Tory MPs divided over tax cuts after Miliband's 10p tax pledge

Conservative MP Graham Brady demands the abolition of Air Passenger Duty but Robert Halfon tells the New Statesman it would be the wrong move.

After Ed Miliband's audacious pledge to reintroduce the 10p tax rate, funded by a mansion tax on houses worth more than £2m, George Osborne is under even greater pressure from Conservative MPs to play a "trump card" when he delivers the Budget on 20 March. There's frustration among the Tories that the 10p tax rate, a measure championed by a Conservative MP, Robert Halfon, was taken up by Labour before Halfon's own party. If he wants to avoid a backlash, the Chancellor now has no choice but to announce significant tax cuts when he steps up to the despatch box next month. 

In an article for today's Daily Telegraph, Graham Brady (profiled by Caroline earlier this year), the chairman of the powerful 1922 Committee of backbench Tory MPs, wastes no time in setting out hs Budget wishlist. While praising the Chancellor's cuts to corporation tax (which has been reduced from 28 per cent to 23 per cent and will fall again to 21 per cent next year), he urges him to "go further". 

Brady's principal demand is for Osborne to abolish Air Passenger Duty - "the highest aviation tax in the world" - which the Chancellor increased by eight per cent in last year's Budget. He points to a study by PricewaterhouseCoopers which found that scrapping the tax would deliver an immediate economic boost of 0.5 per cent of GDP. This, Brady pointedly notes, is "not to be sneezed at in these days of anaemic growth." 

But when I spoke to Robert Halfon earlier this week (undoubtedly now the most influential backbench MP), he told me that cutting Air Passenger Duty would be the wrong move. "In times like this, flying is a luxury, it's not something you have to do" he said. "It's [reducing Air Passenger Duty] not the best way to help low-earners".

Having criticised Labour's 10p tax proposal on the grounds that it would only mean an extra £34 a year for a family (once benefit withdrawal is taken into account), Halfon is still pushing for Osborne to adopt his policy in full: a reintroduced 10p rate on earnings between £9,440 and £12,000 (Miliband's proposal would only apply to the first £1,000 of earnings over the personal allowance).

But with Osborne having unambiguously ruled out the introduction of a "mansion tax" ("this party of home ownership will have no truck with it," he said in his Conservative conference speech), the question remains how the Chancellor would pay for a 10p rate. Halfon has proposed funding the measure by  ring-fencing the extra revenue from the 45p rate (on the assumption that a lower top rate of tax will benefit growth). But with growth likely to remain anaemic or non-existent, Osborne will have little room for manoeuvre, not least because he has already promised to raise the personal allowance to £10,000 by the end of this parliament. Whether or not Tory MPs secure the tax cuts they wish to see may yet depend on whether the Chancellor, a fiscal conservative to his core, is finally willing to tolerate a higher deficit. 

George Osborne is under pressure to deliver tax cuts in the Budget after Ed Miliband pledged to reintroduce the 10p income tax rate. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: Getty
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In focusing on the famous few, we risk doing a disservice to all victims of child sexual abuse

There is a danger that we make it harder, not easier, for victims to come forward in future. 

Back in the 1970s when relations between journalists and police were somewhat different to today a simple ritual would be carried out around the country at various times throughout the week.

Reporters, eager for information for their regional newspaper, would take a trip to the local station and there would be met by a desk sergeant who would helpfully skim through details in the crime Incident Book.

Among the entries about petty thefts, burglaries and road accidents there would occasionally be a reference to an allegation of incest. And at this point the sergeant and journalist might well screw-up their faces, shake their heads and swiftly move on to the next log. The subject was basically taboo, seen as something ‘a bit mucky,’ not what was wanted in a family newspaper.

And that’s really the way things stayed until 1986 when ChildLine was set up by Dame Esther Rantzen in the wake of a BBC programme about child abuse. For the first time children felt able to speak out about being sexually assaulted by the very adults whose role in life was to protect them.

