More executives back Tory National Insurance plans

doire_2

Must be more deception by the Tories :rotfl::rotfl: I have to laugh if Labour really think these business brains are really that stupid! Cant wait until these muppets are out of government


http://news.bbc.co.uk/1/hi/uk_politics/8599447.stm


Another 14 top executives have backed the Conservatives' pledge to cancel the planned rise in National Insurance (NI) contributions.
The bosses said they supported the Tories' position after 23 others wrote to the Daily Telegraph warning the increase would endanger the recovery.
The British Chambers of Commerce, the CBI and five other organisations also praised the Tories' stand.
Labour said the Tories' backers were victims of "cynical deception".
The two parties have been exchanging blows over whose tax plans are better for the economy - just days before Gordon Brown is expected to call the general election.

The fight was sparked by the publication of a letter by 23 company bosses - including the heads of Marks and Spencer, Sainsbury's and Diageo - backing the Tories' pledge to scrap part of the planned NI increase should they win power.
The executives, who emphasised they were speaking in a personal capacity, said the tax rise - due to come into effect in April 2011 - would hit business and jobs.
On Thursday evening, the Daily Telegraph disclosed that 14 more executives - including McLaren boss Ron Dennis, HMV chief executive Simon Fox and entrepreneur Brent Hoberman, a member of Mr Brown's Business Council for Britain - also endorsed the Conservative position.
A number of the 37 backers have links to the Conservatives, some donating money to the party in the past, although others have no previous connections with the party.

Recent proposals by the Conservatives to reduce the negative impact of the rise on companies and their hard-working employees deserve some credit


Letter from business organisations





Tory leader David Cameron said the intervention was a "very significant moment" while shadow chancellor George Osborne claimed the "business community had come together to reject Labour's tax on jobs".
"Gordon Brown now finds himself increasingly at war with British business - he is part of the problem not the solution," he said.
Labour said the businessmen had been taken in by its opponents but several of the signatories hit back, saying such claims were "patronising".
Seven business organisations - representing both large and small firms - also joined in the dispute by backing the Conservatives' position.

'Negative impact'
In their own letter, the organisations said they "applauded the public stand" taken by the businessmen in criticising the NI rise, describing it as "clear and unequivocal tax on jobs".
"Britain's leading business organisations, representing hundreds of thousands of companies and millions of employees, stand with them in their fight," they wrote.


Lord Mandelson: "Mr Cameron and Mr Osborne are peddling a deception"

"Recent proposals by the Conservatives to reduce the negative impact of the rise on companies and their hard-working employees deserve some credit.
"Given that all political parties are counting on the private sector to drive future economic growth, it is only right to look for ways to improve the business environment through cost savings across the public sector."
Adam Marshall, from the British Chambers of Commerce, said the organisations accepted difficult decisions had to be taken to cut borrowing and they were "ready to have a conversation" with government about how to do so.
But he told the BBC a National Insurance rise was like an "iceberg" for businesses.
'Not painless'
The Tories have said they will pay for the tax pledge by cutting about £6bn in government waste and bureaucracy in 2010-11.
Labour say its opponents' sums do not add up and the pledge does not square with the Tories' long-stated desire to make cutting the deficit its number one priority in government.
Business Secretary Lord Mandelson has said the Tories cannot achieve their plans without increasing VAT, comparing shadow chancellor George Osborne to "a kid in a sweet shop, who thinks he can just grab sweets from every jar without paying for them".

HAVE YOUR SAY

A rise in employers' NI is a tax on jobs

Tio Terry
Send us your comments


While insisting that "no-one wants a war of words", he said ministers were right to robustly defend the tough decisions being taken.
"Of course there are some in business who are going to support what appears to be a pain-free tax cut. I mean, who wouldn't, if offered that?
"But the point is, this is not pain-free and Mr Cameron and Mr Osborne are peddling a deception."
Lib Dem Treasury spokesman Vince Cable said the National Insurance increase was "damaging" but argued the grave nature of the UK's finances meant no "credible" opposition party could reverse it.
"We are all in favour of efficiency in government but they themselves [the Conservatives] have ridiculed suggestions from the Labour government that you can make large scale, easy savings in that way."
BBC Political Editor Nick Robinson said the Tories regarded the business leaders' letter "as a pre-election coup" but it was "impossible for anyone to know whether the government or the Tories will realise the savings they're aiming for".

Spartacus_Mills

What on earth are Labour playing at ? Hoping this dies off over Easter ?

For a party that is so good in media management and so good at getting their message over they have really done remarkably poorly with this. This is the first time in a long time the Tories have stolen the initiative on an area of policy.

worldtraveller

I see that that piece of slime, Mandelson, has, yet again, shown himself to be the arrogant, patronizing, self-serving, condescending person that he really is. How an unelected, twice disgraced politician and functionary has the audacity to tell some of the top business leaders in the country that they have been deceived is beyond me!

He needs to creep back under the stone that he re-emerged from!

Rochdale_Pioneers

It's not that bad. Business leaders call for tax cut on business shock.

