Coalition remains strong, says Danny Alexander

DESPITE what you may read there is no prospect of the coalition breaking up, says Cabinet minister Danny Alexander.

The Liberal Democrat Chief Secretary to the Treasury last night reaffirmed the government’s commitment to continue to the next election, saying: “This government is totally focused on fixing the economy and will remain so until the election in 2015.”

Speaking at Manchester Chamber of Commerce’s annual dinner, he said the government will “stick to the path we are on”, while focusing spending on high value infrastructure projects.

It will take a “zero based approach” to capital spending at the next spending round and how for key areas of capital expenditure – like infrastructure – “we intend to make commitments right through to the end of the decade”.

He also said that less money doesn’t have to mean worse services. “If we make sure that our money is spent efficiently and fairly, then we can make sure we achieve the best possible value for the public,” he said adding that Greater Manchester had proved you can deliver better for less and that government would be taking the lessons learned here nationwide.

On Europe he argued “how important EU membership is for British business”, saying that while the EU “isn’t perfect” and “needs reform”, “Britain has never been in a better position to lead these changes.”

The Chamber’s president, Phil Cusack, who is also regional director of AECOM, talked to the 650-strong audience about the need for the Chamber to build on its traditional strengths by broadening its appeal and relevance to an ever-widening number of diverse sectors and business groups.

He also touched on the role Chambers of Commerce can play in bringing the UK out of the economic downturn, but said that they needed to collaborate with national and local government agencies to make economic change happen.

Finally, he called on government to re-appraise the postponement of business rates valuations. He said: “Business rates are a massive burden for many small businesses in the current economic climate and the government intended to revalue this year, but have now postponed for two years. Greater Manchester Chamber of Commerce will be working closely with British Chambers of Commerce to encourage government to re-examine the position urgently.”

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