Downing Street Says

» Monday, October 31, 2011

Economy

Asked to comment on ONS statistics which claim the poorest fifth of Britons are paying more VAT than the richest fifth, the PMS said that it was clear that we need to tackle the deficit in the country and deal with debts in order to get the economy back on track and as a result of this difficult decisions have been taken. The PMS directed the Lobby to the Prime Minister’s comments from the weekend, that he sympathises with people who are having to make difficult decisions in the home, that’s why we have taken measures including cutting fuel duty, helping pensioners and removing the lowest earners from paying income tax to help people who are earning the least. We are trying to get the economy back on track, get people into work and get growth into the economy because these are the things that will lead to our economic prosperity in the future. Asked if this report confirms that VAT is a regressive tax which hits the poorest hardest, the PMS reminded the Lobby that the Chancellor is responsible for tax and will be looking forward to the forthcoming Autumn statement and the budget next year.

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Economy

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