British coalition’s agenda includes electoral reform and expanding civil liberties

BRITAIN’S new coalition government set out plans yesterday to reform the electoral system and cut state interference in people’s lives, while tackling a record budget deficit.

The Conservative-Liberal Democrat alliance also plans to allow private investment in state-owned Royal Mail, setting the scene for an early clash with trades unions that sharply criticised the new government’s programme.

In a speech delivered on its behalf by the queen at the formal state opening of parliament, the government also proposed legislation to give people a say on any transfer of powers to the European Union.

Analysts said the programme of 22 bills, to go before parliament between now and late next year, was an ambitious start.

The treasury set out plans on Monday to trim an initial £6.2 billion (€7.2bn) from the deficit.

Further cuts are expected to follow in an emergency budget to be presented in four weeks and the deficit issue cast a long shadow over the coalition’s programme.

“The first priority is to reduce the deficit and restore economic growth,” the queen said in her speech.

“Action will be taken to accelerate the reduction of the structural budget deficit. A new Office for Budget Responsibility will provide confidence in the management of the publicfinances.”

The office will be led by economist Alan Budd and will take on the task of forecasting economic growth and borrowing needs.

Figures published earlier yesterday showed the economy grew by 0.3% in the first quarter of the year in a modest recovery from an 18-month recession.

While seeking to balance its books, the coalition has also proposed a Freedom (Great Repeal) Bill to limit the use of CCTV, the storage of DNA samples and email records and to protect a right to peaceful protest.

The government is enjoying a political honeymoon, with media largely supportive and markets calmed by first steps on the deficit.

An ICM poll published in the Guardian newspaper yesterday found nearly two- thirds of voters approved of the coalition. However, unions, which traditionally back Labour, signalled that they would give the government a rough ride.

“We are deeply concerned about the further erosion of state services that have been built up over many years and which millions of people rely on,” said Mark Serwotka, head of the Public and Commercial Services Union which has 300,000 members, many of them civil servants.

He urged unions and community groups to fight cuts and defend public services.

Analysts said the acid test would be how the coalition hung together when managing unexpected turbulence.

“All in all, it’s so far, so good but it remains to be seen how much they will be able to do when other events take precedence,” said Wolfango Piccoli of political consultancy Eurasia Group.