Owen Paterson Addresses Business Leaders

The Londonderry Chamber of Commerce's monthly members' lunch was addressed by the Secretary of State for Northern Ireland, the Rt Hon Owen Paterson MP. The meeting was well attended by Chamber members and is the latest in a series of lunches attended by leading political figures in Northern Ireland.

Sinead McLaughlin, chief executive of the Chamber, said: "We are very happy that the Chamber continues to attract Northern Ireland's most senior politicians to address our members and to keep them informed of what is happening at the top table of government - both in the UK and in Northern Ireland. Owen Paterson's speech was stimulating and has given our members real hope of seeing a reduced rate of corporation tax in Northern Ireland."

Chamber President Jim Sammon introduced the secretary of state, urging him and local ministers to support a reduction in corporation tax to match or beat that of the Republic of Ireland and to commit to improving regional infrastructure, including roads and university expansion.

Quotes from Owen Paterson at the Chamber of Commerce lunch.

On the financial settlement for Northern Ireland:

"We fought a campaign successfully for PMS savers, who the previous Government had left in limbo. We produced a settlement for Northern Ireland which I put to you is pretty fair. There is a clear and fair settlement and I expect to see a Budget set. There is controversy about the previously promised £18bn capital funds for Northern Ireland. This came from a series of streams of funds. Perhaps one of the streams will be reduced, but that is only one of them. We will achieve the £18bn from other means."

On Shared Future

"I am committed to Shared Future and I support integrated education. I made comments about the waste of money of empty school places. Then the Irish News came up with a figure of 72,000 empty school places. It's for me to point out some examples of where public money is wasted. It's up to local ministers to decide what to do about it."

On rebalancing the economy

"Gordon Brown commissioned David Varney to write a report on reducing the corporation tax rate, which concluded it would cost about £310m a year and said that we couldn't afford it. So we came up with a solution that did not make it a spending commitment - to take it from the block grant. Since then I have been pursuing this with manic enthusiasm. Cutting corporation tax transformed Ireland. If we could pull this off for Northern Ireland, then I think it's a game changer. The mechanism is clear - it would have to come off the block grant."

On the expansion of the university in Derry

"It is a brilliant proposal for university expansion, which has drawn on the experience in Lincoln. I have been to Lincoln and I have seen the effect of the new university there. It has transformed the city."

On the problems in the Republic of Ireland

"We have an enormous interest in the UK, especially in Northern Ireland, in seeing a successful and prosperous Republic of Ireland. It's not for us to interfere or impose, but I would strongly propose that we help if asked. I would also strongly resist any moves to take away the advantages of the low corporation tax rate."