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Thursday, 24 June 2010

VAT: How Many More Lies Will the Bolton Public Believe

VAT: How Many More Lies Will the Public Believe?

The Liberal Democratic Party campaigned during the election on a promise not to increase Value Added Tax (VAT) but just two months later they are part of a government which has upped the VAT rate to 20 percent.
In April this year, Lib Dem leader Nick Clegg unveiled a “VAT bombshell” campaign poster which claimed that the average family would be £389 worse off under a Conservative government.
Mr Clegg proclaimed that “only the Liberal Democrats” would not increase VAT and that the Conservatives were “not being honest” about their intentions to increase tax.
Mr Clegg said the Tories would have to raise VAT “to fund their tax bribes.”
Even more interestingly, William Hague responded to Mr Clegg’s April attack by saying that the Conservatives had “no plans” to raise the tax either.
“Vince Cable said no chancellor rules out any tax increases but we don't have any plans to increase VAT. I think the Liberal Democrats can pipe down about this now,” Mr Hague said at the time.
Mr Clegg said at the time that an analysis of the Conservatives’ proposed tax cuts or reversals shows “that they will cost over £13.5 billion a year in 201112 prices” but that just £100m has been specifically identified to fund them.
“This leaves a £13.4bn black hole, equivalent to a 3 percent rise in the standard rate of VAT,” Mr Clegg triumphantly announced.
It so turns out that this is precisely what Mr Clegg has now agreed to in the budget his government unveiled yesterday.
How many more lies will the public tolerate from the Lib-Lab-Con Lie Machine?