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Strong Local Voice, Strong Local ChampionAnnette Brooke, Lib Dem MP for Mid Dorset & North Poole |
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Annette Brooke MP Fights For Fair Taxation
January 25, 2012 2:56 PM
Annette Brooke, MP for Mid Dorset and North Poole, yesterday sought assurances from the Government that Britain's tax system will be made fairer and more equitable in the upcoming budget.
She raised the issue during Treasury Questions in the House of Commons. Questions were taken by the Chief Secretary to the Treasury Danny Alexander due to the Chancellor's attendance at the EU's Economic and Financial Affairs Council.
Annette spoke out on this following the Institute for Fiscal Studies' assertion that the Autumn Statement's "new tax and benefit measures are, on average, a takeaway from lower-income families with children."
Specifically she asked what more actions could be taken to make our tax system fairer. Annette highlighted some possible approaches including "a demonstrable crackdown on tax avoidance, perhaps a mansion tax, and certainly more progressive tax measures".
In responding Mr Alexander asserted that the tax system had become fairer under this government and that "the bank levy, the increase in capital gains tax, changes to pensions tax relief and the maintenance of the 50p rate all help to enable us to meet our commitment to increase the income tax personal allowance to £10,000."
However due to the continuing need for cuts Mr Alexander did state that "we need to redouble our efforts, both to tackle tax avoidance and to deliver the income tax cuts that we have promised."
After leaving the chamber Annette said, "We must keep fighting for fair taxes. The Government has gone someway in this; I certainly welcome the increased income tax personal allowance. But more progressive policies are needed. We must do more on tax avoidance; it is unacceptable that at time of hardship for ordinary people an estimated £5 billion is lost to the treasury every year."
Question and Answer in Full:
9. Annette Brooke (Mid Dorset and North Poole) (LD): What steps he plans to take to ensure that the burden of taxation is fairly distributed. [91200]
The Chief Secretary to the Treasury (Danny Alexander): We are significantly shifting the burden of taxation away from people on lower incomes and on to those with broader shoulders. The bank levy, the increase in capital gains tax, changes to pensions tax relief and the maintenance of the 50p rate all help to enable us to meet our commitment to increase the income tax personal allowance to £10,000, cutting taxes for millions of hard-pressed, hard-working families.
Annette Brooke: I thank my right hon. Friend for that answer. However, the Institute for Fiscal Studies said of the autumn statement:
"New tax and benefit measures are, on average, a takeaway from lower-income families with children, and giveaway to middle and top of income distribution".
24 Jan 2012: Column 156
What further approaches will he take in the forthcoming Budget to ensure that we are all in it together, be it a demonstrable crackdown on tax avoidance, perhaps a mansion tax, and certainly more progressive tax measures?
Danny Alexander: Of course, the burden of the deficit reduction is fair overall, and we know that the burden falls most highly on the richest 20% of the population. However, with spending cuts needing to continue for longer-another two years-we need to redouble our efforts, both to tackle tax avoidance and to deliver the income tax cuts that we have promised, by lifting the personal allowance as rapidly as the nation can afford. Those are, of course, issues that we shall be considering in the run-up to the Budget.
To read Treasury Questions in full visit:
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