Budget 2024

[beak]

The last poll I witnessed, about a week ago had Kemi Badenoch in the lead.
I know at least 56 peers have signalled their support for her.
I have campaigned for Robert Jenrick.

The Campaign Team have just heard from CCHQ that more and more people have been voting in the final few days of this contest. Turnout is surging.

A tory surge is that a couple of people?

 

[cryrst]

Small 'e'

They were just as strong back in the day 😂

 

[Living In Hope]

Make of it what you will, but I am CFO of a business employing 1,700 people which is already struggling to survive, largely because of government policy and inappropriate regulatory changes (one or two may guess the sector !). Our response to the budget will necessarily be:
1 further reduce headcount and minimise recruitment where possible;
2 almost no pay rises other than where mandated by government, but minimise numbers of low-skilled / low-3 paid colleagues because they are becoming disproportionately expensive;
3 increase prices to end customer;
4 minimise capital investment.

I am not sure this budget is a recipe for economic growth ! In fact the scale of lies and hypocrisy from this government, which claimed to be pro-business and said it wouldn't be aggressively tax-raising, is already on a par with the previous conservative one. Long live the victims' society !

 

[Stirlingsays]

Make of it what you will, but I am CFO of a business employing 1,700 people which is already struggling to survive, largely because of government policy and inappropriate regulatory changes (one or two may guess the sector !). Our response to the budget will necessarily be:
1 further reduce headcount and minimise recruitment where possible;
2 almost no pay rises other than where mandated by government, but minimise numbers of low-skilled / low-3 paid colleagues because they are becoming disproportionately expensive;
3 increase prices to end customer;
4 minimise capital investment.

I am not sure this budget is a recipe for economic growth ! In fact the scale of lies and hypocrisy from this government, which claimed to be pro-business and said it wouldn't be aggressively tax-raising, is already on a par with the previous conservative one. Long live the victims' society !

I and I'm sure others here hope your business survives the new business environment.

We haven't had a government that actually backs up their warm words on helping small businesses for such a long time.

 

[The Dolphin]

I haven't had time yet to read the whole of this thread but I am an Employer and this budget only makes things worse for us and our employees.
At the moment we can't raise prices because competition for work means having to keep prices down and all the while costs keep rising.
When you look at the budget as a whole it is a disaster for now and the future.
This budget has been all about the Public Sector - pure and simple - chuck more money at it with no changes in outcomes needed.
The best way they could have dealt with the Public Sector would be to give them nothing but ensure they saved a percentage of their costs.
That would mean redundancies but they are needed in a sector which is bloated and which prevents it working properly and providing the taxpayers with the services that they pay for.
Labour simply expect private business to pay for their feckless and irresponsible policies.
As a Political commentator said yesterday commenting on what he said pre-election - the Tories are no good but if the Country vote Labour then they will really see what a poor party they are.
We are now about to see serious damage to our once great Country.
Surely it is as easy to do the right thing as the wrong thing and yet this lot cannot be bothered.

 

[HKOwen]

No one who voted Labour has any right to complain, it was clear they were simply telling lies to get elected and thus it has proved.

The hubris and arrogance is of a level only usually found in Cornwall ( well in one individual )

 

[NMPalace]

As someone who works in the industry, I think we're quite relieved as we were expected worse.

The one which will hurt some people is the new rule around making DC pension savings liable to IHT from 2027.

There will be many people who have worked hard and saved and invested diligently into their pensions their whole lives, who treat their pension as a vehicle to pass wealth to their family. Poof! Suddenly gone.

For those young enough and in good health, pension savings could be used to buy life insurance to cover the IHT liability (set up to pay into trust), but the monthly premiums won't be cheap.

For those who are old/bad health, they won't qualify for life insurance. Doomed. Hundreds of thousands which you thought was going to your family instead going to HMRC. Tough pill to swallow.

At least they didn't touch the tax relief on pension contributions.

I disagree and this is a massive over-reaction.

I save in my pension for ME so i have a comfortable retirement income. I get attracting tax breaks for doing so - both on my contributions and when i retire.

I don't think anyone uses a pension as a way to pass wealth down the line, that's just a nice to have IMHO and of course wouldn't be possible if the DC pot was converted into an annuity at retirement which is often the case. In fact this was the only option until c10 years ago when Osborne updated the pension rules.

