Tuesday, January 04, 2011

Tax Cuts before VAT - Economic Recovery

Telegraph: Reports that the Chancellor of the Exchequer George Osborne has given the impression that should the economy turn around then the Coalition Government would favour tax cuts to a reduction in VAT. This is a excellent move by the Coalition Government, the Conservatives and Liberal Democrats are taking a bet that the economy will turn around in a five year Parliament, thus the austerity measures of today will be forgotten when the Coalition Government brings in good tax cuts for the middle classes. If it works the Coalition gets another term, the Labour Party needs failure lets be honest, if the Coalition economic policy works then Labour is out of power for a generation. One can argue that Ed Miliband does not have five years, if Labour is not vastly ahead of the Coalition within next few years he will out on his ear, then his brother David Mililband can take over as Labour Leader.

No comments: