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Cameron hints at 10p tax rate

Cameron hints at 10p tax rate
David Cameron raised hopes of a 10p tax band today as he ducked questions about his own tax affairs.

The Prime Minister attacked Labour for abolishing the low tax band as he stressed the Coalition was helping those on modest incomes.

But Mr Cameron came under fire later after he refused to say if he would personally benefit from the 50p tax rate being cut to 45p this April. The Prime Minister was asked by Labour MP Stephen Pound to "tell the House whether he will personally benefit from the millionaires’ tax cut".

Responding to Mr Pound at Prime Minister’s Questions, Mr Cameron said: "I will pay all the taxes that are due in the proper way, but the point I'd make to him is that all the years he sat on this side of the House there was a top rate of tax that was lower than the one we put in place."

Ed Miliband made another concerted attempt to portray Mr Cameron as out of touch at PMQs today.

The Labour leader said: "No matter how much he blusters, he knows the truth – he’s cut tax credits, he’s raised VAT and people are worse, not better off. Last week he attended the Tory winter ball – he auctioned off a portrait of himself for £100k and then, Mr Speaker, he declared without a hint of irony the Tories are no longer the party of privilege. You couldn’t make it up."

Mr Cameron hit back: "I'd remind him that inflation is lower under this Government than what we inherited... You bet we've had to take difficult decisions, but no one in this country is in any doubt about why we've had to take difficult decisions. It's because of the mess that he left."

Green Box: Cameron hints at 10p tax rateClick to open

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