Like most political pronouncements, the one today about cutting child benefits for high-earners came as no surprise at all given that it had been telegraphed through the media over the weekend.
The government says it is stupid to take tax off higher earners on the one hand while giving it back through a universal benefit on the other. This argument falls down because the aim is to cut a billion a year of public spending, not as a way of reducing tax. There is an unholy alliance of Red Ed Labour and the likes of the Daily Mail saying it is yet another burden for the middle class to carry. Read more ›››