How to get the economy back on the mend (Wantage and Didcot Liberal Democrats)

Wantage and Didcot Liberal Democrats <info@wantagelibdems.org.uk>

How to get the economy back on the mend

October 22, 2008 3:25 PM

Lib Dems want 4p off income tax

The prime minister and the governor of the Bank of England have now both admitted that the British economy is moving into recession, but neither seems to have much idea what to do to minimise the effects. With the Conservatives mired in new allegations of sleaze, only the Liberal Democrats have been focused on what needs to be done to save people's homes and livelihoods.

The Lib Dems' key messages have been spelled out by leader Nick Clegg and shadow chancellor Vince Cable:

1. Cut taxes for people on low and middle incomes, raising them for the richest. Clamp down on tax avoidance, increase taxation on polluters and cut public spending. Tax cuts for the worst off are now URGENTLY needed so that they can pay for essentials as high street inflation soars.

2. Stop the banks repossessing homes except as a last resort. This needs clear directions to the courts, and a range of financial options, including shared equity. Oxfordshire already has a housing crisis. Councils and housing associations need to be able to take over empty properties and unused building land.

3. Force utility companies to lower energy bills, so that everybody can keep warm this winter. Energy companies are slow to pass on wholesale price cuts. Companies receiving subsidies from the European Union must invest in lower tariffs for the vulnerable and help insulate homes wherever possible.

4. Lower interest rates would help people with their mortgage payments, and help businesses to keep going through rough times. The Bank of England's independence has to be modified to cope with the emergency, and to bring the UK into line with international action on interest rates.