27/11/2011 The Politics Show East

Here in the east, there may be hope for the sounds of thousands of

drivers who struggle along the A 14 every day. And our small businesses

getting short shrift from the bank who could be offered a lifeline in

Apology for the loss of subtitles for 2007 seconds

Welcome to the part of the programme which is just for us in

the east. I am a million Reynolds. It is a critical week for the

Government. George Osborne is under considerable pressure to increase

growth. And then there is the bigger strike in a generation. The

struggling businesses hoping for credit easing help from the

Chancellor. I would be interested in looking at it with the banks

were not forthcoming in supplying loans. And we will hear from unison

as members prepare for their day of action.

There is no doubt the economy has weakened since last year, so George

Osborne's autumn statement is absolutely key. His challenge - how

to challenge -- stimulate the economy. We will look at some ideas

that could be a huge benefit to the east. First to the A14. It is a

road that strikes fear to many a motorist in this region, dogged by

congestion along its 125 mile route, a run from Felixstowe in the east

to well past Northampton in the West. A plan to increase the

section around Cambridge or -- to six lens was scrapped last year

because it was just expensive but we believe it could be at hand. In

his Autumn Statement the Chancellor is expected to announce plans that

may even include making it a toll road.

It is a well-known fact that Chris Rea wrote his classic anthem road

to hell while stuck in the traffic jam on the M25. But he could easily

have ended on the A14. You listen to the radio and whenever there is

a trap for related feature on it. Sometimes you can be sitting on it

for an hour without moving. They get so congested. There were plans,

quite advanced, to widen it. were disappointed when the scheme

was dropped. At one point Wheen realise there was no money for it.

We need creative, inventive ways of looking at this. If things are bad

now, think how bad things will be once the economy is moving forward

quickly again. Now it seems a creative solution has been found,

thanks to the private sector. The A14 is likely to be mentioned in

the Chancellor's speech on Tuesday as an example of an infrastructure

project which can go ahead, creating jobs and ultimately making

life easier if there is -- British business. This was the last set of

plans. Since they were rejected, there has been a lot of work being

done to bring down any cost. With little public money available,

involving the private sector seems the best way forward. Are there

enough people in the private sector to stump up money for this. There

are large parts of private sector resources that are looking for a

place where they feel they are confident of getting a return. They

are not buying Greek bonds. They might be big buying Government

bonds in this country, but they are looking for something that they see

as a worthwhile return on their investment. It could be part

private part public. It could be in leasing option, like what we

currently have between Huntingdon and Peterborough. That piece of

road is not on by the state, it is rented by the state. There are many

options. The smart money is on a toll road.

Open a years ago, it has led to quicker journeys if you are

prepared to pay. A recent survey found that 80% of motorists were

put off by the prices. Most of the continental countries, there tolls

are a third of the price and for the distance travelled. So

basically I think they have got to cut it at least by one-and-a-half.

The hauliers say they are willing to pay a toll in order to no longer

having to pits have an hour or so into their timetables because they

expect their 14 to be blocked regularly. -- A14. This will be a

controversial project with concerns about the way it is funded and the

environmental impact. But supporters are ready for it. They

think the A14 time has come. -- A14's time.

From large-scale schemes to help for the high street. In the past 12

months, the UK economy has only grown by 0.5%. The Bank of England

has cut its 2011 and 2012 growth forecasts to about 1%. And real

incomes in the UK have fallen by 1.6% over the past three years. All

of this spells bad news for small businesses, which make up 99% of

the East's economy. Saw, what are they want? The bans -- the banks to

lend. When do they want it? Now. Christmas shopping in Ipswich. If

ever businesses needed our Christmas cash, it is now. But the

Santa effect has seems -- seems to have gone west. I got cuts -- I got

made redundant in August. I am not spending as much this year.

Everyone is being careful, stretching and about more. Bad news

for the Chancellor because the economic forecast in the Autumn

Statement are expected to deepen the gloom. The Government says the

meltdown in Europe is not helping. Be honest, it is hard to get your

head around it. The figures are so huge it could almost be Monopoly

money. To our economic leaders really know what the future holds

or are they just taking a chance? Photograph bankers and their

natural habitat. The banks are not helping matters. Small businesses

are the bedrock of the East's economy but some say the banks are

holding them back. The frustrating is for small businesses because

banks have been so tight with their cash, the small businesses cannot

get loans. They cannot get past goal. Like this man. He showed me

how his taxi company had done so well in the first two years. He

wanted and a -- a loan to buy another vehicle. We approached sand

and there, we approached NatWest. We even approached one of the

independents. It was a flannel. could not believe it. If the banks

are not prepared to support it and back businesses, then what has -

Michael has anyone else got? George Osborne announces a credit easing

scheme. Basically banks will make loans to small businesses which

they are not giving at the moment. That will be packaged into a bond

so there could be a bond for East Anglia, and that Government for by

that bond. Their British taxpayer will be supporting all of the

lending that is given to small businesses. Essentially, the

taxpayer is, writing a .(TRM), back in Ipswich, this woman is getting

her homeware shop ready for the Christmas rush. She says small

businesses that cannot get loans, should necessarily blame the banks.

Some people think making going and get a loan. It is not that easy.

Unita have a sound business plan from the get a goal. Do not give up.

If one says no, go somewhere else. If you are going to be in business,

and a small business like this, you have to have so much energy. If you

getting not back, you have got to pick yourself up and get on with it.

This woman is one of the shop's suppliers. She is thinking of

approaching a bank for a loan to help her jewellery business growth.

She likes the idea of so-called Reddick -- credit easing. It sounds

good. But we need to find out all the details first to see exactly

how they are going to set it up. I would be interested in looking at

it if the banks were not very forthcoming in supplying a loan.

The Suffolk Chamber of Commerce would welcome credit easing but

says the policy needs to make a difference right now if it is to

have any impact. Meanwhile, being Chancellor of the economy in the

state it is in, must be is about as much fun as playing Monopoly on

your own. Gareth George was not get out of jail card. Joining me is the

Labour MP for Luton South who is also a shadow death-camp Minister.

And the MP for South -- suffered. Let's start with the A14. Plans

were scrapped last week -- last year because of costs. Now there

are plans could be reinstated. Are we UN to plan the then?

certainly not. This is not necessarily about more Government

spending. It is about finding other ways to finance and stretch up --

infrastructure projects. One of the things about the economy at the

moment is that lots of company, lots of funds, have got cash but

they are waiting for the opportunity and the confidence to

invest it. So unlocking some of that investment, for example making

the A14 wider, is something I would welcome. Getting the private sector

is something that is a good idea? Labour did not do anything on the

Afor 14 years. I do not except that. We had plans that would have been

put in place if we had one. I have no problem with the private sector

getting involved. The current business climate is not one where

there is confidence from consumers from businesses to put their money

where their mouth is. I look forward to the announcement on

Tuesday about the A14. I do hope that will ease the congestion

problems there. The Government should be doing this across these

are not just in one place. Nick Clegg said the Government has

levers to pull to stimulate the economy. How well to think the A14

plans to do that. Is it just fiscal stimulus, which was Labour's plan,

under another name? No, because there are still stimulus involves

bonds. The money was not in place to do that scheme. The plan was on

the table but there was no money there. While public money be

involved? If they find some are how it is financed in the end, we do

not know how it will work out in the end. I look forward to the

details. This sort of investment can really get the economy moving,

for instance, the 11th which is elsewhere in the region in my

constituency, the showers around the ground there and there are

people employed on site and it will be a big boost to the economy was a

gets going. A what will Labour do? All are about releasing finance

find out to get this economy growing. We know we have a major

problem with the deficit. The only way you can get that down is to

have a structure for growth. That is where these guys are lost his

seat. There is no competence in terms of getting cross going in the

economy. Bank bonuses. If you look get the announcements from Nick

Clegg, we are yet to see whether money is going to come from far

young people to be released to go back into the labour market. We say

that that should be a tax on bankers bonuses to get people back

to work. You're going to use that money to pay for that. You want to

build 25,000 new homes. You want to be is the regional growth fund.

