Govenment has failed to make tax system fairer

1.58.00pm GMT Tue 25th Nov 2008

Labour has failed to help those most in need and missed the oportunity to make Britain's tax stystem fairer, says Theo Butt Philip, Lib Dem Prospective Parliamentary Candidate for Bridgwater and West Somerset.

Commenting on the Challenor of the Exchequor's Pre-Budget Report which yesterday revealed plans for a 2.5% cut in VAT paid for by tax increases after the General Election, Theo Butt Philip said:

"VAT is not charged on those items deemed to be essential, such as food and children's clothes, therfore this will do little to lower prices where it is most needed.

"Furthermore the most significant future tax increase will be in National Insurance Contributions, and income tax by the back door, which will hit the vast majority of employees and all businesses.

"Liberal Democrats have called for a significant income tax cut for low and middle income earners paid for by closing tax loopholes for the rich and an increase in tax on pollution, I fully support such proposals."

More information on the Liberal Democrat Economic Recovery Plan can be found here:

http://www.libdems.org.uk/home/liberal-democrat-economic-recovery-plan-12693499