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Tory Osborne confirms NI increase | |
(about 2 hours later) | |
Treasury spokesman George Osborne confirmed Tory plans to increase National Insurance while on a visit to a key Scottish constituency. | |
But he insisted his party's proposals would be less harmful than Labour's. | |
Mr Osborne was at Bradfords Bakery in Thornliebank, East Renfrewshire, where Tory candidate Richard Cook, hopes to take the seat from Labour's Jim Murphy. | |
He said more than 100 Scottish businesses had signed up to oppose Labour's 1% rise in National Insurance. | |
Mr Osborne explained: "We're going to avoid the really damaging part of Labour's national insurance rise - the bit that affects most Scottish families and Scottish businesses. | |
Seven out of 10 families in Scotland will be better off under a Conservative government George OsborneTory Treasury spokesman | |
"We can't avoid the whole national insurance rise, so people who are earning pretty high salaries - £44,000 or £45,000 - are still going to pay it, but they're not going to pay as much as Labour". | |
Under Labour plans, NI contributions for both employees and employers would increase by 1% from April 2011. | Under Labour plans, NI contributions for both employees and employers would increase by 1% from April 2011. |
The Tories have said that they would scrap the rise for employees earning up to £35,000. | The Tories have said that they would scrap the rise for employees earning up to £35,000. |
Employers would also see no rise for staff earning £20,800 or less. | Employers would also see no rise for staff earning £20,800 or less. |
Mr Osborne said: "Seven out of 10 families in Scotland will be better off under a Conservative government. | |
"More to the point, we are going to keep jobs, create jobs instead of killing jobs which is what Gordon Brown's tax involves." | "More to the point, we are going to keep jobs, create jobs instead of killing jobs which is what Gordon Brown's tax involves." |
The Conservative Party believes the backing they have had from more than 100 Scottish businesses is proof that throughout the UK there is strong opposition to the Labour proposal. | |
Mr Osborne said during his bakery visit: "Labour's jobs tax is going to kill the recovery and here in this bakery they say that the National Insurance rise will mean people working shorter hours which means less take-home pay for Scottish families." | Mr Osborne said during his bakery visit: "Labour's jobs tax is going to kill the recovery and here in this bakery they say that the National Insurance rise will mean people working shorter hours which means less take-home pay for Scottish families." |