Budget (Hansard, 26 February 1981)

§ 14. Mr. Canavan
asked the Chancellor of the Exchequer what representations he has received about his forthcoming Budget.

§ Sir Geoffrey Howe
I have received a large number of representations about the Budget from various individuals and organisations.

§ Mr. Canavan
In view of the appalling unemployment figures that were announced on Tuesday, will the Chancellor take steps to reflate the economy to provide more jobs and to regenerate industry? In view of the fact that his Government's monetarist policies have turned vast areas of the country into de-industrialised deserts, does he now realise that in the past 21 months he has caused more destruction to British industry than Chancellor Hitler managed in the whole of the Second World War?

§ Sir Geoffrey Howe
The intemperance of the hon. Gentleman's point is matched only by the intemperance of his example. His first question relates to the next question that I shall be answering. On the main point, unemployment has been affected more by pay increases, pay settlements and rising unit labour costs than by anything else.

§ Mr. John Townend
If my right hon. and learned Friend is looking for further ways in which to make cuts, will he follow the example of the Reagan Government and look hard at overseas aid?

§ Sir Geoffrey Howe
Clearly, I shall scrutinise the example and the experience of the Reagan Administration—both the proposals and their outcome.

§ Mr. Jay
As we read reports in the press almost every day of what the Budget is to contain, is there really any need to have a Budget speech?

§ Sir Goffrey Howe
I should not wish to deprive the right hon. Gentleman of the exhilarating experience of listening to that address.

§ Mr. Nicholas Winterton
Will my right hon. and learned Friend say whether he has received a lot of representations from smaller businesses? If so, do they include recommendations that interest rates should be reduced, that the Government should introduce an energy package, and that the value of the pound is very deleterious to the potential for our exports?

§ Sir Geoffrey Howe
I have received a number of representations for, from and on behalf of small businesses. As I demonstrated in my Budget last year, we attach considerable importance to the part that can be played by small businesses. I am sure that the representations that I received have covered all that my hon. Friend said. Let me remind him, however, that the strength of the pound is one reason for the reduction in inflation.