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Budget Flop

What a day. Sat through today’s rhetoric laden PMQs at work thinking what a waste of space and lets just cut to the chase. The Budget. Far more important than the theatre of PMQs.

I have top say that this year’s budget turn out to be disappointing and a huge let down. It showed a complete lack of imagination on the part of the Labour Government. What the economy needs and more importantly people need, is for a significant injection of cash into their own pockets – not just the banks – not just a token VAT reduction. The balance of the tax burden needs shifting to take the pressure off those who are mostly likely to spend it – those people at the lower end. Get people spending and the whole economy becomes more buoyant. The Government’s strategy seems to be cross your fingers and hope for the best. Simply not good enough.

Last October the Government and the Bank of England missed an opportunity to minimise this recession. They decided to dribble rate cuts instead of making an impact with a big rate cut. Most people in the construction industry could see the way things were imploding and they were far to slow to recognise this. Having botched this the Government should then have cut taxes for the lower paid to help make sure the money flowed. The failure to do this showed a fundamental weakness in the Government’s arsenal of strategies to head of the recession. They have got a lot of the package right, but they have consistently failed to put money back into peoples pockets, particularly at the bottom end of the income scale.

A Liberal Democrat budget would deliver practical help. It would take 4 million people out of paying tax all together and would cut the majority of people’s income tax by £700. Paid for by cutting loophole and exemptions that benefit the richest individuals and big business. We would cancel the pointless VAT cut and invest in important green projects that create jobs right now. More: Read the full LibDem Recovery Plan here, BBC – Nick Clegg: Tax plans not enough and Nick Clegg: Pick and Mix Budget Fails On All Counts.

With a poll out the other day showing the Libdems gaining 8 points at both the expense of Labour and the Conservatives on the back of Smeargate, Labour are increasingly being recognised as a spent force. Today’s budget was Labour’s last stuttering gasp. Time somebody put them out of their misery!