poorest and given to the richest because the poorest 20% pay the highest proportion of their income in tax….

While the richest people and the biggest corporations can effectively pick and choose what taxes to pay.

That is why tax reform is top of our list.

Only when everyone pays their fair share, and no-one is crippled by their tax bill, will we have a fair society.

We will close loopholes for the richest and introduce a tax on mansions to fund tax cuts of £700 for everyone else.

No-one will pay income tax on the first £10,000 they earn, meaning tax freedom for millions of low earners and pensioners, while millions more get hundreds of pounds back in their pockets.

The biggest tax reform in generations.

A level of change you will never see proposed by the other parties.

Only the Liberal Democrats will make taxes permanently fair.

Next: we will give every child the fair start they deserve by reducing class sizes and increasing one to one tuition in our schools.

Nothing is more important in dispersing power and delivering opportunities to people of every background than education, especially education when children are very young.

As a report I commissioned on social mobility from Martin Narey in 2008 concluded, bright but poor children are still being left behind in our school system.

Social disadvantage is reflected in class results from an early age.

Countless young boys and girls are falling behind at school not because of a lack of potential, but because of the circumstances of their birth.

This is not only unfair on them – it blights the education of the whole class when some pupils start falling behind the rest and the class is unable to move forward as one.

Any teacher, any parent of young children, knows that a successful school with happy, fulfilled children depends on children studying happily together rather than pulling apart.

That is why, following on directly from Martin’s conclusions, we are devoting significant new resources to our schools, freed up by taking above average income families out of the tax credit system.

The money will be targeted directly at the most deprived children.

We know for a fact this is the only way to make society fair.

The only way to ensure, over the long term, that every child has opportunities, no matter their background, their home town or their parent’s bank balance.

We’ll be putting more money, £2.5 billion, into schools to pay for more teachers, better discipline and catch-up classes.

Cutting class sizes so children get the individual attention they need to thrive.

Schools receiving an average of £2,500 extra per pupil for each of the million most deprived children in the country they teach.

Of course, an education is little use if there’s nothing for you to do once you leave school or college.

So the third building block of a fair society is economic opportunity.

There are nearly 100,000 square miles in Britain.

For the last thirty years, politicians have been obsessed with just one of them: the City of London.

We will never have a fair society while this is allowed to continue.

The big, permanent change we offer is a shift away from the traditional over-reliance on the City of London and on financial services.

We will usher in a new era where growth is enabled in every part of Britain.

And we place a new emphasis on infrastructure, on people, and on green technology.

Growth that lasts.

Our vision is that, 10 years from now, our economy will be very different from the one we have today. Instead of bias towards the city, there will be balance. Instead of short-term fixes, we will seek growth that lasts.

Thriving local and regional banks, tied into their communities, with real knowledge of their customers, instead of the faceless global leviathans of the international markets.

Diverse, thriving town centres each with their own identity instead of identikit high streets dominated by global retailers.

Reliable transport infrastructure so people can get to work without it costing a fortune or costing the planet.

Wealthy people encouraged to channel their money into supporting local entrepreneurs instead of ferreting it away in offshore accounts.

Each community, home, and office generating its own power and heat locally, instead of reliant on the centralised, polluting energy grid.

None of that will happen under any party other than the Liberal Democrats.

Labour and the Conservatives want to prop up the City, because finance is the only kind of prosperity they understand.

If that is allowed to happen, the only thing that is certain is that we will find ourselves facing the same problems all over again in years to come.

We are the only party that doesn’t just want to rebuild the economy – we want to change it permanently so that we have growth that lasts.

The final change is the one that makes the others possible.

Political reform.

The fair society we seek to build will not be possible without it.

Our corrupt politics is not capable of driving through change.

It exists to block it, to protect the status quo and maintain the vested interests of an old elite.

Only a party which will really disperse power, breaking open the sorry, stale system of governance, rebuilding local government, and embracing fair votes for every level of election can reinvigorate our democracy.

From the smallest parish council to the corridors of Westminster, we have to create a politics that opens its doors to every citizen.

A politics that is open, transparent, and local, so that the power to push through change is in the hands of everyone.

That is why we will get big money and corrupt donors out of politics altogether.

Reduce the number of MPs by 150.

Devolve power over the police and NHS to local communities.

Change the voting system to abolish safe seats and make every vote count.

And give constituents the right to sack corrupt MPs.

Fair taxes.

A new, fair start for all children at school.

A rebalanced, green economy.

And clean, open politics.

Four steps to real change.

Four steps to a fairer Britain.

The coming months are a crucial time for politics.

We will be using those months to focus on these four priorities.

Unveiling, step by step, more details.

How the changes will work in practice.

How they will affect people.

And why they are needed for a fairer Britain.

So I’m putting our cards on the table.

David Cameron and Gordon Brown are playing the politics of the airbrush and the focus group.

One doesn’t know what he believes. The other doesn’t know what to do with the power he clings to so desperately.

I know what I believe.

I am clear about the real changes a new Government must bring about.

I believe the country wants something different.

The Liberal Democrats are different.

We offer credibility where it’s needed.

And hope for our common future.