The International Monetary Fund has said the VAT cut is not seen as an incentive to spend. It does presume you have the money to spend.
Now Vince Cable and the Lib Dems did try and get this £12.5 billion Budget item overthrown. Did the Tories support us ??
Vince and the Lib Dems suggested that this money would be better spent giving a real stimulus to the hard pressed sectors of the economy eg construction by using the money to expand the green economy such as energy efficiency of homes and schools/hospitals, public transport infrastructure and building zero carbon social houses and having a win, win by creating and protecting jobs, reducing fuel bills and cutting climate change gases.
Did the Tories support this??
Wednesday, 24 December 2008
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