If i was to get divorced my pension would be included in my assets so i see no reason why my pension should not.

 

[HKOwen]

I disagree and this is a massive over-reaction.

I save in my pension for ME so i have a comfortable retirement income. I get attracting tax breaks for doing so - both on my contributions and when i retire.

I don't think anyone uses a pension as a way to pass wealth down the line, that's just a nice to have IMHO and of course wouldn't be possible if the DC pot was converted into an annuity at retirement which is often the case. In fact this was the only option until c10 years ago when Osborne updated the pension rules.

If i was to get divorced my pension would be included in my assets so i see no reason why my pension should not.

Please explain this?

 

[NMPalace]

No one who voted Labour has any right to complain, it was clear they were simply telling lies to get elected and thus it has proved.

The hubris and arrogance is of a level only usually found in Cornwall ( well in one individual )

Rubbish. Taxes would have to go up regardless as they have been doing under the Tories for years. The NI reduction offered by the Tories in the election was unfunded so clearly unaffordable.
Things like IHT and income tax thresholds haven't risen in years so that's a tax increase and CGT and dividend thresholds have been reduced drastically over the last few years.

The Tories called an early election because they knew things weren't going to get better in the short term and they deliberately didn't sort out doctors, train driver strikes etc so didn't have to make an allowance for it. Similar with the blood scandal and the Post Office payments.
Ultimately let someone else sort it out.

The NHS isn't working, schools are crumbling and the SEND provision is woeful.

No one wants to pay more tax but ultimately of we want a health service and decent schools, a fair welfare system etc there is a pay off.

Incidentally, Brexit supposedly cost us 4% GDP which is £100bn and the current interest charge on our debt (c100% of annual GDP) is £100 bn.

That's why whoever was in govt would have had few options to improve things in the short term

 

[silvertop]

Rubbish. Taxes would have to go up regardless as they have been doing under the Tories for years. The NI reduction offered by the Tories in the election was unfunded so clearly unaffordable.
Things like IHT and income tax thresholds haven't risen in years so that's a tax increase and CGT and dividend thresholds have been reduced drastically over the last few years.

The Tories called an early election because they knew things weren't going to get better in the short term and they deliberately didn't sort out doctors, train driver strikes etc so didn't have to make an allowance for it. Similar with the blood scandal and the Post Office payments.
Ultimately let someone else sort it out.

The NHS isn't working, schools are crumbling and the SEND provision is woeful.

No one wants to pay more tax but ultimately of we want a health service and decent schools, a fair welfare system etc there is a pay off.

Incidentally, Brexit supposedly cost us 4% GDP which is £100bn and the current interest charge on our debt (c100% of annual GDP) is £100 bn.

That's why whoever was in govt would have had few options to improve things in the short term

Agree a lot of this. And those who voted Leave are the ones now shouting the loudest at who is to blame.

However, I think the elephant in the room is that this has little to do with who is in power. We are a declining economy having to prop up an ever-ageing population and a behemoth NHS no longer fit for purpose.

One solution I can think of - which may at least slow the decline - is the free movement of literate European labour. But I am p1ssing in the wind with that argument as the reaction to this will no doubt demonstrate.

 

[Hrolf The Ganger]

No, not NF but Nigel Farrage, of course. I thought you'd know of whom I wrote.

You mean the same Nigel Farage who is under threat of death from an illegal migrant who may or may not be in this country?

You are on the wrong side.

 

[Stirlingsays]

Agree a lot of this. And those who voted Leave are the ones now shouting the loudest at who is to blame.

However, I think the elephant in the room is that this has little to do with who is in power. We are a declining economy having to prop up an ever-ageing population and a behemoth NHS no longer fit for purpose.

One solution I can think of - which may at least slow the decline - is the free movement of literate European labour. But I am p1ssing in the wind with that argument as the reaction to this will no doubt demonstrate.

I remember Niall Ferguson saying that a big reason why he voted leave was because of the EU's pro mass immigration and replacement policy....not that he himself used the word, 'replacement'. He regarded non European and expressly Islamic immigration into Europe as a direct danger to his wife as she was a target for radicals.

