Mr Brown also called for an immediate cut in interest rates. 'It is better to cut interest rates now when there is a clear economic benefit that can be gained from today, than wait for the Budget (on 30 November) when clearly for political convenience the Chancellor wants to announce a cut in interest rates to offset the bad news.'
Mr Brown said that at the heart of the Budget should be measures to bring about a major boost in private-sector investment. Labour claims investment as a share of national income is at a 40-year low.
Labour was going for 'tax-efficient' measures that both created jobs and built capacity, he said. Capital allowances should continue for a further year; there should be a cash-limited small business grant scheme and a new technology incentive.
To generate jobs straight away, companies that took on and trained the long-term unemployed should be able to rebate national insurance contributions for a year. Local authorities should be able to spend more of their capital receipts on building homes and local amenities, and there should be a range of self-financing environmental initiatives to improve energy efficiency.Reuse content