Newspapers brand the latest Tory tax plans as unambitious

The consensus to be drawn from this morning's newspaper editorials responding to yesterday's announcement from David Cameron of tax cuts for firms which take on those who have been unemployed for three months is that the party is not being ambitious enough.

The Telegraph echoes the concerns of the TaxPayers' Alliance, describing the plan as "timid and unambitious":

"The plan to give a tax break to companies taking on unemployed people is excessively complex, does not put money into people's pockets - surely the priority in a downturn - and is far too modest in its scope. Costing £2.6 billion, just half of one per cent of the total tax take, it would barely be noticed."

The paper's columnist, Simon Heffer, is even more scathing, declaring that "it is hard to come to terms with the sheer stupidity of this wheeze".

The Financial Times also states that the Tories have not gone far enough:

"The case for fiscal action is getting stronger. Although the opposition Conservatives show they understand the need for a plan to repair the public finances, their short-term proposals for dealing with the downturn are paltry. Should the government go ahead with a fiscal stimulus at the pre-Budget report, expected this month, it must do better."

Even the Guardian reckons the party's response to be "too small"

"Given the bleakness of the economic outlook, a £2.6bn tax relief is as much use as a rubber ring in the middle of a gale. Few of the modest measures the Tories have produced so far have made much impact on the public. A poll yesterday suggested that, while Labour remains behind overall, most voters think that Gordon Brown is the best man to tackle the recession. The Conservatives want to drum home the message that they alone can restore order to the books, but so far that message seems not to be resonating."

The Times cites the merit of the Tory plan as being the fact that it would be funded by welfare savings, but nonetheless makes a call for "targeted, temporary tax cuts, implemented now but to be funded by cutting wasteful spending programme".

The Daily Mail, whilst rejoicing that the political establishment is finally "waking up to the economic benefits of tax cuts", it believes that none of the parties is planning to do enough to tackle the "tangle of red tape suffocating business" and "hugely bloated public sector". The paper asks: "Where is the new Mrs T?"

The Sun, meanwhile, has another proposal:

"Why don’t we seize this golden chance and raise the starting point for income tax — releasing millions of low earners from tax and welfare forever?"

Jonathan Isaby

Comments

[GB£.com (33% of Tories disagree)]

Get people off the state payroll rather than the dole. It will reduce the size of the state and save us all billions of pounds a year more than Cameron's plan.

It won't be hard to identify 350k highly paid non-jobs and the 2.5k bribe can be used to get them into private sector work so producing no increase in unemployment.

A bold, long-term programme to roll back the state. A kind of anti-Cameroon approach I suppose.

[London Tory]

Anyone who saw Chris Grayling's uttering skewering by Paxman on Newsnight yesterday would have to question whether we even understand the implications and costings of our own proposals.

Redwood for one would have been 100 times better because the guy has a brain the size of a planet.

I can only repeat [before we are back at level pegging]- Cameron needs to send for the grown ups.

[strapworld]

How many own goals are the dynamic duo Cameron and Osborne allowed to make before somebody takes them into a darkened room and tells them their fortune?

Do they want to win the election?

They miss so many open goals:

1.They should be out there firing on both barrels on the young girl whose parents were threatened with her being taken away and operated on without their consent!

2.They should be demanding to know why labour controlled Harringey council is allowed to continue (READ THE SUN EDITORIAL)

3. More importantly they should be at Brown's jugular over the economic mess caused by him and him alone.

He is getting away with it and Cameron and boy george are floundering.

I genuinely believe that Cameron has no idea on leadership and has not got the guts for a real fight. As for Osborne he has to be moved. Yachtgate has finished him.

[ChrisD]

Tim & Jonathan, have you checked the previous thread?
I think that its in dire need of being tidied up after about 7pm last night.

On topic, I can't be bothered repeating the arguments already made on the previous thread. Today's papers are simple rehashing that, wonder what they will have to say about unemployment figures tomorrow?
Oh, I forgot, they come out today don't they.

[Letters From A Tory]

The reality is that Cameron and Osborne are being forced to work outside the comfort zone that they have enjoyed for three years - and they don't like it. At the very moment when (for the first time) the public turned to the Conservatives in earnest for solutions, they have left disappointed.

What a wonderful opportunity missed.

