BRITISH elections used to be won and lost on the basis of a government’s financial competence. Now, after years of growth, parties compete over how the proceeds of that growth should be spent. Elections are fought over schools and hospitals, which is political shorthand for the standard of our public services.

But despite record levels of investment, value for money has not been delivered. There are still real concerns about the ability of the NHS, the education system and transport infrastructure to cope with rising demand.

Liberal Democrats believe that investment in the public services is an investment in people. Our policy thinking is guided by principles that set us apart from our political opponents.

First, stability. Public service personnel have been through a tumultuous period. Reforms under Thatcher, through to Blair, have left areas of the public sector suffering from reform fatigue. This is disruptive and unsettling. Reforms should be thought through and given time to bed in, rather than being rushed out and then abandoned. The NHS is a case in point. Since 1997 it has been in a state of permanent organisational revolution. A BMA survey in April 2006 showed that 85 per cent of doctors are alarmed by the pace of reform in the NHS.

Secondly, long-term planning. To provide proper value for money, public services must plan for the long-term needs of the communities they serve. Our creaking transport infrastructure is in need of this approach. With a growing population, government must ensure that people can move freely, but it must also protect the environment. This is a priority for Liberal Democrats. Our new Green Tax Switch policies are aimed at taxing the most polluting modes of transport. Proposals include higher vehicle excise duty (VED) on the largest vehicles, and replacing air passenger duty with an emissions charge on each aircraft.

We will balance this by making it easier to use less polluting means of transport. For example, by cutting VED on the least polluting cars, and look at improving local bus services by, for example, allowing local authorities to control local services and raise finance for transport infrastructure.

Thirdly, a user-centred approach. Public services should, as far as possible, provide quality output, adapted to the needs of the individual.

Our plans for pupil choice put this theory into practice. We would combine academic and vocational learning and offer a much wider range of courses in secondary schools. These would be personally tailored to the needs and interests of each individual. This would motivate young people to stay in school and gain skills.

But services should also be shaped to serve the interests of their local communities. This means less centralisation of power. Public services should be administered by local people who understand the needs of their communities. Targets can be helpful, but their overuse by central government can obscure local priorities.

Underpinning these principles is a desire to improve public services. We believe that public services should be planned and shaped around the long-term needs of the communities that use them. That is the way to improved services, and to greater satisfaction for those working within them. Public sector employees have chosen jobs that allow them to help others. It is the job of politicians to make that ambition easier to fulfil.

Sir Menzies Campbell is leader of the Liberal Democrats

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