disappointment that the iranian government has expelled two different diplomats. this action is unjustified and unacceptable. . >> questions to the prime minister. >> with your permission, mr. speaker, the whole house will

wish to join me in welcoming today her majesty the queen of approval for a new form of recognition for the families of those members of the armed forces killed on operations involved in terrorism. her majesty will be making it an announcement today directly to the families of armed forces personnel in which you make clearer personal attachment to this new recognition. i am confident that this will be a very special and fitting tribute for the great debt we owe to all those who die on operations and the injuring loss shouldered by the families. mr. speaker, i will have further such meetings later today. today. >> mr. speaker, armed forces

is being mad >> mr. speaker, let me say i share -- i share with him the respect that he has stated for our armed forces and for the armed forces day on saturday where thousands of people in all parts of the country wanted to give recognition and deserved recognition that our armed forces do everyday. he raises the question of swine flu and he may know that we had a emergency meeting of the cadre group to look at the disease. i have to report to the house that the total number of confirmed cases for the u.k. now stands at 6,538. and this compares to just 2,236 last week. now, this large rise in numbers of confirmed cases means that a more flexible and local approach is going to be used in areas where there are higher numbers of cases reported.

the health protection agency in conjunction with the nhs is doing excellent work to limit the spread of the virus and we continue to monitor the situation closely making sure that arrangements are in place so that the u.k. remains well placed to deal with this pandemic. we will adapt these arrangements as the situation changes and my right honorable friend will make a statement to this house tomorrow on the outcome of our deliberations. >> thank you, mr. speaker. i welcome what the prime minister has said about the armed. my godfather served in the second world war and the if the house will excuse my vernacular and i might be turning belly in his grave knowing it will be no more. not only to me but to the personnel and to veterans who i met on saturday that they will

remain the identity of the black watch. >> i too met black watch servicemen saturday and people who have contributed greatly to our armed forces and i can assure him that the traditions he talks about will be maintained as long as the army exists. >> david cameron. >> thank you, mr. speaker. can i welcome what the prime minister said and agree with him about the queen's new recognition for our armed forces. we should all be incredibly proud of what they do on our behalf. last week i think it was demonstrated for everyone to see that capital spending under labour will be cut. now i want to turn to total spending. will the prime minister accept that his own figures show that once the treasury's forecast for inflation of total spending will be cut after 2011? >> no, mr. speaker. total spending will continue to rise and it will be a 0% rise for 2014 and 15 last. in 2011 and '12 and '12 '13 --

>> order, prime minister's answer must be heard. >> i think that answer gets 0%. the prime minister said very clearly, no, it will lies well, can he explain this? this is a treasury presentation that has been given to us and on page 7 -- on-page 7 it says very clearly with headings for current spending and capital spending the headline in reduction in medium-term spending. so can i ask the prime minister if the treasury -- if even the treasury is going around giving presentations around the country saying public spending as a total is being cut why can't he admit to the truth? >> because, mr. speaker, i've told him previously that current spending is going t rise and that capital spending as i

explained last week -- last week will fall after 2011. that is -- that is the -- these are the public spending projections for the future. but i have to say to him, the debate on public spending is about this. how we return to growth and jobs in the economy. the reason that -- the reason we have advanced spending to 2009 and '10. we have proposals for homes and jobs for 2009, '10. the opposition rejected this proposal and increasing the expenditure and the opposition has rejected that. the capital spending that we have proposed is not available, therefore, after 2011. this is precisely the way a government will act to take the country out of recession. and i've together ask him, therefore, why -- oh, yes.

his shadow chancellor should explain why he was going to television studios yesterday saying that he was going to cut schools now, cut the september guarantee for school and do nothing about unemployment. that is surely the issue we cannot get out of recession unless we spend now on the services we need. >> mr. speaker, today we see a prime minister in full retreat. in the first answer -- in the first answer he says we're going to get a 0% increase in public spending. that's a new one. in the second answer he finally admits he's going to cut and cut deeply capital spending. he talks about the debate over public spending. the debate is about whether the prime minister can be straight with the british public. so let me ask him again -- he has stood at the dispatch box and talked about total spending year after year. that is the figure people are interested in. now, when the treasury themselves are saying -- when it comes to total spending there is a reduction, not a freeze but a reduction in medium-term

