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Brown’s Tax Con is Not a Tax Cut (aka Gordon Brown is Evil Part 2) 22 March 2007

Posted by David in Comment, Conservatives, Labour, Policy.
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I really want to get some journalists and slap them with a wet fish. No, really, I do. They may as well have handed the presses to Gulag Gordon himself. The Sun leads with “Reasons 2p Cheerful” while even the Daily Mail revels in the shock 2p cut in the basic rate of income tax, seemingly not bothering to realise he has grabbed this money elsewhere – mostly from low income earners.

He has cut the basic rate from 22p to 20p BUT doubled the lower rate from 10p to 20p. Low income earners will pay more, higher earners slightly less.

He has cut the basic rate of corporation tax from 30p to 28p BUT increased the lower rate paid by small businesses by 17% to 22p. As an example Tesco will pay an awful lot less, but small local independent shops pay considerably more.

Plus he has whacked up National Insurance and other taxes. The overall tax take is up, and the burden has been shifted from the wealthy to the less well off. What happened to the old leftist slogan “tax the rich, not the poor”? I’ve just come back from Nottingham, but it seems the Sheriff is now in Westminster.

The Conservatives also seemed ill prepared and unable to counter Brown successfully after his shock “2p income tax cut” announcement, which clearly threw them. At first Cameron seemed to support the budget as a tax cutting budget, talking of Brown “sharing the proceeds of growth”, missing the main tax grab from low income earners which could have been valuable electoral and sound bite gold dust for him.

The focus should have been the fact Brown has doubled the lower rate and raised tax on small businesses. Instead a clearly pre-scripted rehearsed rant about Labour being a “listing ship” was the main soundbite on the news. The upside was linking Brown to Blair through “the Blair-Brown years” quote, but a missed opportunity I feel.

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1. Ed - 22 March 2007

Check out Gordon Brown picking his nose and eating it at yesterday’s PMQs. It’s on youtube:

Don’t suppose the BBC will be broadcasting this.


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