The Secrets Start to Emerge

First reactions to the budget were mixed, I suspect more considered reactions will be more hostile. The headline cut of 2p off income tax was marred by the realisation that raising the lower rate by 10p means that anyone earning less than £15k a year will be worse off.

The green taxes were very limited in scope and will not have much effect. I still think that taxing poor performing engines is a far better solution than taxing certain types of car. What incentive is there for a manufacturer to develop a hyper-efficient engine for a 4x4 (or even a Renault Espace for that matter)? What ever engine is under the bonnet they are paying the same increase in Vehicle Tax.

It has now been recognised that the headline cut in Corporation Tax hides other stealth taxes on business that will see taxes increase over the next few years.

Politically the Conservatives were right that, rather than shooting David Cameron's fox, Gordon Brown has endorsed the Conservative approach to taxation, but without doing anything that gives the impression that he actually means it, nor that he understands and recognises the poor state we are in, in terms of our ability to compete economically.