This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/uk-politics-34440479

The article has changed 12 times. There is an RSS feed of changes available.

Version 6 Version 7
George Osborne appeals to Labour voters in conference speech George Osborne appeals to Labour voters in conference speech
(35 minutes later)
George Osborne has told Conservatives to "extend our hand" to people who feel "completely abandoned" by Labour's new leadership.George Osborne has told Conservatives to "extend our hand" to people who feel "completely abandoned" by Labour's new leadership.
In his conference speech in Manchester, the chancellor said the Tories had created a "new centre ground" and were "the true party of labour".In his conference speech in Manchester, the chancellor said the Tories had created a "new centre ground" and were "the true party of labour".
He also said councils would be able to set and keep hold of the business rates raised in their area. He also said councils in England would be able to set and keep hold of the business rates raised in their area.
Former Labour minister Lord Adonis is to lead a new infrastructure body.Former Labour minister Lord Adonis is to lead a new infrastructure body.
Mr Osborne has also announced plans to sell shares worth £2bn in Lloyds Bank. The shares will be sold to private investors next spring.Mr Osborne has also announced plans to sell shares worth £2bn in Lloyds Bank. The shares will be sold to private investors next spring.
Conservative Party conferenceConservative Party conference
BBC assistant political editor Norman Smith said Mr Osborne's speech went "way beyond" a conventional chancellor's address and appeared focused on the "next prize" - succeeding David Cameron as Conservative Party leader.BBC assistant political editor Norman Smith said Mr Osborne's speech went "way beyond" a conventional chancellor's address and appeared focused on the "next prize" - succeeding David Cameron as Conservative Party leader.
It included:
Mr Osborne said while he had grown up in London, he had been "changed" by representing a constituency near Manchester and convinced of the need to increase investment in the North of England.Mr Osborne said while he had grown up in London, he had been "changed" by representing a constituency near Manchester and convinced of the need to increase investment in the North of England.
The Conservatives needed to understand the "reservations" of people who did not back them at the election, he said.The Conservatives needed to understand the "reservations" of people who did not back them at the election, he said.
"So to these working people who have been completely abandoned by a party heading off to the fringes of the left, let us all here today extend our hand."So to these working people who have been completely abandoned by a party heading off to the fringes of the left, let us all here today extend our hand.
"Do you know what the supporters of the new Labour leadership now call anyone who believes in strong national defence, a market economy, and the country living within its means?"Do you know what the supporters of the new Labour leadership now call anyone who believes in strong national defence, a market economy, and the country living within its means?
"They call them Tories. Well, it's our job to make sure they're absolutely right.""They call them Tories. Well, it's our job to make sure they're absolutely right."
The Conservatives are "now the party of work, the only true party of labour", he added. Analysis by Laura Kuenssberg, BBC political editor
Mr Osborne also called for new ways to fund infrastructure projects. "We are the builders." We know that George Osborne is fond of appearing in a hi-vis jacket on a building site, he's fond of talking about infrastructure, he's fond of appearing to be a man of action, and making things happen.
He said 89 local authority pension funds in England and Wales would be combined into six regional funds in the hope it will encourage them to invest in major infrastructure projects. But what he is trying to do is not just build roads and railways, but find a way to build a Conservative majority in 2020 and beyond.
Rather than sending business rates to Whitehall to be distributed, local authorities would retain them locally and be able to cut them, he said. The way he and David Cameron believe it can happen is by occupying as much of what they describe as the "common ground", to use their election victory to persuade millions of voters in the middle they are the sensible majority.
Areas with elected mayors will have an additional power to raise money by increasing rates. Read Laura's blog in full
He acknowledged Labour's role in proposing a national infrastructure commission, saying he was "delighted" Lord Adonis, policy chief in Tony Blair's government before becoming transport secretary under Gordon Brown, had agreed to lead it. Mr Osborne, who said the Conservatives were "now the party of work, the only true party of labour", also called for new ways to fund infrastructure projects.
His central proposal - which will only apply in England - involved business rates, which are charged on most non-residential properties like factories, offices and shops.
They are currently set by central government, collected by councils and then redistributed by Whitehall across the country.
Mr Osborne said this "merry-go-round" would be ended, with local authorities retaining the proceeds locally and able to cut rates.
Areas with elected mayors will have an additional power to raise money by increasing rates, he said. Scotland, Wales and Northern Ireland have their own business rate systems.
Mr Osborne also acknowledged Labour's role in proposing a National Infrastructure Commission, saying he was "delighted" Lord Adonis, policy chief in Tony Blair's government before becoming transport secretary under Gordon Brown, had agreed to lead it.
