Britain’s place in Europe: why the voice of British business matters- Speech by Douglas Alexander MP

In a speech today to Ambassadors from all 28 EU member states, Labour’s Shadow Foreign Secretary, Douglas Alexander MP, will argue that the Conservative Party’s approach to Europe poses the biggest risk to British national prosperity in a generation.

He will argue that the starting gun on the campaign to keep Britain in Europe has already been fired, and he will urge UK business to speak up on Britain’s place in Europe, because if they wait it could be too late.

The full speech is below:

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It seems commonplace nowadays to claim that Europe will be a big feature of the next election.

I don’t disagree.

But it’s not because Nigel Farage says it will be.

Or even because David Cameron’s back benchers want it to be.

It will be decisive in the next election because of the impact it will have on Britain’s prosperity as a nation, now and in the future.

The Conservative party’s approach to Europe poses the biggest risk to British national prosperity in a generation.

That is why Labour will continue to make the case for reform of Europe and not exit from Europe.

But the truth is, this campaign is bigger than any one party.

Millions of people across the country know that we simply cannot afford to let David Cameron set Britain on the conveyor belt to exit.

This is a campaign that unites all of us who share an interest in keeping Britain strong, keeping Britain working and ensuring the economy is growing.

So today I want to speak directly to the quiet majority of concerned British businesses.

I want to make a direct appeal to chief executives, employers, business managers and company owners across the UK.

The starting gun on the campaign to keep Britain in Europe has already been fired.

And Britain now needs you to join in the race.

This summer I willingly played my part in the campaign to keep the United Kingdom together.

I have fought in many campaigns. None was more important than this.

This was reflected in the intensity of debate that saw friends and families on opposing sides and passions running high. The campaign both energized and divided Scotland.

But since that historic decision, one aspect of the campaign that has been not often spoken about, was the crucial role that business played in shaping the final weeks and days of the campaign.

Jolted into action when a YouGov poll just weeks before the referendum seemed to show that the Scottish public would vote to leave the Union, businesses began to speak up about the risks this could bring.

And although business has not been short of controversy – especially the financial services industry – when they voiced genuine concerns about the impact of policies on jobs and investment, people across Scotland listened.

I know, from private and public discussions, that many businesses in Scotland had been aware of the risks of separation for a long time.

And I do understand why they were reluctant to speak out.

They didn’t want to become political targets.

But today I want to make the case that we should learn from our experience of that referendum in Scotland.

Once again business faces the dilemma of how to face down a populist leader mobilising and an increasingly angry public campaign.

Last summer it was about Scotland leaving the UK.

Next summer it could be about the UK leaving Europe.

I know that some companies may feel that now is not the time to speak up on our membership of the EU.

Perhaps they think that this is something that can and should wait until the moment of decision.

That was the revealed preference of some businesses in Scotland over the summer.

But today I want to urge against this approach.

The work begins now.

Now is the time to speak out. Now is the time to speak up.

Because you know what is most at stake.

You know what we have to lose.

Your voice must be heard.

Because if you wait, it could be too late.

Of course, as Labour and the business community, we will not always agree about everything.

The next Labour government will reform the way the state works.

We will reform the way the economy works.

We will reform the way Europe works.

Change is not easy.

But it is necessary to equip business and young people with skills.

Necessary to help entrepreneurs get the access to finance and markets with proper competition in key sectors like energy and banking.

And necessary to halt the slide towards British exit from Europe.

But this is an issue that should transcend party politics.

For business to speak up for Britain’s place in Europe is not about party political advantage, it is about recognising both where our country’s national interest and your business interests lies.

It is about patriotic duty.

And good business sense.

And I hear – from local businesses leaders I meet in my own constituency, as well as Chief Executives based down here in London – that you are increasingly concerned about the risk of exit.

And now we can see this being borne out in the data.

This month Labour asked YouGov to do a poll of over 700 business leaders across the UK asking whether they thought the prospect of Britain leaving the European Union had gone up or down in the last six months.

Nearly 80% thought the prospect of Britain leaving Europe had gone up.

Amongst those business leaders in the manufacturing sector, it was closer to 90%.