That is a lot of things. And not only that, we want to reduce VAT.

We look at small businesses on the rapport there. The Federation of

Small businesses are looking for that as well. We recognise that the

key issue is to get growth going. Next week the Office for budge a

responsibility, is expected to confirm that the country's death as

it will not be closed by the end of Government -- Parliament. So you

plan is not working. Let's see what they have to say. Everybody knows,

everybody watching this knows, that these are very difficult economic

times. Most people know that when you are any debt crisis, borrowing

more money is not going to get you out of it. And so you need

innovative approaches. One of the examples that Gavin was mentioning

was a good one. The idea of having more or work experience. In my

constituency, they brought in a work experience programme in May.

Youth unemployment then was to London 71 young people unemployed.

There is now 233 unemployed young people. That is a 50% drop since

they brought their stamen. Nick Clegg has announced that that type

of scheme is going nationwide. I warmly welcome mat. We have got to

be in a fit of, of all, we have to do everything that we can. But the

idea of throwing -- throwing more borrowed money at it is not the

answer. They would cancel the future jobs front. For 18 months we

have had no such project in place. The fundamental problem with this

economy is not by Government action to get people at their back into

work, the jobs are not there in the first place. If we had not

committed to the east austerity matters, we would be paying any

worse situation than we are now. The marker one is a pride of ball

plan. On Tuesday, the Chancellor does not have a credible plan any

more. He will not be able to do what he said. We are borrowing more

than getting less worried. I want to introduce another guest. In this

key week for the Government, the Chancellor's autumn statement will

be followed by a national day of action. Two out of three are

expected to close. The strike of a public sector pensions has been

described as the biggest trade union globalisation for

regeneration. Joining us is the eastern region secretary for Unison.

What is this day of action all about? It is about public service

workers demonstrating their anger, their dismay, their disappointment

at the attacks or been made on their pensions. The message from

Downing Street is that there are not going to be any concessions.

Why are you bothering? The day before the Unison ballot was

announced, the Government came to us finally and said that they were

prepared to negotiate. I cannot say that there is no way to be any

change at all. We do not take this action lightly. We never take

industrial action lightly. We have something that has very important

at stake and we want to see a resolution to that. Orly 25% of

Unison members voted for the strike. 23% of unite. How much support do

you think you're actually going to get? I think we are going to get a

lot of support on the day. There are 23 in unions involved in this

action. The result that we have had from the ballot is a very good one

and we have had a growing level of support as we have been talking to

people getting involved with union members, talking to people in

communities. There will be a lot of support and the day. When this

Government came into power, they had to do something to sort out the

country's finances. This strike is just a political statement. I fear

the thing that they hope to do it was impose a 3% tax on these pay

and conditions. There needs to be a proper and the glossy to settlement.

If you are asking me to condemn the people who are fighting for the

rights, I will not do it. Matthew Hancock, the Government has tried

its feet over negotiations here. If he had done better with the

negotiating, we might not be facing the biggest drive for a generation.

The Government has been negotiating all along. Gavin just spoke about

the need for a credible plan. And every time we talk about anything

that you do with dealing with debts that Labour Left, Gavin is against

it. People will be appalled at the idea of the strike. Millions of

people across this region will not be able to rely on public services,

on schools, on hospitals were ill people, next week on Wednesday. The

deal on the table is eminently reasonable. People, 10 years from

retirement are lies, will be affected. Low pay it public sector

workers will get better pensions. So what the union representative or

is asking for is a tax on private sector employed people, often with

no pensions at all, in order to pay the pensions of the best a public

sector workers, who sometimes, those pensions would be bigger than

the income of the taxpayers who are paying for them. It is

extraordinary. As a some of those famille. I can answer the first one.

There is no offer. The day before the result was announced, the

Government finally said that they would open the way for serious

negotiations. The Government are not the employers, they are not the

employers that runs these pension schemes. Unison and the other trade

unions have said we will negotiate anytime, anywhere, any place. It is

no coincidence the Government said that the day before the ballot