Institute Of Economic Affairs, Sixty Percent, Twenty Billion Pound discussed on Red Eye Radio

Automatic TRANSCRIPT

Institute of economic affairs good morning to you both morning good morning let's begin with the twenty billion pound package for the nhs tossed bell how do you think the chances should be funding this increase woman chancellor inter's what is actually going to do is going to be fun this mixture of harbouring and higher taxes and obviously the mix between those and which bits of taxi chooses to rise is that is what is going to be now route about on the fact that that row is going on is what you've been told how much jess is gonna get but not where the money's coming from so that's the question for the summer now the constraints facing the trumps all they want to try and raise a lot of money and this is a lot of money despite some of the criticism of the package announced by the prime minister this week but they want to do it in a fair way jimmy means taking good chunk of it from better off households but they've also got a pass these changes through house commons without an outright majority so that does significantly reduce the options in the the most likely options so not changing the rates of tax we pay but making us pay or more of our income that could raise significant sums by the back end of this parliament into the five billion old range and then we would say that given the labor party would have to vote for an increase in corporation tax not going ahead with the cuts to corporation tax to seventeen p and eight twenty twenty would bring in about six billion pounds so those two together get you roughly to around the ten billion pound mark you need to do hall of this tax rises and then hall from bahrain kate andrews what you think of those suggestions well i worry very much about trying to increase corporation tax it's a tax that's actually paid by ordinary people pay by pensioners who have shares in companies is paid by workers there have been there's a dispute about how much actually comes out of worker salaries but report from the adam smith institute a few years back thought that it affected workers a pay up to sixty percent sixty percent of corporation taxes paid through workers so am all of these taxes at the end of the day affect ordinary people and of course public borrowing is delayed tax it's tax future generations what we spend now has to be paid back down the road and i applaud the chancellor for pushing back on mass public borrowing healthcare is a cost that is always going to increase since the nineteen ninety s the proportion of gdp spent on healthcare his nearly doubled virtually all developed countries are experiencing this because as people are living longer the cost of healthcare is increasing so if you'll ruling out the making changes corporation tax and increased borrowing how do you think the chancellor should be funding this increase or do you think he shouldn't be spending this kind of money on the nhs.

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