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Income Tax

Three weeks ago, when the hon. Gentleman stood at the Dispatch Box on the first day of consideration of the Finance Bill, he led us to believe that he had very strong views and that steps should be taken immediately to deal with those people who lost out as a result of the withdrawal of the 10p rate. Yet today he cannot tell us whether he is for or against what we are proposing. Once again, as on every issue, we see that there is nothing here of substance. The shadow Chancellor cannot say whether he is for the proposal or against it. The Conservative party was in favour of withdrawing the 10p rate when the proposal was first made. When my right hon. Friend the Member for Birkenhead (Mr. Field) put forward his amendment last year, the Conservatives abstained. Three weeks ago, they wanted to reinstate the 10p rate. Their position has been completely confused and it is self-evident today that they have no idea whether they are for or against what we are proposing. We are making proposals that will help 80 per cent. of those who lost out as a result of the changes. They will gain up to £120 a year, and that will go a substantial way towards helping people. I am sorry that the Conservative party could not bring itself to welcome what we are doing.