Taxes on wages and consumption are rising and taxes on profits are falling and indeed some land taxes are falling and in relation to the value of land in say London dropping off a cliff.
As economic policy boosts land prices [low rates uncontrolled lending] and the debt associated with it [Mortgages] essentially Govt is moving money to landowners and finance. Thus Ferrari dealers, Estate Agents and large Cigar salesmen may never have had it so good but shops will close and the high street and online traders suffer.
People can point to rising GDP but per Capita that is moot and indeed tax revenue is amazingly static if the economy is really growing. That GDP is 11% the imputed rent [paid to yourself if you own your own house!] so whether it has grown and by how much is surely a debate. Yes GDP is a flawed stat but the only one we have….
The Chancellor is essentially stripping demand from the economy (taxes on wages, VAT reduced tax credits (still happening), reduced Dole, reduced Govt Spending, raised rents) etc. To balance the books he is selling off state assets a thing that has failed miserably – privatised utilities often don’t pay UK tax and many have balance sheets so stripped Govt needs to guarantee their finance removing any point to the sell off.
This may actually end up worse than Brown who wasted 100s Billions on RBS and others in free money, bailouts and PFI. However both seem to believe an economy based on rents and usury can make up for not making or producing anything else and they seem determined to achieve that.