Victoria Derbyshire suggested the government is “gaslighting the British people” after the chancellor unveiled this year’s Budget on Wednesday.
The BBC presenter pressured Treasury minister Gareth Davies over the Conservatives’ suggestion that tax burdens were going to fall on Newsnight.
“We are starting to turn a corner,” Davies began, claiming that was why the government was now able to cut taxes.
In reality, the government has only reduced the National Insurance contributions for workers – fiscal drag means people are still going to be paying higher taxes overall.
As Derbyshire said: “How are we turning a corner when we’re in recession and the tax burden, despite what you’ve done today, is continuing to rise? The trajectory is up?”
“We absolutely accept that taxes are still too high,” the minister replied.
Derbyshire pointed out taxes are set to rise into the next parliament, adding: “So when Jeremy Hunt says keeping taxes down matters to the Conservatives, it kind of sounds like you’re gaslighting the British people.”
“Not at all, we are focusing our tax cuts on something that will help drive growth – and that’s people in work,” Davies said.
Derbyshire replied: “So you are giving back some employees a bit of their money back.
“But overall, the tax burden is going up. Correct?”
“The tax burden is still too high, absolutely,” the MP said.
“And it’s going up,” Derbyshire pushed.
Davies just said the OBR said the announcements today would reduce the tax burden by 0.6% – but Derbyshire cut him off with a correction: “No, no, no. I’m sorry to stop you there, I’m so sorry.
“I’ve got the figures here – the tax burden today is 36.1% of GDP. It’s going to go up to 37.1% by 2028/29.
“That’s the highest since the Second World War.”
“I completely understand that,” the MP said.
“Do you accept it?”
“The overall tax burden is high, and has been increasing,” he replied. “The measures we have taken will make it less than it would be otherwise.”