spending and i'm glad the prime minister is talking to the treasury. given they are talking about a cut, will he stand there, give the straight answer and say once you allow for inflation, total spending is being cut? >> i've already said current expenditure will rise and continue to rise. capital spending will rise until 2011 and will fall. i already made clear spending for health and education and for all these public services current spending will continue to rides but the issue surely is this. in 2009/10 we are raising spending substantially. we are doing it in 2010, '11. there is only one serious party in the world that is trying to tested that we should be cutting spending now and is that is the conservative party. he has to admit schools will be losing money now. teachers will be made unemployment, services will be going, child care services will be at risk. no teenager would get a

guarantee for jobs. that is the future if the conservatives were ever to implement it. >> it is complete nonsense and nobody -- not even -- what is interesting is not even his own cabinet now backed the ludicrous line he has taken about public spending. he keeps talking about this 10%. i don't know whether he realizes how much damage it is doing to him. it's not doing any damage to us. let's just -- shall we just explain -- let's just explain for a second where this deceit about the 10% comes from. let me explain to the house. >> order. leader of the opposition must be heard. >> if you take the government's own spending plans, you take off debt interest, you take off the increase for unemployment, which sadly is going to go up, you are left with a 7% cut in every department.

the government's own figures. if you exempt the nhs, you get a 10% cut. the government's own figures. if you take out -- thank you, school secretary. if you listen to the school secretary and you take out health and schools you get a 13.5% cut. that's the prime minister. mr. 13.5%, his own figures. let's see if we can answer the simplest of questions. is he going to have a full departmental funding review before the election, yes or no? >> mr. speaker, the first thing that he said is unemployment is going to continue to go up. that is the conservative policy. it's the prediction -- but that is when they say -- that is when they say -- that is when they say unemployment is a price worth paying. is he basing his assumptions on unemployment rising to 2014? no wonder he wants to cut public services.

he's basing his assumption on unemployment continuing to rise because he will do absolutely nothing about it. now, we have taken action -- we have taken action that is preserving 500,000 jobs. two and a quarter people are leaving the registry each month. we are putting more money so there are more money for young people and summer school levers. we will not forecast or spending plans on unemployment being higher in 2014 and rising every year. but if that is what he wants to do, then he cannot afford public services and, therefore, the truth is he will be cutting public services by 10%. >> david cameron. >> i have to say, mr. speaker, this is one of the most feeble performances i've ever seen. if peter mandleson hadn't been so busy this morning on the tv studio he could have given more

tuition. i did ask a very simple and straightforward question perhaps he could now answer it. peter mandleson said there will not be a spending review before the election. can the prime minister tell us will there be one or not? >> mr. speaker, it would be completely wrong to have a spending review now at this stage. because we're in the midst of a recession and it is not possible to say what unemployment and growth and all these characteristics that he's been referring to are likely to be in 2012, '13 and '14. they are the party of unemployment. they're premising all their spending plans on unemployment continuing to rise. he said himself, unemployment will keep on rising. now, if that is the basis of their spending plans, then people can look forward under a conservative government not just at 10% cuts but to rising unemployment. and do you know why,

mr. speaker, why they want these public spending cuts to pay for inheritance tax cuts for the very rich. we know once again they are the party of the few and we are the party of the many. >> david cameron. >> i know the walls of the bunker are thick but the prime minister knows the unemployment is rising across the country because of the policies of his government. we've seen hundreds of people lose their jobs in scotland, another tragic case and yet the prime minister seems blissfully unaware of what's going on in the country he's meant to be governing. everyone will conclude that they are not going to have a spending review because they do not want to own up to the cuts they are planning in department after department. the truth is, this government is planning to cut capital spending, fact. and total spending fact. and they are incapable of being straight with the british people. >> mr. speaker, this opposition party would cut spending this

year and help with unemployment and help with housing. this opposition party would cut next year and cut it in schools and and even programs. they're assuming unemployment will continue to rise as he said to 2014. that is not the policy of this government. we want to get people back into work. >> thank you very much, mr. speaker. doesn't the second franchise fiasco on the east coast mainland in two years tell us that the tory privatization of rail experiments has finally hit the buffers? now that we're taking the east coast mainland back into public ownership can we keep it that way? >> well, mr. speaker, our first overriding obligation is to ensure continuit@@&@@ @

