Cameron sets out Tory economic plan

David Cameron today called for a new economic strategy to make Britain “the best place in the world to do business”.

Speaking the City of London, the Conservative leader outlined his party’s plans for the economy, including better transport and regulation.

But Labour has accused the Conservative leader of exploiting economic uncertainty for his own political advantage.

Mr Cameron said “We need a new economic strategy to help our companies create jobs, wealth and opportunity; to attract the best and most productive firms to Britain and keep them here.

“Rather than the do-nothing dithering and the economic incompetence of Labour, we need a new economic dynamism to make Britain the best place in the world to do business.

“That is the kind of plan we need to help Britain ride out the global downturn and build the foundations for future economic success.”

Mr Cameron said the case of Northern Rock highlights the need for better banking regulations.

“We need to reform prudential banking regulation so that banks themselves, and regulators if necessary, act sooner,” he said.

“Let me be clear, we are not calling for the regulation of banks to be put back into the Bank of England. But the Bank of England must be put in charge of rescuing a bank.”

The Tory leader also emphasises the role of infrastructure in the economy. He said: “Transport. Research and innovation. Education and skills. These are things which our economy needs to prosper.”

Mr Cameron used his constituency of Witney as an example. “There’s an incredible hub of science-based businesses in pharmaceuticals and technology that have the potential for further growth.

“Yet Witney doesn’t have a railway station and is connected to the nearest city, Oxford, by just a single-carriage road.”

Business secretary John Hutton, however, said Mr Cameron was responding to economic uncertainty by promising “billions of pounds of unfunded tax pledges” and the threat of years of instability.

“The last thing that families need now is cuts to tax credits and rights at work, on top of the economic instability that would be caused by David Cameron’s reckless, unfunded tax plans,” he added.