§ Q11. Jackie Ballard (Taunton)Does the Prime Minister agree with the Chancellor who last November predicted that there would be no recession in British manufacturing, or the Chancellor who yesterday admitted that there would be a fall in output of between 1 and 1.5 per cent. this year? Does he agree that last November's prediction was the worst forecast since Michael Fish said that there would be no hurricane?
§ The Prime MinisterThat latter part is wrong, since the worst time for manufacturing industry was in the 366 early 1990s, when output fell by 7 per cent, and 1 million manufacturing jobs were lost. The single most important thing for manufacturing industry is stability for the long term. That is best guaranteed, first, by policies that are disciplined on public finances, which is a lesson that the Liberal Democrats would do well to learn—if I may attack them for a moment—and, secondly, by lower interest rates. As a result of the action that this Government have taken and the independence of the Bank of England, we have managed to get the lowest interest rates for 30 years.
§ Mr. Paul Tyler (North Cornwall)Boom and bust.
§ Mr. Bob Russell (Colchester)Boom and bust.
§ The Prime MinisterQuite right. The other thing that we must avoid is any return to Tory boom and bust.
§ Madam SpeakerOn that note, we should now move on.