Chancellor Jeremy Hunt rules out big tax cuts
02.10.2023 - 08:41
/ manchestereveningnews.co.uk
The Government has said 'no tax cuts are possible in a substantial' way as the Conservative Party conference continues in Manchester today.
Chancellor Jeremy Hunt has argued that sizeable tax cuts this year would “compromise” the battle against inflation as colleagues piled on the pressure for a pre-election giveaway. The Cabinet minister said on Monday he and Rishi Sunak were prioritising the pledge to halve prices before carrying out tax cuts in any “substantial way”.
As Tory members descend on Manchester for their annual conference, Mr Hunt insisted the Prime Minister will survive in the role for his second in charge despite electoral prospects looking bleak. Cabinet minister Michael Gove has publicly called for pre-electoral tax cuts, a cry ousted leader Liz Truss will also make.
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Mr Gove also backed Business Secretary Kemi Badenoch calling for the UK to keep the threat to leave the European Convention on Human Rights (ECHR) “on the table” in a suggestion popular with the Tory right. Some observers believe there is an unofficial “beauty pageant” going on just in case there is a chance to run for the leadership in the event of Tory failure at the next election.
Mr Hunt, however, told GB News: “The way you win elections is by making promises people believe. We’re being honest with people, there is no short cut to tax cuts.
“If I gave a big tax cut this year, it would be inflationary, because we’d be putting money in people’s pockets, which would boost up demand, which would ultimately mean prices would go up as well. So this is not the right time.” He ruled out cuts