http://www.timesonlin...cs/article7025833.ece
Both the Labour Party and the Tory Party say they will increase VAT to 20% if they get into power.
/// Doing so would raise an extra £13 billion a year at a time when financial markets are searching for signs that whoever takes power is serious about tackling Britain’s £178 billion deficit.///
Excuse me but didn't Brown reduce VAT to 15%, before it went back up to 17.5% in January?
So in fact by increasing it to 20%, they will just be clawing back the £13 billon, they lost when they reduced it, or am I missing something?
Before increasing taxes etc, to pay off our huge debt, wouldn't it be better to first make cuts in unnecessary expenditure?