OCTOBER saw the beginning of a campaign by the coalition government to 'sort out the mess', to reduce public spending and stop adding to the massive £900billion worth of debt this country now finds itself in.
As a result of Labour's mismanagement, since the general election the coalition government has had to borrow an extra £400million every day. That's because for every £300 coming in, the government has to spend £400. In this financial year alone, that will come to a total of about £150billion extra borrowed and added to the national debt.
The coalition agreement commits Liberal Democrats and Conservatives in government to slow down the rate of extra borrowing such that by 2015 we are back into solvency as a country.
Although there will be difficult times ahead in many households, the Spending Review contains many important decisions clearly aimed at making the big but necessary reductions in public spending as fair as possible.
Local government faces reductions in funding of about seven percent a year for the next four years, but there is much with which we can be satisfied given the difficult circumstances we face. For example, there will be big cuts to the 'ring-fencing' of council budgets, giving local politicians the power to make important decisions for their communities; £16billion will be made available for school capital programmes, which will mean 600 schools will get funding; the 'pupil premium' announced by Nick Clegg provides help for the most disadvantaged families; an extra £2bn has been put into social care budgets within the NHS, which will assist stretched budgets.
There is much that the Liberal Democrats have achieved in government to be proud of. We are taking 900,000 low paid workers out of income tax by raising the tax threshold and all low paid workers will benefit from this increase too; we have restored the link between pensions and earnings.
We have increased capital gains tax so the burden of taxes falls on those with the broadest shoulders - a progressive move. A banking levy has also been introduced, so banks take some responsibility for their part in the financial crisis. Liberal Democrats are introducing the power to recall MPs who abuse their position, an entirely elected House of Lords by proportional representation is being planned, and next year will see a referendum on electoral reform being held.
There will be a 'fairness premium' introduced which will allow all disadvantaged two year-olds to have 15 hours a week of pre-school education, in addition to the 15 hours already available to them at three and four years of age. Schools will receive additional funds to offer targeted help to every pupil eligible for free school meals and reduce educational inequalities.
Liberal Democrats in national and local government will never give up our work to deliver a fairer society and make sure public services are provided to protect the poor, the needy and the vulnerable.
In difficult financial times I am glad that Liberal Democrats are at the heart of government ensuring as much fairness as possible.
CLLR PAUL LORBER Leader of Brent's Liberal Democrats
