LONDON (MNI) – UK Deputy Prime Minister Nick Clegg has said that
the government’s recent reforms of Britain’s tax system will boost
demand and lubricate the wheels of economic recovery.
“We need to maintain demand. We’re lowering the tax burden for the
23 million basic rate taxpayers. Not only because it’s a socially just
thing to do, but also because it helps get the wheels of the economy
moving.
Speaking at the World Economic Forum in Davos, Clegg defended the
government’s deficit-reduction program, adding that cuts were
‘unavoidable’.
“It was an unavoidable decision, I think memories are very short,
people tend to forget that when this government was first formed in May,
we had one of the largest deficits in the G20, one of the largest
deficits in the European Union. We’re spending 120 million pounds on our
debt every day,” he said.
“We haven’t imposed a Sword of Damocles of cuts over night, we have
announced a plan which will be implemented over four or five years. The
vast majority of cuts and savings have not even started yet. They are
going to be introduced in a very carefully staged way over a
four-and-a-half year period,” he added.
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[TOPICS: MGB$$$,MFB$$$]
