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By Peter Hoskin
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With
the Budget less than a couple of weeks away, I thought it would be a good time
to collect some of the recommendations being put to George Osborne by Tory
parliamentarians. Of course, the parliamentarians listed below may want other
measures too – and there may be other parliamentarians who want what they want
– but I’ve tried to go with the most prominent examples from the past few
weeks. If you think I’ve missed anyone off, please do shout out in the comments
section, or email me on pete @ conservativehome.com (without the spaces).

Robert
Halfon MP: The reinstatement of the 10p tax rate

RHRobert
explained how and why he wants the 10p rate of income tax reinstated in a recent
article for ConservativeHome
. Here’s a snippet:

“When Labour
brought in the 50p income tax-rate, it cost HMRC something like £7 billion
pounds overnight, as people changed their behaviour to avoid the new tax. This
year, the Coalition will cut that 50p income tax-rate down to 45p, because this
is expected to raise more money from the rich, not less. The message of the
campaign at CutTaxTo10p.com — or, alternatively GreatGordonBrownRepealBill.com
— is that we should use every extra penny raised from this to restore the 10p
basic rate of income tax, to help lower earners. Added to the Universal Credit,
this will help stop disincentives to employment, and to ensure that work always
pays.”

He
also discussed
the policy
on the Daily Politics today.


Robert
Halfon MP (again): No fuel duty hikes this year

Speaking
on the Dermot Murnaghan show:

“…as you
know I’ve been campaigning very hard for the government to free and cut fuel
duty and to be fair to them they cut fuel duty in 2011, they froze fuel duty
last year and they’ve stopped the January rise and postponed the April rise. We
need to carry on with this and I’m urging the government to stop the September
rise that is planned but fuel is now 10p cheaper than it would have been had we
gone on with the previous plans of the last government.”

Tim Loughton
MP: A marriage tax break

TLFrom
the Daily
Mail
:

“Former
minister Tim Loughton said the Government needed to start ‘doing some of the
thing that people voted Conservative for at the last election. That’s about
reducing taxes rather than coming up with new taxes, it’s about recognising
families are having a tough time and recognising marriage and families in the
tax system which we said we would do and haven’t.”

John Redwood
MP: Revenue-maximising tax rates – particularly when it comes to fuel, property
and capital gains

He
wrote
for the Times (£)
last week:

“These three
examples of higher rates cutting income for the Government are arguments for
reform in the Budget. The Chancellor needs to find those sweet spot rates that
maximise revenue. For CGT this can be a low rate as it is an easy tax to avoid.
For income tax it is likely to be close to the average rate in advanced
countries to deter people from moving to lower tax jurisdictions. The
Government has found that a 50 per cent income tax rate, more than 10 per cent
above the average, has led to a lot of high earners leaving the UK.”

Priti Patel:
Cuts to the taxes imposed on business, including Air Passenger Duty

PPShe
wrote in
the Daily Telegraph
on Monday:

“Even if you
try and escape it all and take a well-earned break, that is yet another excuse
for yet another tax. The British Government takes more than twice as much in
taxes on flights as all other European countries combined. A typical family
pays more than £115 a year in Air Passenger Duty (APD). If you want to take a
family of four to Florida in Economy Class from the UK you will pay £262 in
APD. … We are increasingly uncompetitive as a destination for tourists and
business visitors.”

Henry
Smith MP echoed this demand in an article
for ConservativeHome
today. Graham Brady MP raised it in an article
for the Telegraph
last month.

The Free Enterprise
Group: What Priti Patel said – and more

FEGFrom
the Telegraph’s
write-up
of the group’s meeting at the Institute of Economic Affairs:

“Mr Kwarteng
called for ‘massive spending reductions’, starting with the foreign aid budget,
which should be reduced by a third to £5 billion a year. He also proposed a
five year ‘holiday’ from corporation tax for new companies. … Therese Coffey,
a senior aide to Michael Fallon, the Business Minister, called for the ‘removal’
of employer National Insurance contributions, which she described as a ‘hidden
tax’ with few benefits. … Brooks Newmark, the Tory MP for Braintree, called
for universal pensioners’ benefits to be means-tested. … He called for
inheritance, capital gains, and corporation taxes to be cut and for new
incentives to encourage privately backed road building schemes. … [Ben Gummer]
recommended deep cuts to welfare and pensions, which he said soaked up one
third of all income tax paid.”

Adam
Afriyie: A specific package of tax cuts

AAFrom
the Mail
on Sunday
:

“In an
article for The Mail on Sunday today, rebel Mr Afriyie bluntly warns Mr Cameron
and Mr Osborne they are doomed unless they use next month’s Budget to
kick-start the economy with a multi-billion pound tax giveaway, including: …
Gradually phasing out employers’ National Insurance contributions – a ‘bizarre
and nonsensical tax on jobs’ … Halving the rate of corporation tax on
companies’ profits to 12.5 per cent … Aiming to raise the income tax
threshold ‘above and beyond’ the Coalition’s current target of £10,000. …
Making an emergency cut in capital gains tax to boost business investment.”

Andrew Griffiths
MP: Freeze beer duty

From
the Daily
Mail
:

“Tory MP
Andrew Griffiths told MailOnline: ‘The British brewing industry is in crisis.
… ‘The hated beer tax escalator is killing brewers and closing down pubs.
Unless future increases are scrapped now we could see the terminal decline of
the great British pint.’”

Lord
Forsyth: A change in direction, including an end to Quantitative Easing:

Lord ForsythHe
wrote
for ConservativeHome
this week:

“Quantitative
easing is forcing businesses to put enormous sums into their pension funds – money
which would otherwise be available for investment and job creation. This is
because employer liabilities are calculated using government bond yields which
are artificially depressed by QE. Similarly annuity rates are distorted giving
pensioners a much lower income than could reasonably be expected after a
lifetime of saving. Banks are being heavily criticised for not lending enough
but how can they lend more if they are being required by regulators to hold
more capital and liquidity in the form of cash or government bonds being
created by QE. The Chancellor should announce an immediate halt to quantitative
easing and an absolute commitment to sound money.”

Dominic Raab
MP: Further, faster, stronger deregulation

DRIn
a recent article for
the Financial Times (£)
, he wrote:

“…the
coalition is reducing red tape, particularly filtering spurious claims from
employment tribunals. But more must be done to exempt small businesses from
stifling regulation, including (temporarily) the minimum wage for under-21s,
flexible working regulations and pension auto-enrolment. Fears that venture
capitalist Adrian Beecroft’s proposals for ‘no fault’ dismissal would undermine
job security are understandable but no excuse for ducking the problem. More
modest alternatives include extending the period before unfair dismissal can be
claimed from two to three years, or introducing a ‘no-fault dismissal’ in
parallel with ‘unfair dismissal’ (with a wider definition of ‘fair dismissal’ based
on poor performance, not just inherent incapability or neglect).”

Douglas
Carswell MP: Coming soon

DCIn
a blog-post
today, Mr Carswell wrote:

“Over the
next two weeks, I will be setting out in five blog posts the alternatives on
bank reform, on how and where to curb spending, on tax cuts and how to unleash
the potential of wealth creators.  I will
outline the post-monetarist approach that I believe we have long lacked.”

The
post mentions the evils of Quantitative Easing, and he has also written about
the joys
of tax cuts
recently.

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