David Cameron prepares economic growth plan

 
David Cameron Speculation surrounds a potential cabinet reshuffle by the prime minister

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David Cameron has vowed to show "fighting spirit" as he prepares to announce a series of measures designed to promote economic growth.

After being asked by one of his own MPs this week if he was a man or a mouse, the PM said he wanted to "cut through the dither" that held Britain back.

Writing in the Mail on Sunday, he said a key part of economic recovery was "building the houses our people need".

Tory MP David Davis has criticised the PM's plans and outlined his own policy.

The former shadow home secretary told the Sunday Telegraph it was not about individual policy areas and called for a "radical pro-growth agenda".

The influential Tory MP wants more tax cuts, school leavers to be encouraged to start their own businesses and more done to encourage banks to lend.

'Paralysis'

The government will outline details of housing and infrastructure projects to coincide with the return of MPs to Parliament after the summer break.

Mr Cameron said the country should not stand for the "paralysis" that causes new housing developments to be held up by entrenched local opposition and lengthy planning inquiries.

Start Quote

I'm confident we're making progress. And I'm more ready than ever for the challenge ahead”

End Quote David Cameron

Mr Cameron said: "A familiar cry goes up - 'yes we want more housing, but no to every development - and not in my backyard'.

"Frankly, I am frustrated by the hoops you have to jump through to get anything done - and I come back to Parliament more determined than ever to cut through the dither that holds this country back."

Mr Cameron said this government was being braver stating there would be "no more excuses for failure; no more soft exams and soft discipline.

"When the grades went down, a predictable cry went up: that we were hurting the prospects of these children.

"What hurts them is dumbing down their education so that their potential is never reached and no one wants to employ them."

He added the government was "restoring vigour" in welfare by capping benefits.

His article concluded: "At every turn we are taking the hard road over the easy path.

"I'm confident we're making progress. And I'm more ready than ever for the challenge ahead."

Cabinet return

The article comes as the prime minister is preparing his first major cabinet reshuffle.

BBC political correspondent Chris Mason says Mr Cameron is likely to ignore calls from some disgruntled Tory backbenchers to sack Chancellor George Osborne in his cabinet reshuffle.

Conservative party chairman Baroness Warsi has said she wants to keep her job, amid speculation that she may be replaced.

The BBC understands that any changes are unlikely to affect Mr Osborne, Home Secretary Theresa May and Foreign Secretary William Hague.

But former Chief Secretary to the Treasury David Laws is being tipped for a return to the cabinet.

 

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  • rate this
    0

    Comment number 304.

    It's not red tape but people like this who hold our country back.
    Overheard from on Hove seafront yesterday:
    They want to build 200 homes over there but we're not having it. The schools are already oversubscribed and there's nowhere to park. They think they are going ahead but we are putting a stop to it.

  • rate this
    +1

    Comment number 264.

    Government investment in Infrastructure makes the deficit worse in the short term. Meanwhile better-off investors may have spare capital which is under-utilised and under-rewarded.
    Why not sell some special purpose gilts outside the QE programme designated for particular projects (eg Airport Bonds?) with attractive benefits such as deferred bonuses or conversion to equity if kept to maturity?

  • rate this
    +14

    Comment number 187.

    It's quite simple really Mr Cameron. Sustainable recovery must be export led. Exports are produced by a manufacturing sector. This is an important bit of the economy that creates jobs and wealth. We used to have such a sector until successive governments, mostly Tory, destroyed it in favor of supporting banking - look where that got us.

    Try a policy that invests in rebuilding our engine.

  • rate this
    +25

    Comment number 154.

    We don't need more "growth" if it just means more companies making more money by employing fewer people on lower wages. We DO need to create sustainable jobs in manufacturing, where we can make and sell things that people want

    Reducing unemployment and putting money into the pockets of the ordinary people is the only growth we need

  • rate this
    +7

    Comment number 105.

    Other than him announcing some major infrastructure projects (which I doubt); anything else is mere tinkering. The bond markets dictate what governments can do and they like austerity. Unless we breakout of this downward spiral we are all doomed. I truly fear for the youngsters of this country!

 

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