Lib Dem councillors in Lichfield say an emergency VAT cut is needed to protect families from the worsening cost of living crisis.

Cllr Hugh Ashton and Cllr Paul Ray
Cllr Hugh Ashton and Cllr Paul Ray

Increases in fuel prices as well as energy and food bills are hitting pockets hard across the country, with the impact of the current crisis in Ukraine likely to keep putting a squeeze on household finances.

Cllr Hugh Ashton, who represents the Garrick Road ward at Lichfield City Council, said forecasts of inflation reaching 8% in April showed that the Chancellor needed to take emergency action.

“We are calling for the standard rate of VAT to be reduced from 20% to 17.5% for one year, a move putting money back in the pockets of families in Lichfield, Burntwood, and the surrounding communities.

“This would mean saving households in the Lichfield district an average of around £600 each.

“The emergency change to VAT rates could be introduced quickly and easily by the Chancellor for one year, as was done in 2008 following the banking crisis.

“As Liberal Democrats, we say he should use the Spring Statement coming up on 23rd March to bring forward the change, as well as scrapping the Conservatives’ National Insurance tax hike, to bring much-needed respite to local families.”

Cllr Hugh Ashton, Lichfield City Council

Lib Dem leader Ed Davey told the party’s conference that the current situation was a “once in a generation crisis”.

Cllr Paul Ray, a member of Lichfield District Council and Lichfield City Council, said that the Tories had already failed to take action locally to support hard-pressed residents when setting council tax bills for local residents.

“The Conservative cost of living crisis is hitting families hard and it is about to get worse.

“People across our community are worried about how to make ends meet as bills go through the roof.

“For that reason, the Liberal Democrats on both Lichfield District Council and Lichfield City Council were against the Conservative-backed rise in council tax for the coming year.

“The district council has a cushion of about £7million in the kitty, but despite this, it seemed that the ruling bloc was determined to push through with the increases.”

Cllr Paul Ray, Lichfield District Council

Cllr Ashton added:

“An emergency cut to VAT would offer a massive boost to people in the Lichfield district area who are feeling the pinch, by putting £600 back into their pockets.

“It would also support our treasured shops, cafés and restaurants by boosting spending in the city and town centres, attracting more visitors to spend their money here, and helping to revive the economies of Lichfield and Burntwood.

“This is crunch time for the Chancellor and the Conservatives.”

Cllr Hugh Ashton, Lichfield City Council
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Linda Dickins
2 years ago

Well said Lib Dems!

Dale
2 years ago

Hard times for many of us. Yet another Council Tax increase.

Not hard times for some at the council. They have just got a new Mercedes.

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