How much and When will the tax rises arrive?
Discussion
I don't normally get involved in the economic posts as I don't understand as much as I would like to. However I have found the last few days in the Pie and the Piston very interseting, lots of different views.
Watching the news last night and looking at the figures involved in this bail out I wondered, how much are they going to have to put taxes up to help them fund this and when, given the recession will they do it. As I assume they are going to have to raise taxes in order to fund some of this.
What do those of you with far more knowledge than me think?
Watching the news last night and looking at the figures involved in this bail out I wondered, how much are they going to have to put taxes up to help them fund this and when, given the recession will they do it. As I assume they are going to have to raise taxes in order to fund some of this.
What do those of you with far more knowledge than me think?
By implementing a sort of psuedo communist state whereby all earnings will go to the government, and everyone will be on benefits. Obviously the people contributing will get a slightly better benefits cheque.
It'll be horrible, but at least we should be able to feed our kids in an organised manner.
Not quite sure what'll happen to my DB9, probably seized for recycling.
It'll be horrible, but at least we should be able to feed our kids in an organised manner.
Not quite sure what'll happen to my DB9, probably seized for recycling.
kambites said:
chris watton said:
I am sure I heard on the news that the £500 Billion package they are offering to the banks is exactly half of the UK's total GDP! Quite scary if things do not work out!
Erm, isn't the buyout 50bn? The UK's GDP is measured it trillions.kambites said:
chris watton said:
I am sure I heard on the news that the £500 Billion package they are offering to the banks is exactly half of the UK's total GDP! Quite scary if things do not work out!
Erm, isn't the buyout 50bn? The UK's GDP is measured it trillions.To put this in perspective, little old us is giving a safety net of £120Bn MORE than the Fed did. Given the we've already given surities of hundreds of billions.
Plotloss said:
kambites said:
chris watton said:
I am sure I heard on the news that the £500 Billion package they are offering to the banks is exactly half of the UK's total GDP! Quite scary if things do not work out!
Erm, isn't the buyout 50bn? The UK's GDP is measured it trillions.To put this in perspective, little old us is giving a safety net of £120Bn MORE than the Fed did. Given the we've already given surities of hundreds of billions.
SIXTEEN GRAND.
I'd be watching out for small rises on income tax, small wins for goverment but over a large group. I would think a sm all rise on the lower band as hits everyone equally in terms of £ (although the argument is that the effect is less on those in higher band).
I'd also think VAT might be introduced on products where it's not already, and have some of the less than 17.5% items being brought up to that level.
Road pricing - it's going to be a money spinner and they need the money so that's creeping onto the table I'm sure.
New taxes on waste/rubbish too, that wins green votes (haha) and raises £££
I'd also think VAT might be introduced on products where it's not already, and have some of the less than 17.5% items being brought up to that level.
Road pricing - it's going to be a money spinner and they need the money so that's creeping onto the table I'm sure.
New taxes on waste/rubbish too, that wins green votes (haha) and raises £££
kambites said:
chris watton said:
I am sure I heard on the news that the £500 Billion package they are offering to the banks is exactly half of the UK's total GDP! Quite scary if things do not work out!
Erm, isn't the buyout 50bn? The UK's GDP is measured it trillions.The conservatives will hopefully SLASH public spending.
Have public service workers pay the same NI as everybody else, get tehm off final salary pensions, reduce the volume of invented non-jobs, stop paying £30 a week for kids to do their A-levels, stop paying £12k/month for single mums to live in Acton - the list of possible cuts is endless.
Have public service workers pay the same NI as everybody else, get tehm off final salary pensions, reduce the volume of invented non-jobs, stop paying £30 a week for kids to do their A-levels, stop paying £12k/month for single mums to live in Acton - the list of possible cuts is endless.
SirTainly said:
I'd be watching out for small rises on income tax, small wins for goverment but over a large group. I would think a sm all rise on the lower band as hits everyone equally in terms of £ (although the argument is that the effect is less on those in higher band).
I'd also think VAT might be introduced on products where it's not already, and have some of the less than 17.5% items being brought up to that level.
Road pricing - it's going to be a money spinner and they need the money so that's creeping onto the table I'm sure.
New taxes on waste/rubbish too, that wins green votes (haha) and raises £££
LOL, So ultimately, the net gain for the generosity of the UK tax payer that helped bail out the banks on the governments order is more tax hikes! But Gordon said that taxpayers would gain! How?I'd also think VAT might be introduced on products where it's not already, and have some of the less than 17.5% items being brought up to that level.
Road pricing - it's going to be a money spinner and they need the money so that's creeping onto the table I'm sure.
New taxes on waste/rubbish too, that wins green votes (haha) and raises £££
I seem to remember from the news that the current commitment is £13K per head.
I don't know what the interest on that is, but TBH, I'm not sure where they're going to borrow it from.
Lots of people have transferred their savings into guilts/national savings.
They can print money.
They aren't up to the limit at the IMF.
That last one is a bit mysterious TBH. I could be wrong but, the borrowing limit at the IMF for the UK appears to be in the order of 10s of billions not 100s. I'm not actually sure where the IMF gets it's money from anyhow. I'd always assumed it was from the wealthy nations!!!
Presumably that leaves China.
Whatever, the way I see it, interest only on that would be about £35 (at a nominal 3%) a month, assuming that the banks themselves are actually going to recover and pay the loan amount back. That nominal £35, would be higher though because there are lots of people not working.
If the nationalised banks end up being a cash drain, then obviously the interest payments will go up, because they'll have to put yet more money in to find out that the banks are actually going to fail. That will have to be borrowed from somewhere. Finally if the banks become too much of a burden you might be talking £150-£500 a month, because the money that would have come from the banks recovery will have to paid off by us.
I don't know what the interest on that is, but TBH, I'm not sure where they're going to borrow it from.
Lots of people have transferred their savings into guilts/national savings.
They can print money.
They aren't up to the limit at the IMF.
That last one is a bit mysterious TBH. I could be wrong but, the borrowing limit at the IMF for the UK appears to be in the order of 10s of billions not 100s. I'm not actually sure where the IMF gets it's money from anyhow. I'd always assumed it was from the wealthy nations!!!
Presumably that leaves China.
Whatever, the way I see it, interest only on that would be about £35 (at a nominal 3%) a month, assuming that the banks themselves are actually going to recover and pay the loan amount back. That nominal £35, would be higher though because there are lots of people not working.
If the nationalised banks end up being a cash drain, then obviously the interest payments will go up, because they'll have to put yet more money in to find out that the banks are actually going to fail. That will have to be borrowed from somewhere. Finally if the banks become too much of a burden you might be talking £150-£500 a month, because the money that would have come from the banks recovery will have to paid off by us.
Edited by dilbert on Thursday 9th October 11:23
Vesuvius 996 said:
Plotloss said:
kambites said:
chris watton said:
I am sure I heard on the news that the £500 Billion package they are offering to the banks is exactly half of the UK's total GDP! Quite scary if things do not work out!
Erm, isn't the buyout 50bn? The UK's GDP is measured it trillions.To put this in perspective, little old us is giving a safety net of £120Bn MORE than the Fed did. Given the we've already given surities of hundreds of billions.
SIXTEEN GRAND.
Little Dave said:
Can we not just have a higher tax banding on people working in the City.
Would that include Newcastle, Birmingham, Sheffield, Nottingham, Sunderland, Coventry, Cardiff, Glasgow, and any other city in the UK?Or would it be just the cleaners and coffee shop workers of central london getting arse raped by your government?
Gassing Station | The Pie & Piston Archive | Top of Page | What's New | My Stuff