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[/audioplayer]The Tories leave Birmingham in far better heart than when they arrived. They feel that they have succeeded in setting the terms of debate this week. On tax and spending, their baseline is now what Labour will be judged against.
The Tories’ tax plans are very powerful politics. Few will want to argue against taxing those on the minimum wage out of income tax altogether. Equally, it’ll be hard for Labour and the Lib Dems to slam raising the threshold for the 40p rate to £50,000 as a tax cut for the rich. People on £50,000 might be well-off but they are not rich.
Labour are already attacking this as an unfunded tax cut.
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