A quarter of all the businesses leaders contacted thought it had gone up significantly.

These figures show the mounting concern within the business community.

But mounting concern has not yet been matched by increased engagement in the public debate.

I know that important work is already being done by organisations like the CBI and others, including The City UK’s latest report on EU reform.

But this kind of work is a platform on which individual businesses can build their arguments, not a reason for them to opt out of debate.

I don’t deny that in the current circumstances, it can feel tough to be the ones speaking out for Britain’s place in Europe.

My colleague, Pat McFadden, has described the Tory Militant Tendency – a sizeable group of MPs who want Cameron’s renegotiation to fail – and who ‘bang on about Europe’, which can turn off business leaders in the same way it can turn off many voters.

What makes it even more difficult is that so many of the things that business sees as essential for its success: the single market, enlargement, free movement, are now at the core of the euro-sceptic critique.

Making the case for the EU has become harder in recent years than at any other time in the history of the Union.

Whereas in the past, the EU was most commonly associated with economic strength, today it is too often associated in the public’s mind with sustained austerity, stagnant growth, currency crises and the failure of national politics to manage migration effectively.

Today the EU is blamed for an unprecedented increase in migration which, although it was good for the economy in the aggregate, has driven down wages in certain regions and sectors as well as putting pressure on public services in communities across the country.

This has precipitated a decline in public confidence in the EU’s economic foundations unlike any it has experienced in its history.

So the political and economic context in which we will be making the case for Britain in Europe at the next election must be – for reasons of both principle and practice – very different to the one that we made in the past.

In this changed context, I believe that the task of those advocating Britain’s place in Europe must once again – as at its inception – focus on the economic case for membership.

Today, the Europe debate is too often seen as simply a sub-section of the national debate about migration.

There is much that we collectively need to do to answer the public’s concern and rebuild confidence in our migration system.  But, unless business and politics put these debates into a wider economic context, the British public will be denied a view on the bigger picture.

Despite recent setbacks, some of the long term economic benefits of EU membership are as clear today as they were when the UK joined in 1973.

The free movement of goods and services stimulates trade.

Net trade increases national income and employment.

Reaching out to other markets for trade – like the BRICs – is made easier, not harder, by our EU membership.

If we left the EU – the US, China, and the EU would be in the negotiating room and we’d be in the waiting room.

Because it’s far easier reaching out from within a market of 500 million rather than just 60.

Together this helps raise GDP, employment and productivity.

According to CBI estimates, the net benefit to UK GDP of membership is around 4-5% – between £62bn and £78bn.

Which suggests a household benefit of around £3000 a year – and individual benefit of around £1125.

And to those who claim the UK could exist as some kind of European Singapore, it’s not simply that we couldn’t do this. It is also that we shouldn’t.

The very qualities that make the UK unique – the English language, our trading heritage, flexible economy and high skilled workforce – are what make us such a key player within the EU and help us exercise leverage over EU affairs.

They are not the reasons for Britain to try to go it alone, they are the reasons to work with partners to deliver an EU that can work better for Britain.

And yet, all too often, it has felt like the economic case for Europe has not been effectively communicated.

We see this in how the economic case for Europe is so strong and subject to widespread consensus by businesses and economists alike – and yet in spite of this such a significant portion of British society still don’t feel that membership benefits them or their families personally.

This is self-defeating for progressives trying to make the case for Britain staying at the heart of a reformed EU.

Politicians and business must do a better job of articulating the benefits – and develop a policy agenda which strengthens the coalition for Europe by mitigating the problems for the losers.

Not least because we understand that rising euroscepticism is in part being driven by the social disaffection which results from an economy where the link between living standards and hard work is broken.

There are huge forces of globalisation and new technology driving these changes right around the world.

The question is this: how do we respond?

And how can we restore the public’s trust in the link between European membership and British national prosperity?

The answer is not to panic.

Not to posture nor make promises you cannot keep.

And not to pander to those who would have Britain turn in on itself.

Instead it is to set out clear, credible and concrete ways to address real concerns and bring real change.

That is why in recent weeks, Labour has announced the changes we want to see to EU migration, and set out a credible plan for achieving them.

