Responding to the Budget statement given by the Chancellor of the Exchequer, Jonathan Isaby, Chief Executive of the TaxPayers' Alliance, said:
"Not for the first time, the Chancellor has delivered a mixed bag of measures while glossing over the shocking state of the public finances. There were far too many politically motivated commitments designed for easy headlines, when the challenge is not to spend money in marginal constituencies but to save it. However, taxpayers will welcome the package of tax cuts on income, duties and savings which will leave more money in people's pockets and reduce the cost of living."
On the announcement of a "Help to Buy ISA," he continued:
"It is economic lunacy to stoke up demand in the housing market with taxpayers' money, when the problem is restrictive planning laws strangling supply and pushing up house prices."
On the subject of the debt and the deficit, he continued:
"The Chancellor shows some cheek to claim he is correcting the mistakes of his predecessors, when he has presided over a huge explosion in the national debt to more than £1.4 trillion."
On changes to Income Tax thresholds, he continued:
"The Chancellor delivered some good news on Income Tax, with tax cuts for the lowest paid and long-overdue relief for ordinary people being clobbered by the higher rate. Leaving more of people's money in their own pockets is the best way to promote economic growth and long-term prosperity, and it's morally right too."
On changes to duties, he continued:
"We should never forget that taxes are the biggest cost of living, so the decision to cut taxes on a well-earned drink and cancelling the rise in Fuel Duty are welcome relief for families struggling on tight budgets."
On tax simplification, he continued:
"Merging main and small business Corporation Tax and abolishing the weekly "Class 2" National Insurance payments for the self-employed are both welcome measures that the TaxPayers' Alliance has long campaigned for. Scrapping traditional self assessment could also help make tax easier to administrate for millions, but taxpayers will be concerned about the possibility of yet another government IT disaster."
On the measures to encourage saving, he continued:
"Scrapping petty rules on ISA withdrawals, the 10 per cent savings rate and punitive rates on pension pot withdrawals will help encourage people to save more. But while these tweaks may be good news, the real obstacle to the higher savings and investment we need are the overall levels of tax and spending which both remain far too high."
TPA spokesmen are available for live and pre-recorded broadcast interviews via 07795 084 113 (no texts)
Media contacts
Andy Silvester
Campaign Director, TaxPayers' Alliance
[email protected]
24-hour media hotline: 07795 084 113
Notes to editors
1. Founded in 2004 by Matthew Elliott and now with 80,000 supporters, the TaxPayers’ Alliance (TPA) fights to reform taxes, cut spending and protect taxpayers. Find out more about the TaxPayers' Alliance at www.taxpayersalliance.com