Minister calls for taxation cuts

Date: 20th November 2008

A prominent government minister has called for urgent taxation cuts in a bid to beat the oncoming recession.

Treasury chief secretary Yvette Cooper also urged the government to borrow more in order to revitalise the country's flagging economy.

Speaking in Westminster, Ms Cooper pledged to severely reduce spending in Whitehall as a way of funding any proposed cuts in taxation.

Ms Cooper said in a speech at the Asset 08 Conference, as quoted by the Evening Standard: "The truth is that if we don't act, our economic problems will last longer and run deeper.

"If we don't act, more people will be out of work for longer and more businesses will struggle or go under."

She defended her argument for increased government borrowing by stating it was necessary to re-inflate the economy and highlighting that reduced Whitehall expenditure could yield around £5 billion more in savings than expected.

Chancellor Alistair Darling will make his pre-budget statement next Monday (November 24th) at 15:30 GMT.