Including longer waiting periods for out-of-work benefits, reform so that in-work benefits aren’t available until someone has contributed and action to stop Child Benefit being sent abroad.

Our country’s social security system was never intended to subsidise and perpetuate low-paid and insecure work. And the European single market should not be about a race to the bottom on working conditions.

But as Labour, we know that we don’t need to walk away from Europe to put the principles of work and contribution at the heart of our system.

Nor will achieve them by simply threatening to walk off the pitch if others don’t play.

No. We can deliver these changes through negotiation, through building alliances, through finding common cause for reform with others.

And we will.

But this important debate about the impact of immigration should not be allowed to overshadow ongoing discussions around the benefits of membership and the capacity of the EU to promote growth and jobs.

That is why Labour will put the economic case for membership at the heart of our EU reform agenda.

Labour will set out the economic benefits of membership.

But we must also restore the public’s faith in Europe’s ability to deliver them.

That means setting out a credible economic reform agenda for the EU.

An agenda that helps ensure the EU is focused on key tasks.

Delivering the jobs and growth that we need.

Encouraging the trade and investment that we rely on.

Promoting sustainable prosperity that we depend on.

And using the tools of the single market to deal with the cost-of-living crisis.

In Opposition, we have already set out a number of reforms that would help the EU deliver on this.

Including an EU Growth Commissioner, an EU growth audit on new legislation and further reform of the EU budget.

But we know there is more that can be done.

In government, Labour’s record of promoting growth at home will help us drive forward an agenda promoting growth in Europe.

Protecting the integrity and function of the single market will be a priority for the next Labour government.

The single market – of over 500 million people – benefits consumers and businesses here in the UK more than any single aspect of our national industrial policy or bilateral trade policy.

Since its inception, FDI flows into the EU have doubled, helping to make the UK a more attractive destination for global investment, with the second largest stock of FDI in the world.

It drives competition, attracts investment and creates jobs.

According to a BIS study, progress towards a completed Single Market – including on digital and services could add up to seven per cent to UK GDP.

That is why in March this year, Ed Miliband announced the CBI has agreed to help us develop proposals on how we complete the single market.

But there is also more we can do at a European level to drive this agenda.

First, Britain should be pushing for key protections for the single market that can complement rather than necessarily limit, deeper integration among Eurozone states.

A new Council of the Single Market should now be established to help ensure deliberations on Single Market issues remain a priority.

European leaders have floated the idea. David Cameron hinted at it.

A Labour government would act on it.

A Labour government would also seek further safeguards for protecting the interests of the single market, specifically in the face of potential further Eurozone integration.

That is why we will make the case for non-eurozone Member States to have permanent observer status at Eurogroup meetings.

Eurogroup meetings are an important forum for Eurozone members to discuss, implement and agree a new institutional architecture to better protect against the kind of currency crisis that we have witnessed in recent years.

But the steps agreed in that group can have a significant impact on those member states not party to the discussions.

It is right that, as organisations like the Business for New Europe, Centre for European Reform and The City UK suggest, non-eurozone members should have a seat at the table, not dictating the terms of the debate, but being fully aware of discussions and able to adapt accordingly.

Second, European competition policy must serve as a driver of growth, not a prohibited of progress.

We know that the proper functioning of the single market requires strong rules and regulations around competition policy and state subsidies.

But the rules can seem overly rigid and can end up stopping governments’ being able to provide vital support for firms to cope in times of economic crisis or leave investments for innovation and growth open to challenge in the courts.

Here in the UK, in the wake of the global financial crisis, various government schemes designed to support businesses facing sudden economic shocks, including the Labour government’s car scrappage scheme, were subject to lengthy approval processes that delayed their implementation.

That needs to change.

We welcome the review that the EU has undertaken on proposals to increase the flexibility and exemptions in state aid rules.

These new regulations need to be tried and tested and if there is scope for further reform, a Labour government would drive forward this agenda.

Necessary progress has been made, but where further reform is needed, the EU must be ready to act.

This is not a path to protectionism.

It is a legitimate extension of the principle already acknowledged by EU rules that certain exemptions to state aid, such as financing for SMEs and investment in deprived regions, are legitimate and needed.

