(9 years, 11 months ago)
Commons ChamberI am grateful to my fellow former Aberystwyth graduate for that intervention, but the reality is that if we are going to spend £100 billion on a weapons system, surely there is an intention to use it if necessary.
Yesterday, the Prime Minister talked of his commitment to full employment, although I strongly suspect that his concept of full employment differs greatly from the one envisaged by William Beveridge, John Maynard Keynes and others. While Trident renewal would arguably create 7,000 jobs—as we have heard from some Members representing constituencies with a direct interest—that £100 billion could instead be used to employ 150,000 nurses across the UK for 30 years—or if just over half of it was used to invest in low-carbon technologies, renewables and energy-efficiency industries, it could create up to 1 million jobs according to RES Compass.
The projected cost breakdown, for which I am most grateful to CND, is as follows: submarine procurement £26 billion, cost of missile extension programme £250 million, replacement warheads from the 2030s onwards £3 billion, in-service costs £57 billion, conventional military forces directly assigned to support Trident £900 million, and, critically, decommissioning costs of £13 billion.
I am grateful to the hon. Gentleman for outlining why the costs of Trident replacement are around the £100 billion figure. Does he have any idea why the Secretary of State for Defence was unable to give the Government’s own projections of its cost? Is it, perhaps, because it is such an eye-wateringly high figure, possibly significantly higher than the £100 billion outlined by the former Armed Forces Minister, the hon. Member for North Devon (Sir Nick Harvey), and that would be a scandal in the country?
I am grateful for that intervention. That has been one of the highlights of the debate, and it is why it is so important that Plaid Cymru, the Green party and the SNP have brought this debate to the House. As I say, Trident renewal will be the biggest spending decision made by the next Parliament, yet the UK Government have no idea of the lifetime costs of the project, despite work done by CND and others.
Let me outline further how some of the £100 billion to be spent on Trident renewal could be spent instead. Although the cost of building homes varies throughout the UK, the average cost is around £150,000. That means that the Government, in partnership with local authorities, housing associations and others, could build up to 650,000 new affordable homes. Of course, home building, where it is needed, would stimulate the economy in ways that simply ploughing £100 billion into nuclear weapons would not. For the money spent investing in housing in that way, the Treasury would benefit from higher-value employment, reducing expenditure on in-work and out-of-work benefits, and the investment would help to ease the UK’s acute housing crisis, as the CND so ably demonstrated in its “People not Trident” document.
In terms of education, investing roughly a quarter of the amount earmarked for Trident would result in a fivefold return on investment. In its regular publication, “Education at a Glance”, the OECD demonstrated that for every £1 invested in higher education by the UK Government, the return is £5 over the working life of the graduate. This arises from higher tax revenues and lower outlays resulting from reduced unemployment. As the OECD said, investment in education boosts jobs and tax revenues.
The alternatives are there. Plaid Cymru has long supported investment in infrastructure and public services as a means of reducing the deficit over the long term.
(10 years, 10 months ago)
Commons ChamberI do not disagree with that at all. Some of my colleagues may wish later to expand on what the hon. Gentleman has said
My hon. Friend has made an excellent start to his speech. I do not know whether he has had an opportunity to read the first report from the Living Wage Commission, which was published yesterday. It contains a number of key points which I think are important in the context of the debate. It states that 6.7 million of the 13 million people in poverty in the UK are in a family where someone works, that 5.24 million workers in Britain—equal to 21% of the work force—are paid less than the living wage, that housing costs have tripled in the last 15 years, that 2.9 million people classed as over-indebted have a household income of less than £15,000 a year, and that low-paid workers are increasingly turning to support in order to get by. That is the context of governance in the United Kingdom at the present time. Does the hon. Gentleman agree that Westminster is failing not just the people of Scotland and Wales, but those in the rest of the United Kingdom?
I am grateful to my hon. Friend for that valuable contribution. I intend to develop some of those themes later in my speech.
