Finally a Labour party policy we can agree with…cutting taxes…oh wait it is UK Labour not the Labour party in NZ.
George Osborne should cut income tax in next week’s Budget to kick-start Britain’s economy, the shadow chancellor tells the Daily Telegraph.
In an interview with The Daily Telegraph, Ed Balls insists that a cut in the basic rate of income tax — funded by a temporary rise in borrowing — would ultimately pay for itself as it would spark economic growth.
He says “something must be done now” as Britain is facing an economic depression “like the 1930s”.
However, the shadow chancellor defends Gordon Brown’s economic record, saying that the previous Labour government did not borrow too much, or increase public spending unreasonably.
Mr Balls’s demand for an emergency tax cut echoes calls from Conservative MPs and business groups that the Chancellor must introduce radical new tax policies in the Budget if Britain is to avoid a triple-dip recession.
However, George Osborne has indicated that he will resist the calls as his priority remains reducing the deficit and bringing Britain’s borrowing under control.