I do believe that today there is both a case for EU reform, and a coalition within the EU to deliver it.

But the truth is that David Cameron simply cannot take this agenda forward.

Both because he lacks credibility in Brussels and because he lacks strength in Westminster.

UKIP is on the march and David Cameron is running.

Back in January 2013, the Prime Minister gave what his aides briefed, rather optimistically, would be his last speech on Europe in the parliament.

He tried to make 2013 the year that he claimed the mantle of European reform.

But it was 2014, not 2013, that turned out to be the year that sealed David Cameron’s fate in Brussels.

In the 23 months since his speech on Europe, instead of becoming a beacon of reform in Europe, David Cameron has become a much more marginal figure in Brussels.

The effect has been a downgrading of Britain’s influence in other European capitals thanks to a Prime Minister more interested in burning bridges than building alliances.

During my time as Europe Minister, I worked with Tony Blair and Gordon Brown and represented the United Kingdom in Brussels.

I know that the influence you have in the room is dependent on the credibility you maintain with allies outside the room.

The capacity to understand the interests of other nations is fundamental to being able to advance the interests of your own.

What I learnt in EU Council meetings, David Cameron seems to have unlearnt since entering No 10.

Recent polling by TNS shows that public opinion across key EU states – including France, Germany and the Netherlands – is at risk of turning against Britain staying in.

With nearly half saying that Britain should leave Europe rather than accommodate Britain’s concerns.

The real question is not what does this mean for David Cameron.

It is what does this mean for Britain.

Labour understands that for businesses to afford pay rises, they need to be able to make more for less.

They need access to sources of investment so every worker can benefit from advances in technology which better enable them to do their job more efficiently.

And they need access to markets so that there is demand and competition for the goods which they produce.

The single market of 500 million people produces and sells one third of the world’s goods and services.

It is where British businesses do at least 50 per cent of their trade.

Leaving the EU means permanently ending one of our nation’s most long-running economic successes.

It means actively choosing an economy with weaker investment, less trade with the rest of the world, poorer productivity and worse living standards.

Despite that, a week after his appointment as Foreign Secretary this year, Philip Hammond said he was ready to take Britain out of Europe.

For a Foreign Secretary who is reported to have a background in business this appears to be a remarkably irresponsible gamble with Britain’s national interests – putting jobs and investment in the UK at risk.

And the real tragedy is that I believe David Cameron, George Osborne, and Philip Hammond know that.

They know that leaving the world’s most successful single market for our goods and one of most important drivers of investment in British businesses will only harm our productivity and worsen the cost-of-living crisis.

But they are still willing to contemplate it.

David Cameron may try to reassure British business that he has their best interests at heart, but the truth is that British business knows that sleepwalking towards exit is not just bad politics, its disastrous economics too.

A Prime Minister willing to gamble with Britain’s prosperity for the sake of horse-trading with his own backbenchers simply cannot claim to be committed to building a better Britain and a more prosperous country.

David Cameron may speak warm words to business on the one hand, but he is dealing away the prospects of a stable economic future with the other.

I believe that the prospect of a second-term Conservative government which will be dominated by a divisive and deeply damaging debate on leaving the EU represents a clear and present danger for British business.

So 2015 will be a decisive year for our country.

I don’t remember an election in my lifetime that was so unpredictable but also where there was so much at risk.

You only have to try and imagine what our country would look like in 2020 if David Cameron was elected in order to understand quite what is at stake.

We could be out of Europe.

And dealing with a full blown constitutional crisis across the United Kingdom.

So although the Conservatives want to claim that a vote for them is a vote for continuity. The truth is that a Conservative government in 2015 would mean breaking not simply with the record of the last government, it would mean breaking with decades of history that have defined the country we are today, how our country is run, and the place we have in the world.

That risk is real.

And so too is the responsibility on business to now find its voice and to make the case with authority and passion, that the right road for Britain is not exit from Europe but reform within Europe.

Tom Greatrex MP, Labour’s Shadow Energy Minister, will today (Monday 8 December 2014) table 11 amendments to the Infrastructure Bill marking the most concerted effort to date to tighten the regulations for shale gas.

