Wednesday, December 9. 2009
Just my opinion and apologies if any political allegiances shine through in this following blog rant (these are not the views of markettiers4dc) but our Chancellor is hardly a 'Darling' of the online world as he confirmed in this morning's Pre-Budget report that he will be introducing a new broadband tax next year of £6 a year
Whilst 50p a month may not sound much to begin with, the question is how long will it be before this new tax becomes an easy target to be increased in future budgets just like petrol or alcohol, should Labour win the next election? The alleged use of the money will be to help rural areas of the UK gain access to super-fast broadband with a target reach of 90% of the population by the end of 2017. However, this figure is estimated to fall way short of what is required to achieve that goal - http://news.bbc.co.uk/1/hi/technology/8403273.stm - and so it will surely be only a matter of time before Mr Darling comes knocking on our virtual doors for more cash?
Now I have no objection to my hard earned taxed cash going to help those in hard to reach parts of the UK connecting to the web in super fast time so they can join in this very blog debate, but didn’t he also announce today that our National Insurance contributions are going up, oh, and VAT is back up again too? Sure, these other increases are earmarked for other expenses . . . ah, there's a word we could debate too. I wonder if Mr Darling will expense his broadband connection so that he can work from home a little more - after all, what's an additional £6 when you've already been accused of claiming over £70,000 - http://www.dailymail.co.uk/news/article-1145574/Alistair-Darling-accused-doing-Jacqui-Smith-lavishing-70-000-family-home.html
Whilst 50p a month may not sound much to begin with, the question is how long will it be before this new tax becomes an easy target to be increased in future budgets just like petrol or alcohol, should Labour win the next election? The alleged use of the money will be to help rural areas of the UK gain access to super-fast broadband with a target reach of 90% of the population by the end of 2017. However, this figure is estimated to fall way short of what is required to achieve that goal - http://news.bbc.co.uk/1/hi/technology/8403273.stm - and so it will surely be only a matter of time before Mr Darling comes knocking on our virtual doors for more cash?
Now I have no objection to my hard earned taxed cash going to help those in hard to reach parts of the UK connecting to the web in super fast time so they can join in this very blog debate, but didn’t he also announce today that our National Insurance contributions are going up, oh, and VAT is back up again too? Sure, these other increases are earmarked for other expenses . . . ah, there's a word we could debate too. I wonder if Mr Darling will expense his broadband connection so that he can work from home a little more - after all, what's an additional £6 when you've already been accused of claiming over £70,000 - http://www.dailymail.co.uk/news/article-1145574/Alistair-Darling-accused-doing-Jacqui-Smith-lavishing-70-000-family-home.html
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Russell: I think that we need to recognise that there is a need for both increased taxation and reduced government spending in the medium term in order to bring public finances back into some semblance of long-term sustainability. However, what I find galling about a "broadband tax" is that is inherently un-Labour like, at least in Labour's traditional garb. After all, any form of flat expenditure tax will hit all people equally, regardless of their ability to pay, i.e. it is regressive rather than progressive.
A broadband tax, even at a low rate, will serve to increase the access gap between the wealthier and poorer segments of society. And I have very serious qualms that it will raise much money to close the budget deficit. As you suggest, it is a first step, and a tax which is likely to be increased in future budgeting exercises, furthering any lack of social cohesion.
However, while I find this tax to be mildly disturbing it is not the reason why I shall NOT vote Labour at the next general election (I am a traditional Labour voter BTW). Rather there is the more important principle of freedom. I see ID cards as another step in the erosion of our freedoms. I could stretch the point and argue that a broadband tax is also undemocratic, as it reserves the right to be heard around the world to those who can most afford it; sounds a bit like the direction of Iran or China! DO I NOT LIKE THAT!
A broadband tax, even at a low rate, will serve to increase the access gap between the wealthier and poorer segments of society. And I have very serious qualms that it will raise much money to close the budget deficit. As you suggest, it is a first step, and a tax which is likely to be increased in future budgeting exercises, furthering any lack of social cohesion.
However, while I find this tax to be mildly disturbing it is not the reason why I shall NOT vote Labour at the next general election (I am a traditional Labour voter BTW). Rather there is the more important principle of freedom. I see ID cards as another step in the erosion of our freedoms. I could stretch the point and argue that a broadband tax is also undemocratic, as it reserves the right to be heard around the world to those who can most afford it; sounds a bit like the direction of Iran or China! DO I NOT LIKE THAT!
