VAT up - ah well igt won;t affect me - since I hardly buy anything that has VAT on it anyway. The problem is - shops WILL put 2.5 % on everything. Because VAT will be going up on fuel.
That means that for things that have VAT on, shops will double the increase - once for the VAT and once for the VAT on the fuel.
I didn't see much else on the budget, apart from in increase in the tax threshold. Does that affect people being paid mofre than the lower limit? If so, it might offset the VAT increase slightly.
As far as I can tell, we are paying for the government's cock ups. Again. I thought we voted them in (each time) to do right by us. Silly me.
we need a military coup and send all these mp's,council chiefs to hell.
get them digging the ditch, shoot them in the head and get the next lot to cover them over.
he will do .
that will make people fight! we are a bunch of weak kneed nannies that put up with it!.
an increase in taxation, reduces cash in circulation
a reduction in public spending, reduces cash in circulation
a reduction in lending by banks and financial institutions while interest servicing of previously loaned capital, reduces cash in circulation
THIS PROCESS WILL BRING ABOUT DEFLATION NOT INFLATION !
and that does'nt mean imported goods, energy and foodstuffs will fall in price. their inflationary costs are far more related to the debasement of the currency by quantatative easing, but asset prices will fall. unemployment and bankruptcies will rise and TAX REVENUE will FALL !
there is and was no prospect of a recovery. fragile or otherwise. the public debt was created by the fictitous creation of credit, at interest, lent to governments around the world that cannot ever repay the interest, never mind the principal by international fraudsters who control the international bankster cartel.
by the transfere of their own private debt to public debt (government injecting capital into banks) they have been able to remain solvent and pay themselves obscene bonuses while the muppets, erm, i mean puppets on the gravy train in parliament pass the debt onto us and tell us the future is austerity.
having created a bubble of credit, at interest, causing inflated values of assets that can never be repaid, their only solution is to destroy value by deflation and war.
while we are consumed by debt and are fixated by football, celebrity, x factor, home and away, eastenders, coronation st, friends, best mobile phone, computer games and blaming foreigners and claimants, rome is burning.
if labour had been elected, they would have done exactly the same in that theatre, the palace of westminster.
Does that mean I was right earlier ??
For this Budget to work effectively, there will need to be more private sector jobs and the hours for some of them to be pretty flexible. This can only happen if industry can borrow money for legitimate expansion at reasonable rates - we're back to the bankers again. :twisted:
Plim
That would be interesting.
Not the banks lending again, but industry being industrious.
I've currently got an application running through the bank, for a loan of £165 billion to purchase dept-with-no-asset-backing.
When I've got the cash I intend to pay myself several hundred thousand ($)a year, along with an annual bonus of another several million ($) a year.
I'll invest loads of money in purchasing more valueless dept, and when it all goes tits-up and the scam (sorry, scheme) falls down I'll pay myself a severance entitlement of another several millions (£).
When the .gov comes along with a rescue package I'll agree to leave the company totally for another few million (€).
Then I'll sell my share option.
Which will be worth Zilch, but some fool will buy it hoping to make a killing (£$€)
i don't pretend to understand it all and i won't pretend i read all of this but i do get this much
we are in a mess and surely the faster we pay off the debt the smaller said debt will be as in less interest overall so a big tighten of all our belts surely isn't a bad thing?
we should be more pissed of than most as we were not of the borrow more than we can pay brigade we do not have a mortgage or credit cards or loans or even an overdraft so we are not part of what caused the problem in the first place with all the willy nilly borrowing that the banks encouraged yet we are still quite happy to buckle up and sit through the bumpy ride whilst the country gets back on an even keel after the labour fuck ups messed it all up
and wat a load of bollux over the vat when it was lowered 2.5% everyone said it was pointless wouldn't even notice a difference but then when it goes up 2.5% all the same peeps start crying over it ffs make ya minds up either 2.5% is a big deal or it isn't ya can't have it both ways
Hmmm.
The lowering of vat to 2.5% didn't cost the gov much at all, since many spent a bit more.
Not so the increase that is coming.
The increase will hit those on low incomes a bit harder than those on middle/high incomes. Such is life.
I have thought for some time that working tax credit should be restricted to those on less than 20k household income, fortunately that is highly likely in the coming months.
The price of a barrel of oil has fallen again slightly, but is forecast to be at $
soon, and with the vat going to 20% (which is levied against the fuel price and fuel tax combined) it looks like fuel will rise by between 3-7p/litre. Interestingly, the tax on road fuel is about 300% + !
It's all very well saying that cutting costs will reduce dept, but cutting costs will also cut jobs. Of course, if benefit to those unemployed is also cut, or removed, then the only apparent cost would be loss of tax/saving on pension contribution.
And the costs they are cutting are not only on labour, but on you and the services you have. No new road building, or major repairs/alterations.
I could understand the blind adherence to stopping spending, if I could see a way for that to generate jobs or stimulate the economy. In the long term that may occur, but trends suggest that the manufacturing rot has gone too far to halt without drastic intervention, such as the complete removal of taxation on business. which is obviously not going to happen.
In the short term there seems to be a consensus that unemployment will rise, perhaps by another 300-500 thousand.
While there seem to be a large amount of jobs out there, there seems to be a considerable gap between the employment opportunities offered, and the employment skills of those seeking the work. With spending on training also being drastically cut back.
It seems that not only is the gov cutting cost, but is doing so in a way that seems to indicate that it recognises the recovery is either not going to happen, or is going to be slow, or even that it is going to be slow and then halt.
Either way, the rise in vat will generate little income but may halt the import of goods and slow the difference between imports and exports.