The amendments will close key loopholes in the environmental regulation, including introducing a presumption against fracking in protected areas, such as Areas of Outstanding Natural Beauty, National Parks and Sites of Special Scientific Interest, requiring greater disclosure of the contents of frack fluid and fugitive emissions, and mandating independent well inspections.

Tom Greatrex MP, Labour’s Shadow Energy Minister, said:

“Shale gas extraction cannot go ahead unless we have a system of robust regulation and comprehensive inspection. Despite clear flaws in the existing framework, David Cameron’s government have repeatedly side-lined genuine and legitimate environmental concern and seem prepared to accept shale gas at any cost.

“Labour have today proposed the biggest overhaul of the regulations for shale gas to date, introducing requirements for baseline assessments of methane in the groundwater, monitoring of fugitive emissions and independent well inspection among other measures, and we will look to table further amendments ensuring that there are adequate protections for groundwater aquifers.

“While eight out of 10 homes still rely on gas for heating, shale gas may have a role to play in displacing some of the gas we currently import and improving our energy security – it is not about increasing how much gas we use, but where we get it from. But that potential benefit cannot come at the expense of robust environmental protections or our climate change commitments.”

Maria Eagle MP, Labour’s Shadow Secretary of State for Environment, Food and Rural Affairs, commenting on today’s report on food banks said:

“This report lays bare the extent of the cost of living crisis in David Cameron’s Britain. Low pay and rising prices have pushed hundreds and thousands into relying on food banks, and the Bedroom Tax and poor practice at the Department of Work and Pensions have made things worse.

“The squeeze on living standards exposed in this report is the most important issue facing politics today. That’s why Labour is committed to freezing energy prices, taking action on water bills and raising the minimum wage, as well as abolishing the unfair Bedroom Tax.

“Our economic plan will ensure we earn our way to rising living standards for all, not just a few, and balance the books in a fair way.”

Tristram Hunt MP, Labour’s Shadow Education Secretary, responding to the government announcement on maths and science in schools, said

“For three years in a row, David Cameron’s government has missed its own teacher recruitment targets, creating a crisis situation. Shortfalls in the recruitment of maths and physics teachers are especially concerning.

“Combine this with David Cameron’s policy of allowing unqualified teachers into the classroom and we have a very troubling picture. School standards and children’s life chances will suffer as a result.

“Labour’s ambition is clear: a world class teacher in every classroom. That is our priority and only a Labour government will deliver on teacher quality.”

Barry Gardiner MP, Labour’s Shadow Minister for the Natural Environment, responding to the Environmental Audit Committee’s report on the Government’s inaction on air quality, said;

“Air pollution is a public health crisis that contributes to the deaths of tens of thousands of people each year and yet this Tory-led Government has failed to tackle the problem.

“The Committee’s report is a thorough and comprehensive assessment of Government inaction on air pollution and it fully backs Labour’s commitment to deliver a national framework for Low Emissions Zones.”

Gregg McClymont MP, Labour’s Shadow Pensions Minister, said:

“More than a million pensioners will be shocked to find that their state pension income is to rise by just 87p from April, not the £2.85 per week rise the Government trumpeted just days ago in Parliament.

“Rather than being fair to a group of pensioners who have saved all their life to enjoy a little extra security in retirement, David Cameron’s government has instead penalised these savers for their thriftiness.

“The Government would have been better served openly and honestly explaining the rationale for the increase in the savings credit threshold which penalises this one million-strong group of pensions. By not doing so, confidence in the Government’s reform of the state pensions system is damaged. The public will begin to wonder what other consequences of the move to a flat rate state pension system the Government is not being open and clear about.

“It’s time for Iain Duncan Smith and Steve Webb to be open, upfront and honest about the losers as well as winners from their changes to the state pensions system.”

An array of Africa’s finest talent comes to London for TEDx Euston

A dazzling array of some of the best of African talent will attend this year’s TEDx Euston on Saturday 6 December which takes place at the Mermaid Conference Centre, Blackfriars, London.

