Treasury and Work and Pensions

The figure is 1,856, reduced to 1,500. The hon. Member for Wellingborough must know that, in the first few months of a Labour Government, the growth rate of the economy and the employment creation through the new deal were such that we were getting people back to work incredibly quickly. [Interruption.] I am not going to apologise for giving the number of people unemployed in May 1997—1,850. I have just listed all the Conservative party’s spending commitments, but what about all the tax commitments? One would think that the shadow Chancellor, having at one and the same time allowed spending commitments to grow even though he has the third fiscal rule, would be bearing down heavily on tax commitments, but what about the Forsyth commission, which he says sets the framework for the future? There are £21 billion of tax cuts in the Forsyth report. So there is a range from £21 billion to the Cornerstone group’s £40 billion and the No Turning Back group’s £50 billion, while the right hon. Member for Wokingham, who is chairman of the economic competitiveness group, suggests sums of even more than £50 billion. How do those figures add up? Let me tell the House that I remember exactly what happened. I have the Conservatives’ election manifesto from 1992. What did they promise then? They said that they would bring stability. [Hon. Members: ““More!””] They said that they would cut taxes; they said that they would raise spending; they said that they would lower spending as a share of national income. They said that all those things could happen at one and the same time. What did they call that in 1992? They called it sharing the proceeds of growth. They said that a dividend would be paid between tax cuts and spending rises. The Conservatives are in favour of recycling. What we are seeing is the recycling of the 1992 promises. They talk about stability; they say that there will be tax cuts; they promise spending rises; they say that they will bear down on spending; and it ends up in what happened after 1992. It ends up not in tax cuts, but in 22 tax rises; it ends up not in spending rises, but in massive spending cuts; and it ends up in the shambles of an economic recession, with 15 per cent. interest rates, thousands losing their jobs, mortgage repossessions and negative equity. Perhaps the House should be aware that, when the final humiliation came in 1992—[Interruption.] Conservative Members do not believe that it was a humiliation. Well, 15 per cent. interest rates were a humiliation. When the final humiliation came in 1992, who was standing next to Lord Lamont, the then Chancellor of the Exchequer? It was none other than the principal economic adviser, who is now the Leader of the Opposition. The Conservative party cannot face up to the country’s challenges. The Conservatives cannot face up to the challenges if they go for tax cuts, spending rises and no discipline. They cannot face up to the big challenges on education and training. They cannot face up to the big challenges on poverty and dealing with public services. They cannot face up to the big challenges on skills and the innovative future that our economy needs. The only party that can face up to the challenges is the Labour party and this Government. [Hon. Members: ““More!””]