Colin Eldridge, Lib Dem

Lib Dem PPC (Liverpool Wavertree),
Colin Eldridge's reply

"Dear Fairer Tax Campaign Team,

Thank you for writing to me about the Fairer Tax Campaign. As you may know, the Liberal Democrats are proposing the most radical tax reform in a generation.

We propose to raise the threshold at which people start paying income tax to £10,000, cutting the average working age person’s income tax bill by £700 and cutting pensioner’s income tax bills by £100. Our plans will mean that 3.6 million people on low incomes will no longer have to pay any income tax at all.

To pay for this tax cut the Liberal Democrats will close tax loopholes and allowances which benefit the wealthiest, increase environmental taxes and tackle tax avoidance and evasion.

In relation to the three questions you have posed:

I agree with the principle of the tax changes proposed by the Fairer Tax Campaign although the Liberal Democrats would rebalance the system through our own tax plans as described above

I agree with the principle that the rich should pay more tax and the poor pay less tax. No tax system should try to create total equality of income but it can, and should, help redistribute wealth and power, to alleviate the worst excesses of inequality.

Our manifesto includes a clear commitment to reform of the income tax system and this is a policy that we intend to pursue in the next parliament. A Liberal Democrat Government will put in place the necessary tax changes in order to raise the personal allowance to £10,000 for the start of financial year 2011-12".