The Economy Debate

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Department: HM Treasury

The Economy

Harriett Baldwin Excerpts
Wednesday 22nd June 2011

(13 years, 4 months ago)

Commons Chamber
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Ed Balls Portrait Ed Balls
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I find that baffling as well. The fact is that cutting VAT was an effective stimulus, as the IFS said, which led to strengthening growth and falling unemployment a year ago. Now that cut has been reversed, and our position on the policy has been consistent. We propose not a move all the way from the Government’s deficit reduction plan to halving the deficit in four years, but a step along the road. That would be the right thing to do, and it would deliver for the constituents of Government Members a boost of £450 a year for a family with children, and of £275 a year for a pensioner couple. Why do they oppose action that would put money in people’s pockets and help to get the deficit down in a fairer way?

Harriett Baldwin Portrait Harriett Baldwin (West Worcestershire) (Con)
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The right hon. Gentleman says that he likes to do his politics on the record. On the “Daily Politics” show on 14 March, he said:

“We’ve made no commitments at all, it would be totally irresponsible for an opposition to behave”

in that way. What is responsible about an unfunded £51 billion tax cut?