Further VAT Cut Required (Exeter Liberal Democrats)

Exeter Liberal Democrats <info@exeterlibdems.org.uk>

Further VAT Cut Required

March 30, 2009 12:00 PM

Exeter Liberal Democrat PPC Graham Oakes has called on the government to make further cuts in VAT. Graham, who describes himself as a political contrary thinker stated that: "The government were correct to identify reducing VAT as a way to stimulate the economy but they wrongly anticipated how people would react in a recession."

"The government should not reduce the rate of VAT further but they should look at extending exemptions."

"The government need to look at areas that can be VAT exempted, areas that will help create job. At present if you construct a new building its VAT exempt but if you build an extension its not. That is both illogical and a restriction on job creation at a time when every job is precious."

Criticising the Conservatives he said: "In the present dire situation the public have a right to expect all political parties to focus their minds on solving these problems, yet the Tories significantly fail to come forward with any credible proposals."

"The Tories believe the government should be cutting expenditure to limit its borrowing, however the biggest problem for the Exchequer will be the lost tax revenue and rising benefit bill of having 3 million unemployed. We need to support businesses to minimise the effects of the recession on families and to ensure the quickest recovery of the economy. "

"The Tories made a mess of the economy when they were last in power and they must not be given the chance to make things worse than they already are."