Clegg goes bonkers. Again.
My big concern is that we currently appear to be talking about two different piles of £20bn. The £20bn that we will shift from low and middle income earners and onto the wealthy and polluting, and another £20bn that we are looking to cut from existing government spending. Most of the latter will be allocated to Lib Dem spending priorities with just a slither going towards tax cuts.
…its first priority will be diverting identified savings away from “Labour priorities” to “Liberal Democrat priorities”, Mr Davey explained. Only after that process is complete will the tax burden proposed by the party be quantifiable in overall terms.
“The savings package will involve reallocating money within the same spending area,” he added.
“I wouldn’t see it as a short-term move, nor as a philosophical shift… it’s a response to long-term trends in government expenditure.”
“We are now in a process of identifying what I believe will be the most radical package of tax- cutting measures for people on middle incomes.
“We will bear down on the ballooning government budgets. Vince Cable and I have been working over the summer identifying about £20 billion that should be reallocated and the vast bulk of it given back through tax cuts.
“We have taken some difficult decisions already to provide tax relief and we are doing some ongoing work… to help the vast majority of taxpayers. There are a number of options we are looking at. We have our pledge to cut the basic rate of income tax by 4p but as we do the sums, as we identify where we are going to get the money from we can become very much more creative between now and the next general election.”
What we have is monumental confusion. We’ve had it for a couple of months now. I’ve never seen a major political party do such a poor job at explaining its economic policy before and the blame lies squarely on the leader.


