The Centre for Policy Studies responds to the Chancellor of the Exchequer’s summer economic update, and his Plan for Jobs.
On the temporary cut to Stamp Duty, Alex Morton, CPS Head of Policy, said: “We are delighted to see the cut in Stamp duty announced today – as one of the most hated and economically damaging taxes, this is something the CPS called for in our report ‘Stamping Down’.
“The case the Chancellor was making is exactly what we said in our recent paper ‘Help to Build’, but we would like to see this cut become permanent – which we have estimated will be much cheaper than the Treasury believes.”
On the measures around employment and job creation, Robert Colvile, Director of the CPS, said: “We welcome the focus on jobs and training, which is what the CPS recently called for in our report ‘After the Virus’, but the challenge will be how to support the economy as we transition to new ways of working in a post-virus economy.
“You can see the Government is trying to strike that balance with this package, but these measures are temporary, and will have to be paid for down the line. This is why we would like to see the sort of long-term structural change that will maximise growth, support businesses and encourage them to create new jobs without placing the burden on the taxpayer.”