It's somewhat ironic then that under Johnson and indeed even with Farage that leaving the EU meant they were enthusiastic for non European immigration.....With Johnson not actually against mass immigration but enthusiastically being for it.....Indeed with Johnson mentioning his Turkish heritage.

However, if you look at immigration into Britain even before Brexit....if you look at France, Sweden and others you see mass immigration within EU countries, whole areas practically given away to imports. So this idea that being in the EU is some improvement is a false idol in my view. All you are doing is playing around with the speed limit and enacting boil the frog slowly tactics.

By telling our politicians to leave the EU the British people gave the political class a direct message that we didn't want the mass immigration they so clearly used for short term GDP economics.....This message was one that had been clear for many decades and a message they have wantonly ignored.

If we hadn't voted leave the lie could have always been made that the British people didn't care that much or even agreed with the elitist's actions in some way.

So I'm very proud of slightly more than half of the British people for roaring like a lion at the donkeys who betray them.

The donkeys are the ones who will not be blamed for nothing.

 

[steeleye20]

If the budget had been accompanied by an interest rate cut of, say 2%, still above the inflation rate of 1.75%, that would have provided the stimulus for ending stagnation.

There is actually hardly any in the budget, it is far easier to park the money in a high interest bank account than risk it in the economy.

'Many of Britain’s problems can be explained by the fact that 1% of the population owns more wealth than 70% combined. Despite its break with failed Tory economics, the budget did little to tackle this obscene inequality'.​

Accumulated wealth is generally saved and does not get into the economy, a 2% tax on over £10 millions would yield 24 billions and only affect 20,000 people hardly at all.

Capital gains tax not equalised with income tax, the BOE uses our money to subsidise commercial banks for no apparent reason , there is another 20 billons or so.

The logic of Ms Reeves NI hike can only be explained by the fact that they are an easy target.

It's many times better than Truss though, and we must repair our public services. a big chunk for rhe NHS went down well.


😎

 

[Rudi Hedman]

I remember Niall Ferguson saying that a big reason why he voted leave was because of the EU's pro mass immigration and replacement policy....not that he himself used the word, 'replacement'. He regarded non European and expressly Islamic immigration into Europe as a direct danger to his wife as she was a target for radicals.

It's somewhat ironic then that under Johnson and indeed even with Farage that leaving the EU meant they were enthusiastic for non European immigration.....With Johnson not actually against mass immigration but enthusiastically being for it.....Indeed with Johnson mentioning his Turkish heritage.

However, if you look at immigration into Britain even before Brexit....if you look at France, Sweden and others you see mass immigration within EU countries, whole areas practically given away to imports. So this idea that being in the EU is some improvement is a false idol in my view. All you are doing is playing around with the speed limit and enacting boil the frog slowly tactics.

By telling our politicians to leave the EU the British people gave the political class a direct message that we didn't want the mass immigration they so clearly used for short term GDP economics.....This message was one that had been clear for many decades and a message they have wantonly ignored.

If we hadn't voted leave the lie could have always been made that the British people didn't care that much or even agreed with the elitist's actions in some way.

So I'm very proud of slightly more than half of the British people for roaring like a lion at the donkeys who betray them.

The donkeys are the ones who will not be blamed for nothing.

Exactly. You left out Germany.

 

[Jacey]

Britain faces years of ‘muted’ growth after Reeves’ Budget, warns Moody’s

Credit rating agency warns Chancellor’s decisions will put debt on an ‘upward trajectory’

www.telegraph.co.uk

All appear to agree that the Budget is a total failure!!

 

[Rudi Hedman]

If the budget had been accompanied by an interest rate cut of, say 2%, still above the inflation rate of 1.75%, that would have provided the stimulus for ending stagnation.

There is actually hardly any in the budget, it is far easier to park the money in a high interest bank account than risk it in the economy.

'Many of Britain’s problems can be explained by the fact that 1% of the population owns more wealth than 70% combined. Despite its break with failed Tory economics, the budget did little to tackle this obscene inequality'.​

Accumulated wealth is generally saved and does not get into the economy, a 2% tax on over £10 millions would yield 24 billions and only affect 20,000 people hardly at all.

Capital gains tax not equalised with income tax, the BOE uses our money to subsidise commercial banks for no apparent reason , there is another 20 billons or so.

