Labour 'shameless' and 'hypocritical' on VAT

After three years attacking the Coalition for raising VAT, from 17.5% to 20% in George Osborne's first budget as Chancellor, Labour's Shadow Chief Secretary to the Treasury Rachel Reeves last night admitted on Newsnight that if the Labour party win the 2015 general election they would not reverse Coalition Government's decision. 

Lib Dems have put this out on social media

This is contrary to their five point plan for jobs and growth where point three is "Reversing the Tory-led Government's damaging VAT rise" which Labour described as needed because: "now for a temporary period - a £450 boost for a couple with children - immediate help for our high streets and for struggling families and pensioners." Does this mean Labour's "five point plan for jobs and growth has been ditched?

Commenting, Liberal Democrat Treasury Spokesperson, Stephen Williams said: "Labour have spent the last three years aggressively attacking the Coalition for raising VAT." 

Continuing Mr Williams said: Now they admit they won't reduce it. This is rank hypocrisy from a party that has no answers to the big questions of the day - how to fix the economy, create jobs and help people with the cost of living." Liberal Democrats have taken tough decisions in the national interest in order to clean up Labour's mess, and Labour has called us every name under the sun for doing so. They have been utterly shameless and deeply hypocritical."

Lib Dem poster from the 2010 election campaign

However Labour sources are pointing out that during the 2010 general election campaign the Liberal Democrats warned of a "Tory VAT bombshell" then after the election voted for it. One Labour source told me: "The Lib Dems aren't in a position to be accusing anyone of hypocrisy, when you warn of a VAT bombshell the usual thing to do is defuse the bomb not voting with the Tories so the bomb can go off"