MP urges action now
Yesterday at PMQs, John Baron MP pressed the Government about the need for tax cuts now
John said:
“With taxation at a 40-year high, when will the Government be bolder in cutting taxes, given that all the evidence the world over shows that lower taxes increase prosperity, raise living standards and better enable the Government to help the less fortunate—even if such a policy means cutting spending such as HS2?”
In response, the Deputy Prime Minister said
“My hon. Friend makes an important point about driving growth and the economy, which is why we are cutting taxes with the 130% super-deduction for capital investment. That will create not just good jobs, but well paid and better paid jobs, by boosting productivity. That is why we are increasing the employment allowance, which represents a tax cut of £1,000 for half a million small businesses, and that is why we have provided business rate relief of £7 billion over the next five years. Of course, just next month we are cutting national insurance, worth £330 for a typical employee.”
John said afterwards:
“These modest tax reliefs are welcome but with incomes squeezed, living standards falling and Tax Freedom Day this year now 8 June, the Government needs to go further and reduce Income Tax. Furthermore, it should scrap planned increases in Corporation Tax, reduce tax on SMEs and introduce further increases in both Minimum wages to help some of those most in need.”
Notes to Editors:
For further background information on John’s point about the minimum wages, please refer to his Press Release ‘John Baron MP suggests raising minimum and living wages to help cost of living’ (25rd May 2022).