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Lib Dems approve income tax cuts Lib Dems approve income tax cuts
(10 minutes later)
The Liberal Democrats have backed plans to make cuts to income tax for people on low and middling salaries.The Liberal Democrats have backed plans to make cuts to income tax for people on low and middling salaries.
Party members in Bournemouth approved a policy document promising "big" reductions for struggling families at the next election. The party's annual conference approved a policy document promising "big" reductions for struggling families at the next election.
Several MPs opposed the plan, urging leader Nick Clegg to keep spending on key public services as his priority.Several MPs opposed the plan, urging leader Nick Clegg to keep spending on key public services as his priority.
The vote means the Lib Dems are the only one of the three main parties currently offering tax cuts.The vote means the Lib Dems are the only one of the three main parties currently offering tax cuts.
It represents an important victory for Mr Clegg as he looks to put his stamp on the party after almost a year as leader.It represents an important victory for Mr Clegg as he looks to put his stamp on the party after almost a year as leader.
The move, on top of an existing pledge to cut income tax by 4p, is seen by some as a bid to win over Tory voters in the run-up to the next election.The move, on top of an existing pledge to cut income tax by 4p, is seen by some as a bid to win over Tory voters in the run-up to the next election.
'Tighten belts''Tighten belts'
The Lib Dems have campaigned in recent elections on specific tax-raising pledges and there is opposition to its new goal of cutting taxes for low and middle-income earners.The Lib Dems have campaigned in recent elections on specific tax-raising pledges and there is opposition to its new goal of cutting taxes for low and middle-income earners.
The leadership proposes to find the money for cutting the overall burden of taxation through £20bn worth of savings in public spending.The leadership proposes to find the money for cutting the overall burden of taxation through £20bn worth of savings in public spending.
Backing the tax-cutting motion, chief Lib Dem policy adviser Danny Alexander said it was necessary for "government to tighten its belt a little so that low-income families don't have to tighten theirs a lot". Backing the tax-cutting motion, chief Lib Dem policy adviser Danny Alexander told the conference, in Bournemouth, it was necessary for "government to tighten its belt a little so that low-income families don't have to tighten theirs a lot".
"We will target investment where it is needed," he said."We will target investment where it is needed," he said.
"But once we have invested in our priorities, we would rather hand back money to struggling families rather than central government. That is the choice.""But once we have invested in our priorities, we would rather hand back money to struggling families rather than central government. That is the choice."
Science spokesman Evan Harris tabled an amendment to the motion, insisting public services should be the main priority, rather than tax cuts, which was defeated.Science spokesman Evan Harris tabled an amendment to the motion, insisting public services should be the main priority, rather than tax cuts, which was defeated.
He warned that the adoption of a tax-cutting agenda could harm Mr Clegg.He warned that the adoption of a tax-cutting agenda could harm Mr Clegg.
"Hero worship of our leader does not help him avoid the pitfalls of being labelled a tax-cutting party," he argued."Hero worship of our leader does not help him avoid the pitfalls of being labelled a tax-cutting party," he argued.
HAVE YOUR SAYI would be delighted if they could actually implement this. Unfortunately the very wealthy have been avoiding tax for centuriesPaul, BagshotSend us your commentsHAVE YOUR SAYI would be delighted if they could actually implement this. Unfortunately the very wealthy have been avoiding tax for centuriesPaul, BagshotSend us your comments
Supporting Mr Harris, housing spokesman Paul Holmes said the party risked becoming a "Trojan horse" for those who wanted to "slash and burn" public spending if it backed the tax-cutting proposals.Supporting Mr Harris, housing spokesman Paul Holmes said the party risked becoming a "Trojan horse" for those who wanted to "slash and burn" public spending if it backed the tax-cutting proposals.
He said Labour's investment in public services since 1997 had made a difference and the Lib Dems risked become too closely identified with Tory policies from the 1980s if the party adopted the leadership's plans.He said Labour's investment in public services since 1997 had made a difference and the Lib Dems risked become too closely identified with Tory policies from the 1980s if the party adopted the leadership's plans.
In the past, the party has campaigned for an extra 1p on the basic rate of income tax to pay for a better education system.In the past, the party has campaigned for an extra 1p on the basic rate of income tax to pay for a better education system.
At the last general election it called for high earners to pay a 50p rate.At the last general election it called for high earners to pay a 50p rate.
Defending the shift in strategy, Treasury spokesman Vince Cable said the promise of tax cuts was "progressive" and did not mean the party was less committed to tackling inequality.Defending the shift in strategy, Treasury spokesman Vince Cable said the promise of tax cuts was "progressive" and did not mean the party was less committed to tackling inequality.
"Struggling families are asking can you give us a bit more freedom to spend the money we have earned," he said. "Pensioners are saying can you give us a bit more freedom to spend the money we have saved.""Struggling families are asking can you give us a bit more freedom to spend the money we have earned," he said. "Pensioners are saying can you give us a bit more freedom to spend the money we have saved."
At a fringe meeting earlier in the day, former leader Sir Menzies Campbell enthusiastically endorsed the tax plan.At a fringe meeting earlier in the day, former leader Sir Menzies Campbell enthusiastically endorsed the tax plan.
Over the last two years, the Conservatives have consistently said they will not propose any "unfunded" tax cuts at the next election, while maintaining an aspiration to cut the overall burden of taxation in the future.Over the last two years, the Conservatives have consistently said they will not propose any "unfunded" tax cuts at the next election, while maintaining an aspiration to cut the overall burden of taxation in the future.