Friday, 11 December 2009

TaxPayers' Alliance bulletin - 11th December 2009
 
Pre Budget Blues
 
This week, to the dismay and disbelief of taxpayers across the country, the Chancellor presented a Pre-Budget Report that spectacularly failed to deal with the escalating financial crisis. Alistair Darling presented borrowing figures that were far in excess of the sky-high debt we had previously been told to expect. Despite being warned by the Governor of the Bank of England, the IMF and the credit agencies that Brtiain must act quickly to reduce its national debt, we saw no real savings. Instead of making significant cuts to public expenditure, the Chancellor actually announced a spending increase. People wanted to see a meaningful plan of action with public sector pay and pensions tackled, but instead we were presented with bizarre and misguided distractions such as a boiler scrappage scheme. Worse still, at the very time we need to increase and improve the employment prospects for our beleagured nation, Mr. Darling pushed up National Insurance contributions by 1%, imposing a tax on jobs that will hurt us all in the long run.
 
There were seemingly no redeeming features of this Pre Budget Report, and as well as our fast, on the day blogging response, TPA spokesmen took to the airwaves to discuss potential ramifications for both ordinary taxpayers and small and medium sized businesses, with appearances on GMTV, CNBC and numerous BBC regional radio stations. TPA Research Director Matt Sinclair also appeared on last Sunday's Politics Show to discuss our paper on the political parties' response to the fiscal crisis, and what needed to be done to get us out of the economic mess we're in.
 
TPA analysis of the PBR has also appeared in a range of national and regional newspapers, and blogs, with hits including:
Daily Telegraph: Matthew Elliott: Will Anyone lift Britain out of the Debt crisis?
Telegraph.co.uk: Matthew Elliott: Why the pre-Budget report is bad news for small businesses
The Independent: Business reaction: Tax rises are a threat to jobs, warns CBI
Daily Express: PRE-BUDGET: LABOUR'S WAR ON WORKERS
Daily Mail: Clobbering the middle earners
Daily Mail Online: Higher taxes would snuff out what prospect of recovery there is
Western Morning News: Brown's tax on the middle classes
thisismoney.co.uk: Pre-Budget: How much extra NI will you pay?
LocalGov.co.uk: Fears over plan for ‘£150k salary cap’
Guido Fawkes: Brown's Tax Cuts Are Trivial
ConservativeHome: CentreRight: Matthew Sinclair: Higher VAT is an unacceptable tax on the poor
thisismoney.co.uk: Pre-Budget: Thousands more to pay 40% tax
 
MPs' Expenses - the last hurrah?

After the shocking revelations of MPs’ expenses in May and the taxpayers' outrage that followed, we were hoping to see some evidence of meaningful changes in the spending pattern of our politicians as the election draws near. We were bitterly disappointed to see that even though the public have sent MPs a clear message that they are sick of their grasping ways, MPs continue to milk the expenses system, making bizarre and outrageous claims on taxpayers’ money.

Our live rolling blog on the MPs’ expenses listed some of the most brazen and wacky claims – such as John Butterfill’s £5,836.25 kitchen and Elliott Morley’s ‘Plastic Hawk’ (which was later unveiled to be a plastering tool, not the charming companion we found to the right) – while also providing links to the expenses reports so that you get the chance to look up your own MP and tell us about any atrocious claim you come across. Here is the link. These latest revelations further emphasise the need for IPSA and MPs to work together to implement Sir Christopher Kelly's reforms as swiftly and thoroughly as possible.  

Public Sector Pay - skinning the fat cats
 
As you will have seen in last week's TPA bulletin, we launched this year's Public Sector Rich List to a rapturous reception in the media. Following on from our revelations that 806 people in the Public Sector now earn over £150,000 per year, Gordon Brown (perhaps more than a little annoyed that he was 324th place on the list) has admitted there is a “culture of excess” in the public sector and promised to curb the salaries paid to civil servants, quango chiefs, council leaders and BBC executives. After similar pledges from both the Conservatives and the Lib Dems, we very much hope to see actions to match this rhetoric, and plan to hold our politicians to their word on this topic so that we can see the end of unfair, inflated public sector fat cat pay and pensions once and for all. 
 
Copenhagen 2009 - the £130 million talking shop

From 7 December to 18 December 15,000 delegates will descend on Copenhagen to work towards negotiating a treaty to succeed Kyoto and reduce emissions. However, even before the conference has begun, there have been questions over whether a deal will be struck at all. This week the TPA released a report estimating the cost of the Copenhagen summit, and how it might quickly become a £130 million talking shop. To read the full report, including an explanation of the figures, please click here.

Our figure received good national and international coverage, with hits including:
Daily Mail: CLIMATE FIGHT 'WILL END CHEAP FLIGHTS'
Daily Mail: Copenhagen climate change summit to produce as much CO2 as an African country
Daily Express: A load of hot air! Climate change talks are '£130m waste of time'
Daily Express: TAXPAYERS ALLIANCE SLAMS GREEN TAXES SHAM
The Scotsman: Chris Marshall: How far will we be forced into greening up our act?
NCPA.org: COPENHAGEN -- ALL PAIN, NO GAIN
New American: Limos and Private Jets for Climate Dignitaries
Politico: Copenhagen: $14,000 per delegate?
EnergyCentral.com: Climate summit produces greenhouse gas
FlightMapping.com: Green advisers want to tax us out of the skies
HispanicBusiness.com: Climate Summit Produces Greenhouse Gas
FoxNews.com: Carbonhagen: World Leaders Drive to Climate Summit in Gas-Guzzling Luxury Fleet