Cost of Living Crisis

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A man who doesnt care about starving children, you would think you were tough enough to take it. Also, you would think it an accurate description.

 

Well , there you go kid, you are doing my work for me, thanks.... x

 

Average savings are not the same as average worker though are they. If there are 200 people who earn 20million a year then when you take their overall savings and put that against every top earner you come out with something called an average.

 

No they're not.

But regardless of how you define it the article still didn't say it. Not quite sure why you're going round in circles.

 

I said i just did a quick google FFS. I literally put that disclaimer out there. You are the one who is focussing on that article and not the wider point about average savings.

I can reangle to argument quite easily...

A millionaire has been given £50,000 back from the gov whereas you and I got £250. Doesnt even pay for broadband.

The millionaire will do a lot of good with that money wont they? buy a new car (trickle down), buy a new extension (trickle down)

Or

The govt could use that money and invest it into something valuable. Actual infrastructure projects that benefit everyone for years to come. Actual NHS services such as midwifery which has just stated it owes £8billion in compensation due to mistakes that can be attributed to a chronic lack of investment. There are hundreds of better uses from a national infrastructure perspective that would do the same trickle down effect than giving rich people more liquidity.

I dont understand why you see this as a good thing unless you are either a selfish millionaire, or a selfish earner over £150k. If you earn less than £150k and think the country can grow with this appalling economic model then wow what went wrong in your life?

 

But the general point about average saving is likely wrong. That's my point. It doesn't make logical sense for the average top rate income tax payer to make a million pounds a year.

But also not every millionaire will get back £50k because not every millionaire earns a million pounds a year.

But I'm actually fine with people keeping more of the money they earn whether they earn 35k or 800k. When you view the actual totals that these people pay if don't view them as particularly low. Its not always about me, just cos I don't earn 150k a year doesn't mean I want people who do to be punished for it, I'm not that envious.

If the keeping of the top rate of income tax could fund the NHS or stop anyone being hungry then absolutely fine. But it completely can't.

 

Envy? Its just decency - if you earn 150k a year then you either have an amazing skillset that will see you fine anyway or have had some privilege which gave you a head start in the first place.

I personally would have no qualms about paying more tax and I already pay a high rate and am happy with that.

I dont necessarily want my taxes to go into the pockets of dross who would buy drugs with it or something else undesirable. But i want northern powerhouse rail. Or a through train station in bradford. More motorways. More wind power and effective public services such as transport or being able to see a doctor without waiting forever.

Cutting taxes wont pay for any of that. It will stimulate more consumer spending which itself in inflationary. It wont create more jobs and certainly not more than would have been employed by big government projects.

I want to give us northerners what was promised to us and pay for it by retaining the 45%. You want to give lots of wealthy southerners more money to spend on pointless things in an area of the country we will see no benefit. Its a bit weird.

 

You need to figure out what the reduction of the 5F income tax will actually cost.

When you do you'll see that all the big infrastructure things that you want.....and I want to be fair.....can't be funded by messing around with the tax of the top 1%.

I genuinely feel that they pay more than enough. Is it something like 35% of all income tax is raised from higher rate payers and that's before you get into stamp duty, VAT, inheritance tax, etc, etc that they'll obviously pay disproportionately more off too. At some point you have to let people spend the money they earn.

 

Never agreed with different percentage of tax to be paid depending on earnings.

Someone earning say £250k per annum is still going to pay a hell of a lot more than someone on say £25k even on same percentage.

 

Yeah sure. It's all about global trends and sod all to do with the government's ineptitude. The Financial Times disagrees, however:

https://www.ft.com/content/712db0d4-d99d-4ac6-a8e2-e1a060307aef

However you want to look at it, most people, apart from very high earners, will be worse off as a result of last week's 'financial event' and the consequent market reaction to it. A £200 tax cut will be easily outweighed by the additional fuel, food and housing costs that are coming down the pipeline due to higher inflation, interest rates and the plummeting pound.

 

Quite right too. They can afford it.

 

But that's only because you're allocating the "Financial Event" to the budget......but if that's the truth why had every other market followed suit?

Whether the FT or any other opinion piece agrees doesn't really matter. The facts are that everyone has had the same drop at the same time.

As a whole you're right but the things that are causing the massive negative reaction are clearly global.

 

The pound has crashed dramatically since Friday. Not just against the dollar but it's also falling against other currencies. As a direct result of the mini budget. Only you seem to be denying the reality of that.

 

https://www.theguardian.com/business/2022/sep/26/shock-after-shock-how-the-weaker-pound-could-affect-you?CMP=Share_AndroidApp_Other

Good luck spending your £200 tax cut.

 

Sorry you'll have to give me an example. It was 1.14 Euro on Thursday and is 1.12 today.

It's was 1.7 AUD On Thursday and it's 1.66 today.

Is that a dramatic crash?? The amount of borrowing should spook any investors obviously but let's keep it in proportion surely.

 

So why do the graphs that I posted yesterday showing the exact same trajectory exist then?

Show me a currency against the dollar that looks different over the last month or the last 5 days.

 

Who cares about who is reporting it? Surely by now we know that they push stories to gain maximum interest and exposure regardless of detail.

We can see it with our own eyes though. All the exchanges and graphs are there at our finger tips and the all look basically the same.

Yes the market reacted to the ridiculous amount of borrowing at the uncertainty that brings on Friday but nowhere near a tanking or a crash and almost perfectly in keeping with the remainder of the markets around the world.