BBC On The Record - Broadcast: 21.01.01

Interview: ANDREW LANSLEY, Shadow Cabinet Office Minister.

Welcomes large scale donations to the Conservative Party and explains how the Tories will try to win the trust of voters by the next general election.



JOHN HUMPHRYS: But first, politics on this side of the Irish Sea. It's been a good start to the year for the Conservative Party. They've scored a few hits against the government, they've had Tony Blair on the run - literally almost - and they've hit the jackpot with that five million pounds donation from Stuart Wheeler. Mr Wheeler said he wanted nothing in return, although now that's looking a little less certain. And the Conservatives still don't seem to be persuading the nation that they are the best people to run the country after the next Election. So how can they pull that off with only a few months to go. The man in charge of their campaign strategy is the Shadow Minister for the Cabinet, Andrew Lansley. Mr Lansley, good news for you this morning, better news I suppose in one sense because we've now got Mr Wheeler saying he is prepared to give you up to ten million pounds - would you welcome that? ANDREW LANSLEY: Well, good afternoon John. Certainly I'd welcome it because I hope that the Conservative Party will be able to be fully funded in order to have a highly effective campaign because I think people have been let down by this Labour Government, they want to see an alternative, I believe we can offer that alternative and I want us to have the fullest possible opportunity to present it. As it happens, I haven't even had the pleasure of meeting Mr Wheeler so I cannot say what is in his mind, if he wishes to support us to a greater extent then I think we would certainly welcome that. HUMPHRYS: Very, very big extent isn't it, potentially. I mean you are allowed to spend fifteen million pounds on the campaign, if he gave you ten million pounds that would be two thirds of it... LANSLEY: Yes it would be a great deal of money and it would be about as much as the trade unions give the Labour Party... HUMPHRYS: ...he's one man... LANSLEY: ..the trade unions get a lot in return and Mr Wheeler asked for nothing in return. As I say I'm responsible for the co-ordination of policy inside the Conservative Party, I haven't even met Mr Wheeler. It's also true to say that Lord Ashcroft, about whom the Labour Party said a great deal, gave considerably less to the Conservative Party than this and I have had no policy discussions with him either. So people are not coming to the Conservative Party and trying to tell us what our policy should be in return for donations, which is not the same with the Labour Party. HUMPHRYS: Well you say he wants nothing in return, in truth and you'll have read what he said in the Telegraph, the Sunday Telegraph this morning, I'll read you just in case you didn't...although I suspect you did. He now says that if he doesn't get the money, if he gives you all that money it will be conditional upon Mr Hague effectively remaining as the Leader of the Party, if Mr Clarke for instance became the Leader of the Party, then he wouldn't want to give you the money, if you changed radically your policy on Europe, then he wouldn't give you the money. So it's not quite true any longer is it to say that he doesn't want anything - he wants very very clear policy commitments from you. LANSLEY: No he's not asking for any policy commitments, he's expressing a view about the Conservative Party's policy and he's expressing a view about the leadership of the Conservative Party and I think anybody who listened to Mr Wheeler earlier in the week will know that he takes a very positive view of William Hague's leadership and I share that view. I think the Conservative Party does. Simple fact is the Conservative Party has a leader in William Hague who can win the next election, I believe will win the next Election. The issue of our future leadership therefore simply doesn't arise and as far as our policy is concerned, we've had this policy for a considerable time. We fought the European Election on this policy in relation to Europe, we are going to fight the General Election on the policy. It is subscribed to by the great majority of people in this country. Mr Wheeler is not alone in thinking that the Conservative Party should fight to keep the pound. HUMPHRYS: That's entirely true but I'd always made the assumption that policy changes were made by your leader and by your party. Now we have a man who is prepared to finance your campaign, two thirds of your campaign, saying if you change it I won't give you the money. Now if that isn't saying I want something in return, then heaven knows what is. LANSLEY: The position is exactly the same if Mr Wheeler were giving us ten pounds or five million pounds, it doesn't change at all... HUMPHRYS: ..oh come on...two thirds - ten million pounds.. LANSLEY: Michael Ashcroft has given us money in the past. He has never asked for anything... HUMPHRYS: ..now Lord Ashcroft by the way... LANSLEY: ...Lord Ashcroft, fine.. HUMPHRYS: ..yes, one wonders whether there might have been a connection there... LANSLEY: ...a very successful businessman who runs a very successful business and indeed has supported very many charities, including Crimestoppers.. HUMPHRYS: ...and got a peerage... LANSLEY: ...and has become a peer, fine. Mr Wheeler we know is asking for nothing and is expressing his views. Mr Wheeler does not have to be somebody who has no views. The point is that the Conservative Party has consistently said, and it continues to be the same, that we will never change our policy in response to donations, we will always set our policy according to our view of what is right for the country. That is what we have done in relation