Friday, March 20, 2009

Richards and the Death Tax

Steve Richards seems to have lost the plot:
Nonetheless there is one policy (the Tories) could propose that would change everything. It would show how serious they were about repaying debt and doing so in a way that was fair. It would be dramatic, make every front page, top every news bulletin and throw Labour into turmoil. David Cameron and George Osborne could announce that they are scrapping their pledge to abolish inheritance tax.
Uh-huh, they could announce that. They could also announce that they are going to give free marshmallows to every pixie in the sky. Just because they can do it, doesn’t mean they should do it.

And yes, it would be all of the media as a top story. Just as the Opposition doing anything incredibly crass would be.

But he offers *reasoning*, if you can call it that, for his idea:

Imagine if the Tories announced that they were scrapping their pledge. Labour would either have to follow suit, looking weakly pathetic again. Or it would enter an election supporting a tax cut they do not believe in against the Tories claiming to be the progressive party of prudence and with ammunition to back up the claim. If Mr Osborne were to reverse his pledge on inheritance tax there would be the same beneficial impact for the Tories as there was when he made the proposal in the first place. I know some close to the leadership are contemplating such a move. I wonder if they will dare to make it.
There are two reason why I think Richards is talking utter, utter crap. Firstly, there is the little matter of reality. Then there is the moral argument.

First of all, what beneficial impact do the Tories need about now? When they made their pledge on inheritance tax, they were behind in the polls and were facing an almost certain defeat at a snap General Election. Now, they are so far ahead in the polls that David Cameron would have to do something really extreme to lose the next election. Like punch a granny or something. Likewise, the Tories don’t have to do anything to make Labour look weak and pathetic. Labour do that for themselves, pretty much every time they let any member of the Cabinet (and in particular the Prime Mentalist) open their gobs. The Tories don’t need gimmicks to get ahead in the polls. The reality of the situation is that they are ahead, and the next General Election is there for the taking.

And then there is the moral case. Just because Richards is happy to endorse Inheritance Tax – the taxing of the dead and the robbing of the bereaved – doesn’t mean everyone else is happy with that policy. Sure, the Tories have hardly been vigorous and robust with their attacks on that particular tax, but at least their existing pledge is the step in the right direction. Cameron’s whole time as leader has lacked any ideological backbone; to back track on the Death Tax would be absolute confirmation that Cameron really is like Tony Blair, and therefore will say/do anything to get into power.

Richards’ article is wishful thinking. He wants the Tories to drop their Death Tax. However, his wishful thinking is backed up neither morally or by reality.

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1 Comments:

At 6:50 pm , Blogger Mark Wadsworth said...

People who talk about IHT (for or against) completely miss the point that it is pure gesture politics.

IHT raises about £3 billion to £4 billion - i.e. as much as the TV licence fee or about half a per cent of total government spending.

 

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