The Tory manifesto made six straightforward, clear-cut and verifiable promises. The promise not to put up National Insurance was there in black and white, just above the Prime Minister’s signature. Given it is going up today it is probably a bit embarrassing to leave it on the Conservatives.com site…
Responding to calls to cut VAT on energy bills at Lobby this afternoon, the PM’s spokesperson told hacks that such a slash would “not guarantee prices fall, given that price rises are driven by a number of factors which we are seeing played out worldwide”. At the moment the government plans on lifting the energy cap to avert the unintended outcomes of the socialist policy they were precisely warned would be a consequence…
This is quite a reversal of the PM’s thinking, who in May 2016 penned a joint op-ed with Michael Gove for The Sun, professing that leaving the EU and taking back control would lower fuel bills as we could cut VAT:
“And fuel bills will be lower for everyone.
In 1993, VAT on household energy bills was imposed. This makes gas and electricity much more expensive. EU rules mean we cannot take VAT off those bills.
The least wealthy are hit particularly hard. The poorest households spend three times more of their income on household energy bills than the richest households spend. As long as we are in the EU, we are not allowed to cut this tax.”
Hopefully, when push comes to shove, Boris will have a lightbulb moment and return to his 2016 convictions…
What a difference seven weeks and five days make: in July, responding to a recommendation to introduce new anti-obesity health taxes, Boris rejected the proposals by saying he is “not, I must say, attracted to the idea of extra taxes on hard-working people”. Today in the Commons, the PM stood up and announced a National Insurance hike that will hit the pockets of those very same hard-working people. Would be helpful if there was a streak of conservative ideology guiding some of these statements and policies…
The Sun is reporting that Number 10 is considering raising fuel duty for the first time in a decade in order to fund its spending plans. This would be the first U-turn for Boris…
Boris at a press conference alongside Michael Gove and Gisela Stuart during the election campaign (29 November 2019), said clearly that “we don’t want to raise fuel duty, I’ve absolutely no intentions to raise duel duty.” The Sun this morning claims “Cummings was pushing Sajid to put up fuel duty, so the PM will look good for the climate conference we’re hosting”. Given new Tory voters don’t give a fig about COP this seems hard to believe.
Fuel duty is a tax that falls not just on those fabled white van men, it is a cost passed onto all consumers in general prices and adds to inflation. Macron’s problems with the Gilet Jaunes began when he decided to increase a fuel tax. Would Boris really want to antagonise Britain’s high-viz vest wearers?
