Raise income tax not VAT, say finance managers

Income tax will have to rise to cut the public deficit, reducing public spending will not be enough, warn UK finance managers.

A Lindsell Marketing survey of 1,000 private company finance managers finds around two-thirds flag up an income tax rise alongside central government spending cuts should be priorities.

Only a quarter believed a VAT rise or mansion tax were worthy of attention.

In terms of spending cuts, they want the government to leave the police, NHS and local government largely alone, and instead focus on cutting waste in central government departments and Quangos.

"Experienced finance professionals, who have to make hard decisions week in, week out, are telling the new boys on the block not to tinker around the edges, but to get straight down to the hard tack," said Paul Lindsell, managing director of Lindsell Marketing.

Further reading:

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