Britain’s Chancellor will tomorrow unveil what’s expected to be the country’s toughest budget in 30 years.
George Osborne says the measures are needed to saving Britain from the fate of other debt stricken country’s like Greece or Spain.
“I’m absolutely clear: Tuesday’s got to be a moment when Britain looks itself in the face and says ‘we are going to deal with the problems of the past, we are going to pay for the bills of the past and we’re going to plan for a brighter future. That’s what this budget is about,” he said.
Firms outside Britain’s rich southeast will benefit from a payroll tax for hiring new employees. But there are few other sweeteners with benefit and welfare reform on the cards. Public sector staff are also facing wage cuts and possible job losses.
Britain’s opposition claims the new Conservative led coalition government is intent on squeezing the public sector.
“They have an ideological aversion in some cases to many of the things that the public sector is doing and they have been trying over the last few weeks to blame everything on us. They painted a picture that is simply wrong in order to justify what they were going to do anyway,” said Alastair Darling, former British Chancellor.
Many people, it seems, appear to agree. A new poll suggests nearly half of the country would rather pay higher income tax than see public services cut and that wealthier people should pay more rather than the middle classes.