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Darling Gets Tough on Environmental Issues
(12-03-08) - Chancellor of the Exchequer Alistair Darling announced his first Budget today, with owners of high polluting vehicles and those partial to a drink or two hit hardest.
The key talking points from Darling’s budget are as follows:
For cars registered in early 2010 onwards, the lowest-polluting cars will pay no road tax in the first year. Higher-polluting cars will pay higher than the standard rate.
Laws will be introduced by 2009 to tax plastic bags if shops do not do more to charge for their use.
A 2p increase on fuel duty will be suspended until October this year.
From April, key workers, such as teachers and nurses, will be able to borrow money from shared equity schemes.
Stamp duty on shared ownership homes will not be required until people own 80% of their home.
Winter fuel allowance will go up from £200 to £250 for the over 60s and from £300 to £400 for the over 80s.
£26m has been pledged to help make homes greener.
Duties on alcohol will go up by 2% above inflation for next four years.
Laws will be introduced by 2009 to tax plastic bags if shops do not do more to charge for their use.
The government will launch the "savings gateway" nationally with the first accounts available by 2010.
The British economy will this year grow from between 1.75% and 2.25%, down from 3% last year.
In addition to outlining the Budget, Darling was quick to testify ‘the UK can weather economic storms’, and ‘this year's Budget is a responsible Budget that will secure stability in these times of global economic uncertainty.’
Detractors such as opposition leader David Cameron criticised the Budget’s predictability and lack of innovation. Said Mr. Cameron:
‘This Budget is a dire list of reviews and reannouncements. The cost of living is going up and Labour is making it worse.’
Liberal Democrat leader Nick Clegg also dismissed the Budget, claiming that it did little to help ‘the millions of hard pressed families who are feeling the pinch’.
Chris Eagle, Commercial Manager at Credit Choices, can see no surprises here:
‘Very little jumps out at you from this year’s budget, although the emphasis seems to be on increased environmental awareness and social reforms. Cash ISA allowances have been confirmed at £3600, but then we knew that already didn’t we?’
