UK Treasury chief announces stimulus measures

LONDON (AP) -- British Treasury chief Alistair Darling has announced a temporary cut in the national sales tax to promote an economic recovery he expects to begin next year.

Darling says the value-added tax would be cut from 17.5 percent to 15 percent for 13 months to put more money in consumers' pockets as a key part of a 20 billion pound ($30 billion) economic stimulus plan.

He predicts that the British economy will shrink by as much as 1.25 percent next year although he expects a recovery to begin in the second half.

As expected, he also proposed Monday that the top tax rate go up from 40 percent to 45 percent in 2011.

(Copyright 2008 by The Associated Press. All Rights Reserved.)


Join the Conversation!

While WVLT allows comments on articles, we ask that you respect the online community. Comments may be removed at any time for violations including:

  • Obscenity, profanity, vulgarity, racism, violent descriptions, name-calling or personal attacks.
  • Abuse of multiple accounts.
  • Off-topic comments.

Comments may be checked for inappropriate content or rule violation, but the station is under no legal obligation to monitor or remove comments. If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator. 
Flagging does not guarantee removal.

powered by Disqus

WVLT VOLUNTEER TV

6450 Papermill Drive Knoxville, TN 37919 Phone - (865) 450-8888; Fax - (865) 450-8869
Copyright © 2014 WVLT-TV Inc. - Designed by Gray Digital Media - Powered by Clickability 34990084 - local8now.com/a?a=34990084
Gray Television, Inc.