MP hails Budget for cautious approach

Mar 14 2008 by Andrew Hirst, Huddersfield Daily Examiner

THE Budget has been hailed as a sensible one by Huddersfield MP Barry Sheerman.

He condemned the way banking institutions have behaved which has led to the international `credit crunch’ and said that was one of the reasons why the Budget had to be one to keep the economy steady.

Mr Sheerman said: “It seems to me to be an appropriate budget for the economy with caution the best policy. The Chancellor has made provision for what could be a turbulent year. We are going through a rough ride because of the irresponsibility within the financial markets.

“We need a steady-as-you-go year.’’

Mr Sheerman is chairman of the Children’s, Schools and Families Committee at the House Of Commons and welcomed extra cash from the Chancellor to tackle child poverty.

Chancellor Alistair Darling has put forward a £950m-a-year package of benefit changes to take 250,000 more children out of poverty.

“He is spending serious money towards ending child poverty,’’ said Mr Sheerman.

Anyone who enjoys a drink will face a hike in alcohol duties of 6% above inflation from midnight on Sunday – putting 4p on a pint of beer, 3p on a litre of cider, 14p on a bottle of wine and 55p on a bottle of spirits. The rate will continue to rise by 2% above inflation over the coming years.

Mr Sheerman supported the Chancellor’s moves to keep on increasing taxes on alcohol – a move which has been strongly condemned by already struggling pubs and people who drink sensibly.

Mr Sheerman said: “I certainly like my wine, but it’s amazing how cheap alcohol is now. The Government also has a lot of other policies to tackle the drinking problem.’’

A new vehicle excise duty regime will take effect from April 2009 with a range of rates from nothing for the cleanest vehicles to £440 for the most polluting.

And from April 2010 there will be a new first year rate for new cars – the so-called showroom tax – ranging from nothing for the greenest to £950 for the most polluting, again depending on carbon emission levels.

Mr Sheerman said: “He is absolutely right to go for the big gas guzzlers. It’s a tough message.’’