Budget pressures tax treks and big spending cuts

Economy, George Osborne will give the coalition Conservative-Liberal Democrat in the first budget to get energy from last month's general elections in the preparation section of a million public sector workers to hard cuts, "said Cameron was" fair "they face lower wages and pensions." There is no way to take care of everything a budget deficit of 11 per cent of the strike rich or well be freeloaders, "he said in an interview with Time on Saturday. Osborne was his hand, after consultation ready to announce a freeze on social benefits payments. is likely to show total savings of 40 million pounds, with a forecast of government bonds at a rate of £ 155 billion, or 10.5 percent of gross domestic product (GDP) in the year to March 2011. "We hope that the Chancellor urgent fiscal history of the period of Great Britain after the war," analyst Simon Hayes of Barclays Capital, said the head of the government's financial plans are safe. "The new government has relied reputation for public finances under control, and a pack of aggressive cost reductions and tax increases should be expected, "he said. The deficits in the United Kingdom has reached a height at high speed and suddenly a record 156 million pounds during the 2009/10 fiscal year, which ended in March because of the severe recession hit tax revenues and the government has approved one billion pounds of banking security. "This coalition has inherited one of the forerunners of the extent of shortages in the world," Osborne said last week. Meanwhile, the government announced Thursday it had decided to release or cancel projects planned by the previous Labour Government member of the Party was determined to cost approximately 11.0000000 pounds. The coalition had announced in May to reduce costs by approximately 6.2 million pounds in 2010/11. "The government coalition "sees a warning the first budget is determined ... at least lead to reductions in treatment costs more aggressively in a generation," said James Knightley, economist at the major Bank expects that M . Osborne reveals tax increases also in the budget for the Media P. Tuesday indicating that it raises VAT to 20 percent, from 17.5. "Increasing the VAT tax is likely to increase," said Knightley, while analysts added that an increase of 20 percent should be approximately 12 million pounds per year. The chancellor may also increase taxes on capital gains - or profits from asset sales of holiday homes - and a collection of banks. On an optimistic, Osborne has promised to cut corporate taxes and reform the rules for foreign companies working here in the yard to multinational companies. follows: To estimate the involvement of unpaid taxes, and even images to drastically cut government costs, the Confederation of British Industry has urged the government to avoid "increases the damage of taxes ". He said tax increases would be more difficult for corporate profits, but noted that reductions in public expenditure would protect future growth.'s economy should grow by only 2.6 per cent in 2011 while recovering from a recession in the code that ended last year, according to the Office of Fiscal Responsibility (OBR), an independent fiscal watchdog established by the new government.