2 December 2011 - Christmas Message from Stephen Dorrell - No-one can pretend that the outlook is rosy
The turmoil in the euro-zone makes daily headlines, and the impact is being felt far beyond Europe. The world economy faces a period of extraordinary uncertainty as governments grapple with the combined problems of chaotic public finances and unprecedented turbulence in the money markets.
Many of the solutions being peddled continue to be based on the assumption that we can borrow our way to prosperity. If only the government could absorb a particular small cost - so the argument runs - quite disproportionate benefits would follow. The problem with this argument is that before the government can spend a bit more, it must first borrow a bit more - which means it has to find someone who is prepared to lend. It isn't only the Greek government that has found that people are not keen to lend if they are concerned about the ability of the borrower to repay.
Indeed, it is clear that high borrowing is a key underlying cause of the weakness of the world economy. It is simply not plausible to argue that the way you solve a crisis caused by too much borrowing is to borrow some more.
That is why the Coalition is so determined to bring borrowing down in Britain. We are currently running one of the highest deficits in Europe, but we are able to finance it because lenders believe that the Coalition will see through its commitment to bring the deficit under control.
This credibility is our ace. It won't be easy, and it won't be quick. But I believe the path on which we have embarked will bring secure long term recovery, and with it rising living standards and the opportunity to cut taxes. Roll on the day.
In the meantime it is Christmas. That should give us all a time to pause and think of old friends and make new ones. Whatever is in the newspapers, we all need a break. I hope that Christmas 2011 will be happy and memorable and that 2012 will bring us all the prospect of new beginnings.
20 May 2010 - Message from Stephen Dorrell - May 2010 was a momentous month
David Cameron's arrival in Downing Street was widely celebrated. Less widely celebrated, but very important to us, were the victories of Nicky Morgan in Loughborough and Andrew Bridgen in Leicestershire North West.In addition we can also celebrate a Conservative majority of over 15,000 in Charnwood. I am very grateful to all Conservatives for their support.
Although we would all have preferred to see a majority Conservative government, the new government brings with it a sense of hope and renewal which Britain urgently needs.
After the celebrations die down, however, the difficult work begins. The most immediate requirement is to address the economic shambles created by Labour. Every Labour government in history has left behind a legacy of high borrowing and high taxes but none worse than Gordon Brown.
We should not forget that on the day the new government took office it was borrowing £1 of every £4 that it spent. This level of borrowing undermines all future planning in both the private and public sector; the first priority of the new Government must be to bring it under control.
in addition to a credible plan for deficit reduction I also hope we shall see early action by the new Government to reform the workings of our public services. We spend huge sums of money on providing education, health and social care but too often the result is disappointing.
The new Government is committed to delivering improved value and higher quality in all public services. If it can deliver secure finances, improved services and rising living standards it will have earned its place in the history books - and justified the hopes invested in it in May 2010.
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