Ex-standard bearer of the Thatcherite right and figure of derision in the British tory party John Redwood
(if you missed his miming the Welsh national anthem when he was parachuted in as an Englishman for a Welsh secretary - they had by this stage been
wiped out in Scotland and Wales - then you have missed a treat which for many nicely summed up the dead totally out-of-touch arrogance of the tory
party towards the end of it's almost 19year tenure in power last time around; see here
is currently selling the half-truths and myths of the same old same old - and notably has George Osbourne (shadow chancellor) on the platform by his
side making sympathetic noises whilst pretending the proposals don't have full formal support by the tory front bench
(talk about trying to have you cake and eat it too.......but then given the mounting problems the tory party are currently having it's perfectly
predictable they've retreated to appealing to their 'core vote').
Simplistic comparisons and spun stats are the order of the day, apparently this time
we really can have very low taxation rates and much higher
public spending, honest.
(whatever were they doing wrong last time, huh?
For example the lower rate of corporation tax and the higher rates of Irish growth are currently the favourite comparison -
Ireland is often cited as an economy with lower taxes, but its economic structure is very different.
The lower corporation tax of 12.5% in Ireland has helped boost investment into the country.
- Which sounds very impressive - so long as you are ignorant of the full facts regarding the Republic of Ireland, the existing UK taxation system and
have a basic and utterly childish view of financial tax and incomes policies.
Talk about treating your potential electorate with contempt! -
But Ireland started from a lower growth base than the UK.
Until 20 years ago, Ireland suffered depopulation, which has reversed dramatically.
As there were only 3 million (Irish citizens), the influx has allowed the economy to grow more quickly than the British economy.
Experts also say UK companies are able to set off many of their costs, bringing their effective tax rate to 14% - only marginally above the Irish
- The selective spin applied to the increase in public spending is hilarious, note the dates they use in this comparison -
Mr Redwood explained: "We believe a lower tax economy would be a more successful economy. If you have the courage to cut the rates, the rich pay
He was sufficiently on-message to stress that the Irish Republic had increased public spending faster than Britain since the late 80s - by 220%
against 120% - because low tax rates generated more tax revenues.
- Which actually is a back-handed admission of the tory years of crass public sector underspending and that they dare not run the comparison with
the late 1990's-on Labour period
The situation regarding their proposals on inheritance taxation are equally muddled and simply disingenuous -
Inheritance tax is not currently payable on 94% of estates, according to official figures.
The £300,000 threshold is due to increase to £350,000 by 2010, which the government says will ensure this remains the case.
- This all adds up to the same old tory deception, reducing taxes on those best able to pay them and the short-fall will (inevitably) end up being
taken up by the middle and bottom end of society as happened under them last time.
Thankfully (as polls are clearly showing) the public simply don't want a 'tory Blair' as next PM.
Brown to go to the country next spring?
With Labour's excellent record, the next budget (to make the necessary adjustments so as to stop the marginal losers who were due to lose out with
measures taken in the last budget but which have not yet taken effect), Gordon Brown's own highly competent and solid performance as PM and
ammunition like this being provided by the tory party themselves I wouldn't bet on it.
[edit on 18-8-2007 by sminkeypinkey]