to Europe, we determine our policy, we don't do it in response to donations. I'm afraid all the evidence suggests that the Labour Party not only take money from the trade unions, who buy votes, at Labour Party conferences, but in relation to the Formula One donation we even know that the Labour Party take donations that appear on the face of it to influence their policy. HUMPHRYS: Well indeed, they've taken some large donations, they had as we know, three two million pound donations earlier this year. After the first of those of donations, you said and I quote "this highlights strongly the need for a broader base of party funding." LANSLEY: I said that and I still believe that. Let me explain why I said it because the Labour Party, there was a degree of hypocrisy in the Labour Party's approach because they were the ones who were criticising large donations in relation to Michael Ashcroft in the first instance, even though Lord Lord Sainsbury who is a Labour Minister, has now, I think if I count it correctly, given them something like seven million pounds in total. Yet they were also the ones the Labour Government who did not take forward the Neill Committee recommendation that there should be tax relief for small donations to political parties. We supported that tax relief proposal from the Neill Committee, Labour blocked it in Parliament. They should have accepted that the Committee on Standards in Public Life had undertaken an enquiry, put forward a package of proposals, accepted the whole package and that would have enabled all of us, all political parties to attract more successfully a large number of small donations, which is absolutely our hope and intention. HUMPHRYS: So you are quite happy to have your entire campaign, the whole campaign, all fifteen million... LANSLEY: ..all we know is this five million pounds that Mr Wheeler has committed... HUMPHRYS: ..five million pounds that he's committed, ten million pounds, up to ten million pounds he's said... LANSLEY: ..he may or he may not, that's up to him. HUMPHRYS: ..and the rest of it from a group including Lord Ashcroft, a group of party treasurers who are themselves pretty well heeled. So you are perfectly happy... LANSLEY: ..the party treasurers have improved substantially the extent to which we are receiving money from a range of smaller donations, people in the sort of one thousand to five to ten thousand... HUMPHRYS: ..your membership has actually fallen hasn't it.. LANSLEY: ..no it hasn't, it's gone up... HUMPHRYS: ...it's dropped from four hundred thousand to three hundred thousand. LANSLEY: When was it four hundred thousand? Well before the last election. It's increased since the last election..... HUMPHRYS: ....when you last told us it was which was in 1997. LANSLEY: Well it's increased since the last election and the donations....... HUMPHRYS: Well that isn't what your figures say... LANSLEY: ..... the donations to the party from people who are giving us much lesser sums, has gone up by about threefold. Michael Ashcroft and his team of treasurers have been very successful at increasing the number of smaller donors. But elections are expensive things and a fifteen million pound limit is something that - if that's what the limit is and we'll wait to hear from the Home Office - but we would certainly hope to have a fully funded campaign within that limit. HUMPHRYS: I shouldn't think you'd have any problem at all. Ten million from one, five million from another. But anyway, there you are. Let's see if you're going to be as effective at getting votes as you are at getting money in because you are having problems. I know that politicians always say "don't believe the opinion polls", nonetheless they're pretty devastating. We had Ken Clarke saying just a few days ago that you have to build and I quote his words, "a positive appeal and connect with solid policies." There is no clarity in your policies - you have to - this is me saying it now not him, this isn't the bit that he said. He said the early bit, "you've got to look", he says, "you've got to look like a government in waiting"- that is what HE says you've got to look like. Now, given that you are what - a few months away, three months away from an election? You don't yet look like a government in waiting, you have a mighty big problem don't you, a mighty big hill to climb. LANSLEY: That might be your opinion John but I don't think it's the opinion of many other people. HUMPHRYS: Don't you think you should look like one already? LANSLEY: I think we do. I think the last party conference was exactly what we were setting out to do and since it we've added substantially to our policy proposals. I think the Conservative Party in opposition have presented more policy content, substantive positive policy content for what we would do in government than any opposition has ever done. I mean let's look at the Labour Party before the last election. The labour Party before the last election said, 'Oh we'll have an integrated transport policy', and everybody said, 'oh that sounds like a good thing', and after the election it turned out there was nothing there at all. It ended up with a document some months later which included sixty-three questions and we know in fact that their transport policy has ended in chaos. HUMPHRYS: Can you talk about your rather than theirs. That's why your here. LANSLEY: Okay. And Ken Clarke went on in the same speech to talk about our education policy, for example. I mean Labour said that education was their top priority and we've got a teacher supply crisis and schools that are burdened with red tape and wondering where on earth the money has gone and where the teachers are? And Ken Clarke himself commended our policy in relation to free schools, that we can get money