Helen has voted against the Coalition Government’s decision to increase VAT to 20%, fearing the impact it will on the poorest households and the wider economy.

In opposing the Lib Dem-Tory measure, Helen said:

“The VAT increase is neither fair nor will it be effective.

VAT is a thoroughly regressive tax, and as the independent IFS has shown, this increase will affect the poorest households most.

I am also worried that it will reduce consumer spending at this crucial point in the recovery, and hence increase the chance of a double-dip recession”.

The VAT increase will come into force in January 2011.