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Middle England set for higher tax burden

The Labour Party has finally come out the closet and confirmed there will be cuts in public sector services in the short to medium term and it appears as though Middle England will again be the target of the Labour party and the unions with ever-increasing taxes expected. Despite the fact that the public service sector has digested billions upon billions of pounds of taxpayer's money over the last few years, it seems as though Middle England will be forced to pay for this investment through higher taxes.

If the rumours and the press are correct, the unions have pushed the UK government for increases in taxes as opposed to a cut in public sector investment. This goes totally against the grain of sensible economics but does highlight the fact that the unions have the upper hand on the Labour Party at the moment, due in the main to their financial support. The Conservative party are set to highlight the fact that the unions are supporting Labour Party with claims that the government "is in the pocket of the unions".

Whether or not this is strictly true remains to be seen but if UK voters swallow the perception that Labour is directly influenced by the unions this is sure to impact upon voter support.

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