Reading Liberal Democrats

At last night’s Reading Borough Council full meeting, Reading Liberal Democrats Councillors tabled an amendment on a Labour motion on maternity pay and family cuts. Raised by Leader of the LibDems on Reading Borough Council, Cllr Daisy Benson, it was backed by the Conservative and Independent Councillors.

Speaking on the amendment, Cllr Benson said: “This motion is a cynical move by Labour in Reading. Ed Balls and Ed Miliband have not said they would reverse any of these cuts.’

‘Time and again Labour are very clear about which cuts they are against but have no ideas about what they would do if they were in government.’

‘Is it any wonder very few people are willing to trust Labour near the economy again.

‘In contrast, Liberal Democrats working in Coalition have taken a range steps to help families on low and middle incomes in Reading despite massive pressure on the public finances – including increasing spending on Reading’s poorest children to help improve their life chances, cutting income tax bills and making childcare more affordable.”

Notes to Editors:

Original amendment document by Cllr Daisy Benson

Commenting on the raising of the Personal Allowance further than already planned, Cllr Daisy Benson, Liberal Democrat Leader on Reading Borough Council said:

“Liberal Democrats are working for a stronger economy and a fairer society, so that everyone can get on in life. That’s why we are cutting taxes for working people.

“Today’s announcement means that by April, 72,200 ordinary working people in Reading will get a further Income Tax cut, bringing the total tax cut to £600 a year since Liberal Democrats joined the Coalition Government.

“In Reading, this welcome news also means that 5,710 low-earners have been lifted out of paying Income Tax all together since the Coalition Government came to power.

“Liberal Democrats want fairer taxes, which is why we made raising the tax-free allowance our number one priority at the General Election – so important that we put it on the front page of our manifesto.

“When times are tough, with rising bills and wages not keeping pace with inflation, we want to give people real, practical help.

“Cutting Income Tax will not deal with all of those problems, but it will help. And I hope it will make a big difference to every family in this country.”

As part of the Budget, the Chancellor has announced that from next year, the Income Tax threshold will be raised further, ensuring that no one pays any income tax on the first £9,200 they earn.

In Reading that means 68,100 people will receive a £220 tax cut cut next year and by 2014 over 5,000 people will be lifted out of paying Income Tax all together.

This is on top of tax cuts of £200 last year and a further £130 next month as a result of raising the threshold.

Commenting, Liberal Democrat Group Leader on Reading Borough Council Cllr Daisy Benson said;

‘I was one of over a hundred Liberal Democrat Leaders in local government who wrote to the Chancellor calling for the Income Tax threshold to be raised further and faster to help working people in Reading and I’m pleased the Chancellor has responded to our calls.’

“As a Liberal Democrat, I want to see a fairer tax system where help is provided for those who need it most and where the richest pay their fair share.

“Raising the Income Tax threshold to £9,200 will help thousands of ordinary working people in Reading who have been struggling with bills and higher cost of living.”

Commenting further, Liberal Democrat Chief Secretary to the Treasury, Danny Alexander said:

“Liberal Democrats have been clear in our priorities for the Budget. We wanted to see a Budget for the millions, not the millionaires.

“The Coalition Government inherited an unfair tax system from Labour, who in their 13 years hit ordinary working families hardest by abolishing the 10p tax rate while letting tycoons get away with shameless tax avoidance.

“Liberal Democrats in the Coalition Government are doing the right thing to clear up the mess Labour left behind, making sure the wealthiest pay their fair share by clamping down on tax avoidance, introducing a ‘tycoon tax’ and putting an end to stamp duty dodging by the super rich.

“Raising the Income Tax threshold is a key Liberal Democrat commitment that the Coalition Government is implementing. The announcement in the Budget will mean almost 2m people will be taken out of paying Income Tax all together in the UK and give nearly 21m people a £220 tax cut.”

Liberal Democrats in Reading West have called for income tax cuts to help struggling families weather the recession.

Speaking to a meeting of members over the weekend, Patrick Murray (Lib Dem Parliamentary Spokesperson) said that people in Reading West have endured a year of rocketting fuel, transport and food prices and many were still out of pocket following the government”s decision to double the starting rate of income tax.

“Today, 24th November, the Chancellor presents his Prebudget Report to Parliament,” said Patrick. “Liberal Democrats will be pressing for permanent tax cuts for people on low and middle incomes. We will be looking for radical changes in the tax system which lock in lower rates of income tax for good.”

“To make these tax cuts lasting, they have to be funded. That means shifting the tax burden onto pollution and ending the tax perks and loopholes enjoyed by the highest earners, as Vince Cable pointed out in his speech at Reading University last week.”

“We are worried that the Government will simply introduce temporary tax cuts, paid for by borrowing, which will disappear once we start to come out of recession.”

“Now is the time for a genuine and radical change to the tax system. Liberal Democrats will be pressing for that and, having spoken to many residents of Reading, I know it is what people here want.”

“We believe, however, that an area where borrowing should be allowed is investment in new buildings and facilities that are needed. I am very keen to see people’s homes properly insulated and more affordable homes built for people who need them.”

“As well as boosting jobs and the economy, it will help to save money in the future.”

Editor’s Notes:

To see the Pre-Budget Report click here.

Liberal Democrats in Reading West have accused Labour MP Martin Salter of letting down local people on low and modest incomes, by backing the Government over the doubling of the 10p tax rate without an adequate compensation package.

Patrick Murray, Lib Dem PPC for Reading West, said:

“Martin Salter has been taken in by the Government. The Government’s compensation promise offers no guarantees at all.

“The Government won’t say how many people it will help. They won’t say if it will be permanent, or just for one year. And they already seem to have gone back on their promise that it will all be backdated.

“How do the Government expect people on below average incomes to pay today’s bills with money they won’t get for another six months – and that there is no guarantee they will even get then?

“On Monday night MPs had a chance to guarantee that the compensation package that the Government eventually come up with will be an adequate one – by voting for an amendment that said the 10p rate would be restored at the start of next year unless MPs have voted to approve a compensation package they judge to be adequate before then.

“Sadly Martin Salter voted against this. He seems content to trust Gordon Brown on this, when all evidence so far suggests he cannot be trusted on this issue. It was Gordon Brown after all, who originally claimed no-one would lose out under the changes.

“Labour MPs have now been fooled twice on the 10p rate. First in March last year, when they cheered Gordon Brown’s budget and it was left to the Liberal Democrats to point out he was upping tax on the low paid. Now they have been fooled again by a promise of compensation which has more holes than a fishing net.

“It is clear that Martin Salter cannot be relied on to stand up for local people on low and modest incomes.

“It is also clear that the Liberal Democrats, not Labour, are the party of fairness in Britain today.”

Editor’s Notes

According to data released by the Institute for Fiscal Studies, losers from the doubling of the 10p rate will be those on incomes between £5,435 and £19,355. IFS Report

Har de Har!