The Labour Party Manifesto 2010

The Labour Party Manifesto 2010

A future
fair for all

labour.org.uk/manifesto


Contents
Foreword Introduction Securing Britain’s future
from Gordon Brown

Rebuilding our economy

Chapter 1 1:1 Chapter 2 2:1
Growth: Living standards:
Building the high-growth Prosperity for all not
economy of the future just a few

Protecting public services and strengthening society

Chapter 3 3:1 Chapter 4 4:1 Chapter 5 5:1
Education: Health: Crime and immigration:
Excellence in education: World-leading Strengthening our
every child the chance healthcare: a patient- communities, securing
to fulfil their potential centred NHS our borders

Chapter 6 6:1 Chapter 7 7:1 Chapter 8 8:1
Families and older Communities and A green recovery:
people: creative Britain: A green future
Supporting families Creative Britain: for Britain
throughout life active and flourishing
communities

A new politics

Chapter 9 9:1 Chapter 10 10:1
Democratic reform: A global future:
A new politics: renewing Meeting the challenges
our democracy of the new global age
and rebuilding trust

50 steps to a fairer future for all 11:1

0:1


Foreword from Gordon Brown
This General Election is fought as our troops This is a Manifesto about the greater progressive
are bravely fighting to defend the safety of the change we need because of the tougher times we
British people and the security of the world in are living through. There are no big new spending
Afghanistan. They bring great pride and credit commitments, but there is a determination for
to our country: we honour and will always every penny to be used wisely, and, as present
support them. plans make clear, to give the maximum protection
to frontline public services.
At the same time the world has been rocked by the
first great crisis of the new global economic age. This is a moment to show greater boldness in
response to what Britain has gone through and
In Britain, the political crisis caused by expenses
the toll it has taken. We reject a ‘business as usual’
has undermined the bond of trust between the
mentality because we have to re-build and re-
people and the politicians elected to serve them.
balance the economy, as well as renew our society
So this cannot, and will not, be a ‘business as and politics. Reform cannot stand still – not least
usual’ election or Manifesto. In this Manifesto we because we need to get more value and delivery
set out plans to address the main future challenges from public services in a period of public spending
we face in our economy, our society and our constraint. Our Manifesto charts an optimistic
politics. We will rebuild the economy to secure course in tougher economic times. It builds on and
the recovery and invest in future growth and jobs. takes forward the reforms we have undertaken
We will renew our society to further strengthen since 1997.
the communities that bind our country together.
I love Britain and want the very best for our
And we will restore trust in politics with greater
country. This Manifesto is my pledge of a future
transparency and accountability in a system
fair for all.
battered by the expenses scandal.
This programme for further national renewal
meets the big challenges of the age. Our
Manifesto is ambitious but affordable, bold but Gordon Brown
realistic, and learns from the lessons we take from Prime Minister
our experience to date. Over the next ten years we
will confront major challenges - intensive global
competition, climate change, an ageing society,
and bringing stability to Afghanistan. This is a
moment for good judgement and serious purpose
to meet the challenges ahead.
Our aim is a modern, progressive Britain based on
fairness, respect, decency and openness.

0:2


Introduction
The argument of this Manifesto to the world as it was then. Parliament properly accountable.
is that to deliver a future fair We changed our party so that
In all these decisions, we offer
for all we need to rebuild our it connected to the hopes and
progressive solutions in tough
economy, protect and reform aspirations of the British people.
times. We do not measure the
our public services as we We changed our country because
boldness of our programme by
strengthen our society and we rejected the philosophy
how much we spend but the
renew our politics. We, Labour, of the 1980s which said that
results we achieve. By taking
are the people to carry out this government should just get out
hard decisions, being guided at
next stage of national renewal of the way and that we were in it
all times by a sense of fairness,
because of our values and just for ourselves.
we believe that we can continue
our understanding of the role
We are proud of our record to advance towards the good
of government: to stand by
but today we are running for society in which we believe.
ordinary people so they can
the future. We have to address
change their lives for the better. There is a big choice at this
a world that is very different
It is our belief that it is active, election about whether we
now, with major new challenges
reforming government, not confront these challenges and
we must confront: fighting for
absent government, that helps build the kind of economy,
our economic future in a tough
make people powerful. society and politics we believe
competitive world, tackling
in, or duck them. But to be able
We are proud of our country climate change, improving
to meet these future challenges,
and the way it has changed public services amidst financial
there are some immediate
since 1997. It is just too easy to constraint, confronting the
decisions we need to get right
forget. Our public services were reality of international terrorism,
now. Above all, we need to
a byword for decline; today they adjusting to an ageing society
secure the economic recovery.
have been transformed. Our so people can live longer and
Get it right and we can go on to
large cities were reeling from two happier lives, and restoring trust
build a strong economic future.
savage recessions; today, despite in politics.
Get it wrong and we will slip
the global economic crisis, they
The global financial crisis back into recession.
have a renewed prosperity and
shows we need to be bolder
civic pride. People were paid Labour believes we must
about reforming our financial
£1 an hour; today the minimum not put the recovery at risk
markets and building our
wage and tax credits provide by reckless cuts to public
economic future on fairer, more
the dignity of a living income. spending this year.
solid foundations. To build on
The welfare state simply did
success in our public services, From the autumn of 2008,
not understand working women
we need to protect investment big calls had to be made. We
and families. Today, with family-
in the front line and also be bold nationalised Northern Rock,
friendly working and better
about putting citizens genuinely protected people’s savings, cut
childcare it has at last begun to
in control. And we must be VAT to stimulate our economy,
do so.
bold reformers of our politics: put in place job guarantees to
These changes happened seizing this once in a generation get people back to work, and
because we applied our values opportunity to make our stepped in to stop repossessions.

