We believe it’s right that the banks pay their fair share as we cut the deficit – that’s why it was the Conservatives who introduced the first ever levy on the banks.
But Labour have now committed themselves to spending the proceeds of bank tax revenues ten times over on eleven different things…
- Youth Jobs Guarantee – £1.04 billion
- Reversing the VAT increase – £12.75 billion
- More capital spending – £5.8 billion
- Reversing the Child Benefit savings – £3.1 billion
- Reversing Tax Credit savings – £5.8 billion
- More Regional Growth Fund funding – £200 million
- Cutting the deficit – ?
- Turning empty shops into community centres – £5 million
- Spending on public services – ?
- More housing – £1.2 billion
- Childcare – £800 million
…giving a total of at least £30.695 billion (not including the uncostable commitments to reduce the deficit and more spending on public services).
This is more than ten times the £2.3 billion that was raised by Labour’s bonus tax – that their own Chancellor, Alistair Darling, said could only be a ‘one-off’ – and more than ten times the £2.5 billion that the Government’s permanent bank levy raises every year.
It’s simply not credible for Labour to try and spend the same pot of money more than ten times over on eleven different things.
All Ed Miliband and Ed Balls offer is the same old Labour policy of more spending, more borrowing and more debt. And it’s hardworking people who would pay the price through higher mortgage rates and higher taxes.