Now that the general election is on the way and I am sure that the Tories will get back in with an increased majority, a diesel tax could be a nice and easy soft target.
Austerity is going to pinch harder when they will achieve their solid mandate and push through increased measures both in spending cuts and raising revenue. Apart from the triple lock on pensions which I am sure they will withdraw, this could be a nice one for them to raise revenue.
The planned increase in NIC on the self employed was withdrawn but I bet if the planned election wasn't coming up this year early, then it would have gone through despite the negative media backlash it raised. I wouldn't be surprised if it did go through on the next budget.
Directors of small companies are already feeling the pinch with the dividend tax and it will only get worse when the allowance is fully withdrawn. Next it will be the self employed imo. Employees could also be a target too but with Automatic enrolment kicking in big time in the next few years (increased employee rates deducted) I don't think your average Jo could take it.
The Tories will want to talk about Brexit up until June but the underlying pressure is the economy and growth. GDP was down from 0.7% the previous quarter to 0.3% to March 2017 and below market expectations. For all the tax raising exercises and benefit cuts, the Tories and this country needs growth at a better rate than it currently is. The flip side to this is inflation which is already above the target rate of 2% at 2.3% so it is not looking great and there are already mutterings about bank of england base rate increases. We all know what that one does to our mortgages and it will only get worse.
By far a party political broadcast or doom mongering but I feel it is tough future times for our economy and everyone else in it. I really hope I am wrong.