HC Deb 06 November 1996 vol 284 c1234
13. Mr. Gunnell

To ask the President of the Board of Trade if he will make a statement on trends in the United Kingdom's position relative to other world economies in respect of prosperity since 1979. [538]

Mr. Lang

The Government have halted a relative decline in Britain's gross domestic product per head, which had taken place over several decades. That has been achieved through our policies of free enterprise and encouraging competition.

Mr. Gunnell

Is the Secretary of State not a little complacent about our achievements? We have fallen from 13th to 18th in the world prosperity league, we are ninth in the European prosperity league, and a large and increasing number of people live in poverty. Surely that should concern the Government. They should not be complacent about economic progress.

Is it not time that the Government, instead of reciting the litany of success that they claim, sought to make this country a real enterprise country and to improve our economic prosperity? I should have thought that the Minister would not be so complacent.

Mr. Lang

The hon. Gentleman is wrong. Between 1970 and 1979, the United Kingdom fell from 11th to 15th place in the Organisation for Economic Co-operation and Development on the basis of GDP per head. Some further fall took place immediately after that as the Conservative Government cleared up the mess that we inherited from the Labour party, but over the last international cycle, from 1982 to 1993, only Japan among G7 countries outpaced the United Kingdom in terms of GDP per capita growth. The United Kingdom significantly outpaced France, Italy, Canada and the EU average. I think that the hon. Gentleman should be less complacent.