by Stephen Tall on May 2, 2010
Small wonder that Tory leader David Cameron publicly rowed back on his inheritaance tax cut for millionaires in last week’s televised debate – Lib Dem research released today shows the Tories’ promise would:
- cost £6bn over the course of the next Parliament;
- is aimed at the wealthiest 0.8% of estates in the UK; and
- would benefit 3,000 of the wealthiest estates in the country every year by almost £250,000
As Vince Cable points out:
At a time when the gap between the richest and poorest is so great, it beggars belief that David Cameron wants to give the wealthiest estates a £6bn give away. The Tories are showing where their priorities really lie.
“This tax pledge is grossly unfair, only helps the wealthiest households and costs £6bn at a time when the public finances are in a perilous state. A vote for David Cameron is not one for fairness and change. It’s a vote for more of the same.
“Only the Liberal Democrats are fully committed to creating a fair tax system. We are the only party that stands for fairness and not division.”
Not only will the Tories’ tax policies benefit only the richest, but – as the Institite for Fiscal Studies made clear last week – they are unaffordable. The IFS stated the Tories would have to reverse half their £6bn tax cuts because they their figures don’t add up.
In stark contrast to the Tories’ tax-cuts for millionaires, the Lib Dems propose a tax-cut which will benefit ordinary voters by lifting the income tax threshold to £10,000. The IFS confirmed last week that the Lib Dems’ tax plans, alone among the three major parties, added up.