Re: Jaffa cakes
No, they should start by removing all loopholes and stop using VAT as a crude luxury tax. That way they could eliminate a whole load of overhead costs (tax officials, lawyers, court cases, etc) by simplifying the system. Use the extra revenue to increase benefits and reduce lower end taxes to compensate for the increase in costs. Fairer by far as, for example, the current system charges the parents of larger kids more as they move into "adult" sizes sooner.
I'm living in NZ now where this is how it works. Rate is only 15% and government expects to run a surplus this year. A simple tax system is obviously not the only thing driving this, but I'm sure it helps.