directly into the schools so that people will see where the money is going. That the money will be provided to education and not just to the education budgets in the department up in Whitehall but into schools. HUMPHRYS: Oh, I didn't say he didn't like any of your policies he just said you're not connecting, or at least he implied that you're not connecting with solid policies. And one of the problems, I assume, that he is considering, he is looking at, is this whole area of public spending: You talk about education, how you're committed on education, you're committed to spending as much on education as the Tories, you're committed to spending as much on health as the Tories, but you are going to spend - as Labour - but you are going to spend less overall? LANSLEY: Indeed. HUMPREYS: Indeed. Eight billion pounds less. At least that's hence...... LANSLEY: ....two years...... HUMPHRYS: The problem with this is that you haven't actually told us where you're going to save a very very large amount of money - eight billion pounds...... LANSLEY: In fact we've told you, by stages, a great deal about this. In fact we've gone through the same process that government goes through except we've had the courage to do it in the open rather than in secret. Every government says there is a responsible limit to public expenditure and they set a target. They then make sure that they review public expenditure and they look for reforms that will deliver that target while committing resources, additional resources to priority areas. So for example indeed we are going to be committed to very substantial increases in health and schools and transport and police services so that those can be delivered, not only in terms of the resources but obviously also in terms of the way in which they are managed to be more effective than this government has done. That means that we do have to make savings elsewhere if we're to meet our targets and we've said a lot about that, for example, in my own area I have made it clear that whereas before the last election Conservative Governments held the cost of administering Whitehall Departments level in cash terms, they've gone up by two billion pounds over the last three years and over the next three years we will take most of that increase out of additional administration in central government departments. David Willetts in the Social Security budget has shown how four hundred million pounds plus can be saved by reforms to housing benefit administration. Our 'Can Work - Must Work' guarantee, not like Labour do which is a sort of if you can work you ought to have an interview about the possibility of working at some time in the future, but if you can work you must work - that delivers substantial savings in the Social Security budget as well. For example, in the last few days we've published a proposal, which I think is radical and exciting for endowing the universities by selling the student loan book and at the same time not only can we save public expenditure but we can deliver a better deal for students so that students have better payment terms and are able not to have to repay student loans until they're earning at least twenty thousand pounds. HUMPHRYS: Let's go back to the overall total. You have accounted, it seems, for about five billion, five point three billion pounds, and some of those figures look a bit dodgy to an awful lot of people, or at least, rather optimistic, let's put it like this. You still haven't accounted for the rest of it and you don't have very long to go, and it begins to look rather as if, it isn't you won't tell us, but you don't know yourselves, so therefore you can't tell us. LANSLEY: No, it's quite, it's quite the opposite, actually. HUMPHRYS: Well, here's your opportunity, tell us where the rest is coming from LANSLEY: We do know, and in fact, in a matter of days, not weeks and months, but a matter of days, we will be able to set out, in detail, how we have met the eight billion target. HUMPHRYS: Why can't you do it now? LANSLEY: I'm not going to do it now, because I don't plan to make our announcements on your programme, with great respect to you John, but we do know, we have known for some time how we wanted to reform public expenditure, but what is significant is that, instead of saying, we have a plan for cutting public expenditure, what we wanted to do was to show that each of our proposals, some of the ones I have been talking about, for example this morning, Peter Ainsworth has been talking about how we're proposing to privatise Channel Four, and indeed use the Lottery Distribution Fund to endow museums and galleries and other cultural organisations... HUMPHRYS: ...upset Channel Four that will... LANSLEY: ...it has, it has, of course it may upset Channel Four but actually it's the best course for them too, as it turns out. I think ITV will tell you, it's perfectly capable of running a very successful broadcasting organisation ... HUMPHRYS: ...are we going to end up like Channel Five are we... LANSLEY: ...with public service broadcasting... HUMPHRYS: ...trying to make money... LANSLEY: ...no, I said like ITV, you can deliver a public service remit inside the private sector and they will do that - but the point is, that also saves public expenditure. Now I wanted, we all wanted these proposals to be seen for their own merits, and that has happened over the last few weeks. Now the time will come shortly where Michael Portillo and William Hague will therefore be able to say, we have reformed public expenditure. We are still committed to substantial increase in priority services, but we can meet those within a responsible limit for public expenditure overall, because there is a big economic issue at the heart of this. It will not do for Gordon Brown to