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Much is understandably being made of the political ramifications of the quite remarkable mess Gordon Brown is now in over first his decision to scrap the 10p tax rate and then double back on himself by cushioning the blow for assorted vulnerable groups. First he denies there are to be many losers – according to the Telegraph he
even assured Tony Blair last year that scrapping the 10p rate would hurt only a few thousand workers, not the 5.3 million even the Treasury now accepts will lose outthen he performs a U-turn but announces a rescue scheme of such arcane complexity no-one can understand it (but you can be sure the benefits of it will melt away under scrutiny). And the only reason he did this at all, as David Cameron observed in the Commons exchanges today, was to buy off the serious rebellion amongst his seriously upset MPs who believe quite simply that he lied to them. His olive branch has thus turned into a boomerang; once again, this Prime Minister is on the floor, felled by a combination of gross policy error and maladroitness. So no wonder people are asking whether this is yet another ‘defining moment’ for the implosion of the Brown premiership.