Sir John Hayes

Britain is becoming harder to govern. That is not principally the result of disruptive, destabilising societal change, or even because an increasingly complicated world is creating more uncertainty for all Governments; the problem lies in governance itself. The Prime Minister complains that when he pulls levers in Downing Street, they have less practical effect than he had hoped. Simon Case, on leaving office, put that very clearly. He said that “an increasing number of English devolution settlements, independent quangos and arm’s length bodies, courts, statutory consultees and the like, block the path from what a winning political party promises at an election to what it can then achieve in power.” Successive Governments have delegated power to all kinds of unelected, unaccountable bodies, from the Office for Budget Responsibility to Network Rail, the Environment Agency to all kinds of other quangos, the names of which we barely know—and neither do we know how their memberships are chosen or to whom they are accountable. It is time for a more radical programme than this King’s Speech offers. It is time for Parliament and Government to be more confident about the difference that they can make. The Secretary of State, in opening the debate, talked about economic resilience, and he was right to do so. It is absolutely right that in the age in which we live we need to build greater national economic resilience. But that means facing up to the fact that we manufacture too little of what we consume and we grow too little of the food we need to feed the nation. The sort of economic resilience that he describes requires us to look again at the balance of payments. It is said that Harold Wilson, the then Labour Prime Minister, lost the 1970 election against expectations because there were bad balance of trade figures. No one now speaks of the balance of trade, yet the truth is that we import far more than we did then. In the mid-1980s we grew about 75% of the food we consumed; the import figure is now 40%. It is preposterous that we have lengthened supply lines and, as a result, decreased traceability. We do not really know where much of what we consume is made, or how or by whom it is made. In the far east, there are all kinds of unacceptable conditions that would not be tolerated in this country, and yet we still choose to import large amounts of those kinds of goods. If we really want to build more national economic resilience, let us have a fresh look at the character and shape of our economy. To do that, we will also need to look at productivity. As the Father of House described, it is not good enough for Government to spend endlessly without looking at the value they get from that expenditure. We know that both public sector and private sector productivity has stalled for a considerable time. That is not unique to this country; it is a problem for the whole of western Europe and most modern economies. None the less, we need new measures to focus on productivity, so that what we get for what we spend becomes the issue, not how much we spend as a whole.