As the Finance Bill reaches its final stages in the Commons today, Ed Balls has called on George Osborne to u-turn on bonuses, the 50p cut and the ‘granny tax’.
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As the Finance Bill reaches its final stages in the House of Commons today, Ed Balls has called on the government to u-turn on the bankers’ bonus tax, its 50p cut and the ‘granny tax’.
Labour is seeking votes on amendments to the Bill in order to introduce a bankers’ bonus tax to fund a guaranteed job for every young person out of work for more than a year, to stop the cut in the 50p top rate of tax for those earning more than £150,000, and to stop the change in age-related pension allowances known as the ‘granny tax’.
The shadow chancellor says:
“First of all, we need a u-turn on David Cameron and George Osborne’s failed economic policies and to urgently put in place Labour’s plan for jobs and growth including a bankers’ bonus tax to fund youth jobs.
“Second, we need a u-turn on the tax cut for millionaires, so that in tough times the richest pay their fair share.
“And third, we need a u-turn on the ‘granny tax’ so that pensioners aren’t unfairly hit – paying more while the highest earners pay less.”
Adding:
“With Britain in a double-dip recession, long-term unemployment at a 17 year high and so borrowing now going up not down, it’s clear that the government’s economic plan is now failing…
“Conservative and Liberal Democrat backbenchers should stand up for their constituents and vote with us to create jobs for young people, stop the granny tax and reverse the tax cut for millionaires.”
• Osborne’s scrapping of fuel tax is ‘fastest U-turn in history’, but a welcome one 26 Jun 2012
• U-turns galore: The omnishambles runneth over 2 Jun 2012
• Osborne tries to bury charity tax U-turn – the fifth flip-flop this week 31 May 2012
• Osborne’s inevitable pasty tax U-turn set to cost Treasury £35 million 29 May 2012
• More than 70% of public want Osborne to U-turn on cuts and adopt a Plan B 29 May 2012
Last week, George Osborne made the latest budget u-turn, on fuel duty, which followed the post-budget reverses on pasties, caravans, churches and charities – yet it is on cuts that a u-turn will be most welcome, the current strategy having plunging Britain into a double-dip recession. In May, a ComRes poll for the The Independent revealed 72 per cent of the public believe it’s time for Plan B – including 64% of Tory 2010 voters, and 68% of Lib Dem 2010 voters.
Will Osborne listen?
28 Responses to “Balls calls for “three more u-turns” – on a bankers’ bonus tax, 50p and the ‘granny tax’”
Shamik Das
.@EdBallsMP calls for "three more u-turns" – on a bankers' bonus tax, 50p and the 'granny tax': http://t.co/EZmMwRWG by @ShamikDas
Mabel Horrocks
.@EdBallsMP calls for "three more u-turns" – on a bankers' bonus tax, 50p and the 'granny tax': http://t.co/EZmMwRWG by @ShamikDas
Anonymous
Interesting how leopards do change spots some of us remember Ball’s remarks about cuts and austerity.
Pity labour did not listen when people screamed about the housing bubble, the pension mess and banking bonus payments, not tell us the market will sort all this out lets leave it to the market
Yrotitna
From yest >> .@EdBallsMP calls for "three more u-turns" – on a bankers' bonus tax, 50p and 'granny tax': http://t.co/EZmMwRWG by @ShamikDas
Richard
Enough with this ‘Granny Tax’ nonsense. There is nothing wrong with not increasing the age-related income tax threshold next April (after going up significantly 2 years in a row) so that it gradually falls in line with the non-age-related threshold – meaning that both working people and the retired both get the same amount of income before being taxed. This is fair and progressive, especially since 75% of pensioners are unaffected. The poorest 50% don’t have enough income for the threshold to matter and the top 25% aren’t eligible for the relief due to their income being too high. Add in the largest ever increase in the state pension and it’s clear Mr Balls is trying to portray this as an attack on poorer pensioners rather than what it really is – a smaller increase or moderate decrease in income for well off pensioners.