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The Why? Curve

A tax cut that’s good for Britain or a last-ditch hope for the Tory party?

Season 1, Ep. 77

Jeremy Hunt delivered his Autumn statement this week, with 110 policy measures. The most significant of those was a 2% cut in National Insurance contributions. Roger and Phil ask Simon French, Chief Economist and Head of Research at UK investment bank, Panmure Gordon, whether the main aim of the cuts was to bolster the chances of a win for the Conservatives at the next election? On this week’s podcast Simon says that, political cynicism aside, there is a need to boost growth in the economy, and administering cuts in tax through National Insurance ensures that it is the working population that benefits. But will it make that much difference, when those same people face higher tax contributions through the freezing of the income tax thresholds? A wide-ranging discussion that includes the need for more comprehensive tax reform, plus a snapshot on the economic wellbeing of Phil’s barber.

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