Jump to content
House Price Crash Forum

How Would You Fix The Uk?----Merged Threads


Recommended Posts

  • Replies 198
  • Created
  • Last Reply

Top Posters In This Topic

The thing is, you call them unfunded, but from the point of view of the nurse who worked 60 years paying into it... the scheme is funded. Your saying we should say "everyone lied to you tough luck" rather than saying "Mr Boomer you made these promises now YOU not your grandchildren have to cough up". Ultimately, the problem with pensions, is you can deny them and devalue them, but the people still need housing feeding and clothing.

they are unfounded from the point of view that they haven't been funded by a plan .

Of course I accept that nurses ( of course it's always nurses , just like the poor widow in the LVT debate, but anyway)

Have 'funded' via their labour.

This is why they get the equivalent of a money purchase scheme that assumed 10% of their pay over the life along with prevailing tax relief .

Of course they need feeding and clothing and if a nurse has had an average wage over 40 years of pay of 16k, they would conceivably have a pot of around 400k or so with growth included since 1973. This would give them about £100k lump sum and an extra £15k a year on top of their state pension . This would still make them very rich relative to their peers .

(admittedly my numbers are pretty screwy but I lo balked the wages and hi balked the growth ) its still not inconceivable that 10% of wages for a professional plus tax relief would have raised 400k in the last 40 years .

Edited by Sir Harold m
Link to post
Share on other sites

Build new houses zoned for first time buyers at a discounted rate. This will help the youngsters build some equity and give them a chance to get on property ladder

Couple this with punitive taxation on buy to let and rent controls so the landlord can't pass the tax burden onto the tenant

This would be a start

Link to post
Share on other sites

Build new houses zoned for first time buyers at a discounted rate. This will help the youngsters build some equity and give them a chance to get on property ladder

Couple this with punitive taxation on buy to let and rent controls so the landlord can't pass the tax burden onto the tenant

This would be a start

Landlords can't pass taxes onto tenants by increasing the rent. If they could increase the rent, for any reason at all, then they would already have increased the rent.

Economically, rent is a tax, not a price. It set by the Laffer curve, not by the usual price mechanisms.

Link to post
Share on other sites

Monetary policy in the UK is stuck in a catch 22.

QE is not necessarily bad - it is misdirected and gravitates around property.

The solution needs to be more sophisticated, perhaps even radical, a debt jubilee. Here is how a debt jubilee could work:

Give every legal person in the UK a choice:

Either half residential UK mortgage debt

Or double UK cash savings deposits

Funding for this one-time only debt jubilee comes from new money issued by the BoE (QE) underwritten not by government/public debt but by bank/corporate debt to be repaid through a time bound levy on financial institutions in form of a new financial services tax on shareholder dividends, employees bonus & salaries.

Crucially, a sales tax of 50% on the selling price of residential property, payable by the seller to the buyer, is introduced without exception. This fund will be credited to the buyer as long as he’s the owner occupier and was a UK resident (primary residence) on the day of the jubilee announcement. Otherwise the fund goes to the BoE to be taken out of circulation (= QE debt paid off). Stamp duty remains payable by the buyer on the entire purchase price.

A similar system is introduced to rentals.

This has three big advantages:

interest rates can increase again but house prices wont need to correct (avoiding all the bad consequences).

the economy will grow again - people have more spending money in their pocket

it is fair

It may take a while to work out the details (especially how to avoid the build up of another asset bubble in the short term until a proper fiscal reform is introduced).

Could this do the trick ...?

Link to post
Share on other sites

To fix it you need a global solution I think.

Bankruptcy for planet earth.

Full reserve banking.

Illegal for the state to borrow money or tax more than 10% of profits.

The right to opt out of state completely. Not pay tax but get no benefits, housing, healthcare, etc.

No limited liability companies allowed.

Give me a few million.

Link to post
Share on other sites

Some alternative suggestions (and yes, I am almost serious):

Join the Eurozone

Join Schengen

Abandon the nuclear weapons programme

Dissolve the monarchy and the UK government

Give all powers that can be delegated downwards to regions and councils

Make aristrocracy (incl. their titles) illegal, nationalise their estates to be used for building houses on them where appropriate

Sell the Falkland islands and similar overseas possessions - they are a relict of a time gone by

Scrap public pensions (replace them with defined contribution pensions)

Edited by Lion
Link to post
Share on other sites

Join the Eurozone

Join Schengen

as far as I am aware, what economic studies there are suggest that joining the euro would only create a overall one-off boost to GDP of a few percentage points. Some countries are probably winners and others loser. (I can't quote any, it's just the sort of stuff I vaguely remember reading, but if anyone knows of serious economic studies on the subject, I'd be interested to have alook)

Sell the Falkland islands and similar overseas possessions - they are a relict of a time gone by

The Falkland Islands belong to the people who live there, and they have asked us to protect them, because they are constantly threatened by a regional power that has been a military dictatorship for much of its history, and looks to be heading the same way again. If you wan't to sell stuff that doesn't belong to you, then I assume you will also be willing to throw any property you do own into the pot, for the benefit of the rest of us, (or at the very least, not come squealing to us if Argentina tries to annexe it). I must amit though, if I was a Falklend Islander, I wouldn't trust the UK further than I could throw it. I would be making attempts to form an alliance with the USA,

Dissolve the monarchy and the UK government

Give all powers that can be delegated downwards to regions and councils

Make aristrocracy (incl. their titles) illegal, nationalise their estates to be used for building houses on them where appropriate

Potentially good ideas, but I don't think they're going to solve our short term financial woes. [edit] Actually , I guess we could make a bit from selling of Buck palace and seizing the Charles' cookie manufacturing assets.

