Tax cuts on the agenda but whatever happened to the clear blue wate

Tax cuts wins votes seems the theme of the morning as all three main parties have cottoned on the fact that this may be a way of winning the next election.

For the Labour party there are been rumours for a few days now that the treasury was thinking of this as a way to reflate the economy.

Cameron's Conservatives have now decided that this will have to be their policy now and the Lib Dems will contend that it always has been their's

It is worth reading Janet Daly in this morning's Telegraph who suggests that the inspiration ofr this has come from across the Atlantic

Even the Democrats - who have been at least as enthusiastic about "stimulus packages" (tax cuts) as Republicans - recognise that it is people having money to spend that generates economic growth. And that is a political lesson worth borrowing.

Yesterday's Telegraph gave the first hint of this change of policy

David Cameron is determined to get his party on to the front foot over tax after clear signs that the Government is planning its own reductions to be unveiled in the forthcoming Pre-Budget Report.
A senior party source said the new "funded" Tory tax cut, which could be announced within days, would be aimed at staving off unemployment. It would be a "recession-alleviating measure" and would be paid for by cutting government spending elsewhere, he added