Monday, December 3, 2012

George Osborne's two-way budget blitz | The Sun |News|Politics

GEORGE Osborne will launch a twin-pronged blitz on high-earners and benefit claimants.

The Chancellor is set to clobber the rich in a trade-off to win Lib Dem support for welfare cuts.

He is due to unveil a wealth tax in a mini-Budget on Wednesday to show ?we?re all in this together?.

The package follows weeks of ?tense? talks between Tories and their Coalition partners. Mr Osborne has been forced to ditch a benefits freeze after burying the Lib Dems? cherished ?mansion tax? on posh home-owners.

But he has agreed to a tough new tax raid on the well-off as a pay-off for a revised welfare cuts package.

The Chancellor writes in The Sun today: ?Everyone must make a contribution to dealing with our debts - from the richest in society to those living a life on benefits.

?Fairness isn?t just about taxing the rich. It?s also about ending the something-for-nothing benefits culture.? Mr Osborne today signals that cutting the deficit will take longer than expected. He was keeping finer details under wraps.

Insiders say cuts could include a change to pension tax relief for high-earners and stamp duty rises on sales of luxury homes. It will run in tandem with a squeeze on benefits. Mr Osborne had favoured a freeze on out-of-work benefits to meet his ?10billion welfare cuts target.

But a deal led to a mix-and-match package hitting both ends of the pay scale.

The Chancellor will also give a ?1billion boost to small British exporters.

d.wooding@the-sun.co.uk

Source: http://www.thesun.co.uk/sol/homepage/news/politics/4676935/George-Osbornes-two-way-budget-blitz.html

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