0:3


It is working. The banking confidence to allow a return to fair way with a combination of a
system has been stabilised. the same old ways. There is a return to economic growth, cuts
Our economy is showing desire not simply to correct for to lower priority programmes
signs of returning to growth. what went wrong, but to seize the and fair tax rises. Responsibility
Unemployment has, so far, risen opportunity to build anew. at the top means people paying
by over 500,000 less than people their fair share and we believe
Financial services have been an
expected this time last year. it is right that those with the
essential job creator in Britain
Repossessions are at around half broadest shoulders bear the
and will continue to be so. But
the level of the 1990s. greatest burden of paying down
our financial institutions left to
the deficit.
The question at this election is themselves have undermined
whether people think the choice our economy. We are enacting Labour believes we should
we made was the right one sweeping banking reform to protect frontline spending
and whether we use the power prevent a repeat of the past; on childcare, schools, the
of government to help sustain ensuring new support for the NHS and policing, and
recovery, or allow it to be snuffed high-tech industries of the reform our public services
out. Every government of the future, such as green industries; to put people in control.
major developed economies – of and taking action to forge a
Millions of people working in
Left and Right – recognises the new culture of long-termism in
our public services embody the
need to support the economy business.
best values of Britain, helping
while growth is still fragile. We
It isn’t markets or governments empower people to make the
will not cut spending this year,
that create wealth – people do, most of their own lives while
but instead support the economy
through their own effort and protecting them from the risks
to ensure recovery is established.
hard work. So we will do more they should not have to bear
Labour believes we should to support enterprise and to help on their own. Just as we need
rebuild our economy in new those who want to build up a to be bolder about the role of
ways: with more high-tech business and get on in life. Those government in making markets
business, fairer rewards who can work must do so and it work fairly, we also need to be
and responsibility from all, needs to be properly valued. We bold reformers of government.
including at the top. will end for good the concept of
For a decade we have combined
a life on benefit by offering all
The world changed out of all investment and reform and
those unemployed for more than
recognition in 2007 with the improved our public services.
two years work they must accept,
onset of the global economic Now we need to rise to the
and we will make work pay better
crisis. Major British banks, the challenge of achieving even
with the goal of a minimum wage
custodians of our savings and higher standards in a period of
rising at least in line with average
livelihoods, ran out of money constrained resources. We will
earnings and a guarantee that
because of the recklessness of drive forward our programme
people will be better off in work
those in charge. This Manifesto to strip out all waste, improve
than on benefit.
makes the case that there should efficiency and get the most out of
be no return to business as usual. As we more than halve the fiscal every pound spent. We recognise
People have suffered too much deficit over the next four years, that investing more in priority
with their jobs, livelihoods and we will ensure that we do so in a areas will mean cutting back in

0:4


others. Above all we will build fathers will have more time off In 1997 New Labour met the
public services that are more to spend with their kids. There call of national renewal. In
personal to people’s needs: with will be greater protection for the our politics and economy over
clear guarantees about standards, local institutions people value, the last 18 months, we have
the best providers taking over like local post offices and pubs. witnessed seismic events. In this
others where they don’t make In everything we do, we will election, the first of the post-crisis
the grade, and with new ways demand the responsibilities that era, we stand as the people with
of organising services such as must come with rights: to work the experience, values and ideas
mutuals. when you can, not to abuse your to help our country through the
neighbour or neighbourhood, next phase of national renewal.
In health, this means if we don’t
to show respect for Britain as a
meet our guarantees, for example This task has always relied
newcomer, to pay your fair share
on waiting lists, the NHS will fund on optimism. Our principle
of tax.
you to go private. In education it opponents, the Conservatives,
means that if the local school is Labour proposes radical offer a fundamentally pessimistic
underperforming it will be taken reform of our democracy to vision of national decline: about
over; and parents who believe reconnect politics to the people Britain today and in the future.
their school is not good enough it should serve. Just as the global Their only real prescription for
can trigger a ballot to change the economic crisis was a shock the good society is a smaller
leadership. And in policing, where to our economic system; the state and the decisions they seek
communities are being let down expenses crisis created turmoil in to make for our country would
by forces we will enable them to our political system. It revealed favour the privileged few over
be taken over by others. not just unacceptable behaviour the many. They would isolate
by some MPs but also that our Britain, cutting us adrift from the
Labour will strengthen
closed political system had lost alliances and influence that will
our society, by protecting
touch with people. Once again, enable us to succeed as a country.
the things people value
the response cannot be to try and
and demanding rights and This is a Manifesto that
return to business as usual.
responsibilities from all. is idealistic about what is
We need fundamental reform possible but realistic about
Our society is not broken; it is
of our politics to make it more how to achieve it. This is not
strong in many different ways. But
accountable. We will let the a conservative moment. It is a
it is changing fast. Changing with
people decide how to reform progressive moment. We speak
immigration, changing as people
our institutions and our politics: for the ordinary people of this
move more frequently, as young
changing the voting system and country who work hard, want
people grow up more quickly and
electing a second chamber to their kids to do better than
older people live longer.
replace the House of Lords. But them, and worry about the
We will protect the things we will go further, introducing economic, environmental and
people value: families, strong fixed-term parliaments, banning social challenges we face. We
communities, local institutions. MPs from paid second jobs are on their side, it is their voice,
We will create a new settlement in that pose a conflict of interest, needs and hopes that shape this
our country on how we care for and providing for a free vote programme.
the elderly through the creation in Parliament to widen the
of a National Care Service, and franchise to 16 and 17 year olds.

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Securing Britain’s future
The plans set out in this Manifesto take full account of the fiscal position we face. We will protect
frontline public services while meeting our commitment to halve the deficit over the next four years.

We are now emerging from the global financial crisis. It has had a lasting effect on tax receipts, here
in the UK and across the world. We are sticking to our spending plans this year so that support for
families and businesses remains as we secure the recovery. But from 2011-12, as growth takes hold,
spending will be tighter.

