Public Expenditure (Hansard, 18 July 1983)

§ 17. Mr. Ray Powell
asked the Secretary of State for Wales if he will estimate the effects of the decision of the levels of public expenditure announced by the Chancellor of the Exchequer on 7 July on the Welsh economy.

§ Mr. Nicholas Edwards
I am considering the way in which the cash limit adjustments described in my right hon. Friend's statement should be implemented in Wales, and I shall of course have regard to the need to minimise the effects on the economy.

§ Mr. Powell
Did not the Secretary of State know before the election that there would be cuts? Why then did he try to deceive the electorate of Wales by not explaining in detail what he anticipated would be the Chancellor's action as soon as the Government were formed? Will he disclose to the House the detail and number of the jobs that will be lost as the result of that massive cut in public expenditure in Wales?

§ Mr. Edwards
I did not have up-to-date information about the figures that led my right hon. Friend the Chancellor to announce his decision, many of which emerged after the election. My right hon. Friend is taking action to see that public spending does not rise significantly above the levels previously announced—levels that we pledged to maintain at the election. It cannot be in any way wrong—indeed, quite the reverse—for a Government to seek to stop overspending on their announced programmes. I can think of nothing more damaging for job prospects in Wales than spending policies that would lead to an increase in interest rates and in costs to industry.
Later—

§ Mr. Powell
On a point of order, Mr. Speaker. In view of the unsatisfactory nature of the reply by the Secretary of State to my question, I intend to raise—

§ Mr. Speaker
Order. It is too late for that.