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Brown outlining 'long term' plans Brown outlines 'long term' plans
(about 2 hours later)
Gordon Brown is setting out long-term economic policies as he seeks to regain the political initiative after recent controversies and poor poll ratings. Gordon Brown has sought to regain the political initiative by saying he is taking the "long-term" decisions needed so Britain can meet future challenges.
In a speech to business leaders at the CBI, the prime minister will back the expansion of Heathrow and more spending on energy, including nuclear power. In a speech to the CBI the PM said the planning process for big infrastructure projects was to be simplified.
Britain must "leave behind the old policies of yesterday", he will add. This would help Heathrow expansion and new nuclear power stations, he told the audience of business leaders in London.
His speech follows criticism of ministers' handling of the Northern Rock crisis and missing data discs. He also said welfare reforms would make it compulsory for claimants to take a job or where offered, training.
'Better tomorrow' Mr Brown's speech, his first to the audience of business leaders since he became prime minister, came after weeks of difficulties.
The speech is being seen as an attempt by Mr Brown to put recent setbacks behind him. He said that he would not take short-term decisions that would put economic stability at risk at a time when a new global order could bring problems such as the credit crisis.
The government has been attacked over the decision to lend Northern Rock more than £24bn in emergency funding from the Bank of England. 'Yesterday's policies'
Britain as a world financial centre must be readily accessible from around the world Gordon Brown He said Britain had already negotiated several international crises because of its flexibility, and pointed to the decision to keep down public sector pay awards to help control inflation.
It has also faced stern criticism after two computer discs containing 25 million Child Benefit claimants' details went missing from HM Revenue and Customs. He said Britain must "leave behind the old policies of yesterday" and make new long-term decisions on planning, energy, the environment and education to become a global leader in the 21st Century.
And on Sunday, three opinion polls - published in the Sunday Telegraph, News of the World and Mail on Sunday - suggested confidence in Labour had been shaken. Investment in transport infrastructure must be stepped up, he said, saying every year up to 2017 would see a £20bn investment in transport.
But in his address to the CBI's annual conference in London, the prime minister is expected to insist that his strategy will "serve us better tomorrow". The inactive should, wherever possible, be preparing and training to get back into work Gordon Brown
This will include delivering a third runway at Heathrow Airport and reducing carbon dioxide emissions by at least 60% by 2050. The £16bn Crossrail project would be proceeded with and he said the government would not "shirk" the decision on expanding Heathrow, which he said, Britain's prosperity depended on.
It is thought he will also launch fresh proposals for welfare reform to get more people into work. Decisions on key national infrastructure projects will be handed to a new independent body and "streamlined", and on energy security, he said a decision on building nuclear power stations would be made early in the New Year.
"Long-term reforms will intensify and be stepped up," Mr Brown will promise. He repeated plans to expand the emissions trading scheme and put London at the centre of a global "carbon market".
"We know also that even as we place strict environmental limits on noise and air pollution and ensuring aviation pays its carbon costs we have to increase capacity at our airports, particularly Heathrow. 'New obligations'
"Our prosperity depends on it. Britain as a world financial centre must be readily accessible from around the world." And he said Britain needed "the most far-reaching change in our occupational industrial and employment structures for more than a century" - to help the unemployed get the skills needed to train for work by providing "new incentives and new obligations" on welfare recipients.
He is also expected to announce that the planning system will be streamlined so that it will be easier to build homes and nuclear power stations. "If the best welfare is no longer the benefits you have today but the skills you gain for tomorrow then the inactive should, wherever possible, be preparing and training to get back into work," he said.
But in an address to the conference on Tuesday, Conservative leader David Cameron is expected to attack the government's proposed changes to Capital Gains Tax as "incompetent".But in an address to the conference on Tuesday, Conservative leader David Cameron is expected to attack the government's proposed changes to Capital Gains Tax as "incompetent".
'Mixed signals' On too many issues, this government is just getting it wrong Nick CleggLib Dems
In his pre-budget report, Chancellor Alastair Darling outlined plans to replace CGT taper relief with a flat 18% rate. In his pre-Budget report, Chancellor Alastair Darling outlined plans to replace CGT taper relief with a flat 18% rate.
Mr Cameron will focus on the role played by Mr Darling, whom the Tories have also singled out for criticism over Northern Rock and the Child Benefit data loss.Mr Cameron will focus on the role played by Mr Darling, whom the Tories have also singled out for criticism over Northern Rock and the Child Benefit data loss.
The Tory leader will say of Mr Darling: "First he announced a £900m tax increase on the most productive sector of the economy.
"Second, this announcement was made with no prior warning or consultation. And third, since then we have had nothing but confusion and mixed signals."
In a further address to the conference, Liberal Democrat leadership candidate Nick Clegg will accuse Mr Darling and the prime minister of putting economic stability at risk.In a further address to the conference, Liberal Democrat leadership candidate Nick Clegg will accuse Mr Darling and the prime minister of putting economic stability at risk.
He is expected to say: "On too many issues, this government is just getting it wrong."He is expected to say: "On too many issues, this government is just getting it wrong."