The French government yesterday unveiled its budget for 2008. Public spending is to be frozen in real terms and taxes will be cut by €9 billion, or £6.3 billion, including €5.1 billion to exempt overtime from tax and social charges.
The ususal critics have been lined up to say that this is fiscally irresponsible because the deficit is projected to remain around the same as this year, but it might be more prudent to wait for the actual results, which are likely to be more favourable than a static forecast would show. Marginal changes don't come much better than exempting all overtime from all taxes.
If only we had such bold, fresh thinking from our politicians in Westminster. If they are going to freeze public spending in France and return all the money saved to taxpayers, why can't they do the same here!?