Office for Budget Responsibility (Manifesto Audits)

Mike Thornton Excerpts

Wednesday 25th June 2014 Commons Chamber

[Mike Thornton (Eastleigh) (LD)]

Knowing that every poll, every doorstep inquiry in May, and every e-mail that I get shows that the public feel unable fully to trust Labour with the economy, and knowing that the OBR believes it would be difficult and time consuming at the moment to do what the shadow Chancellor proposes, I hope that it is not the shadow Chancellor’s sole concern today to bolster his uncertain economic credibility.

I understand that the shadow Chancellor likes to copy eminently sensible Lib Dem policies such as the mansion tax, the fact that we published the costs and savings on our proposals in 2010—for example, showing how we would afford our eminently sensible increase in the tax allowance—

[Mr Dominic Raab (Esher and Walton) (Con)]

Does the hon. Gentleman recognise that the Lib Dem proposals on the mansion tax and the further extensions of the personal allowance have been roundly rubbished by the Resolution Foundation and the Institute for Public Policy Research?

[Mike Thornton]

I do not know those details. I will take the hon. Gentleman’s word for it that they have been rubbished, but I personally support an increase in the tax allowance, so that no one on the minimum wage would pay any income tax. It seems silly to me to have a minimum wage and then charge people tax on it. But that is my opinion, of course.

I also agree with the Chief Secretary, who unfortunately is not here today, that auditing manifestos is well worth further consideration. But as the OBR said, although possible it would be difficult to do in a timely and sensible fashion before the next election. I remember that in 1997 the right hon. Member for Kirkcaldy and Cowdenbeath (Mr Brown) successfully persuaded the electorate of his prudence. Despite this latest attempt to do so, I feel that the right hon. Member for Morley and Outwood (Ed Balls) will not follow in his right hon. Friend’s footsteps, so let us commit ourselves to honestly publishing proper and well worked out costings for the proposals of all parties in the House, doing it ourselves, and spending the money ourselves, but follow that up—

[Mr Love]

rose—

[Mike Thornton]

I was just coming to an end, but I will give way.

[Mr Love]

I am sorry; I did not realise the hon. Gentleman was coming to an end, but I thank him for giving way. In the context of the competitive and confrontational elections that we have, where Opposition policies are always rubbished and called into question, does the hon. Gentleman think there is a role for an independent, credible organisation at least to shed some light on those policy proposals?

[Mike Thornton]

That suggestion certainly has some merit. After the next election, when we have given—

[Stephen Mosley (City of Chester) (Con)]

It is not true that there are no independent organisations. The IFS and the Institute of Economic Affairs already carry out independent audits. There is no need to give the job to a statutory body, because independent bodies already exist to do it.

[Mike Thornton]

The IFS costed our proposals in 2010, and that is an eminently sensible approach. It can be argued, however, that the OBR is seen as very successful. I am glad that now all parties, instead of just one, think that it is a useful independent organisation.

We should look to do this after the next general election, when the OBR will have plenty of time and resources to do it properly without having to rush the job and hire people quickly. As we have noticed from what is happening to our IT today, when one tries to rush something and does not do it properly, it does not work properly. I commend the idea and philosophy to the House, but this needs to wait until after the next general election.