Views
Spending cuts pave the way to prosperity - for the Inverness Courier
IN every respect - politically, economically, and personally - 2010 has been a significant year.
While the personal high-point was undoubtedly the birth of my second daughter, Isla, the achievements of the coalition government for the country and for the Highlands are worth reflecting on at this time.
Of course, the formation of a coalition government was, in itself, an unusual event. In most walks of life, people with different views work together and resolve their differences in the common interest. It is one of the most damning indictments of the way politics works in Britain that what is just plain commonsense for everyone else is unheard of in Westminster - until this year. That politicians of different parties are working together in the national interest is hugely positive in itself, even more so given the challenges the country faces.
This time last year it was clear that a hung parliament was a possibility - given the huge failures of the Labour government, their return seemed unlikely - and I began preparations for possible post-election negotiations. Even then it was clear that fixing the economy would be the biggest challenge for a new government, though the true scale of the mess left by the previous government did not become evident until we saw the books for ourselves. And the huge dangers to the country of failing to act became ever more apparent as problems emerged in other countries in the closing stages of the election campaign and during the coalition talks themselves.
The economy has been the new government's toughest challenge and one where I believe we have made the right judgements to secure fairness and prosperity in the future. Labour left Britain with the worst financial situation for many decades, so whoever was in government would have had to cut public spending significantly. By doing so decisively, we have re-established confidence in our ability to pay our way as a nation and so laid a firm platform for future economic growth.
Without this plan, Britain would be facing higher interest rates, lower growth, and less employment - as is happening in other countries that don't have a firm strategy to reduce borrowing. That would be much worse for businesses here in the Highlands. And it would be the poor who would suffer most.
I am proud of the role played by Liberal Democrats in this government. It is of course a huge privilege to be one of the first Liberals to enter government for many decades - and indeed the only one to hold two cabinet jobs!
The programme for government that was agreed between Liberal Democrats and Conservatives includes ideas from both parties in equal measure. The four key promises that we Liberal Democrats made in our manifesto are all being implemented.
Our plan to reduce tax for people on lower incomes will take a major step in April when the tax threshold rises by £1000 - towards our goal that no one should pay income tax on the first £10,000 they earn.
We are investing more in education, targeted at the most disadvantaged.
And we are reforming the political system. Next year's referendum on voting reform will give people the chance to ensure that every MP has to work harder to get elected, because each will need the support of 50 per cent of their constituents to win. I hope people will vote for change.
The Highlands and Islands will be one of the first areas in the country to benefit from roll-out of next generation superfast broadband. It will be a massive benefit to businesses.
After years of blocking, our progress on a fuel duty discount scheme for island areas is also significant. Compared to four years of inaction for the Highlands by the SNP in Edinburgh, ours is already a record to be a proud of.
I look forward to the opportunity to achieve much more in the coming years.
Posted on: 21/12/2010
