Wednesday, November 26, 2008
A Government in disarray
Guido broke the story and now the dead tree press are taking it up. The Treasury was last night forced to deny that Alistair Darling was drawing up secret plans to raise VAT to 18.5% in the next parliament in an attempt to fill the black hole in the government's finances after a document outlining an intention to raise VAT to a record rate was put on a website.
Liberal Democrat Treasury Spokesperson, Vince Cable was quick to make the obvious point: “At a time of economic emergency we need a clear-headed Government with a sound economic strategy; instead we are seeing tax policy being made up on the hoof. Ministers were clearly planning to sell the reduction in VAT on the basis that it would help millions of struggling families, when actually it was going to be nothing more than a shield for a permanent VAT rise. The fact that the Government can’t even get its briefing documents right doesn’t bode well for their future management of the economy”.
Liberal Democrat Treasury Spokesperson, Vince Cable was quick to make the obvious point: “At a time of economic emergency we need a clear-headed Government with a sound economic strategy; instead we are seeing tax policy being made up on the hoof. Ministers were clearly planning to sell the reduction in VAT on the basis that it would help millions of struggling families, when actually it was going to be nothing more than a shield for a permanent VAT rise. The fact that the Government can’t even get its briefing documents right doesn’t bode well for their future management of the economy”.
