Cameron: It is time for a change

Tuesday, 06, Jan 2009 12:00

David Cameron, Conservative leader, proposes new Conservative tax plans:

"It is time for change. Today (Monday 5th January), I am setting out two vital changes that need to be made right now. The government should include them in this year's budget.

"In order to help deal with Labour's debt crisis and help turn Britain from a spend, spend, spend society into a save, save, save society it is time to abolish income tax on savings for everyone on the basic rate of tax, with top rate taxpayers continuing to pay the same and it is time to raise the tax allowance for pensioners by £2,000.

"We would pay for this change by restricting the growth of public spending in the coming year 2009/10. While the government has cut back its spending plans from 2010 onwards, so far it has left its 2009 spending plans untouched.

"I believe this is wrong. The time to start being prudent is now. Why? Because by doing so we can help the victims of Labour's recession and help build the long term strength of the economy.

"These two proposals would be more than paid for by maintaining the government's spending plans for the NHS, schools, defence and International development, but restricting other departments to a one per cent increase in real terms. A culture of thrift at the heart of government, and a culture of saving at the heart of our economy: these changes will provide strong foundations for the new economy we plan to build."