It is clear that this recession demands a radical overhaul of the British tax system. It remains scandalous that the richest in our country pay a lower share of their wealth in tax than the poorest. Liberal Democrats are demanding that both sides of this distorted equation be changed.
Liberal Democrats are renewing our call to close the loopholes exploited by big business and the powerful and wealthy. After working with our colleagues in Parliament and across the Party, Liberal Democrats are announcing that they will fight the next general election with a pledge to cut income tax bills by £700 for people on low and middle incomes.
We will promise to raise the income tax personal allowance to £10,000, funded by closing tax loopholes exploited by big businesses and the wealthy. This will mean 4 million of the lowest paid people not paying tax at all, including many earning just the minimum wage.
This is a radical and progressive package that will form a key part of the pre-manifesto document that will come to the party conference in Autumn. This policy marks the Liberal Democrats out as the only party in British politics dedicated to changing the tax system to make it fairer.