Almost three-in-four people want to see tax cuts to reboot the economy after the coronavirus crisis, according to new polling.
A poll by Survation/Adam Smith Institute showed there was overwhelming support, 72 per cent of people, for a reduction in taxes to “try and increase economic growth and jobs”, particularly among younger adults.
Of those aged between 18-34, 44 per cent said they “strongly supported” lower taxes after the coronavirus compared to 33 per cent of those aged over the age of 65.
Meanwhile, 89 per cent of people said they were concerned about the economic impact of the pandemic and 86 per cent supported the development of an economic recovery and exit plan.
It comes as Bank of England deputy governor Ben Broadbent said today that it was “not unrealistic” to expect the UK economy to shrink by 35 per cent in the second quarter.
The Office for Budget Responsibility (OBR) last week predicted a 35 per cent GDP contraction between March and June, with an estimated 2m people to lose their jobs.
However, the fiscal watchdog also said a swift correction could happen in line with some predictions of a so-called “v-shaped recovery”.
Organisation for Economic Co-operation and Development (OECD) boss Angel Gurria also told the BBC yesterday that the coronavirus economic downturn will be “very bad”, but will not be as bad as the Great Depression.
Adam Smith Institute deputy director Matt Kilcoyne said the UK’s economic recovery should be aided by lower taxation and a clear exit strategy.
“People know that our lockdown is having a huge impact on our economy,” he said.
“They are facing increasing financial hardship, with the young particularly feeling the brunt. And they want an economic recovery and exit plan that includes tax cuts.
“We need to reduce the cost of business face and the burden of taxation.”