Tory Andrew Tyrie calls for 'coherent' economic plan

The government is not doing enough to promote economic growth, a prominent Conservative party figure has said.Commons Treasury Committee chairman Andrew Tyrie called for tax cuts for business and questioned government initiatives, such as the Big Society.He said some initiatives "have seemed at best irrelevant to the task in hand, if not downright contradictory to it".Chancellor George Osborne has suggested there might not be tax cuts before the next general election.Some of Mr Tyrie's views would be shared by other Tory backbenchers, former Conservative cabinet minister John Redwood told the BBC.According to Mr Tyrie - who chairs the cross-party treasury group of MPs - the government is pursuing policies more suited to an age of abundance rather than austerity.He does support the coalition's strategy to reduce the public deficit, saying it is both necessary and correct.But in the pamphlet for the pro-free market think tank, Centre For Policy Studies, he said the government had to review its positions on the reform of public services, the increase in overseas aid and some aspects of its environmental agenda.The pamphlet, called It's the Economy, says: "Without the lynchpin of a clear strategy for growth in place, other attempts to provide a more appealing theme than austerity are unlikely to succeed."The Big Society; localism; the Green strategy - whether right or wrong - these and other initiatives have seemed at best irrelevant to the task in hand, if not downright contradictory to it; likewise the huge spending hike on overseas aid and the cost of the Libyan expedition."He said instead there should now be a relentless focus on improving living standards.Mr Tyrie called for the tax system to be simplified and business taxation to be reduced, and said he wanted to see fewer regulations and changes to labour laws."There is much to do, and it is not just a question of gaps in policy," he said."A coherent and credible plan for the long-term economic growth rate of the UK economy is needed."The issue is likely to dominate at the Conservative Party conference which begins in Manchester on Sunday. Economic policy is being debated on Monday.John Redwood said: "I think Andrew Tyrie speaks for a lot of Conservatives when he says that he thinks that some of the spending priorities are not appropriate for current austerity Britain and that we need to make stronger strides to get the deficit down by controlling spending."I think the 30 billion [pound] increase in current public spending last year was rather a large increase in the circumstances."He added that Mr Tyrie's views on tax would also be shared by party members."If we're going to tax the rich more and get more money in from a growing economy we need to set competitive rates."Mr Osborne is expected to tell delegates of his plans to help business by changing employment laws.He will say that workers will only be allowed to sue for unfair dismissal after two years in the job - rather than the existing minimum of 12 months.Last year there were 236,000 cases, with an average award for successful complainants of about £9,000.Workers will still be able to take action immediately if they suffer discrimination, but by reducing the risk of tribunals for unfair dismissals the government hopes bosses will feel more confident about hiring people.The TUC has said extending the period to two years will amount to "a charter for bad bosses".And the GMB union said: "The Tory Party is increasingly being funded by the asset strippers and predators. That explains why the Tories want to reduce the employment rights of ordinary workers not to be sacked from their livelihoods unfairly."They are the same old nasty Tories now in the pockets of the predatory elite."Mr Osborne said the possibility of tax cuts depended on "how things develop" between now and the next general election.He is also expected to tell delegates of his plans to help business by changing employment laws.He will say that workers will only be allowed to sue for unfair dismissal after two years in the job - rather than the existing minimum of 12 months.Last year there were 236,000 cases, with an average award for successful complainants of about £9,000.Workers will still be able to take action immediately if they suffer discrimination, but by reducing the risk of tribunals for unfairdismissals the government hopes bosses will feel more confident about hiring people.The TUC has said extending the period to two years will amount to "a charter for bad bosses".And the GMB union said: "The Tory Party is increasingly being funded by the asset strippers and predators. That explains why the Tories want to reduce the employment rights of ordinary workers not to be sacked from their livelihoods unfairly."They are the same old nasty Tories now in the pockets of the predatory elite."The government is due to announce that it will launch a consultation on restricting the amount of time civil servants can spend working as union representatives.At the conference, which starts on Sunday, the Conservative leadership is expected to face demands from the right of the party to take a tougher line on issues such as Europe, immigration and social policy.Influential Tory MP Nick Boles has urged Conservatives to focus on issues important to the public, not "petty obsessions", at the conference.  From / BBC