News Release

17th April 2002

"A GOOD BUDGET FOR THE HEALTH SERVICE - IF IT WORKS. BUT I FEAR FOR WORKERS IN THE CAR INDUSTRY IN THE MIDLANDS"

Commenting on the Budget, Michael Fabricant says: "The Chancellor of the Exchequer is gambling that the Government will finally be able to reverse the downward trend in NHS services by increasing funding. I hope he succeeds. It's a good budget for the NHS - if only it works. But even by 2007, the Government will still be paying less than Germany or other countries pay for their health services which operate more efficiently.

"In Scotland they have already achieved these spending levels and waiting lists are still getting longer and hospital wards are closing. And the Government's own Wanless Report - just out - says that a further 25,000 doctors are required over and above those provided for in the budget to make any real difference. My fear is that the extra money just won't deliver the goods. Germany has NO waiting lists; and Danish patients have a legal right to receive treatment within 4 weeks of seeing their doctor. We need a similar system, but it will need a wholesale reform of our health service to deliver it - just like in Europe. Sadly, I don't think even this extra money promised by Gordon Brown will do anything to improve health services. I hope I am wrong, but I fear it will do nothing to save cash strapped hospital services in Lichfield and in Burntwood where our hospital is already doomed for closure.

"Meanwhile the 1% extra on employer's national insurance is a new tax on jobs and will threaten already hard-pressed manufacturers in the West Midlands. I really fear for workers in the automotive industry and elsewhere.

"To my mind the only really good news is the simplification of VAT for smaller businesses and the change of duty for micro-breweries. And I applaud this."