Lord Bates
Main Page: Lord Bates (Conservative - Life peer)
Lord De Mauley
My Lords, my support for the Chancellor of the Exchequer is unstinting. On the subject of the IMF forecast that the noble Lord raised, I point out that the forecast for the eurozone, where 40% of our exports go, is a contraction of 0.3%. It is of course concerning but hardly surprising that our forecast has been affected, so it is all the more impressive that the private sector jobs figures that I referred to earlier have outstripped so substantially the job losses in the public sector. Furthermore, as I said, manufacturing output is up, and exports to countries outside the EU are substantially up. All that must be good news, as is the news on inflation, which is good for both businesses and families. The director of the IMF’s fiscal affairs department said, following the announcement, that we should not change course on deficit reduction.
Lord Bates
My Lords, is my noble friend aware that the north-east of England is the only region of the country that exports more than it imports? Is he further aware that figures for the past quarter show that those exports are now at record levels? Is he further aware that today unemployment in the north-east fell for the first time in two quarters? Does he recognise that this is a welcome progression, and will he ensure that the Government continue to make sure that they back winners rather than pick winners?
Lord De Mauley
Yes, my Lords, I agree with my noble friend. The issue is one of confidence. I will tell noble Lords who else thinks that we are doing the right thing. Last month BMW announced a £250 million investment to increase production of Minis, on top of the £500 million investment it announced last June. Ford is putting £1.5 billion into R and D and manufacturing over the next five years. Nissan is building the electric Leaf car, with an associated battery factory, in Sunderland. Toyota is producing Europe’s first mass-produced fully hybrid car and engine in the UK.