The spectacular line-up includes South African classical music performer Pumeza Matshikiza; Nigerian former footballer and coach Sunday Oliseh, award-winning writer and intellectual,  Binyavanga Wainaina from Kenya, Rwanda’s Health Minister Dr Agnes Binagwaho and one of Africa’s most successful businessmen, Ghanaian Tutu Agyare.

Speakers will focus on the theme for this year’s TEDx Euston: “Facing Forward”. The theme draws on the words of Ghana’s first president Kwame Nkrumah, who said: “we face neither east nor west, we face forward”. Speakers and performers will consider how Africans standing together and facing forward can achieve even greater prominence and success for the continent.

Now in its fifth year, TEDxEuston– an independenty organized TED-llike event organized under licence from TED – is a global landmark occasion for Africans, and those with a passion for the continent. Each year attendees from across Africa, the USA, the UK and other European countries travel to London to attend this inspirational day. This celebration of Africa’s finest has historically drawn some of the world’s most recognised names, including author Chimamanda Ngozi Adichie, and the late BBC broadcaster Komla Dumor.

What:  TEDx Euston 2014: “Facing Forward”

When: Saturday 6 December 2014: doors open at 9am, event begins at 10am

Where: Mermaid Conference Centre, Blackfriars, London

TEDx Euston 2014 speakers:

Zain Asher – National business and personal finance correspondent for CNN

Binyavanga Wainaina – Kenyan author, publisher and cultural worker, founding editor of Kwani and on TIME magazine and Foreign Policy’s lists of the world’s ,most inflyential thinkers in 2014

Kene Mkparu – MD/CEO of FilmOne Distribution Limited and Filmhouse Cinemas Nigeria

Yvonne Adhiambo Owuor – Kenyan writer named “Woman of the Year” by Eve Magazine in 2004 for her contribution to the country’s literature and arts.whose critically acclaimed novel Dust was published this year

Chioma Omerua – also known as c-flow, aka Chi-gul is a popular Nigerian comedian singer and entertainer.

Ali A. Mufuruki – Chairman of the Board Wananchi Group Holdings Kenya.

Dolika Banda – Joined CDC from the International Finance Corporation

Chude Jideonwo – Managing Partner of Red Media Africa, Y! Africa, and YNaija.com; and listed as one of Forbes Africa’s 30 best entrepreneurs under 30.

Frances Mensah Williams – Chief Executive of Interims for Development Ltd., the Publisher of ReConnectAfrica.com

Tutu Agyare – Founder of Nubuke Investments and one of a handful of Africans who sit on the board of an FTSE 100 company.

Fatima B. Muhammad – Demand Side Advisor for DFID supported Maternal, Newborn and Child Health in Nigeria

Agnes Binagwaho –  Minister of Health of Rwanda and a Paediatrician.

Sunday Oliseh – former professional footballer and coach from Nigeria.

Pius Adesanmi – Nigerian academic and public intellectual, Professor of English and African Studies at Carleton University, Canada.

Pumeza Matshikiza – South African professional opera singer/performer

Help to Buy, the government’s flagship housing scheme, has helped more than 71,000 people across the country buy a new home, official statistics published today (28 November 2014) have revealed.

The latest figures show how Help to Buy, introduced by this government in April last year, is opening up home ownership to thousands and supporting the government’s long term plan to help hardworking people secure a better future for their families.

In total over 66,000 households have been helped by Help to Buy: mortgage guarantee and Equity Loan. Help to Buy continues to overwhelmingly benefit first-time buyers, with the vast majority of sales outside of London and at prices well below the national average.

The scheme was introduced to support hard-working people who can afford a mortgage, but struggle to save the deposits required by lenders in the wake of the financial crisis. Together with the government’s NewBuy scheme – which offers 95% mortgages for those buying new-build properties, the number of new home owners has reached more than 71,000.

Today’s figures reveal that 81% of Help to Buy sales are to first-time buyers, helping 54,000 into their first home – showing how although Help to Buy accounts for only a small percentage of overall house sales (recent estimates suggest less than 3% for each part of the scheme), the scheme is continuing to successfully target the people who need a helping hand to get on the housing ladder.