And for the first time the picture became clear about what incest really meant in many cases. It wasn’t simply a low level crime to be swept under the carpet in case it scratched people’s sensitivities. It frequently involved children being abused by members of their close family, repeatedly, over many years.

Slowly but surely as the years rolled on the NSPCC continued to press the message about the prevalence of child sexual abuse, while encouraging victims to come forward. During this time the corrosive effects of this most insidious crime have been painfully detailed by many of those whose lives have been derailed by it. And of course the details of the hundreds of opportunistic sexual assaults committed by Jimmy Savile have been indelibly branded onto the nation’s consciousness.

It’s been a long road - particularly for those who were raped or otherwise abused as children and are now well into their later years - to bring society around to accepting that this is not to be treated as a dark secret that we really don’t want to expose to daylight. Many of those who called our helpline during the early days of the Savile investigation had never told anyone about the traumatic events of their childhoods despite the fact they had reached retirement age.

So, having buried the taboo, we seem to be in danger of giving it the kiss of life with the way some cases of alleged abuse are now being perceived.

It’s quite right that all claims of sexual assault should be investigated, tested and, where there is a case, pursued through the judicial system. No one is above the law, whether a ‘celebrity’ or a lord.

But we seem to have lost a sense of perspective when it comes to these crimes with vast resources being allocated to a handful of cases while many thousands of reported incidents are virtually on hold.

The police should never have to apologise for investigating crimes and following leads. However, if allegations are false or cannot be substantiated they should say so. This would be a strength not a weakness.

It is, of course, difficult that in many of the high-profile cases of recent times the identities of those under investigation have not been officially released by the police but have come to light through other means. Yet we have to deal with the world as it is not as we wish it would be and once names are common knowledge the results of the investigations centring on them should be made public.

When it emerges that someone in the public eye is being investigated for historical child abuse it obviously stirs the interest of the media whose appetite can be insatiable. This puts pressure on the police who don’t want to repeat the mistakes of the past by allowing offenders to slip through their hands.  And so there is a danger, as has been seen in recent cases, that officers lack confidence in declaring there is a lack of evidence or the allegations are not true. 

The disproportionate weight of media attention given to say, Sir Edward Heath, as opposed to the Bradford grooming gang sentenced this week, shows there is a danger the pendulum is swinging too far the other way. This threatens the painstaking work invested in ensuring the public and our institutions recognise child abuse as a very real danger. 

Whilst high profile cases have helped the cause there is now a real risk that the all-encompassing focus on them does both victims of abuse and those advocating on their behalf a fundamental disservice.

As the public watches high -profile cases collapsing amidst a media fanfare genuine convictions made across the country week in week out go virtually unannounced. If this trend continues they may start to believe that child sexual abuse isn’t the prolific problem we know it to be.

So, while detectives peer into the mists of time, searching for long lost clues, we have to face the unpalatable possibility that offences being committed today will in turn become historical investigations because there is not the manpower to deal with them right now.

Operation Midland, which was set-up to check claims that boys were abused in the 1970s and 80s by a high-level group of paedophiles including politicians, military figures and members of law enforcement agencies, has had up to 40 detectives assigned to it and a similar investigation. Admittedly some of these were murder and major crimes officers but that’s still a large contingent.

In fact if such squads were formed for every historical case the Metropolitan Police would be overwhelmed as last year alone it received reports from nearly 1100 adults – many of them well past retirement age –that they were sexually assaulted when children.

So, now the Goddard Inquiry is in full swing, taking evidence about allegations of child sex crimes involving ‘well known people’ as well as institutional abuse, how do we ensure we don’t fail today’s victims?

If they start to think their stories are going to be diminished by the continuing furore over how some senior public figures have been treated by the police they will stay silent. Therefore we have to continue to encourage them to come forward, to give them the confidence of knowing they will be listened to.

If we don’t we will find ourselves back in those incestuous days where people conspired to say and do nothing to prevent child abuse.

Peter Wanless is Chief Executive of the NSPCC.