00:00Yes or no? Taking your Conservative hat away, will Reggie Rees put up taxes this autumn?
00:06I fear she will, yes. I think it's going to be a disastrous thing for the economy if she does,
00:11because what many of us are worried about is that we're going to end up in this doom loop
00:16of ever higher taxes and ever lower growth. And there are lots of divides in British politics,
00:22but the Conservative Party, I think, is the only party that really believes that
00:27you have to have lower taxes if you want higher growth. Look around the world, America,
00:33Asia, all the countries where the economy is, you know, going gangbusters are places which have
00:40kept their taxes low. Only in Europe, including the UK, sadly, have we gone in the opposite direction.
00:47Now, I know I had to put up taxes after the pandemic. You know, we borrowed 400 billion quid
00:52and that had to be paid for. But I was seeking to get us on a path back to lower tax. And I'm
01:00worried that we're now going to go in the opposite direction. You set on the point, though, a bit
01:04more honestly about why you need to raise taxes. 400 billion was that was the COVID cost. 100 billion,
01:09I think, was the energy shock cost from Ukraine. Well, half a trillion pounds. That's going to be
01:13paid back somehow, isn't it? And both sides have to raise taxes. Yes. I mean, I think my biggest failure
01:19as Chancellor was not to get across the message that we really did want to reduce tax. And,
01:23you know, yes, we had to put them up to pay for not just the COVID cost, but also we had the energy
01:28shock, all that help with people's fuel bills. But we wanted to, as soon as we could, to get back on
01:34a path of bringing them down. And I'm not sure, in honesty, that people actually believe that. I
01:40think they thought, oh, Labour, Tories, they will put up your taxes. And, you know, that may have
01:46contributed to the result that we ended up getting.
Comments