The figures also show how Help to Buy is benefiting every region of the country. The North West is the highest region for the mortgage guarantee, while the Equity Loan – a scheme for new-build properties – is particularly successful in the East and South East. 94% of completions under the scheme remain outside London.

Leeds council is the highest performing local authority across the country for the two parts of Help to Buy – with almost 1000 new homes secured by its residents. While Birmingham council has seen a significant increase of over 300 new completions.

Help to Buy is also helping to increase housing supply and get Britain building by driving demand for new-build homes. Over half of the homes bought through the scheme are new-build properties, and private house building is up 20% since the launch of the Equity Loan scheme. In fact, in the past year, we have seen the sharpest rise in house building orders since 2003, with many leading builders crediting Help to Buy for reinvigorating the house building industry and boosting housing supply.

Help to Buy is supporting responsible lending, with the average house price for the combined schemes at £186,000, or £156,000 for mortgage guarantee and £211,000 under the equity loan scheme – all of which are well below the UK average house price of £273,000.

The average house price to income multiple under the mortgage guarantee scheme is just over 3.5x salary, and capped at a 4.5x ratio to ensure responsible lending.

Figures for the mortgage guarantee scheme also show completions have been least concentrated in regions where house price growth is highest, for instance in London the scheme makes up just 1% of all mortgage lending compared to an average of 3% across the country.

The Prime Minister said:

“Getting the keys to your first home is a moment that no one forgets – it’s about being able to start planning for the future and enjoying the security that you’ve worked hard for.

“But in the aftermath of the great recession the prospect of buying a first home was nothing more than a pipe dream for many thousands of hardworking people in Britain. Even those with a decent salary who could afford monthly mortgage payments were not able to get on the housing ladder because they could not find a deposit. Only those with access to big savings or the ‘bank of mum and dad’ could get the security together to buy a cherished home of their own.

“That is now changing. Today, Help to Buy has helped thousands of hard-working people buy a new home and enjoy the security and peace of mind that comes with that. And crucially, it’s playing a major part in increasing the number of new homes being built around the country – creating jobs and investing in communities.

“This is all part of our long-term economic plan to secure a better future for Britain – and, together with cutting income tax, lowering council tax bills and freezing fuel duty, the government is backing those who work hard and get on find the financial security they deserve.”

Chancellor George Osborne said:

“This government’s long-term economic plan is all about supporting hard-working taxpayers achieve their goals – and for many, their biggest goal is owning their own home.

“That’s why this government created Help to Buy, which has helped over 71,000 people across the country buy their new home, the vast majority of whom are first-time buyers. It’s also helping to get Britain building again: housing starts soared by 23% last year, reaching their highest level since the economic crisis. Help to Buy is good for homebuyers, it’s good for the construction industry, and it’s great for the economy.”

Danny Alexander, the Chief Secretary to the Treasury, said:

“Helping people onto the housing ladder or into a new home is a key part of our drive for a fairer society. Help to Buy also contributes our stronger economy, supporting house-building as Britain continues to benefit from a wide economic recovery.

“I am particularly pleased to see that nearly three and a half thousand people across Scotland have taken advantage of the UK-wide mortgage guarantee scheme, demonstrating the value of sharing the rewards of living in a United Kingdom.”

Communities Secretary Eric Pickles said:

“The 2008 housing crash left credit-worthy, hardworking people unable to fulfil their dream of home ownership – builders couldn’t build and lenders wouldn’t lend.

“Help to Buy is changing all that, offering a valuable alternative to the Bank of Mum and Dad and helping over 71,000 households to get on the property ladder with a fraction of the deposit they would normally require.

“On top of that, the scheme is a key part of our long-term economic plan, with private housebuilding up 20 per cent over the last year, and at its highest since 2007.”

House builders have also welcomed the role Help to Buy has played in boosting supply. Home Builders Federation Executive Chairman Stewart Baseley said:

“The increased certainty offered by Help to Buy has led directly to a significant increase in investment by house builders in land, the supply chain and labour. By unlocking demand and making home ownership affordable for many thousands of young people and families the scheme has provided the impetus for house builders to step up production. Building high quality homes also boosts supply chains and cements tens of thousands of jobs and apprenticeships for young people in communities up and down the country.