[anon]

This was a very disappointing set of proposals - why not just re-introduce the 0% introductory rate for corporation tax and double the basic tax allowance for individuals?

Simple, effective, benefits all.

I'm sick of these complicated 'keep civil servants in post' schemes...

[Stuart M]

As usual the TPA called this right. A day late and a dollar short as the americans would say.

We need to be bold - something like - "lets scrap regional development agencies, regional assemblies and a hundred or so other quangos, and put the money into increasing income tax thresholds"

Now THAT's a policy worth voting for.

[Cleethorpes Rock]

Why are David Cameron and George Osborne pathalogically opposed to shrinking the size and scope of government?

[Ian]

Why is Cameron talking about these fiscal proposals instead of the shadow chancellor? Is that because Brown was talking and not Darling? Osborne is busted flush but Dave won't admit it. Perhaps David Davis could see what was going to happen and that's why he resigned his seat. Nevermind the economy why isn't Cameron opposing the introductory trial of ID cards? The truth is Brown is making mincemeat of Cameron and Osborne. SIMPLE policies are what are needed. Chris Grayling poor on Newsnight, Theresa May absolutely awful on Any Questions. Get the big beasts out Dave or your days will be numbered. One can't help but think that Brown's fortunes are beginning to turn since the dreadful Campbell and even worse Mandelson have come back in to the fray. Notice how Labour are going to cut away their unpopular 'green' taxes as well as keep the Post Offices open - hoo boy there was one that was missed. Out manouvered - tiem to change the team, Dave.

[Ken Adams]

Please give us a reason to vote Conservative.

[david chandler]

Yes these proposals were uninspiring.
In order to kickstart the economy one only needs to raise the personal allowance to £8000 per year, allowing people to repay their debts and spending the rest in the shops.
Also we should be following the new zealand style of pensions, aiming at a state pension of £135 per week, and removing the cruel gimmicks and cons of this government.
Thirdly the banks and building societies should be hauled in and made to sit down with mortgage holders those who can't repay and make the banks become landlords charging a rent. A far better idea than allowing the banks to start repossession oders and making familes come on the state for accomodation. the plan would finance itself, and put a floor under the housing market.
And like the others before me, it is time the conservative party came down hard on the bureaucrats of the public service and their vastly inflated pension. Why should the public pay for these feather-bedded schemes when the private pensions industry has been destroyed. examples would be primary care trusts, quango's, strategic health authorities.
And lastly the conservative party should highlight the off-balance schemes this government has done. it is not just the banks who have parked debt of their balance sheets. One only has to look at the private finance iniatives and the unfunded public sector pension schemes?
It is time the opposition showed this government up as the high tax and high debt party for the last fifty years before the county cannot be saved.

[David_at_Home]

I agree with just about all the previous comments here.

We have the worst economic crisis for a generation, our under resourced Army has been sent abroad where it is, very bravely, fighting wars for which there are no defined or achievable objectives, what used to be the urban British Working Class is sullen, resentful and increasingly angry (for quite understandable reasons), what used to be the British Middle Class is cowed, confused and dispirited, our police "service" is hopelessly politicised and ineffective, the Civil Service has lost the ability (or the will?) to organise the country and there is a serious threat from thousands (maybe tens of thousands) of internal terrorists.

Sadly, not only has Her Majesty’s Loyal Opposition no answers of these problems, it has not even begun to address them.

[Dawn Parry]

I was hugely disappointed when I heard Cameron speak on the party's tax cut proposals. Not because I don't welcome them, I do - but it highlighted to me just how far removed our Party appears to be from what the general electorate are feeling.

I wanted to hear plans that would directly appeal to the voters. More money in their pockets. Instead all I gleaned was companies, companies, businesses etc. Nothing that would placate people who cannot afford their huge heating and electricity costs, their food bills, their ever rising bank overdraft charges and card costs, their inability to maintain mortgage payments due to the elevated other costs of essentials for living.

How about being really brave? Why not increase the level at which people begin to pay 40% tax from £34,000 to £60,000?
3.5 x £60k = still not enough to buy the average home in the UK, so why should nurses, teachers, police along with a whole raft of other UK citizens who can barely afford to live pay the highest rate of income tax we have in this country?

Come on Cameron and Osbourne. Be brave! Give Britain the change and the aspiration hard working, tax paying voters need!

[Old Hack]

Despite my deep reservations about Osborne's aptitude for the job he's in, I have to say that I'm not displeased with yesterdays announcements by David Cameron. They aim to help but do not claim to be the magic cure, which does not exist.

What I would also like to see is much more attention paid to the reform of banking and credit agency regulation. Perhaps a crack-down on usuary by credit card companies as well? There are an awful lot of people feeling financial pain caused by the retail banking sector and the public would enjoy us giving them a good kicking.

I don't think Grayling was skewered by Paxman, London Tory. Far from it. He answered the questions well and did not invoke the trademark Paxman gaze of incredulity.

In fact here's a plan - make Grayling Shadow Chancellor, Osborne Chairman and Spelman the Shadow for Work and Pensions. Keep Hague where he is.

Our objective must be to discredit Labour as quickly as possible. The ammunition is there.

However, one or two of the people firing the weapons look as though they need some range practice to avoid foot shooting, accidental discharges, or worse still friendly fire incidents a la Osborne.

[The Bishop Swine]

I think Dave's plan is a good one, but it needs to go further with larger Tax breaks to employers willing to take the risk of employing those who have been out of work for many years.

[THE ESSEX BOYS]

We were unable to get onto the site after yesterday's press conferences but 'saved'our blog to add below today.
We think the press comments and those above adequately summarize our own disappointment and frustration at present.
******************************************
BLOG TO CONSERVATIVE HOME – 11th Nov 2008

TORIES SUCKERED! That's our take on this morning's hastily convened press conferences. GB didn't announce any specific measures, let alone tax plans. What Gordo did do is revert to his normal evasiveness and bluster. He failed - once more - to answer a single question with a straight answer. It is an insult to the intelligence of respected journos, as well as the tv audience, to call them together for a such a wasted hour of hubris.
As for the Great Universal Summit this weekend, the press had that sussed too in that without Obama it's just another Posturing Parade at great expanse with a with a sizeable carbon footprint!
GIVE US A BREAK GUV - WE AIN'T ALL DAFT!

As for DC's 'I'll get to the podium first' affair - what a damp squib that will probably be dead and buried by the time the real meat of the pre-budget report comes along. Easy to spot that DC was on uncomfortable ground by the vast number of 'Y'knows' he used throughout. Analysts of these traits will tell you that he's showing desperation and imploring his audience to come along with him when he's unsure of himself,
WATCH IT DAVE - YOU'RE TOO GOOD A SPEAKER TO GO DOWN THAT PATH!

We feel that George's efforts in foolishly trying to compromise Mandy when he was appointed will have a long-lasting effect on his credibility as a Chancellor in waiting. How about MICHAEL FALLON for the job?

[christina Speight]

The Tory employment plan is insufficient and - worse - is not remotely relevant, when firms are shedding jobs, to propose subsidising employment from the unemployment register. The time for that is when the recession bottoms out and the economy begins to pick up.

What I do not accept is the notion that if tax cuts are to be effective they must be funded by new borrowing. That is false. When you have massive state expenditure on major wasteful projects (such as the ID cards and the NHS centralised computer systems) to divert such waste onto emegency tax cuts which will boost consumer spending or rescue companies in difficulties is the best stimulus and source of funds one could ask for.

But in the end my conclusion is similar to that of Andrew Lilico which he appended as a footnote at the very end of his piece on Centre Right. This package fails on several counts:
1 it is not a coherent package; and thus----
2. is not marketable to the voter;
3. It is too small to be be effective;
4. It dodges the fact that we have a bloated state and part of our salvation must be to rein it in

It is not good enough. It makes the Tories seem unfocussed and ineffectual.

I hate to say it but for a very long time now I have said that Cameron was a poor leader - "wet" was the word I often used - as he is blinkered by his ;do-goodism' which prevents him from ever being cruel to be kind, which is what we must have now.

[Louise]

@Christina - re: Cameron - join the club. It's not George that's the problem, it's Dave. George as a tactitian/strategist is wasted on Dave who thinks this is a decent answer to the charge that the Tories don't know what they want to do.

I don't know how long he's got left, but I'm not sure it's that long.

[christina Speight]

@ Louise --- I FOUNDED the club! ;-)