Debate on the Economy, Trade and Industry

25 Jun 2001
Ms Diane Abbott (Hackney, North and Stoke Newington): Labour Members are delighted and relieved to know that aspects of my right hon. Friend's active labour market policies have the endorsement of Ronald Reagan, but he will be aware that statistics published towards the end of the last Parliament appear to show that the gap between rich and poor had widened under the previous Administration. Can he give the House an undertaking that, by the end of this Parliament, the gap between rich and poor will begin to narrow?

Mr. Brown: Of course, it is as a result of the working families tax credit, the minimum income guarantee for pensioners, raising child benefit and the children's tax credit that low-income families are finding that their income position is being raised. If my hon. Friend talks to people in her--[Hon. Members: "Answer the question."] I am answering the question. If she talks to her constituents, she will find that many are £50 a week better off as a result of the changes that we are making. Precisely for that reason, we are narrowing the gap between rich and poor in this country.

I hope that my hon. Friend will take this from me: in the previous Parliament, Conservative Members were unable to support a policy that had the support of Ronald Reagan and George Bush, which was an amazing commentary on the Conservative party between 1997 and 2001.


...

Ms Abbott: I have listened with rapt attention to a fellow alumnus of Harrow county grammar schools. The right hon. Gentleman spoke about morale among public servants. Is he seriously suggesting that morale was better before 1997?

Mr. Portillo: It is wonderful to see my schoolfriend here. Yes, I am seriously suggesting that morale was better then--the hon. Lady ought to be deeply shocked by that. Because she is a true believer, she genuinely believed that the problem with morale in the NHS and teaching was caused by a Conservative Government. She had in her mind the soothing idea that, as soon as Labour came to office, those problems would be put right, but she must admit that she has been disappointed.



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