|
FINANCE OF INVESTMENT OF INFRASTRUCTURE THROUGH PUBLIC BORROWING |
23.10.02 |
|
|
20 signatures |
|
That this House notes that the total
capital value of all PFI/PPP projects signed by 31st July was £22.5 billion and that had
this been raised by public borrowing, the public sector net debt would increase by 2 per
cent. to just over 32 per cent. of GDP; further notes that adding on the scheduled
increase in public borrowing of 0.5 per cent. of GDP by 2005-06 as detailed in the April
2002 Budget would still leave the UK with public debt of less than 33 per cent. GDP;
further notes that on the European basis for measuring national debt the UK's is 39 per
cent. compared with a European average of 63 per cent. and that whilst borrowing in some
European countries is clearly too high, the UK's is too low, especially if it means the
public sector has to pay unnecessarily high charges for borrowing carried out on its
behalf by private companies; further notes the profound misgivings about the PFI revealed
by the Association of Chartered Certified Accountants survey; refutes the argument that
the only way to provide the necessary increases in investment in the national
infrastructure is through PFI; and urges the Government to fund public investment by a
prudent increase in public borrowing.
more on economy
|
|