The Manifesto reflects the tough choices that we will make to secure Britain’s future in a way that is
fair to all:

• Tough choices for £15 billion efficiency savings in 2010-11.
• Tough choices on cutting government overheads: £11 billion of further operational
efficiencies and other cross-cutting savings to streamline government will be delivered
by 2012-13.
• Tough choices on pay: action to control public-sector pay including a one per cent
cap on basic pay uplifts for 2011-12 and 2012-13, saving £3.4 billion a year, and new
restrictions on senior pay-setting. Tough decisions on public sector pensions to cap the
taxpayers’ liability – saving £1 billion a year.
• Tough choices on spending: £5 billion already identified in cuts to lower priority
spending.
• Tough choices on welfare: our reforms will increase fairness and work incentives,
including £1.5 billion of savings being delivered.
• Tough choices on assets: £20 billion of asset sales by 2020.
• Tough choices on tax: a bonus tax, reduced tax relief on pensions for the best off,
a new 50p tax rate on earnings over £150,000 and one penny on National Insurance
Contributions.

0:6

Building the high-growth economy of the future

Growth


Growth

The challenge for Britain The engine of growth is private
enterprise: we will give business
our full support in creating
To secure the recovery and learn the right lessons wealth and jobs. Strong and
from the global economic crisis, laying the foundations sustained growth is fundamental
for sustained growth: reforming banks, modernising to a credible strategy for
infrastructure, and as we pay down the deficit, keeping the public finances on a
providing the right support to the private sector to stable long-term footing.
build a diverse, high-tech industrial economy. The Tories
would threaten recovery with cuts this year, and fail to To be successful, business
invest in our economic future. needs stability, but to achieve
stability after the seismic shock
The next stage of national renewal of the global banking crisis, the
governance of our economic
• Secure the recovery by supporting the economy
and financial institutions must
now, and more than halve the deficit by 2014 through
be radically reformed.
economic growth, fair taxes and cuts to lower priority
spending.
And to support business
• Realise our stakes in publicly controlled banks to secure in securing prosperity for
the best deal for the taxpayer, introduce a new global future generations, an activist
levy, and reform the rules for banking to ensure no industrial strategy is needed:
repeat of past irresponsibility. learning the lessons from those
nations that have succeeded
• Create UK Finance for Growth, bringing £4 billion
in developing advanced
together to provide capital for growing businesses,
manufacturing and leading-
investing in the growth sectors of the future.
edge service industries. In
• Build a high-tech economy, supporting business and these countries the role of
industry to create one million more skilled jobs and government is not to stand
modernising our infrastructure with High Speed Rail, a aside, but to nurture private-
Green Investment Bank and broadband access for all. sector dynamism, properly
supporting infrastructure and
• Encourage a culture of long-term commitment to
the sectors of the future.
sustainable company growth, requiring a super-majority
of two-thirds of shareholders in corporate takeovers.
Securing the recovery
We have taken the tough
As the economy steadily creating infrastructure and
decisions to get Britain through
recovers, there will be no return enterprise, accompanied by the
the downturn. We have done
to business as usual: financial diversification of our industrial
so with fairness in mind: we
institutions cannot continue the base, Britain will not emerge
have not allowed the recession
practices of the past. Radical from the recession ready for a
created by the financial crisis
change is needed. Without stronger, fairer future.
to become a depression, or
long-term investment in wealth-

1:3

Growth

stood aside and allowed grave this through a combination of: deficit reduction plan and to
damage to be inflicted on our fair tax increases; a firm grip sustain the services that matter
society as it was in the 1930s on public spending including most to families.
and 1980s. The Tories argue cuts in lower-priority areas;
that public spending should and strategies for growth that We will not raise the basic,
be cut immediately, but this increase tax revenues and higher and new top rates of
position is out of step with every reduce spending on benefits. tax in the next Parliament and
other G20 government, right Over the next Parliament the we renew our pledge not to
or left. If governments do not structural deficit will be cut by extend VAT to food, children’s
provide support when families more than two-thirds. clothes, books, newspapers
and businesses most need help, and public transport fares. We
growth is set back, jobs are The huge global recession and will maintain tax credits, not
lost, and the country builds up our efforts to counter it have cut them. And we have made
more debts – paying a higher required us to make tough our choice to protect frontline
price in the future. To cut now choices, including on tax. We investment in childcare and
would push the economy back have made our choice in ways schools, the NHS and policing.
into recession, not reducing the that put the greatest burden
deficit but increasing it. on those with the broadest Tough choices
shoulders. Bankers have
On public spending, we will be
We will continue to support faced a bonus tax, tax relief
relentless in making sure that
the economy while growth is on pensions for the best off
the public gets value for money
still fragile, sticking with our will be reduced, and we have
for every pound spent. We
targeted increase in public introduced a new 50p tax rate
will overhaul how government
spending over the next year to on earnings over £150,000. As
works: cutting back-office
sustain the recovery. Our focus part of our plan to ensure we
and property running costs;
for the stimulus is strategic protect frontline services while
abolishing unnecessary arms-
investment, putting in place halving the deficit over four
length-bodies; sharply reducing
the new digital, transport and years, we have announced that
spending on consultancy
energy infrastructures that National Insurance will rise by
and marketing; and cutting
will support the return to one penny. This will not happen
lower-priority spend. We have
sustainable growth. until next year, once growth
already shown in Budget 2010
is firmly established. This is
how these steps will help us to
Deficit reduction and fiscal the fairest way to protect key
achieve savings of £20 billion
sustainability frontline services. Our National
a year by 2012-13, on top of
Insurance changes will mean
Once the recovery is secure, the £15 billion savings that are
that no-one earning under
we will rapidly reduce the being delivered this year.
£20,000, or any pensioners,
budget deficit. We have set out
will pay more. It is fairer than
a clear, balanced and fair plan We will take a tough stance
alternative options like VAT –
to more than halve the deficit on public-sector pay, saving
which we have not increased
over the next four years and we over £3 billion by capping
since 1997. Our commitments
will stick to it. We will achieve public-sector pay rises at
allow us credibly to deliver our