What a pity that the Labour party is so completely removed from the vision of Keir Hardie today. Last Wednesday, during a meeting of the Welsh Grand Committee, the shadow Secretary of State for Wales, the hon. Member for Pontypridd (Owen Smith), made one of the most depressing speeches that I have heard since being elected to serve the people of Carmarthenshire. He returned the Labour party to the dark days of the 1970s, when it was clearly the most anti-devolution party in Wales. His speech was Kinnock-esque, and I certainly do not mean that as a compliment.
As the former head of policy for Citizens Advice in Wales, I have some expertise in this matter; the Labour party achieved its reduction in the child poverty figures by changing the way in which the statistics were calculated, thus removing 1 million children from child poverty overnight.
Last summer, the TUC produced a report that concluded that workers’ pay had fallen by 8% in real terms between 2007 and 2012 in Wales—the sharpest fall in any of the nations and regions of the UK. That is the level of the drop in living standards that Labour and the Tories have presided over. The UK is badly damaged and corroded, if not completely broken. The old pillars of the British establishment—banking, media and politics—have crumbled one by one, leaving an unrestrained crony capitalism which is not about good business or genuine wealth creation, but about monopoly, oligopoly and corporate self-interest.
My hon. Friend is right to point out that litany of failure, but is it not right that in a debate such as this we should be able to compare and contrast the reality here with that elsewhere? Has he had an opportunity to look at the world happiness report, an annual publication taking into account GDP, life expectancy and social support internationally? It showed that eight of the top 10 countries are small European independent states. What makes them so successful while the UK fails so dramatically for people across its nations and regions?
It comes down to the fact that Governments of small countries are far closer to the aspirations and requirements of their people, whereas larger states find that far more difficult to achieve, especially where the state is very centralised, as ours is in the United Kingdom, with power heavily concentrated in Westminster.
Symptoms of what I am describing include the privatisation of the health service in England—the current Tory policy of building on the layers laid down by Labour, with its introduction of foundation hospitals and use of the private finance initiative. The privatisation of services and assets has carried on unabated. For example, Labour's plan to privatise Royal Mail has been carried out by the Tories and Lib Dems during this Parliament. Is it any wonder that Scotland is now beginning to believe that it can do things better and differently, or that the people of Wales increasingly demand that we have more powers to control our lives and better reflect our political values?
The most detailed research since devolution began was undertaken by the Silk commission, which has been tasked with pathfinding the next steps in the Welsh devolution journey. The findings of that detailed research are extremely encouraging: 62% want more powers for Wales, with only a paltry 20% against—that reflects all the geographical areas of my country; 80% believe that the National Assembly defends Welsh interests better than Westminster; 80% want responsibility for energy policy to be in Wales; 63% want powers over policing; 58% want powers over broadcasting; and there was also a clear majority for devolving social protection—or at least its administration, as is the case in Northern Ireland, which has enabled its Government to stop the implementation of the bedroom tax. However, only 20% support devolution of defence and foreign affairs, so clearly there is a bit of work to do to progress those two areas in my country.
In many areas of the UK, it is taken for granted that the Tory party long ago discarded any pretensions to a one-nation paternalist conservatism that sought to mould itself around social democratic values. Instead it embraced Thatcherism and its resultant rise in economic inequality. Of greater concern, however, is the complete dereliction of duty by Labour in its failure and unwillingness to deal with rising inequality. Westminster is now synonymous with inequality from its representation to its policies.
Following the 2010 Westminster election and the aftershocks of the 2008 financial crash, a new UK coalition Government pledged to rebalance the economy of the British state by sector and on a geographical basis. Who can forget the Chancellor’s triumphant claim, “We’re all in this together”? He told us that he was creating an economy
“carried aloft by the march of the makers.”—[Official Report, 23 March 2011; Vol. 525, c. 966.]
What is more worrying is the Government’s admission that this is failing. The Business Secretary now fully admits that London
“is a giant suction machine draining the life out of the rest of the country.”
Yet the Government do precious little to rectify that. Only last month the Financial Times reported that the wealth gap between London and the nations and regions is set to widen. A professor at the London School of Economics has noted that London is the
“dark star of the economy, inexorably sucking in resources, people and energy.”