“Young people considering a career in house building today can be confident that ours is an industry with bold ambition and in need of talented, hardworking and enthusiastic people to build the communities of tomorrow.”

By Oliver Facey, VP Operations for DHL Express Sub Saharan Africa

CAPE-TOWN, South-Africa, December 3, 2014/ — In the lead up to the festive season, consumers are increasingly turning to online shopping portals instead of visiting physical stores.

Oliver Facey, VP Operations for DHL Express Sub Saharan Africa (http://www.dpdhl.com), says that shopping online not only offers consumers access to a greater selection of products with easy to compare prices, but also allows individuals to purchase products that may not yet be available in  in their own country.

(Oliver Facey, VP Operations for DHL Express Sub Saharan Africa

Although internet penetration in Sub Saharan Africa is still far below the world average of around 30%, the numbers are increasing as Africans become more familiar and comfortable with online shopping. According to figures from the International Telecommunication Union (ITU), in South Africa, 51% of individuals with internet access shop online and in Kenya, 18-24% make online purchases and according to a 2014 Phillips Consulting survey, Nigeria’s online shopping sector grew from N68.4 billion in 2011 to N78 billion in 2012, representing a growth of 25%.

He warns though that while there are many motivators of why to shop online, consumers must be aware of the do’s and don’ts of online shopping to avoid possible drawbacks. Consumers should also be aware of the regulations involved with purchasing from international retailers, in order to avoid incurring additional expenses, thereby making the product less of an attractive buy.

Facey offers advice to consumer on what to consider when buying from international e-retailers: 

Be conscious of Customs’ import duties and taxes:

Consumers are often caught off-guard when their shipments arrive from international retailers with unexpected additional charges. It is therefore imperative for consumers to be aware that they may have to pay customs duty for their online purchases, depending on the country that they are buying the goods from.

All shipments transported across international borders must be cleared through Customs, where, depending on the type of goods being shipped, they may also be subject to additional charges. Import duties and taxes differ in each country and are usually calculated as a percentage of the item value. Import shipments may also be subject to interventions by Customs where the price, contents and country of manufacture are often investigated to mitigate a wide range of risks. This could result in delivery delays as well as additional costs.

There are also e-retailers that offer Delivered Duty Paid (DDP) terms which clearly communicates that all costs, inclusive of the duties, taxes and clearance costs, are payable at checkout, to avoid any surprise costs at destination.

Regulations/restrictions on certain products:

Some products are prohibited or have certain limitations when imported. These could be aviation restrictions – for example, flammable liquids are categorized as dangerous goods, therefore importing of perfume would be restricted. There may also be country specific restrictions – for example, on certain food or animal by-products.

Gifts are not necessarily exempted from duties and taxes:

When purchasing online products as a gift, check on the receiving country’s regulations to avoid the recipient being held liable for additional charges. For example, Customs Bureaus in Angola have legislated tax-free exemptions for gifts to an individual as long as the value is less than USD 350. In Zimbabwe, the limit is USD 50. This shows the varying limits for exemptions and demonstrates the importance of checking local regulations prior to making your online purchases.

Check delivery options and costs:

Most websites offer a variety of delivery options, with associated costs. Make your decision by taking into account the cost of shipping, the expected transit times and the value of your order. For peace of mind, it is advisable to select a premium courier delivery option, where the delivery process can be tracked from dispatch to final delivery.

Use reputable e-retailer websites:

Be sure to only make online purchases from websites that are well-known and reputable. Do not be fooled by websites with offers that may look enticing – if it sounds too good to be true, it usually is.

“Online shopping is definitely the way to go, from a convenience and cost saving point of view, so once consumers become familiar with their local regulations, they can really reap the rewards. We have seen a steady increase over the past couple of weeks as consumers took advantage of the Black Friday and Cyber Monday deals available online.

The build up to the festive season is always peak season for parcel shipments within the express industry, and this year is no different. We recognize and welcome the influx of volumes and our ongoing investment in our people and extensive infrastructure across Africa ensures that we are well positioned to continue to exceed our customers’ service expectations,” concludes Facey.