1:4

Growth

one per cent in 2011-12 and banking system must support If there is evidence of bonus
2012-13. We have agreed domestic businesses, including rules being evaded, we will act.
tough reforms to public-sector start-ups and entrepreneurs,
pensions, which will make as well as mortgages. We have We will ensure greater
significant savings and ensure agreed lending targets with those competition in the banking
that pensions for the public- banks in which we have a stake, sector, breaking up those banks
sector workforce are secure and and there will be consequences in which the Government
sustainable in the long term. for executive remuneration if currently has a controlling stake.
Any government-controlled targets are not met. The proposed Office of Fair
appointment involving a salary Trading review into how City
over £150,000 will require Learning the lessons of the markets operate is welcome.
ministerial sign-off. Savings crisis means ensuring that far We value the role of building
from our tougher approach will greater responsibility is taken societies owned by their
help realise a fair rate of pay for risk in the boardroom. We customers and the strength and
for all those working for central will compel banks to keep more diversity that a healthy mutual
government. capital and create ‘living wills’ sector brings to our financial
so that should they fail there services, and we will consult on
As we prepare for the upturn, will be no danger of that failure measures to help strengthen
fiscal responsibility and spreading. Because the banking the sector. As one option for
monetary stability will be the crisis demonstrated the global the disposal of Northern Rock,
foundations on which we build. nature of financial instability, we will encourage a mutual
We have made the new fiscal we will continue to work with solution, while ensuring that the
responsibility framework legally our international partners to sale generates maximum value
binding, and we will maintain require all banks to hold more for money for the taxpayer.
our inflation target of two per and better-quality capital,
cent so that mortgage rates can to ensure counter-cyclical Rebuilding our industrial
be kept as low as possible. protection, and to introduce a base: new industries, new
global levy on financial services jobs, new knowledge
Rebuilding our banking so that banks across the world
Britain is the sixth largest
system contribute fairly to the society in
manufacturing economy in the
which they are based.
The international banking world. Because of substantial
system played a key role in investment since 1997, the UK
In the UK the new Council for
fuelling the most severe global has an excellent research base
Financial Stability will monitor
recession since the Second and is already strong in some
and help address asset bubbles
World War. We are determined world-leading sectors. But if we
and financial imbalances. We
to support our financial make the right decisions as a
will give the FSA additional
sector and for it to be a major country in the coming years –
powers if necessary to
employer and wealth creator, through a new industrial policy,
constrain and quash executive
but there will be no return to stronger infrastructure and a
remuneration where it is a
the excesses of the past – banks renewed partnership between
source of risk and instability.
will face tighter regulation. The business and government – we

1:5

Growth

can be leaders in the emerging – a lower rate of corporation emerging markets of China,
industries of the future. tax to encourage UK-based India and Brazil.
innovation – supporting the
After the financial crisis, we will UK’s strengths in new industries We must seize the opportunity
ensure that growing companies and sectors. to develop education, in
can access the investment they particular higher education,
need to expand. Finance must Investing in science and as a great export business.
be at the service of industry, research Universities will be encouraged
as new public channels are to develop international links
Britain is among the best places
built to deliver private funds and research partnerships, and
in the world to do science,
to innovative and fast-growing we want the Open University
having massively increased
companies. The new UK and learndirect to reach the
investment in research and
Finance for Growth Fund will global market in distance
development as a proportion
bring together a total of £4 learning. We will develop a
of national income. We are
billion of public funds and new gateway for the export of
committed to a ring-fenced
combine it with private money NHS intellectual property and
science budget in the next
to channel equity to businesses cutting-edge services.
spending review. To help us
looking to develop and grow.
do better in turning research
Within this, the Growth Capital Restoring full employment
outputs into innovation,
Fund will focus on SMEs
we will provide focused We expect our growing
which need capital injections of
investment for Technology and economic and sectoral
between £2 and £10 million,
Innovation Centres, developing strengths to create at least one
while the Innovation Investment
technologies where the UK has million skilled jobs by 2015.
Fund will focus on the needs of
world-leading expertise. These jobs of the future will
high-tech firms.
increasingly come from the
We will also support university new growth sectors in which
Business investment in physical
research through the Higher we are investing – low-carbon,
capital will play a key role in
Education Innovation Fund, digital and creative industries,
a balanced and sustainable
and through the development life sciences – and professional
recovery. The Strategic
of a new University Enterprise services in business, healthcare
Investment Fund is supporting
Capital Fund. The proceeds of and education.
important new investment in
success will flow back into the
the nuclear and renewables
higher education sector. There will be greater prosperity
industries. We will provide
for every region of the UK
incentives for companies to
As we create a more diverse economy. A regional growth
invest through R&D tax credits,
economy, we will strengthen fund will be established by
and protect and increase the
support for exporters to help the Regional Development
size of capital allowances that
us increase our market share Agencies with regional ministers
help to grow key sectors such as
with our traditional markets in given an enhanced role, and we
manufacturing. We will ensure a
Europe and the United States, will help our core cities and city
competitive regime through the
while breaking further into the regions to become powerhouses
development of the patent-box

