Brian Binley MP for Northampton South has described the Chancellors speech as a fairytale budget full of would be’s, could be’s and might be’s which contained only two certainties. Firstly, more debt and waste and secondly, more pain for small businesses and working people through higher taxes and mortgage rates.
Brian hit out at the Government for its lack of a credible plan. Alistair Darling has claimed to cut the deficit over the next four years. But he also stated that he will not start cutting until 2011.
Brian said: “The Government are not acting fast enough to deal with our deficit. The CBI has told us, the European Commission has told us and leading economic experts have told us. We cannot keep borrowing at the current level and the Government have not acted quickly enough to tackle the deficit and our children and grandchildren will be paying the price.”
Labour previously claimed they would not raise taxes yet today’s budget outlined a total of £19 billion of tax increases over the next 4 years including an £8 billion rise in National Insurance contributions. This will impact massively upon jobs. Brian especially condemned the National Insurance rise for the damage it would do to small and medium sized businesses which he believes are vital to helping Britain’s recovery.
Brian said: “The Federation of Small Businesses have estimated that 57,000 jobs will go because small businesses cannot afford the increased contribution payments for their staff. The Treasury’s own economic model suggests that the measure will cut Gross Domestic Product (GDP) by 1% after three years.”
Conservatives are pledged to start tackling the deficit in 2010 and will eliminate the bulk of the deficit within one Parliament. We need to be honest with people by saying whoever is in Government will need to cut spending. Conservatives have been honest and will get on with it to ease the long term pain and create growth. The Government has been dishonest and will prolong the agony.
Conservatives have also pledged more assistance for small and medium sized businesses and Brian has welcomed that commitment.
He said: “Small businesses are vital to Northampton. 94% of the people who work in the wealth producing private sector are employed in small and medium sized businesses and the sector is vital to Britain’s well being, providing much of the nation’s wealth and employment. I have always believed that cutting corporation tax to help business is the best way of providing jobs to get people back into work and creating the wealth to get the nation going again.”