the secretary of state is establishing a public on company that will take over all french i'd services, existing staff and assets were transferred to the new company. we are making sure that the service continues to run and passengers will continue to be searched and that jobs continue to exist. >> i would like to join in welcoming the announcement for her majesty today. it is such a fitting tribute to recognize the bravery and sacrifices of our armed forces. this morning we've seen this bogus debate on public spending hit new lows. i'm always tempted that lord mandleson and the economic spokesman should go on another cruise together to make up. but the real failing, the real failing is that the conservative party leader wants to cut spending when the economy is still on its knees, economic madness and he won't tell us how and the prime minister is still living in complete denial about the long-term savings which will

be needed when the economy starts to recover. isn't it the case that they're both deliberately choosing to trade insults so that they can both avoid telling the truth? >> mr. speaker, and he doesn't tell us what his policy is at all. the fact of the matter is if spending were to be cut this year, jobs would be lost as well as services being put at risk. if spending were to be cut next year, then jobs would be lost and spending would be at risk. we will ensure that spending will protect the homeowners and make sure our public services are there. i hope he will join our side of the debate in protecting public services for the future. >> he's avoiding once again is that difficult choices on long-term spending do need to be made now if we're going to get any grip on the country's finances and that's why we should admit that we neither

need nor can afford to replace -- now, he's planning to sign the first contracts for the new submarines this summer during the recess when we are all away. isn't it obvious that he shouldn't do that? >> mr. speaker, we've already announced a deficit reduction plan for the next five years. we've taken difficult decisions about efficiency savings and asset sales and raising the top rate of tax, about measures that make sure that people are in a -- who are in a position to pay more do pay more in the taxes and that is at the top rate of tax. i hope he will support these measures that are designed to both get the deficit down and make sure there are sufficient resources for public services. i've already made my position in the debate on monday. >> angela c. smith. >> thank you, mr. speaker, last week horace announced 379 job losses in the steel working town in my constituency. job losses which will have a devastating impact on the

economy of its town which has a population of only 13,500. will my right honorable friend make a commitment to do whatever he can to make sure they can secure a long-term future to steel working in places like scotts bridge. >> whenever there are redundan y redundancies is sadness and regret. what we're dealing with is a fall of demand in the steel industry around the world which is affecting britain and every other country. we are in talks with them. we have provided extra money to them in the last week for help to secure jobs. and we will continue to talk with them about what more we can do. we're also in negotiations with them about the relationships that they have with a conglomerate of steel producers. that contract is broken down. it puts jobs in britain at risk and we'll try to do what we can to make sure that a new arrangement is agreed that can

protect more jobs in print. >> the red book shows capital spending at 44 billion pounds this year and i'm sure the prime minister shows cuts starting next year. will he correct the record now? >> we're bringing spending to 2009, '10 and '11 and the reason that we're doing that is we can help get the economy out of the recession. the capital investment would not be supported by the conservative party. as a result, projects like housing that we're -- housing that we're investing this monday could not go ahead. i've already explained to the house that while the previous budget announced there was a

rise of capital expenditure over that period of time, more money has been reallocated so that we can help ourselves out of recession. >> there's been a great deal of talk about modernization so i would like to ask the prime minister if he could go back to a time in a time we had prime minister question times on tuesdays and thursday it would make it much more accountable to the backbenches and we would get a better attendance on thursday. >> mr. speaker, that is an idea that perhaps the speaker may want to consult on. >> simon hughes? >> as more than a million of young people leave education this summer, the government rediscovered commitment to training and apprenticeship is growing. the number cannot be completed in the time the government has announced.

is there a group of us to make sure we don't consign for the qualifications to be made. >> in 1997 there were 7,000 apprenticeships in britain this year there are 225,000, three times as many so to say we've reduced the number of apprenticeships or not taking it seriously is wrong. on monday we announced how we will do for summer school leaves and for people under 25. i hope he will support the new investment we made in measures. i hope his party is prepared to support it even if that party is not. >> mr. neil turner. >> the government made a lot of progress in my constituency through the neighborhood renewal fund. but local authorities, on building on that success because they don't get the amount of money that the government formula tells them they are entitled to. would my right honorable friends

meet with my colleagues and other constituencies to find ways to tackle these problems? >> yeah, i understand they will receive 21 million in 2008, 2009, and '11 and '12. of course, i'm happy to meet him to talk about the neighborhood renewable fund and other aspects of central funding to local authorities but i do say that over the last few years we've increased these resources substantially and where there is unemployment there will be increasing resources to help people get back to work. >> mark simmons. >> thank you, mr. speaker. in light of recent cuts to the department of health spending the 3.9 billion which is announced in the budget can the prime minister confirm what they are planning for 2011 and 13? >> he should know perfectly well that we have done so against the