1:6

Growth

of innovation and growth, with We will also create a new Small establish a Green Investment
a major devolution of power to Business Credit Adjudicator Bank to invest in low-carbon
shape local transport and skills. with statutory powers ensuring infrastructure, with the
that SMEs are not turned down Government’s stake funded by
Championing an enterprise unfairly when applying to banks the sale of infrastructure assets.
economy for finance. The Government will seek to
match its contribution with at
At the heart of our approach
We will help to create a new least £1 billion of private-sector
to building a strong and fair
generation of entrepreneurs, investment.
Britain is a commitment to
ensuring that those studying
support enterprise. We will The newly formed
for vocational skills are offered
back those who want to get Infrastructure Planning
the opportunity to learn how to
on, work their way up, and Commission will – within a
start and run a business, while
generate wealth. We will keep democratically determined
the Flying Start programme
business taxation competitive framework – help streamline
will do the same for final-year
at the same time as we increase and speed up decision-making
university students.
capital allowances to encourage on major projects. We now
investment. propose to extend the public
We will continue to simplify
interest test so that it is
regulation and avoid
There is no substitute for applied to potential takeovers
unnecessary red tape. If it is
the drive and ambition that of infrastructure and utility
used correctly, regulation can
entrepreneurs bring. We will companies.
help drive innovation, as well as
support small businesses and
protect workers and consumers.
help with their cash flow by Broadband Britain
We will seek to reduce the costs
continuing our Time to Pay
of regulation by more than Britain must be a world
scheme that has already –
£6 billion by 2015. leader in the development of
through tax and NICs deferral
broadband. We are investing
– helped thousands of firms;
21st Century in the most ambitious plan of
offering a one-year holiday
infrastructure any industrialised country to
on business rates for small
ensure a digital Britain for all,
businesses; widening support for The key to creating the
extending access to every home
training and apprenticeships; industries of the future
and business. We will reach the
and in recognising the special is renewing the national
long-term vision of superfast
contribution of entrepreneurs infrastructure on which
broadband for all through a
we are doubling the firms rely. To ensure Britain’s
public-private partnership
Entrepreneurs Relief lifetime infrastructure needs are
in three stages: first, giving
limit to £2 million. properly resourced, we will
virtually every household in the
work in partnership with
country a broadband service of
the private sector, reforming
at least two megabits per second
the regulation of energy to
by 2012; second, making
improve incentives for the
possible superfast broadband
private sector to invest. We will
for the vast majority of Britain

1:7

Growth

in partnership with private from the West Midlands to prevent such bids benefiting
operators, with Government London will be as little as passengers and taxpayers.
investing over £1 billion in the 31 minutes. We will consult fully
next seven years; and lastly on legislation to take forward Tackling road congestion is a
reaching the final ten per cent our high-speed rail plans within key Labour priority. We will
using satellites and mobile the next Parliament. extend hard-shoulder running
broadband. on motorways, alongside
High-speed rail is not just targeted motorway widening
Because we are determined about faster journey times. including on the M25. Too
that every family and business, It will free up capacity on much disruption is caused
not just some, should benefit, existing intercity rail lines, by local road works: we will
we will raise revenue to pay enabling more rail freight, increase tenfold the penalties
for this from a modest levy commuter and local services on utilities who allow work
on fixed telephone lines. And We will press ahead with a to overrun. We rule out the
we will continue to work with major investment programme introduction of national road
business, the BBC and other in existing rail services, hugely pricing in the next Parliament.
broadcasting providers to improving commuter services
increase take-up of broadband into and through London, Heathrow is Britain’s
and to ensure Britain becomes a and electrifying new rail-lines international hub airport,
leading digital economy. including the Great Western already operating at full
Main Line from London to capacity, and supporting
Rebuilding our transport South Wales. We will complete millions of jobs, businesses and
infrastructure the new east-west Crossrail line citizens who depend upon it.
in London adding ten per cent We support a third runway
Britain needs to invest in
to London transport capacity. at Heathrow, subject to strict
modern, high-capacity and low-
conditions on environmental
carbon transport infrastructure.
Rail passenger numbers impact and flight numbers, but
At the heart of our growth
have increased by 40 per we will not allow additional
plan is the commitment to
cent in the last ten years and runways to proceed at any other
a new high-speed rail line,
punctuality and quality of airport in the next Parliament.
linking North and South. Built
service are improving steadily.
in stages, the initial line will
We will encourage more Through our investment,
link London to Birmingham,
people to switch to rail with Labour has put Britain at the
Manchester, the East Midlands,
an enforceable right to the forefront of electric and low-
Sheffield and Leeds, and then
cheapest fare, while trebling carbon vehicle manufacturing.
to the North and Scotland.
the number of secure cycle- To promote the rapid take-up
By running through-trains
storage spaces at rail stations. of electric and low-carbon
from day one, cities including
We will welcome rail franchise cars, we will ensure there
Glasgow, Edinburgh, Newcastle
bids from not-for-profit, mutual are 100,000 electric vehicle
and Liverpool will also be part
or co-operative franchise charging points by the end of
of the initial network. Journey
enterprises and will look to the next Parliament.
times will be slashed – those
remove unfair barriers that

1:8

Growth

Corporate governance There should be a higher
reform threshold of support – two-
thirds of shareholders – for
To build strong businesses
securing a change of ownership
we need skilled managers,
and the case for limiting votes
accountable boards, and
to those on the register before
committed shareholders
the bid should be examined.
– all with a culture of long-
term commitment. We will
Creating a shareholding
strengthen the 2006 Companies
society
Act where necessary better
to reflect these principles. We want Britain’s workers to
The UK’s Stewardship Code have a stake in their company
for institutional shareholders by widening share ownership
should be strengthened and and creating more employee-
we will require institutional owned and trust-owned
shareholders to declare how businesses. We want to see
they vote and for banks to put a step change in the role of
their remuneration policies employee-owned companies in
to shareholders for explicit the economy, recognising that
approval. many entrepreneurs would
like to see their companies in
Too many takeovers turn out the hands of their employees
to be neither good for the when they retire. We will review
acquiring company or the firm any outstanding barriers to the
being bought. The system needs formation of more employee-
reform. Companies should be companies like the John Lewis
more transparent about their Partnership.
long-term plans for the business
they want to acquire. There
needs to be more disclosure of
who owns shares, a requirement
for bidders to set out how
they will finance their bids
and greater transparency on
advisers’ fees.

1:9

Prosperity for all not just a few

Living standards


Living standards

The challenge for Britain In today’s world, every worker
needs to be able to upgrade
their skills in order to get on. As
To grow together as a country, rewarding those who
well as good career prospects,
work hard so they can do well and look after their
people want to know that their
families: returning Britain to full employment, enabling
living standards and quality
people to get higher-paid and better jobs, and widening
of life will improve. So we
access to home ownership. The Tories have no plan for
will enable more people to get
fairness; their decisions would make our society more
on the housing ladder; offer
unequal and unjust.
a helping hand to build up
savings; and secure a fair deal
The next stage of national renewal
with the banks to strengthen
• 200,000 jobs through the Future Jobs Fund, with a job or people’s personal finances.
training place for young people who are out of work for
six months, but benefits cut at ten months if they refuse A modern welfare state
to take part; and anyone unemployed for more than two for all
years guaranteed work, but no option of life on benefits.
We will build a personalised
• A National Minimum Wage rising at least in line with welfare system that offers
average earnings, and a new £40-a-week Better Off in protection for all those who
Work guarantee. need it, increases people’s
control over their own lives, and
• More advanced apprenticeships and Skills Accounts for
is clear about the responsibilities
workers to upgrade their skills.
owed to others. Getting more
• No stamp duty for first-time buyers on all house people into employment
purchases below £250,000 for two years, paid for by a increases tax revenues and
five per cent rate on homes worth more than £1 million. reduces spending on benefits.
Our intensive help for people
• A People’s Bank at the Post Office; a Universal Service
out of work – starting from
Obligation on banks to serve every community; a
day one – has already kept
clampdown on interest rates for doorstep and payday
unemployment more than half
loans.
a million lower than predicted
during the recession, saving
As the British economy returns Our job guarantees will
£15 billion over the next five
to growth, we will ensure that put an end to long-term
years.
everyone who is willing to unemployment and a life on
work shares fairly in renewed benefits. No one fit for work
We are determined that no-one
prosperity. We will support the should be abandoned to a life
should be scarred for life by
recovery so that we see a swift on benefit, so all those who can
joblessness. No young person
return to full employment, with work will be required to do so.
in Britain should be long-term
more chances to get on at work At the same time, we believe
unemployed: those out of work
and a fair distribution of growth that people should be able to
for six months or more will
throughout Britain. earn enough to live and be
be guaranteed employment
better off than on welfare.

2:2

Living standards

or training through the £1 radically reforming how Job Departments, within their
billion Future Jobs Fund, with Centre Plus helps lone parents: allocated budgets, to follow
mandatory participation after providing extra help with the lead of those who already
ten months. The fund will childcare, training and support pay the Living Wage. This will
support 200,000 jobs. All those to find family-friendly work, be supported by measures to
who are long-term unemployed while requiring those with address high pay in the public
for two years will be guaranteed children aged three to take steps sector - reducing pay-bill
a job placement, which they will to prepare for work and actively pressure in the years ahead.
be required to take up or have to seek employment once
their benefits cut. their youngest child is seven To ensure that work pays,
years old. we will guarantee that when
More people with disabilities someone who has found it
and health conditions will Our goal is to make difficult to get into work comes
be helped to move into work responsibility the cornerstone off benefits, their family will
from Incapacity Benefit of our welfare state. Housing be at least £40 a week better
and Employment Support Benefit will be reformed to off. This is our Better Off in
Allowance, as we extend the ensure that we do not subsidise Work guarantee: together the
use of our tough-but-fair work people to live in the private National Minimum Wage and
capability test. This will help to sector on rents that other tax credits should always make
reduce the benefit bill by £1.5 ordinary working families could work pay. And we will consult
billion over the next four years. not afford. And we will continue on further reforms to simplify
We will reassess the Incapacity to crack down on those who try the benefits system and make
Benefit claims of 1.5 million to cheat the benefit system. sure it gives people the right
people by 2014, as we move incentives and personal support
those able to work back Making work pay to get into work and progress in
into jobs. their jobs.
The National Minimum
Wage is one of our proudest
For those with the most serious We want everyone to have
achievements. It protects
conditions or disabilities who better prospects in work.
and sustains millions of low-
want to work there will be a We will give the Low Pay
paid workers. To ensure that
new guarantee of supported Commission additional
the lowest paid share fairly
employment after two years on responsibilities to report
in rising prosperity, the Low
benefit. We will seek to ensure on productivity and career
Pay Commission’s remit will
that disabled people are able to progression in low-skilled, low-
have the goal of the National
lead dignified and independent paid sectors, bringing together
Minimum Wage rising at least
lives, free of discrimination and representatives from the
in line with average earnings
with the support to which they business community and social
over the period to 2015.
are entitled. partners.
To underline our commitment
The lone parent employment
to helping the lowest paid
rate has increased by over 12
we will ask all Whitehall
per cent since 1997. We are

2:3

Living standards

Getting ahead: investing Improving your living Fairness at work
in you standards
We will strive to ensure fairness
As we restore full employment Our aim is to put more wealth at work for all employees,
to the British economy, we in the hands of the British continuing our crackdown
will seek to make work more people. We have done all we on exploitative gang-masters
fulfilling and secure. That can to keep mortgage rates and rogue employers. In all
means helping people to low – at 0.5 per cent during sectors the law must be upheld,
improve their skills. this recession compared to 15 properly enforcing safety and
per cent in the 1990s – and employment rights, and tackling
We have rescued the will continue to do so in the tax avoidance. We will extend
apprenticeship system future. The direct tax and the licensing approach to labour
supporting more than 250,000 benefit measures introduced providers in the construction
places a year, and we will since 1997 mean that in 2010- industry if the evidence
now expand technician-level 11, households will be £1,450 shows that is the best way to
apprenticeships to ensure a year better off on average. A enforce employment rights. We
Britain has the skills it needs for family with one child and one have strengthened HMRC’s
the future. person working full time will enforcement of the minimum
have a minimum income of wage. In future it will co-
We have legislated for a right £310 a week in October 2010 - operate more closely with local
to request time for training 27 per cent higher in real terms authorities to enforce minimum
and will continue to invest in than in 1999. Tax credits will be wage legislation. We are
workplace training through increased not cut. enacting the Agency Workers
Train to Gain. New Skills Directive to offer additional
Accounts will enable every As family budgets are under protection to agency workers in
worker to make choices that greater pressure, we will do relation to pay and conditions.
drive improvement and quality more to help people with the
in the skills system. Accounts cost of living. Council Tax New legislation and the
will help learners know what increases have fallen to their Equality and Human Rights
training they are entitled to, the lowest ever rate and we expect Commission will ensure that
level of funding available and them to stay low. There will people are not held back at
the benefits of training for their be more help with energy bills work because of their gender,
careers. But good work is about through the Social Tariff and age, disability, race and
more than just skills. Stronger Winter Fuel Payments, and we religious or sexual orientation.
employee engagement improves will work with the regulator to The new Equality Act will be
innovation and productivity: we promote greater competition enforced, promoting fairness
will continue to promote more and diversity in the supply across our society. The public
effective employee engagement of energy to ensure falling duty to promote equality of
in the workplace. wholesale prices get passed onto opportunity is being extended.
households in lower bills. We will encourage employers to
make greater use of pay reviews
and equality checks to eliminate

2:4

Living standards

unfair pay gaps, including Our highly popular Home Buy buy. We believe local authorities
inequalities in pay between men Direct scheme will continue. should be able to play their
and women. We will work with Housing part in providing social
Associations to develop a new housing in the future; and we
Modern trade unions are an form of affordable housing will reform the council house
important part of our society targeted at working families on financing system to enable
and economy, providing modest incomes who struggle local authorities to maintain
protection and advice for in the private sector and rarely properties at the Decent Home
employees, and working qualify for social housing. This standard and to build up to
for equality and greater will focus on enabling working 10,000 council houses a year by
fairness in the workplace. We people to rent an affordable the end of the next Parliament.
welcome their positive role in home at below market rates Tenant involvement in the
encouraging partnership and while they build up an management of social housing
productivity. equity stake. properties will be strongly
encouraged.
More home ownership We have acted decisively to
make repossession the last Better housing
Owning your own home is the
resort, helping over 330,000
aspiration of most families. We This Government has led the
families stay in their homes so
want as many people as possible way in making sure that British
that repossessions are running
to share in the benefits of home homes are greener homes
at around half the rate of the
ownership, and to have a stake through our world-leading
early 1990s recession. We will
in an affordable home. That commitment to all new homes
now strengthen regulation to
everyone has access to a decent being zero carbon by 2016
ensure consistent standards
home at a price they can afford and the construction of new
of consumer protection from
is a central Labour ambition. eco-towns, which will have
repossession, making the FSA
the highest standards of green
responsible for the regulation
We will widen home ownership: living yet seen in Britain.
of all mortgages. This means
over 160,000 households have
transferring second charge
been supported into ownership Local authorities now have
loans such as debt consolidation
through government action greater flexibility over the
loans, which are often issued
since 1997. We will exempt allocation of social housing in
by sub-prime lenders, into
purchases below £250,000 order to promote mixed and
the FSA’s tougher regime –
from stamp duty for the next sustainable communities. We
guaranteeing equal protection
two years, benefiting more will guarantee the three million
for homeowners.
than nine out of ten first-time households who rent from a
buyers. This will be paid for by private landlord the right to
We are investing £7.5 billion
increasing stamp duty to five a written tenancy agreement
over two years to 2011 to build
per cent for homes worth more and access to free and impartial
new houses, delivering 110,000
than £1 million. advice; and we will establish
additional energy-efficient,
a new National Landlord
affordable homes to rent or
Register.

2:5

Living standards

We are committed to ending Gateway account for people on banking, we will transform
rough sleeping by 2012, and lower incomes will be available the Post Office into a People’s
we will tackle the problems to over eight million families Bank offering a full range of
faced by homeless people with from July 2010, providing a competitive, affordable products.
multiple needs. We will provide match of 50p for each £1 saved This will help sustain the
homeless 16 and 17 year olds up to a limit of £300. We will network and boost competition
with Foyer-based supported extend this approach even in banking. The universal postal
accommodation and training further, giving a boost to savings service delivered by the Royal
including help with parenting for more people on middle Mail connects and binds us
skills. Once there is enough incomes. To help encourage together as a country. We are
provision to provide universal the savings habit among firmly committed to the 28
coverage we will legislate to young adults, we will develop a million homes and businesses
change the law so that for 16 matched savings account for all across the country receiving
and 17 year olds the right to 18-30 basic-rate taxpayers, as mail six days a week, with the
housing is met solely through set out in the Budget. promise that one price goes
supported housing. everywhere. The Royal Mail
For the next generation we will and its staff are taking welcome
Our regeneration policies protect – not cut – the Child and needed steps to modernise
have transformed previously Trust Fund – the world’s first work practices. For the future,
neglected communities, and universal savings policy for continuing modernisation and
our great cities are among young people, already giving investment will be needed by the
the best in the world. We will 4.8 million children a nest Royal Mail in the public sector.
make savings in regeneration egg for the future. We will
funding and focus on tackling contribute an additional £100 We will introduce a universal
worklessness, transforming the a year to the Child Trust Funds service obligation on retail
prospects of those areas most of all disabled children. banks, so that all consumers
disconnected from the wider with a valid address have a
economy. A new deal on personal legal right to a basic bank
finances account, and a right to redress
Support with saving if this is refused. Banks will
In the post-crisis economy, we
have to publicly report on
We will do more to support will fight for consumers and
the extent to which they are
saving and spread wealth across stand up to vested interests that
under-serving communities.
more families. The annual treat people unfairly, whether in
And we will introduce a new
limits for Individual Savings the private or public sector. We
levy on the banks to help fund
Accounts have been raised to want a fair deal for all.
a step-change in the scale of
£10,200 and will be index-
affordable lending by third-
linked. The Pension Credit The Post Office has an
sector organisations, including
capital disregard will increase invaluable role to play in
a new partnership with the Post
from £6,000 to £10,000. our communities and in
Office, offering an alternative
serving local businesses. To
to loan sharks and high-cost
The pioneering Savings promote trusted and accessible
doorstep lending.

2:6

Living standards

Over the lifetime of the next
Parliament, as more affordable
lending becomes available, we
will clamp down on the interest
rates and other fees charged
by instant loan companies and
payday or doorstep lenders,
tackling the very high cost
lending that hits low-income
communities hardest. We will
introduce a single regulator
for consumer finance to
restore confidence and trust
with responsibility for the
supervision of all unsecured
lending being passed to the
Financial Services Authority.
And new rules governing how
financial products are sold will
be introduced with a crackdown
on unfair terms in contracts.

Finally, we will seek to promote
competition in high-street
banking by introducing
portable bank account and cash
ISA numbers that stimulate
switching where consumers
are dissatisfied, along with
consistent, easily understood
labelling of financial products.

2:7

Excellence in education: every child the chance
to fulfil their potential

Education


Education

The challenge for Britain because of sustained investment
and reform, it is just one in
twelve, with standards rising
To raise standards, promote excellence and narrow
fastest in disadvantaged areas.
achievement gaps by giving the best school leaders
Nearly 100,000 more children
and federations more schools to run, and by giving
each year leave primary school
parents new rights and clear guarantees of high-quality
secure in reading, writing and
teaching and support for every pupil — underpinned by
maths. School buildings, once
increased spending. The Tories want to gamble with
characterised by leaking roofs
our children’s education, putting school improvement
and second-class facilities, are
at risk and taking away the guarantees of an excellent
being transformed. The quality
education for all.
of teaching is the best ever and
teachers have the status and
respect they deserve.
The next stage of national renewal
• Spending increased on frontline Sure Start and free Frontline spending on Sure
childcare, schools and 16-19 learning. Start, childcare, schools and 16-
19 learning will be increased,
• An expansion of free nursery places for two year olds
safeguarding our priorities
and 15 hours a week of flexible, free nursery education
such as an additional 41,000
for three and four year olds.
teachers and 120,000 teaching
• Every pupil leaving primary school secure in the basics, assistants. But funding will not
with a 3Rs guarantee of one-to-one and small-group rise as fast as in recent years,
tuition for every child falling behind; and in secondary making tough choices necessary
school, every pupil with a personal tutor and a choice of to focus resources on the front
good qualifications. line, with £950m saved through
collaboration and efficiency
• A choice of good schools in every area – and, where
in back office functions and
parents are not satisfied – the power to bring in new
procurement and £500m from
school leadership teams, through mergers and take-
quangos and central budgets.
overs, with up to 1,000 secondary schools part of an
accredited schools group by 2015.
The range and reach of
• Every young person guaranteed education or training innovative school providers will
until 18, with 75 per cent going on to higher education, increase, spreading excellence
or completing an advanced apprenticeship or technician to all schools. We will strive to
level training, by the age of 30. get the best people into teaching
and give parents new rights
Education is the key to personal background or circumstances. to secure good schooling for
fulfilment, economic prosperity their children. Participation
and social mobility. Our goal In 1997, half of our secondary in post-school learning will
is educational excellence for schools were below the basic expand, with more and better
every child, whatever their minimum standard. Now, apprenticeships, improved

3:2

Education

vocational education, and wider greater choice over when people into teaching, from the
access to higher education. children start school. We will most committed graduates
also explore allowing parents to to the highest calibre career
The early years carry over their free hours of switchers. Teach First will be
nursery education from year to extended to attract more of the
Good play-based early learning
year. Childcare vouchers will best graduates into teaching,
gets children off to a flying start,
be retained, with all families including teaching in primary
so that they begin school ready
receiving income tax relief at schools.
to learn and achieve. We have
the basic rate, and childcare
expanded high-quality early
standards will be raised by a We have invested heavily in the
learning and childcare, which
more qualified workforce. professionalism and expertise
also supports parents to work
of the workforce, and will build
when they have young children
We want to strengthen parental on this success with a new right
and improves family living
engagement with Sure Start for every teacher to continuous
standards.
Children’s Centres. Some professional development;
voluntary and third-sector in return they will have to
There are now over 3,500
organisations already run demonstrate high standards
Sure Start Children’s Centres
networks of Centres, and of teaching to maintain their
and every three and four year
we will now pioneer mutual licence to practise. We will
old has access to free nursery
federations running groups of promote new Teacher Training
education, which is rising to
local Children’s Centres in the Academies and £10,000
15 hours a week. Children’s
community interest. ‘golden handcuffs’ to attract
Centres will become the
the best teachers into the most
bedrock of a new national
Excellence for all: every challenging schools.
under-fives service: ‘one-stop
school a good school
shops’, open to all families,
While the number of low-
offering excellent affordable Every parent wants their child
performing schools has
childcare, healthcare and to attend an excellent school –
decreased dramatically, we
parenting advice. The number with the best possible teaching
cannot tolerate any coasting
of free early learning places for and facilities. So for pupils and
or persistently poor schools.
disadvantaged two year olds will parents we will set out in law
Over the last decade, we have
be expanded, on the way to our guarantees of the excellent
developed a cadre of world-class
long-term goal of universal free education and personal support
head teachers, radically opened
childcare for this age group. they can expect.
up our school system to new
providers, and worked with local
Flexible childcare No school can be better than
authorities and school governing
the quality of its teachers. We
Busy working parents will bodies to drive up standards.
have the best generation of
have more flexibility over
teachers ever, supported by
the hours their children have Our task now is to devolve
teaching assistants and the
access to nursery education, more power and responsibility
wider workforce. But we must
such as taking them over two to strong school leaders and
continue to get the very best
full working days, as well as to spread excellence, with

3:3

The Labour Party Manifesto 2010

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