Monday, February 12, 2007

peter hain is a dangerous man

the northern irish secretary, peter hain, has decided not to take an interest in the affairs of ulster but instead concentrate on his deputy leadership contest with an outrageous statement at the weekend.

he's called for city bonuses to be taxed and regulated by the government with two-thirds going to charity. apparently these bonuses

were fuelling envy and social discontent


first off; the government already taxes these bonuses - it's called income tax which is at 40% for high earners. so the government already gets 40% and now want another 66%...

secondly city bonuses are exactly that - bonuses. if middlesbrough football club are wanting to buy a new player who as the target of other clubs i expect middlesbrough to offer the higest wage to attract the best players. does mr hain object to this? if he doesnt then he cannot object to city bonuses as they are the same thing; big firms paying large somes for the best staff.

finally, the financial sector is one of the industries where britain can genuinely claim to be a world leader and the country benefits hugely from the revenue raised. for hain to threaten all this because he doesnt like to see successful people benefit from their labour is reckless and irresponsible.

i know he's making a lurch to the left to shore up some support for his deputy leadership campaign, but he should be careful. inward investment is scared off by such dangerous talk; and sounding like a socialist helps no-body.

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