The logic of Ms Reeves NI hike can only be explained by the fact that they are an easy target.

It's many times better than Truss though, and we must repair our public services. a big chunk for rhe NHS went down well.


😎

They can’t reduce interest rates because uk bonds are being sold off because of the budget, which means yields and interest the government has to pay on the bonds goes up, meaning the bank lending rate increases. But yes, low interest rates would help, but not under tea lady at the BoE Rachel Reeves.

The NI hike being an easy target isn’t a good explanation for such a stupid decision.

Being an improvement on Truss is no great claim.

 

[Willo]

Britain faces years of ‘muted’ growth after Reeves’ Budget, warns Moody’s

Credit rating agency warns Chancellor’s decisions will put debt on an ‘upward trajectory’

www.telegraph.co.uk

All appear to agree that the Budget is a total failure!!

From Lord Goodman :

"Why are the markets reacting as they are? They don’t believe her!’ Lord Goodman says Labour are ‘not being clear about their plans’ and says we are seeing a ‘mirror image’ of Liz Truss in Rachel Reeves’ Budget"

 

[Hrolf The Ganger]

Rubbish. Taxes would have to go up regardless as they have been doing under the Tories for years. The NI reduction offered by the Tories in the election was unfunded so clearly unaffordable.
Things like IHT and income tax thresholds haven't risen in years so that's a tax increase and CGT and dividend thresholds have been reduced drastically over the last few years.

The Tories called an early election because they knew things weren't going to get better in the short term and they deliberately didn't sort out doctors, train driver strikes etc so didn't have to make an allowance for it. Similar with the blood scandal and the Post Office payments.
Ultimately let someone else sort it out.

The NHS isn't working, schools are crumbling and the SEND provision is woeful.

No one wants to pay more tax but ultimately of we want a health service and decent schools, a fair welfare system etc there is a pay off.

Incidentally, Brexit supposedly cost us 4% GDP which is £100bn and the current interest charge on our debt (c100% of annual GDP) is £100 bn.

That's why whoever was in govt would have had few options to improve things in the short term

We are in a spiral of decline.
It is hard to imagine what will fix that. We have to compete with countries who have slave labour and the capacity to produce at very low cost.
We have an immigration and border policy that has and is making us poorer.
We are struggling with an ageing population and no one in power is talking about tackling the ever falling birth rate.
Labour are resurrecting 1970s economics to repair our failing services and infrastructure. We will all pay more for increasingly less.

 

[steeleye20]

Low growth and high debt.

They are not necessarily a bad thing, present growth may already be unsustainable for the planet, more just heaps on the pressure, we may find life unsustainable with the present rate of global warming, much sooner than is realised.

Climate, the environment, not thought of in the economics of 50 years ago, is now the most important factor, you can see why on the telly practically every day, the planet does not have the resources for endless consumption.

By debt we mean government debt, which technically does not have to be re-paid, it is in fact the money supply, you could call it a credit balance, or even equity, even though it is debt.

Confused, so am I, not being an accountant.

So enjoy the low growth and high debt, it is happening anyway, it is necessary for our wellbeing!

🙂🙂🙂🙂







.

 

[Rudi Hedman]

Low growth and high debt.

They are not necessarily a bad thing, present growth may already be unsustainable for the planet, more just heaps on the pressure, we may find life unsustainable with the present rate of global warming, much sooner than is realised.

Climate, the environment, not thought of in the economics of 50 years ago, is now the most important factor, you can see why on the telly practically every day, the planet does not have the resources for endless consumption.

By debt we mean government debt, which technically does not have to be re-paid, it is in fact the money supply, you could call it a credit balance, or even equity, even though it is debt.

Confused, so am I, not being an accountant.

So enjoy the low growth and high debt, it is happening anyway, it is necessary for our wellbeing!

🙂🙂🙂🙂

Sorry, but what on earth are you on about? I get what you’re saying about the environment but low growth and high debt are bad.

Government debts may not have to be paid down to zero, because they’ll always borrow, but they do have to be repaid. I don’t think you understand why and how the uk gilt bond market rejected the budget, sold off bonds and that makes borrowing for businesses more expensive and less likely to happen and employ people.

You are a leftie so you’re no different to millions of others tbf.