promise to spend seventy-one billion pound extra over the next three years on the assumption that it is acceptable for public expenditure to continue to rise much faster than the growth of the economy as a whole. Ours is the prudent limit, not to increase public expenditure but beyond the growth of the economy. That means just over sixty-billion pound extra for public expenditure. Nobody in their right mind wouldn't believe that the Conservative Party on that basis isn't committed to increasing public expenditure dramatically, but on the priorities and within a prudent limit. HUMPHRYS: But if you look at the biggest chunk of that saving, at least, that's how I worked it out from what you were saying just then, you're talking about the money that Whitehall spends on running government, I think you talk...well, one-point-eight-billion pounds. Yeah. LANSLEY: ...it's a big, it's a big change. HUMPHRYS: ...it's a big chunk. The reason that that money is being spent, and you took this view when you were in government, you actually used the expression, spending to save, is that if you spend a lot of money in certain areas, like on Customs and Excise, Inland Revenue, and so on and so on, you will actually save a lot of money for the future. You were persuaded of that when you were in government, you intended actually...yes, you shake your head, but in nineteen-ninety-seven you had plans to spend more in nineteen-ninety-eight and nineteen-ninety-nine, now you're saying, well actually, we're gonna spend less, so what you're doing is robbing Peter to pay Paul. LANSLEY: Well, we could go back and we could look at Kenneth Clarke's proposals for public expenditure... HUMPHRYS: ...I did it... LANSLEY: ...in nineteen-ninety-seven, and that would not have included, did not include at that time, a two-billion-pound increase in the costs of running central government departments, it did not include an increase in the number of civil servants, and the number of civil servants has gone up by nine-thousand. But as you ask the question, let me make it clear that that is why we have said that we want to reduce the cost of administering government departments by one-point-eight-billion, not by the whole two-billion, because we have specifically left in the figures one or two areas, for example, those who are responsible for case-work on immigration and asylum decisions, or indeed, as you mentioned it, those in Customs and Excise and Inland Revenue who are responsible for some of those anti-abuse, anti-avoidance measures, so we put, we've left some of those things there that were precisely some of the priorities that were indeed being pursued two or three years ago, so we've, we're not acting irresponsibly, we're acting on the basis of good government. HUMPHRYS: Police numbers? I mean last, when you were in power you actually cut the number of police... BOTH SPEAKING TOGETHER LANSLEY: ...from nineteen-seventy-nine they went up by sixteen-thousand... HUMPHRYS: ...but you are committed to increasing them this time... LANSLEY: ...take the last, take the last... HUMPHRYS: ...just very quickly, you are committed to spending the money to increase the numbers of police on the streets. LANSLEY: Indeed. HUMPHRYS: Absolute commitment, no question about that? LANSLEY: We are going to reverse Labour's cut in the number of police which at presently, two-and-a-half-thousand... HUMPHRYS: ...and you'll spend more than Labour... LANSLEY: ...two-and-a-half-thousand fewer police..well hang on a minute, we, we do not necessarily have to increase the budget of the Home Office in order to achieve that because... HUMPHRYS: ...but hang on, hang on... LANSLEY: ...because police is only one element of the Home Office budget... HUMPHRYS: ...yes, yes, but if you're gonna have more Police and... LANSLEY: ...we had more police three years ago. Are you telling me that we were spending more then? HUMPHRYS: I'm telling you actually had after, after a full term of the major parliament you had fewer police at the end of it than you had at the beginning of it. LANSLEY: From where we are now, to three-years hence, there will be substantial increases in the police budget under a Conservative Government... HUMPHRYS: ...right, and you will have to take money from the other Home Office, the rest of the Home Office budget to pay for those police, that's what you're telling me. LANSLEY: No, but there's some money, there's some money already in the Home Office budget, but you actually find it's not necessarily going to the right priorities, for example, they've, they've got some very large increases in, in some of the Criminal Justice changes they're talking about, which are not about, not about improving our ability to tackle crime, what is vital is that we actually get money into the front line because the deterrence of crime and the detection of crime, depends crucially upon the presence of Police on the streets, the public know that, it's common-sense, we know that, and we're going to do it. HUMPHRYS: Sure, but if it means taking money from the rest of it, rest of, of the policy, of, of the Home Office budget, you will do so. LANSLEY: If there are savings elsewhere in the Home Office budget. HUMPHRYS: Well... LANSLEY: You can reform the asylum system, and we have proposals to reform the asylum system which in that time-frame can deliver you substantial savings. HUMPHRYS: Well, and you'll tell us all the rest of the savings within the next few days. Andrew Lansley, thank you very much indeed. LANSLEY: Thank you.
NB. This transcript was typed from a transcription unit recording and not copied from an original script. Because of the possibility of mis-hearing and the difficulty, in some cases, of identifying individual speakers, the BBC cannot vouch for its accuracy.