advice of the conservative party. it would prefer -- mr. speaker, if we had not taken the decision to raise national insurance to put investment in the national health service we could not have had the 90,000 extra nurses and 20,000 extra doctors and the new hospitals that that was opposed by the party opposite. >> in a few days time the newly elected european parliament sits for the prime time. can the prime minister assure me that labour would not sit with those who are homophobe and check with those who believe global warming is a myth or dutch who think abortion should be abolished and suddenly shopping stop.uñu which party supports these alone -- loonese and weirdos. >> perhaps he should admit

there's a need for cooperation all over europe to deal with these issues and what people will find very sad is a conservative party now on the fringes of europe with some of the extreme parties on the right wing of the european political family. >> thank you, mr. speaker. news of tomorrow's statement is welcomedéndqu pandemic were to trigger triggers in the government approach during the recess will the prime minister recall parliament so there can be proper scrutiny of the government's actions? >> mr. speaker, she will know that there will be a statement made tomorrow by the health secretary on the issue of swine flu and we will make sure that the treatment of that disease in every part of the coun >> gordon banks? >> thank you, mr. speaker. my right honorable friend on the restructuring of jobs in scotland which the leader of the

opposition has received to. indeed, it was mixed news 500 job losses over two years but also 100 million pound investment including in my constituency. will my right honorable friend do everything they can to negate these jobs and also agree to meet with1d the company to diss their continued plans for investment in scotland? >> mr. speaker, can i say that whether there is unemployment we are toward1áu and the measures that we've announced on monday will move in to helpsñ youn8j people but also help adults who are losing their jobs. where there is capital investment being made by firms it is possible forñ them to get new capital allowances that were in%ltt in the budget to stimulate new investment and whatá:ur(áq seeking to do is have an investment-led recovery. the capital spending that we have 2008, 200'2009, to '9 and is vital to doing that and we will continue to bank private investment in our country and these are the figures i want to make clear to the house.

>> as chair of your party the hyde group i've become deeply concerned about by trial in a revolutionary court with no evidence being offered against them. will the prime minister be willing to meet with me to underline his and i hope our collective support for the fundamental principles of fairness and tolerance in the treatment of these and of all of those in iran? >> mr. speaker, these are very difficult issues that he raises and i'm sure the whole house will share my concern with the recent behavior of the iranian regime in which legitimate demonstrations are suppressed and the freedoms of the iranian people, people due to stand before a closed court on the 11th of july, disappointment that the iranian government has expelled two of our diplomats and detained several of our

embassy staff. this action is unjustified and it's unacceptable and some people in iran are trying to seek to use britain as an explanation for the legitimate iranian voices calling for the greater openness in democracy but we will continue with our international partners to raise our concerns with iran including on the issue that the honorable member has raised. >> linda reardon? >> thank you, mr. speaker. following the announcement, will the prime minister assure banking staff in my constituency that it will do all it can to protect their jobs? and will he join with me in sending a clear message to lords banking group that further job losses would be totally unacceptable? >> mr. speaker, i visited the area'ma and i've talked to staf. i understand their frustrations at what is happening. they have served their bank well and they are the victims of what happened in its worldwide activities and particularly its failures in other countries. we will do what we can to help

the staff of halifax, lords tsb. we are also making it possible for people to have new facilities to find jobs in the area and we'll do what we can to reduce unemployment in these difficult circumstances. that's why we set aside 5 billion to help the unemployed and that is only possible because we made these additional allocations. >> adam holloway? >> thank you, mr. speaker. another opportunity for the prime minister to be straight with the british people. in which departments does the prime minister expect spending to fall in 2011, '14. >> being straight is talking about how we get out of recession and how we build for growth. it is not much good the opposition talking about 2011 when they're actually cutting spending in 2009, 2010 and '10, '11. they've refused to support the

action we're taking on jobs. they have no plan to come out of recession. they have no plan for jobs. and they have no plan for growth in the economy. they have nothing to offer the issue electorate but cheap gibes and no policy. >> thank you, mr. speaker. does my right honorable friend believe to build britain's future we need to help people in the downturn especially young people training and schools? will he reaffirm his september guarantee of replacing education and training for all 16 and 17 years old? >> mr. speaker, i don't know why the opposition knocked this. it has never been done before that there's a guarantee for schoolevers who are leaving school to get a school place, a college place, an apprenticeship or work experience some opportunity to prevent them to be employed. we're prep