SHADOW Home Secretary Chris Grayling outlined Conservative plans to get Britain back to work during a Liverpool Business Conservative Forum.

Mr Grayling, who is also Shadow Minister for Merseyside, formulated the plan with party leader David Cameron.

He addressed business leaders at the Liverpool office of stockbrokers Rensburg Sheppard yesterday about the “difficult situation” the UK finds itself in due to the recession, adding: “It is a global problem in which Britain is almost uniquely badly positioned to respond. The public finances are absolutely horrendous.”

A Conservative government would target three remedies, he said: “Ease pressure on business, deal effectively with unemployment, and target help for people like pensioners who are living off their savings.”

Business remedies include plans for a £50bn national loan guarantee scheme to underwrite bank lending for companies of all sizes.

He also suggested a system similar to Chapter 11, in America, which protects responsible businesses fa-cing collapse from creditors, allowing time to restructure.

The Conservatives also propose a £2,500 cut in National Insurance for every company taking on a long-term unemployed person.

“The savings to pay for the early stage is money from getting people off benefits.”

Cutting tax on savings is also proposed to help savers who saw interest on their accounts plummet as the Bank of England slashed interest rates.

Mr Grayling added: “We would pay for that by reining back public spending by £5bn this year.”