Edited by BigPig
Link to post
Share on other sites

more in debt by £110,000,000,000 each year....

there are 26 million income tax payers, which means the average tax payer only needs to pay £4200 per year more tax to stop the country from going further into debt each year? or we need to save 4200 per tax payer in service cuts (and this is the problem, and this shows you the stupid position the country is in). In summary nothing will be done and the markets and currency will adjust to make us all £4200 PA less well off..

Edited by AteMoose
Link to post
Share on other sites

I would also restructure the state school system so that parents could contribute to the cost of their child's education in return for attending a school with smaller class sizes. Basically it would be a middle ground between state funded education and private schools.

It would alleviate a significant cost on the state and also reduce the pressure on the current state system by creating a new tier of education for middle class families that cannot afford private schools but would be willing to pay 500 pound a month so that little jonny actually learns how to read and write

Link to post
Share on other sites

Return the right of people to protest anywhere public.

Make lobbying illegal and ban political parties.

Make MPs publish all business interests, tax affairs, and expenses in detail on the net.

Cap MPs pay at 3 x the median UK wage. No expenses. No subsidised housing or food.

Block of flats for MPs to live in London if required (basic bed, chair, wifi etc). No second homes on tax payer.

Bring back glass-steagall.

Computer voting, in direct democracy to be phased in.

Land tax.

Public sector salaries on anything over 20k to be cut in half. Max public sector pay 50k.

Trails to be started immediately for anyone suspected of committing banking fraud or to have fiddled expenses in any way.

Diego Garcia to be given back to the rightful inhabitants.

Immediately pull all troops out of all foreign wars and disband and close all foreign airbases.

Overseas aid to cease immediately.

All corporations to pay taxes (or told to ****** off).

Edited by Lewis Gordon Pugh
Link to post
Share on other sites

Lots if good stuff. Just like to add.

Cap railway fares. Maximum fare for any UK based journey should be no more than £20 per day for a return journey.

Sponsor every school child to learn a foreign language and learn a musical instrument.

Fund this through stopping foreign wars and cutting foreign aid.

Ban mortgages on second homes.

Link to post
Share on other sites

Replace the party poltical system with Gnosicracy - the rule of knowledge. Gnosicracy is gnosis (knowledge) + cracy (rule) and pronounced 'No Secrecy'. It is a system whereby those among the electorate who best understand a subject (and this knowledge is ascertained by way of testing) have most say in it.

Edited by nmarks
Link to post
Share on other sites

A radical home ownership amnesty :-

  1. If you live in it, you become the outright owner. All mortgages written off. Tenants become owners.
  2. If you own more than one home, one of the spare ones goes to a homeless person, or an adult living at home with parents.
  3. Financial institutions and mortgage lenders would be compensated via QE injections, staggered over the lifetime of the mortgage assets they lost, minus any QE they've already benefitted from.
  4. Landlords who weren't leveraged and had lots of equity in their rental properties would be compensated in a similar way.
  5. Ban future Buy To Let activity except where the landlord can prove they are providing a genuine service to the tenant. (provision of temporary homes for seasonal workers, students etc.), or where they have built the property in the first place, using all their own money.
  6. Second home owners are compensated through tax breaks or increased pensions, paid for by the savings in housing benefits and cost of helping the homeless.

Benefits :-

  1. Housing benefits bill slashed to zero overnight.
  2. The single biggest expense for normal people would be removed, allowing them to work for lower wages, increasing business competitiveness
  3. Households have more money left to spend in the economy.

Winners :-

  1. Business, and 90% of the population.

Losers :-

not sure..

There are bound to be some flaws in this, but maybe it's a good starting point?

Edited by ManVsRecession
Link to post
Share on other sites

Privatise the royal family. It's got to be more efficient than having an inneficient state run monarchy.

Legalise and licence drugs. We can open up supply lines with our contacts in Afghanistan and supply medical grade diamorphone (duty paid, natch) and cut out all the criminal gangs that cost the tax payer billions a year in a 'war on drugs' that cannot be won.

Edited by sossij
Link to post
Share on other sites

Replace the party poltical system with Gnosicracy - the rule of knowledge. Gnosicracy is gnosis (knowledge) + cracy (rule) and pronounced 'No Secrecy'. It is a system whereby those among the electorate who best understand a subject (and this knowledge is ascertained by way of testing) have most say in it.

Isnt that just the EU's technocracy.

So the police want a big brother police state

The quacks want a calorie controlled health state

etc etc

Sounds just wonderful. Academics who cant even survive outside of a lecture theater get to run things.

Link to post
Share on other sites

Abolish fractional reserve banking;

Outlaw usury;

Remove membership with central banks - IMF/BIS/BOE, etc;

Treasury to be in charge, who create money only enough to facilitate trade, and to create it interest/debt free;

Raise base interest rates (to at least 2.5% if not more to curb inflation);

Have a debt jubilee;

Lower the tax rate on fuel duty;

Lower the tax rate for the lower tax band;

Increase the tax rate for the higher tax band;

Close down loopholes on tax evasion, and penalize companies who are caught;

Pay freeze and cap on MP's pay;

Tax on multiple house/property ownership;

That's all I can think of now.

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
  • Recently Browsing   0 members

    No registered users viewing this page.

  • 439 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.