Lord Adonis has resigned the Labour whip and will sit as a crossbencher in the Lords as he takes on his new role.Lord Adonis has resigned the Labour whip and will sit as a crossbencher in the Lords as he takes on his new role.
BBC political editor Laura Kuenssberg said the move was "a long way from a defection", and that while it was embarrassing for Labour that he was resigning the whip he would remain a party member. Earlier, speaking on BBC Radio 4's Today programme, Mr Osborne defended the time taken to reach a decision on airport expansion, saying the Davies Commission - which has backed a third runway at Heathrow - had "forced the choice on the government".
She added it was worth noting Lord Adonis had sat on the review for Labour that effectively set out the blueprint for the independent National Infrastructure Commission (NIC).
Earlier, speaking on BBC Radio 4's Today programme, Mr Osborne said the new commission would "shake Britain out of its inertia" on making big decisions.
Tax credits
"Britain has really got to raise its game in getting these big projects under way," he said.
He defended the time taken to reach a decision on airport expansion, saying the Davies Commission - which has backed a third runway at Heathrow - had "forced the choice on the government".
"The choice is now on the desks of ministers," he said, adding that the government would "absolutely" make its final decision by Christmas."The choice is now on the desks of ministers," he said, adding that the government would "absolutely" make its final decision by Christmas.
Mr Osborne also defended the government's changes to tax credits, after some Conservatives called for a rethink. He also defended the government's changes to tax credits, after some Conservatives called for a rethink.
Critics include senior backbencher David Davis, who compared them to the poll tax, and ex minister David Willetts, who likened the changes to Labour's abolition of the 10p tax band in 2007.Critics include senior backbencher David Davis, who compared them to the poll tax, and ex minister David Willetts, who likened the changes to Labour's abolition of the 10p tax band in 2007.
The chancellor said a typical family on the minimum wage would be better off, with the changes offset by the new National Living Wage.The chancellor said a typical family on the minimum wage would be better off, with the changes offset by the new National Living Wage.
'Big improvements''Big improvements'
And he insisted other European leaders were not too preoccupied by the migrant crisis to consider the UK's demands for EU reform ahead of its membership referendum.And he insisted other European leaders were not too preoccupied by the migrant crisis to consider the UK's demands for EU reform ahead of its membership referendum.
"I'm not saying it's the only thing they're thinking about, but they are thinking about it," he added."I'm not saying it's the only thing they're thinking about, but they are thinking about it," he added.
Lord Adonis, a Social Democrat councillor and Liberal Democrat election candidate before joining Labour, said: "Without big improvements to its transport and energy systems, Britain will grind to a halt."Lord Adonis, a Social Democrat councillor and Liberal Democrat election candidate before joining Labour, said: "Without big improvements to its transport and energy systems, Britain will grind to a halt."
The NIC will initially focus on London's transport system, connections between cities in the north of England, and updating the energy network - funded by selling off land, buildings and other government assets. The infrastructure commission will initially focus on London's transport system, connections between cities in the north of England, and updating the energy network - funded by selling off land, buildings and other government assets.
It will start work immediately and will produce a report at the start of each five-year Parliament containing recommendations of projects.It will start work immediately and will produce a report at the start of each five-year Parliament containing recommendations of projects.
Asked if the new scheme would make it harder for councils and individuals to oppose projects, Mr Osborne told BBC Breakfast there were "always going to be people who don't like new building, don't like new roads, don't like new railways near them".Asked if the new scheme would make it harder for councils and individuals to oppose projects, Mr Osborne told BBC Breakfast there were "always going to be people who don't like new building, don't like new roads, don't like new railways near them".
"But the truth is if we hadn't built railways in the past, or motorways in the past, that would have been a disaster for this country, and it would be a disaster for this country if we stop building now," he added."But the truth is if we hadn't built railways in the past, or motorways in the past, that would have been a disaster for this country, and it would be a disaster for this country if we stop building now," he added.
A spokesman for Labour leader Jeremy Corbyn said: "We have heard it all before from Osborne and the Conservatives on infrastructure and their record is one of complete failure to deliver. A spokesman for Labour leader Jeremy Corbyn said: "We have heard it all before from Osborne and the Conservatives on infrastructure and their record is one of complete failure to deliver."
"There is still nothing to indicate that the Tories understand the desperate need for serious long-term investment in infrastructure - and the real story of their conference remains their attack on working people through the cut on tax credits."
John Cridland, director-general of the CBI business lobby group, said: "Updating the UK's infrastructure is critical to sustainable growth and productivity, and we've long called for an independent body to assess our long-term needs."John Cridland, director-general of the CBI business lobby group, said: "Updating the UK's infrastructure is critical to sustainable growth and productivity, and we've long called for an independent body to assess our long-term needs."