Mr Letwin We Are Tired Of Your Whimsical Wizardry - Cable

11.17.00am BST (GMT +0100) Mon 4th Oct 2004

Dr Vince Cable MP, Liberal Democrat Shadow Chancellor, today criticised Oliver Letwin for failing to make firm commitments regarding his tax and spend policies.

Speaking after Oliver Letwin's conference speech today, Dr Cable said:

"Mr Letwin continues to avoid difficult choices and priorities by failing to put figures to his policies. He believes that he can woo all voters without giving any firm commitments.

"The idea that the Conservatives can increase spending on key services, reduce taxes and improve the budget position is highly implausible (1).

"Mr Letwin's tax cutting agenda, announced today, is a last ditch attempt to gain support but no indication has been given on how these will be implemented and funded (2).

"Not all commitments can be met by cutting 'waste' and there is a growing sense of 'miracle fatigue' amongst the general public on how far 'waste' money can go.

"Tough choices need to be made but both the Conservatives and Labour are ducking out of these.

"The Liberal Democrats believe in fairer taxes rather than in higher taxes. However, unlike the Conservatives we have outlined specific measures on changes that can be made. Replacing Council Tax with Local Income Tax will benefit or lead to no change for the vast majority of people.

"It is only the Liberal Democrats who have put forward fully costed proposals within our pre-manifesto which clearly show where spending will be transferred from low to high priorities."

ENDS

Notes to editors

Oliver Letwin was forced to admit that Tory plans to restore the earnings link (previously broken by the Conservatives) was not fully costed. "The second and subsequent Parliaments do indeed require further funding…We will come forward with detailed proposals about how, in those second and subsequent Parliaments, the remainder of those costs will be met in time for the election."

Regarding inheritance tax: "I'm not prepared to give a pledge, simply because I think that would be irresponsible. We don't know what the state of the economy is and we don't know the state of the budget deficit that Gordon Brown's going to leave us." George Osborne, Guardian, 25/09/04

"I think on this programme now to give a blanket pledge that whatever the economic circumstances, whether or not the country can afford it, we will cut the tax burden, would be wrong." George Osborne, Times, 25/09/04