We've seen repeatedly that seemingly good short term ideas turn to poo when they mature. A pledge to cut the bulk of the deficit combined with tax cuts for business, the rich and the married = massive cuts and a VAT rise in the emergency budget. Having spent 2 years screaming that the deficit has to be cut, and that efficiency savings are a con trick, they can't plausibly now maintain this for long. The press are asking a lot of questions the Tories don't have answers to.

Pennywise

Finally seeing some major differences between the two major parties - at last!

No one argues that tax rises aren't necessary, no-one argues that public spending cuts aren't necessary. Now we're starting to see how each party will approach the inevitable.

Labour's Treasury spokesman made a complete hash of trying to defend their NIC rises - actually trying to say it's a good thing as employment increased after their last increase in NICs - what a plonker. Mandelson has lost any shred left of his authority by trying claim that so many top businessmen (the ones creating the country's wealth) are deceived.

We can expect much improved poll ratings from now on for the Tories - at last they're coming out with their policies and Labour are really struggling.

Spartacus_Mills

Rochdale_Pioneers wrote: »

It's not that bad. Business leaders call for tax cut on business shock.

We've seen repeatedly that seemingly good short term ideas turn to poo when they mature. A pledge to cut the bulk of the deficit combined with tax cuts for business, the rich and the married = massive cuts and a VAT rise in the emergency budget. Having spent 2 years screaming that the deficit has to be cut, and that efficiency savings are a con trick, they can't plausibly now maintain this for long. The press are asking a lot of questions the Tories don't have answers to.

Oh dear, is that the best you can do.

First of all it is not a tax cut, it is not implementing a change to the tax system that is currently planned. In no way is it a cut as it is not currently taking place. However the issue is NI is a tax on not only the employee but also the employer and as such it is a tax on jobs.

However Labour has not been business friendly adding layers and layers of red tape to the running of a company and taking more through NI.

Far better not to tax jobs in the recovery from recession.

That the Tories have a credibility gap is not in doubt, however Labour also have a colossal credibility gap. They claimed this measure would bring in £10 billion over the life of a parliament but the Tories not implementing it would cost £28 billion.

Spartacus_Mills

Pennywise wrote: »

Finally seeing some major differences between the two major parties - at last!

No one argues that tax rises aren't necessary, no-one argues that public spending cuts aren't necessary. Now we're starting to see how each party will approach the inevitable.

Labour's Treasury spokesman made a complete hash of trying to defend their NIC rises - actually trying to say it's a good thing as employment increased after their last increase in NICs - what a plonker. Mandelson has lost any shred left of his authority by trying claim that so many top businessmen (the ones creating the country's wealth) are deceived.

We can expect much improved poll ratings from now on for the Tories - at last they're coming out with their policies and Labour are really struggling.

The Tories seem to hit a glass ceiling at around 40%. I am not sure they will burst through that. Last time I remember them being in the mid 40's, at 44%, was in the Yougov daily after Camerons speech to conference. I reckon they will poll between 37% and 39%, Labour 29% and 32% and the Lib Dems around 23%. This pre-supposes nothing catastrophic happens to either party.

CLAPTON

Labour have made a major mistake in saying what taxes will rise.
John Smith made the same mistake a few years ago and helped lose the election for Labour.
All that rubbish about 'credible' agenda to cut the deficit doesn't win or lose an election but admitting that taxes will rise does.
Blair won't have made that mistake.

And I'm sure Cameron won't make the same mistake and will waffle on about efficiency savings and avoid talking about any specific substantial cuts.

Captains of Industry (people presumably people like Fred the Shread and the other bankers) see their profits falling and maybe their bonuses and are not entirely disinterested people... or do we all believe they have the country's interest first rather than their own?

Of course tax rises are bad for business and many of them were screaming only a few months ago about the need to reduce the deficit.
Another day another tune.

But then it's election time ..

StevieJ

worldtraveller wrote: »

I see that that piece of slime, Mandelson, has, yet again, shown himself to be the arrogant, patronizing, self-serving, condescending person that he really is. How an unelected, twice disgraced politician and functionary has the audacity to tell some of the top business leaders in the country that they have been deceived is beyond me!

He needs to creep back under the stone that he re-emerged from!

Remind me who elected that small minority of business leaders, a little sad when Mclaren start laying off their employees because they can't afford the 1% :eek:

Spartacus_Mills

StevieJ wrote: »

Remind me who elected that small minority of business leaders, a little sad when Mclaren start laying off their employees because they can't afford the 1% :eek:

Is that the case ?

I would have thought the rise would be more likely to affect future recruitment as well as retention after its implementation.

The business leaders are accountable to their shareholders. They are also right about this tax increase.

StevieJ

Spartacus_Mills wrote: »

Is that the case ?

I would have thought the rise would be more likely to affect future recruitment as well as retention after its implementation.

The business leaders are accountable to their shareholders. They are also right about this tax increase.

Taxes have to go up, I am neutral on where this comes from, I personally do not think people will lose jobs from this 1% increase but it does make a good soundbite and as the article says the majority of those businessmen are contributors to the Tory purse.