Nick Clegg: It would be madness to raise taxes now

Liberal Democrats are committed to lowering taxes for those who need help while raising them for the rich by closing the loopholes that benefit the wealthy. This is what families want and need: a simple, fair tax system that cripples no one. Some say our plans are no longer possible given the crisis. They are wrong – tax cuts are not just possible, they are vital.

During the 1980s recession, the chancellor, Geoffrey Howe, raised taxes and cut spending. Many imagine that such an approach is needed today, but times have changed and it would be madness to raise taxes now.

Nonsense. If the rich are worse off because of the financial crisis they'll pay less tax anyway. The principle remains the same. If you intend to raise the tax rate of people earning over a specific amount it matters not one jot what is happening to the economy.