Labour plans to end spending cuts and tax reliefs
Shadow chancellor John McDonnell has been accused of planning "a debt-fuelled spending spree and a huge tax bombshell on the businesses that have helped to drive Britain’s recovery" after announcing a Labour government would reverse the spending cuts made by the Conservatives and review £110bn of tax reliefs and allowances for businesses and charities. Mr McDonnell told the Co-operative conference that a “thicket of different [tax] schemes has grown up, costing the taxpayer £110bn a year. Some of this will be justified. But some of it will not be. We’ll look at whether we need to simplify the system so it is fairer to everyone and encourages the growth of a fair and prosperous economy." Greg Hands, the chief secretary to the Treasury, said government support for business has helped housebuilders, entrepreneurs and encouraged job creation, while “Labour’s policy for at least £33.5bn of extra spending each year is also profoundly irresponsible and confirms that they are a threat to our economic security. It is clear that they have learned absolutely nothing."
Source: The Daily Telegraph (22/01/2016)