Hi

There is no particular reason why before laying the annual Finance Bill before parliament it is preceded by what we have come to know as the Budget. This doesn’t happen with any other proposed legislation: bills are presented for debate during every session of parliament.

This year’s Bill, and therefore the Budget statement on Wednesday, is no different, except that it is probably going to be the most important for some time and will be the first real test of this Government’s resolve.

The UK is in crisis. Since 2010 growth, living standards and public services have all declined dramatically. A record number of working age people are economically inactive.

A brief look at history tells us that only a radical change in direction is needed. 

I have explained in this blog before why taxation needs to increase, particularly amongst those on median incomes but also on the highest earners (although they can’t take the burden alone). 

As a nation we pay dramatically less tax as a proportion of income than our near Continental and Scandinavian neighbours and yet we aspire to their levels of welfare, education and health services. We cannot have those without paying for them.

This is why I was so disappointed when the Labour party ruled out increases in income, corporation and value added tax in their recent manifesto; these are the heavy lifters of tax and need to increase.

I fear the government will shy away from taking this bold but necessary approach on Wednesday; for those of my generation it may be the last opportunity we shall see missed.

Noel Guilford