Is the government looking to increase VAT in the future?
The Conservative party have unearthed legal documents which were registered with the House of Commons in relation to a potential increase in VAT in 2010/11. It appears that Gordon Brown and Alistair Darling gave serious consideration to an increase in the rate of VAT after the next election although they have since suggested this plan was rejected.
The documents show a rate of 18.5% was or is under consideration which would plug the potential black hole in yesterday's pre-budget report. The Tories believe this is the secret tax bombshell which the Labour Party has been trying to keep from the public domain although it looks as if they have been caught out.
This is a major concern for the Labour Party who had promised a new period of transparency and openness which appears to have gone by the wayside of late. If the Tories can make the most of this VAT bombshell they should be able to increase their lead over the Labour Party in the short to medium term. One thing is sure, the next general election will be centred on taxation and spending and is set to be one of the dirtiest seen in the UK for many years.
Share this..
Related stories
Sales improve at Marks & Spencer
While Sir Stuart Rose, the chief executive and executive chairman of Marks & Spencer, has been targeted by investors with regards to his overall control of the group today he finally received some good news with details of an increase in recent sales reported. The 13 weeks to 27th June saw a 1.4% increase in like-for-like sales which is a significant increase on the 4.2% reduction in the previous...
Read MoreCould swine flu cost the UK economy £50 billion?
When a renowned figure such as the Ernst & Young ITEM club makes a prediction that the swine flu pandemic in the UK could cost the country around £50 billion it certainly is time to sit up and listen. As we have covered on a number of occasions, not only is there a potential loss of life, with the UK government expecting a maximum 65,000 fatalities from the pandemic, but the loss of business and...
Read MoreAre you making the most of online shopping?
As money becomes ever tighter in UK more and more people are looking towards the Internet for their everyday spending. But are you really making the most of online shopping and the various discounts and promotions on offer?
While there are obviously a number of leading names on the Internet such as Amazon, eBay and other such well-known entities that these are not always the cheapes...
Could UK unemployment hit 4 million?
A report by the Centre for Economics and Business Research (CEBR) has revealed what could become a doomsday scenario for the UK economy. The survey suggests that a combination of the depth of the worldwide recession, the UK recession and the government's handling of the situation could lead to UK unemployment topping 3.8 million!
While there is no doubt that the report is considerin...
High court rejects move for Lehman Bros asset return
The High Court in UK has today rejected a plea by PricewaterhouseCoopers with regards to the speedy return of assets from the fallen Lehman Bros operation. Currently there are around £10 billion of customer assets held outside of the UK which the High Court today ruled fallout of the jurisdiction of UK courts. While they will be returned in due course it seems as though the UK courts have no con...
Read More