George refuses to support Government on VAT increase

14.07.2010  Local MP Andrew George protested his concern about the proposed 2½% VAT increase last night by tabling a series of amendments and refusing to support the Government in any of the six divisions.

Mr George questioned the Government on the impact VAT would have on low and middle income families, charities, rural travellers, businesses, the construction industry and the economy in general.

Mr George asked the Government to accept his amendment calling for the VAT rise to be limited to just two years and for protections to be built in for vulnerable families, charities, rural transport and the building and renovation trades.

“The Budget introduces a number of welcome measures which take nearly a million low paid people out of tax altogether, protect pension increases, introduce a banking levy, close off a tax loophole used to help second homes, and increase Child Tax Credits," said Mr George. “However, more must be done to avoid the VAT increase. Even if it has to go ahead the Government should give a date when the current rate is restored and provide support for those sectors of society which deserve special protection.”