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Cameron set to avoid tax giveaway Cameron set to avoid tax giveaway
(about 5 hours later)
David Cameron is expected to use his first conference speech as Tory leader to resist calls for more detailed policies and a pledge to cut taxes.David Cameron is expected to use his first conference speech as Tory leader to resist calls for more detailed policies and a pledge to cut taxes.
Mr Cameron will say the Conservatives must lay a "solid foundation" of principles before detailing policies.Mr Cameron will say the Conservatives must lay a "solid foundation" of principles before detailing policies.
A party review group will report soon on the tax question and is expected to call for cuts.A party review group will report soon on the tax question and is expected to call for cuts.
However, Mr Cameron feels a pledge to reduce taxes this long before an election may be seen as reckless.However, Mr Cameron feels a pledge to reduce taxes this long before an election may be seen as reckless.
'No rush for tax cuts' 'No rush'
The chairman of the Conservatives' policy review, Oliver Letwin, suggested that a Tory government would not rush to cut taxes.The chairman of the Conservatives' policy review, Oliver Letwin, suggested that a Tory government would not rush to cut taxes.
"Nobody... can predict what the effect of reducing a particular tax will be, how quickly, how much, the revenue will rise from the behaviour that people engage in as a result of the tax reduction," he told the BBC's Straight Talk programme."Nobody... can predict what the effect of reducing a particular tax will be, how quickly, how much, the revenue will rise from the behaviour that people engage in as a result of the tax reduction," he told the BBC's Straight Talk programme.
"We have to ensure that we first get our books into order and then of course we do hope to gain supply side-effects ...i.e. people actually behaving differently and making more money and growing faster."We have to ensure that we first get our books into order and then of course we do hope to gain supply side-effects ...i.e. people actually behaving differently and making more money and growing faster.
"I don't ever see us as putting economic stability at risk by making promises about tax cuts until we know we can prudently fulfil them.""I don't ever see us as putting economic stability at risk by making promises about tax cuts until we know we can prudently fulfil them."
'Tax a key issue' CONSERVATIVE WEEK Sunday Senator John McCainDavid CameronMonday Hot topic: Marketing to childrenPublic services debateDavid Davis, Crime debateHot topic: Cheap flightsEnvironment debateTuesdayHot topic: Alcohol and drugsSocial justice debateBusiness in societyGeorge Osborne, economyWilliam Hague, Liam Fox, foreign affairsDevolution debate Wednesday Culture of creativityHot topic: Globalisation Global poverty debateLeader's speech href="/1/hi/uk_politics/5384334.stm" class="">Analysis: New look rally?
Tim Montgomerie, former chief of staff under one of the Tories' previous leaders, Ian Duncan Smith, said tax rates remained one of the key issues Mr Cameron needed to address. He said: "I think Conservatives see a lot of the good that the Thatcher years did is slowly being undone. Tim Montgomerie, former chief of staff under one of the Tories' previous leaders, Ian Duncan Smith, said tax rates remained one of the key issues Mr Cameron needed to address.
He said: "I think Conservatives see a lot of the good that the Thatcher years did is slowly being undone.
"British tax levels are now higher than Germany's. If we're going to compete as an economy we have to cut taxes."British tax levels are now higher than Germany's. If we're going to compete as an economy we have to cut taxes.
"People are willing to give David Cameron the benefit of the doubt for the moment, but hopefully next year we will see a beginning of signs of a commitment to lower taxation.""People are willing to give David Cameron the benefit of the doubt for the moment, but hopefully next year we will see a beginning of signs of a commitment to lower taxation."