B.C.'s Campbell cuts income taxes 15%

"By leaving more money in your pockets, you'll have the choices that you want," Campbell said."That will help B.C.'s middle-income families. In fact, it will help 1.9 million British Columbian taxpayers."

The cut will amount to a maximum saving of $616 in taxes for someone earning $72,293 or more. Someone earning $50,000 a year will save $354.

The tax cut, which takes effect starting Jan. 1,will cost $568 million in the first year, rising to $638 million per year by 2013-14, Campbell said.

Opposition New Democrat Leader Carole James said the tax cut appears to be a "desperate attempt to buy back public support."

"He failed miserably," said James. "He talked down to taxpayers. He's trying a desperate move tonight. The public's not going to buy it."

Campbell also said the harmonized sales tax is good for the economy, is the lowest HSTin Canada and could attract $11 billion in investment. The tax makes B.C. more competitive and will create jobs, as well as help the province hang on to the jobs it already has, he said.

The Liberal premier who is mired in a popularity rating reported tobe less than10 per cent made no mention of the widespread opposition to the HST. He said all B.C. voters would get to be "finance minister for a day" when they go to the polls in a binding referendum on the unpopular harmonized tax in September 2011.

Campbell also pledged to strengthen the province's education system with three initiatives:

• Expand the StrongStart BC program, in whichearly-childhood educators work with preschool children to prepare them for kindergarten.
• Initiate full-time kindergarten as an option for families in September 2011.
• Commit thatall children who leave Grade 4 would havereading, writing and math skills at that grade level, although20 per cent of them currently do not.

The speech comes at a time when the three-term premier appears to be fighting for his survival inside and outside of the party.

Some Liberals have been calling for Campbell, 62,to retire or quit, but he has yet to signal his intentions even though it is widely believed Campbell will not be leading the Liberals in the May 2013 election.

Campbell shuffled his cabinet this week, prompting Energy Minister Bill Bennett to criticize him for gutting his ministry and not consulting widely enough before the cabinet announcement.