§ Q2. Mr. PikeTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterThis morning I had a meeting with ministerial colleagues and others, including Chancellor Vranitzky of Austria, and received a delegation representing the Eisenhower centennial committee, led by Vice-President Quayle of the United States of America. In addition to my duties in the House, I shall be having further meetings later today. This evening, I hope to have an audience of Her Majesty the Queen.
§ Mr. PikeDoes the Prime Minister now recognise that, due to the poll tax's failure to take into account ability to pay, and despite the rebate system, many people cannot afford to pay the poll tax? They could not afford to pay it even if the unrealistic and unattainable targets set by the Government had been attained. What does she propose to do to help people who cannot pay the poll tax now?
§ The Prime MinisterThose who have the lowest incomes get the most generous rebates—far better than, and a great improvement on, the rebates under the old rating system. We now realise that a number of people do not know that they are entitled to rebates if they did not receive them under the old rating system. The hon. Gentleman will have noticed that, since the elections, there have been advertisements telling people that they can apply for rebates, and should do so before 27 May. I hope that they will.
As for ability to pay at the top end, only 30 per cent. in England, and 20 per cent. in Scotland, of local expenditure is met by community charge. The other is met by the taxpayer and business. With regard to income tax, people pay heavily, and the richer therefore pay heavily, towards local services.
The hon. Gentleman will recall the figure from "Social Trends"—the top 10 per cent. of income earners pay 40 per cent. income tax and those on the bottom half of incomes pay only 15 per cent. of the yield of income tax.
§ Q3. Mr. StanbrookTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterI refer my hon. Friend to the reply that I gave some moments ago.
§ Mr. StanbrookI have been reflecting on the impressive performance of my right hon. Friend—
§ Mr. SpeakerOrder. Make it a question, please.
§ Mr. Stanbrook—last week, when she defended British sovereignty against ideas of political union, but bearing in mind that a united Europe is Churchillian in conception, and chauvinistic France is able to take the lead in promoting political integration in Europe, is there a danger that my right hon. Friend's attitude to Europe might lead to a Europe united against us, which is what British statesmen have always attempted to prevent? Would not that be a bad thing for Britain?
§ The Prime MinisterWinston Churchill was absolutely staunch that we should all be united in defence of freedom, and that is the North Atlantic Treaty Organisation. It is NATO which has kept our freedom. We are a prominent member of the European Community and leading the field in bringing about the single market in Europe. Our voice 17 is well heard, and most of the other members take similar views to us on the question of retaining their own sovereignty and accountability to their own Parliament.
§ Mr. Kinnockrose——
§ Mr. SpeakerOrder.
§ Mr. KinnockCan the Prime Minister tell us why, under her Government, the inflation rate in Britain is 40 per cent. higher than the European average?
§ The Prime MinisterThe right hon. Gentleman is aware that our top responsibility is to get down inflation. The way to do so is to increase the price of money, which is why the interest rate is 15 per cent. One reason, of which I am sure he will approve, that inflation is higher than it should be is that we were fearful of having a very bad recession after the stock exchange crash of 1987. Therefore, we got the growth going a little too fast, which is why we have to reduce and squeeze out inflation.
§ Mr. KinnockIs not the Prime Minister yet aware that the major danger of recession comes directly from her policy of maintaining the highest interest and mortgage rates anywhere in the developed world? Will not she at last acknowledge that the major single reason for inflation is her policy of high interest rates, and that she is the inflation-maker in chief? When will she start fighting inflation and getting interest rates down?
§ The Prime MinisterIs the right hon. Gentleman suggesting that we reduce inflation by reducing interest rates and increasing growth? At the moment, that would take inflation to the levels that we saw under his Labour Government.
§ Mr. KinnockIs that not the final confession of failure by the right hon. Lady? She has got the highest inflation and the lowest growth rate in Europe, and the only way she knows to rescue her economy is somehow to plunge us into recession. Why does not she acknowledge that failure, change policies, sponsor growth and get out of the threat of recession and inflation?
§ The Prime MinisterI do not think that the right hon. Gentleman understood what I said to him last time. If he were to pursue those policies, he would have inflation back to Labour levels of 26 per cent.
§ Q4. Mr. OppenheimTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterI refer my hon. Friend to the reply that I gave some moments ago.
§ Mr. OppenheimDoes the Prime Minister agree that in the real business of being a good European, the rhetoric of some of our European partners does not match reality? Will she confirm that Britain is in the lead in the implementation of single market directives? Would it not behove countries such as Germany and France to clean up their act on the single market before preaching to us about airy-fairy concepts such as political and economic union?
§ The Prime MinisterYes, we are in the lead in implementing the directives which the European Community has agreed; it is acknowledged that we are in 18 the lead. We were in the lead in policies to get down the agricultural surpluses; that succeeded. We were in the lead in getting a sensible budget in Europe. We have played a formidable part, and we are very good Europeans.
§ Q5. Mr. HoyleTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterI refer the hon. Gentleman to the reply that I gave some moments ago.
§ Mr. HoyleDoes the Prime Minister agree with the remarks of her honourable but courageous Friend the hon. Member for Wirral, South (Mr. Porter) that the time has come for her, like Len Hutton, to take her bat and ball home, like Stan Matthews, to hang up her boots, to vacate, 10 Downing street and to retire to her large house in Dulwich? Or is she, despite the lack of confidence shown in her even by Conservative Members, determined to carry on and on and on?
§ The Prime MinisterIf the hon. Member wishes me to go, it can only be because he thinks that my going would be to the advantage of the Labour party.
§ Q6. Mr. HannamTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterI refer my hon. Friend to the reply that I gave some moments ago.
§ Mr. HannamIs my right hon. Friend aware that in Exeter the Labour-controlled council has caused great distress to many elderly and low-income people by sending out community charge bills without the proper rebate deductions? Will she take the necessary steps to ensure that the generous Government rebate scheme is properly applied by all local authorities?
§ The Prime MinisterYes, Mr. Speaker: where someone has been receiving a rebate under the old rating system, the local authority should be very well aware and should be able to take it off the community charge amount to be paid. Where a person is entitled to transitional relief, the council should also know how much that relief is and should deduct it from the total community charge.
There are a few cases in which the local authority will not know, because the rebate scheme under the community charge is more generous than it was under rates. Those people must inquire and make their own applications. Others must check that the right figures have been put in their demands. I hope that they will do so as soon as possible.
Most well-run authorities have already deducted the rebate and the transitional relief. Where that has not happened, I hope that people will apply. They will see advertisements to that effect in local newspapers, bringing it to their attention.
§ Q7. Mr. DunnachieTo ask the Prime Minister if she will list her official engagements for Tuesday 8 May.
§ The Prime MinisterI refer the hon. Gentleman to the reply that I gave some moments ago.
§ Mr. DunnachieDuring a busy day, will the Prime Minister spare a thought for the people of Kashmir who are being murdered, raped and illegally imprisoned by the Indian army? As the titular Head of the Commonwealth, would you bring all pressure to bear upon India—[Laughter.]
§ Mr. SpeakerOrder.
§ Mr. DunnachieAs the Prime Minister of Great Britain, will the right hon. Lady force India to withdraw her army from Kashmir and allow the Kashmiri people the freedom for which they have fought for so long?
§ The Prime MinisterThe hon. Gentleman knows that that the Head of the Commonwealth does not require, nor are we entitled, to give any advice in the discharge of those duties. With regard to our own responsibility, naturally we are in touch with both India and Pakistan, but we hope that this very difficult situation with regard to Kashmir will be solved peaceably and by discussion between the Ministers of the two countries.