Tax cuts must be lasting - Robin Lawrence

7.30.00am GMT Mon 24th Nov 2008

Councillor Robin Lawrence

Liberal Democrats in Wolverhampton have called for income tax cuts to help struggling families weather the recession.

Speaking to a meeting of members over the weekend, Liberal Democrat Councillor Robin Lawrence said that people in Wolverhampton South West have endured a year of rocketting fuel, transport and food prices and many were still out of pocket following the government's decision to double the starting rate of income tax.

"On Monday 24th November, the Chancellor presents his Prebudget Report to Parliament," said Robin. "Liberal Democrats will be pressing for permanent tax cuts for people on low and middle incomes. We will be looking for radical changes in the tax system which lock in lower rates of income tax for good.

"To make these tax cuts lasting, they have to be funded. That means shifting the tax burden onto pollution and ending the tax perks and loopholes enjoyed by the highest earners.

"We are worried that the Government will simply introduce temporary tax cuts, paid for by borrowing, which will disappear once we start to come out of recession.

"Now is the time for a genuine and radical change to the tax system. Liberal Democrats will be pressing for that and, having spoken to many residents of Wolverhampton South West, I know it is what people here want.

"We believe, however, that an area where borrowing should be allowed is investment in new buildings and facilities that are needed. I am very keen to see people's homes properly insulated and more affordable homes built for people who need them.

"As well as boosting jobs and the economy, it will help to save money in the future."

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Previous news story: Match Day Parking Scheme under threat (Sun 23rd Nov 2008).
Next news story: The government's plans to boost the economy are a "very limited fig leaf" - Vince Cable (Tue 25th Nov 2008).

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