Tory Tax Cut Pledge Not A Credible Statement

9.20.00am UTC (GMT +0000) Tue 14th Dec 2004

Commenting on Oliver Letwin's pledge to reduce the tax burden if the Tories win power, Vince Cable MP, Liberal Democrat Shadow Chancellor, said:

"This is not a very credible statement from Oliver Letwin. It's not clear whether it is a cynical ploy or just a confused statement. I suspect it is the former.

"Oliver Letwin is trying to win support by titillating the public with hints that taxes will be cut. One week it's inheritance tax, then stamp duty, then income tax on the low paid and then on middle incomes. The brutal truth is that, although we would all like to see the burden of taxation reduced, major tax changes would be very expensive and are simply not affordable in the current climate.

"The Conservatives can not continue to get away with hinting tax cuts for almost everybody, reducing the budget deficit whilst maintaining spending on health, education, crime and defence."