Tag Archives: ippr

Nick Clegg addressed the ippr this morning to set out his approach to the single biggest problem facing all three major political parties in the coming weeks and months: how to keep the support of the British people given the need for huge public spending cuts to tackle the deficit.

We’re re-printing Nick’s speech in full, below, but here are the key points which struck me:

• Re-iterating Vince Cable’s five conditions to take account of before cutting public spending: the rate of growth; the level of unemployment; credit conditions; the extent of spare capacity in the economy and the cost of Government borrowing.
• A clear statement “that the conditions will be right for cuts from 2011-12, but not before.”
• A clear statement of the level of cuts needed: “at some point in the next eight years the government is going to have to stop spending as much as 10% of what it spends today.”
• A promise that the Lib Dems will follow the example of Canada’s Liberal Government in the 1990s and undertake “a massive consultation about every last line of public spending”.
• A cash limit on public sector pay rises of £400, ensuring that the lower your salary, the higher percentage pay rise you are eligible for.
• In addition, Nick sets out once again the party’s four key election campaign pledges: fair taxes, the £2.5bn ‘pupil premium’, a sustainable economy, and a fair political system.

The sharp eyed will notice no mention of “progressive austerity“. Nor indeed does Nick use the term “savage cuts” – though for all the embarrassment and mockery with which that phrase is identified, it’s the reality of what all the parties would have to implement in their own ways if elected to government.

Here’s what Nick said: