20/05/2012 Sunday Politics Yorkshire and Lincolnshire


20/05/2012

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Coming up in half an hour: Yorkshire business leaders call for

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public sector pay to be set at a local level.

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Apology for the loss of subtitles for 1789 seconds

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And MPs unite to oppose the so- Hello, good afternoon. You are

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watching the Sunday Politics for Yorkshire and Lincolnshire. Coming

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up today: Why people running their own

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businesses in Yorkshire are lobbying for regional pay in the

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public sector. And we look at the growing

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rebellion over plans to put VAT on static caravans.

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Business representatives have told the Sunday Politics it is essential

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public sector pay levels are set locally in future. The government

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is currently investigating how a system of regional pay could work.

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According to one estimate an average public sector worker in

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Yorkshire and the Humber earns �4 more per hour than someone in the

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private sector. The official pay gap shows public sector wages are

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13 per cent higher than those paid by private companies. So should a

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council worker get paid the same in Barnsley as Brighton, where the

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cost of living is much higher? The Institute of Directors, which

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represents 2.000 business leaders in our region, feels that is hard

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to defend. The reality is that we need to look

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at it closely and in detail. There is a degree of disparity. We need

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to have people working in the regions that are more expensive and

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had then rewarded accordingly. It would be difficult if we asked

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people to migrate to the south, knowing they would not get a

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waiting with regard to their pay. For continuity of individual

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working, I get a feeling it will be necessary. The CBI agrees with this,

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saying regional pay would help companies create new jobs by

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levelling the playing field on wages but unions and MPs from all

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parties, including Nick Clegg, are worried it will increase the North-

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South divide. We will hear from two of those MPs in a moment but here

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is the view of one businessman from Leeds.

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I run to businesses. I have been running my own business for 15

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years now. We employs six people. In the private sector there is a

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North-South divide. If you have an engineer working in Yorkshire, you

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will be on around �30,000 but one working in London would probably be

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on 40 or �50,000. There is a big difference on that side of things.

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I think it makes sense to do a similar thing in the public sector.

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One of those and one of those out for me today, please.

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A lot of my clients have taken pay cuts of up to 20 per cent. The

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majority it, consultants especially, have had pay freezes for the last

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three years. One times are hard we are have to bite the bullet. If it

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to me is cutting salaries for a while, we have to do it.

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Rds today are Martin Vickers, the MP for Leith or OPs, the MP for

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Hull East and Bernard's Coleman, at a Yorkshire businessman with strong

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views on public sector pay. Martin Vickers, many Conservative

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support the idea of regional pay but you are not one of them, is it?

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I would not go as far as that. I represent a low-pay area. I do have

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concerns as to how it will affect the people I represent. Will it be

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phased in it? Will it be a big bang approach? Also, how will it affect

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different reset -- different regions? Where were you draw the

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line? I am here to argue the case for my constituents.

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According to government figures, at people in the public sector in this

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region earned around �4 per hour more than people in the private

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sector. Is that there? This would do nothing for the North

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South divide. This figures might be correct but that is the real issue.

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It would not improve the economy in our area of the world. The reality

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is that Martin probably knows it is a bad idea and unfair and shows how

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out to touch the government is. If my constituency was looking to

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employee a teacher? There will have what they eat a be attracted to

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this area if they could get better pay elsewhere? It does not improve

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the local economy. It increases the divide between the north and south

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of of the country as well. Bernard's Coleman, let me bring you

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in. You have a business based in Leeds. You employ a number of

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people. Why does it bother you at that they earn less than people in

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the public sector? I expect to see value for the

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difference in the money. I do not see that. I interface with a public

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sector regularly. It also has an effect on the attitudes of people

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who work for any as, just as importantly, a sense of entitlement

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among people that they should be earning the same levels as those

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enjoyed in many areas in the public sector. That adds to this sense of

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entitlement and the sense of inflation are expected expectations

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within the economy. At the same time, I would want to see more

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flexibility within our public sector, of which pay levels is just

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a part. What you make love burn it at's

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arguments? Let us take well as an example. Why

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aren't the private sector snapping up all of these employees in that

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poor areas? It does not make sense. Some areas that had a great success

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in attracting businesses to invest in, for example, the building of

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motorcars a Washington. We are sitting in a city, Leeds, whose

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recent commercial success can be traced back to a young lad 30 years

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ago he got on a coach south and persuaded the bankers in London

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that you could process documents in Leeds faster and cheaper than you

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could in the centre of London. That persuaded a large number of lawyers

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to come to this city and we have enjoyed its author the benefits and

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being surrounded by lawyers. That is the argument of to usenet your

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assets to best advantage. The young lawyers in Leeds has a lower

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housing costs, lower salary costs and because they were not commuting

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three hours a day, when they got into the office they were a lot

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sharper than the poor souls in London who weren't spending a long

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time fleecing. Burn it, what do you make of the

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argument that it will lead to a brain drain with the best doctors

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and teachers for example moving down south? It does not work out

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why. Her you set up grades of wages. You encompassing neuritic, training

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and value to the regional economy and organisation. As someone in an

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industry that has suffered gravely in the last three or four years to

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be told that people in the public sector and another �4 per hour than

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people in the private sector does not make me happy, given the amount

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of debt that the country is carrying.

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Martyn, T you think the government will go ahead with this suggestion?

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-- do you think. Nick Clegg has expressed reservations.

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Bernard's does make a very good case. I am a centre-right

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Conservative who believes in the free market and I have sympathy

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with that. I am also conscious that in Northern Lincolnshire we'd find

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it very difficult to attract particular skills in the public

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sector. Things like public health inspectors and environmental health,

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it is difficult to attract people. I was in the JobCentre in Grimsby

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last week and the manager there entirely agreed the we had this

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problem. As I say, I am sympathetic. Carl takes too dogmatic a view on

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the opposite side. We need to news gently to was that.

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Burn it, it is OK in leafy Leeds. You might attract workers there.

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What you do about more difficult areas if people will be paid less

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there? You have to start thinking in terms

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of the regional economy. Pay is only one part of the package you

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offer when you sell the benefits of working in any given place. As the

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Ellesmere Port negotiation proved, it is not just pay but working

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practice, investment, training, language skills and history. It is

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complex. In the public sector we have had a view that you ask and

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you are given. Now you have to go and fight for this investment. To

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get the investment in your area, you need more flexibility.

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We will have to leave that particular debate for now. Thank

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you all for joining us. Pressure is growing on the

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government to drop the so-called caravans tax. Proposals to start

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charging VAT on static caravans to bring them in line with touring

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caravans are basic but opposition from many MPs. It is claims it will

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have a devastating effects on the economy of East Yorkshire when 95

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per cent of caravans are based. The timing of the announcement

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cannot have been worse for the owners of this weather up -- this

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Caravan Park in East Yorkshire. They have just invested �5 million

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in new facilities, including an indoor pool, spa, Jim and golf

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simulator. Then came the news that all new holiday times saltier will

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be hit by an average of �6000 in VAT costs.

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Someone from London goes out and buys eight second home. They will

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pay one per cent stamp duty. We are now asking the hard-working couples

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Toop spends 20 per cent a VAT on top of their second home. We cannot

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absorb that. It has to go somewhere. The National Caravan Council

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estimates that this rise will lead to more than 4000 job losses at

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holiday parks across the country. One of 1400 job losses in

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manufacturing and fists in hundred job losses among suppliers. That

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will lead to 7000 job losses in total. These Thatcher workers in

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Beverley fear for their future. Third a government to come back and

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levy a 20 percent increase on us is mind-blowing.

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At the moment the Government are doing a campaign on the TV for

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people to holiday in Britain so they should be backing the caravan

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industry. We are part of the tourism industry.

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Politicians from all sides have united against the so-called

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caravan Tax. Memories of votes in the House of Commons saw the

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biggest Tory rebellion since student tuition fees but is the

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Government's in the need to compromise?

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Wheatears thinking it is right that we try to deal with the static

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caravans fairly and consistently with other products. -- we do think.

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But we do want to listen to people and work out how this would work.

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They used to be a fantastic fishing industry in the UK, especially in

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this area. Government decisions killed at. It feels like they are

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doing the same again with the caravan industry and I think in

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five years we will look back and say we has a thriving manufacturing

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and caravan industry and tourism in the UK and one decision killed it

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off. The Treasury insists its VAT

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proposals are bare but thousands has signed a cross-party petition

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collet on the government to think again.

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Carl Turner, the government says this is about ironing out anomalies

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in the tax system. It is simply not true. It is

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another example of the government being completely out of touch and

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unfair. Why is it fair for someone who has worked hard and saved the

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money to buy a static caravan, why is it fair for them Saturday 20

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percent VAT but for someone who has a lot more money and wants to buy a

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Porsche crash -- a posh country cottage somewhere pays one per cent

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stamp duty? It is simply not fair. The Government is suggesting this

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is an anomaly. It is not. It is a deliberate exemption. It is there

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because static caravans have always been considered a second homes. In

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some cases nowadays it is people's first home. It is unfair and they

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need to put this to bed, tropics, it is just not going to help a

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manufacturing and employment in my area.

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Martin Vickers, you are one of the rebel Conservatives who voted

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against this in the House of Commons. The Government's abide by

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a majority 25. Do you think you can overturn this?

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I would like to think so. I hope the government takes note of the

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representations in the consultation that finished on Friday and rethink

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of best. It is potentially damaging for a seaside resort like

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Cleethorpes. As Carl. Sites, many people have caravans as first or

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second homes. -- as Carl points out. It does provide a great deal of

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employment for people who come into the leisure park. It is vitally

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important that we overturn this proposal.

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I do not accept that this is some sort of a loophole. I think it was

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a deliberate exemption. Even if we accept this is is somehow a

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loophole, this is the wrong tax at the wrong time. The impact

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assessments done by the government says that sales will drop by 30 per

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cent as a result of introducing this VAT. It is madness. We are in

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recession. The Government are making the wrong choices. It is

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just wrong. Martin Vickers, are you confident

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the government will change its mind?

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I am confident they will take note of the consultation. The industry

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has provided detailed evidence which I think will prove the case

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hands, my hope, is that the government will think again.

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Let us look at Mark Of the Week's political views with our round-up

:47:39.:47:46.

in 60 seconds. No easy ride for the heckled Health

:47:46.:47:49.

Secretary at the nurses' conference in Harrogate. Andrew Lansley claims

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staffing levels were unsafe at Leeds General Infirmary and

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Dewsbury, something both hospitals later denied. West Hull MP Alan

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Johnson has hinted he may challenge Boris Johnson to be the next mayor

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of London in 2016. He thinks Labour needs a fresh challenger. And

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Cleethorpes' Martin Vickers found himself used as ammunition at Prime

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Minister's Questions. What did the honourable member for

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Cleethorpes say? "We cannot convince voters we are on their

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side when we give top earners a tax cut, leaving Mr and Mrs Average

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reeling." What this government has done is

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deliver a tax cut for every single working person in the country.

:48:28.:48:31.

The government has approved �58 million to extend the South

:48:31.:48:34.

Yorkshire Super Tram to Rotherham and a long battle to get protected

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status for Lincolnshire sausages has failed. Campaigners had wanted

:48:39.:48:49.
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recognition under European law, You saw Ed Miliband on the attack

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there. You can see how good his defence is where he based his

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questions for BBC Radio Sheffield listeners on Toby Foster at

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breakfast tomorrow between 9 and 10. Martin Vickers, you were quoted

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there by Ed Miliband. Do you regret making that statement?

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No, I am amazed that people in his office are searching Conservative

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websites for my articles. I am quite honoured by that. The way

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ahead described it, he left it hanging in mid-sentence. It is true

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that I made the point that there I am in favour of abolishing the

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higher rate of tax, I do not think it was the correct time to do it

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and I think that is self- evident. Going around Cleethorpes during the

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local elections, it gave people the wrong impression that the

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governments of around the site are the rich and not the working men

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and women of Cleethorpes. Sadly that is the incorrect impression

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they gained. But the government is trying to support hard-working

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families. We are going in the right direction but we made a mistake on

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that issue. Isn't this just mid-term blues for

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the Government's? I do not think the Government's are

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anywhere near where they should be at the moment. The Tories are

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losing seats at this stage. I think we have more than 800 extra seats

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since the last elections. Martin is not on his own with Tory MPs coming

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out and attacking the Government's. He is correct. You cannot convince

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the electorate to support the Tories when millionaires are

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getting a massive tax reduction as the poor are suffering as a result

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of policies which the governments are bringing in. He is not on his

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own. I think Cameron was described as a posh boy who did not know the

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price of a pint of milk by Nadine Dorries recently. I welcome those

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comments. One or a gross income Lincolnshire

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sausages. Did you choke on your sausage this morning?

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He it is tragic. They are the finest sausages in the land and

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deserve special recognition. There is no comparison with anything from

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Yorkshire. Lincolnshire is the place.

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