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Friday, 19 December 2008 12:24 |
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Yesterday’s pre-Budget Report by the Chancellor, Alistair Darling, set out help for people and businesses in these tough global economic times - these are exceptional times and they require exceptional measures. 
I welcome the Government’s commitment to action to help people and businesses through the tough times caused by the global credit crunch. I support these measures as they will give real help to people here in Glasgow North The Government is doing this by putting money into the economy now so we come out of this sooner and stronger; and once the economy is growing again, tackling the public finance problems caused by the credit crunch, in a way that is fair to all. The Pre Budget Report includes action now with a one year cut in VAT of 2.5% – putting £12.4bn into the economy. It increases household income next year by giving every basic rate taxpayer £145 extra (up from £120 this year). There will be £60 for every pensioner in the New Year. Child Benefit will rise to £20per week in January instead of April. Child Tax Credit will be increased by £75 a year in April above indexation. The Government will provide more loans and deferred tax payments for small business which could help the 292,330 small and medium sized businesses in Scotland. There will also be £1.3bn extra help for job centres to get people back to work. The Chancellor also announced that he will bring forward £2.5bn of capital projects to provide jobs right now when the economy is under pressure. The Scottish Executive will be able to bring forward £260m if it wishes as a consequence of changes to UK departments’ programmes. Once the economy is growing strongly again, the Government will make sure that the public finances are sustainable and bring borrowing back down. The Government will do that in a fair way with changes to National Insurance contributions and income tax. There is a widespread international consensus that a fiscal stimulus to help the economy is the right thing to do. I welcome the Chancellor’s announcement because I believe it will give practical help to people here in Glasgow North in these tough times.
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Helping local people is my number one priority. Many residents speak to me when they need real help, and I'm proud to have directly helped thousands of constituents since becoming your local MP. If you wish to contact me please do not hesitate to get in touch using one of the methods available on my contact page.