Si1 Posted August 31, 2020 Share Posted August 31, 2020 (edited) Simple question, will the govt kick the national debt can down the road or raise taxes significantly in the next year or so? Edited August 31, 2020 by Si1 Quote Link to comment Share on other sites More sharing options...
Dorkins Posted August 31, 2020 Share Posted August 31, 2020 Tax hikes seem unlikely, Boris and Cummings are all about popularity and winning at all costs so I can't imagine a bit of national debt which costs almost no interest to service and which will almost entirely be the next guy's problem will bother them. Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 31, 2020 Author Share Posted August 31, 2020 1 minute ago, Dorkins said: Tax hikes seem unlikely, Boris and Cummings are all about popularity and winning at all costs so I can't imagine a bit of national debt which costs almost no interest to service and which will almost entirely be the next guy's problem will bother them. Long term implications being? Quote Link to comment Share on other sites More sharing options...
Dorkins Posted August 31, 2020 Share Posted August 31, 2020 8 minutes ago, Si1 said: Long term implications being? 200% public debt to GDP ratio like Japan, not that I think it will matter to the ordinary person's daily life. Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 31, 2020 Author Share Posted August 31, 2020 Just now, Dorkins said: 200% public debt to GDP ratio like Japan, not that I think it will matter to the ordinary person's daily life. The Japanese economy has been moribund for decades with limited life chances and housing options for the young, I believe. Quote Link to comment Share on other sites More sharing options...
Dorkins Posted August 31, 2020 Share Posted August 31, 2020 I think all this tough talk about the next budget is expectations management, so when they actually announce a fairly flat budget people will breathe a sigh of relief. If they announced a flat budget without doing this groundwork people might get annoyed that the government wasn't 'doing more to help' i.e. opening the spending taps. The taps will only open in 2023 to pump prime the 2024 general election. Quote Link to comment Share on other sites More sharing options...
Dorkins Posted August 31, 2020 Share Posted August 31, 2020 1 minute ago, Si1 said: The Japanese economy has been moribund for decades with limited life chances and housing options for the young, I believe. An island nation with zero economic growth and rough life chances for the young, sounds familiar. Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 31, 2020 Author Share Posted August 31, 2020 1 minute ago, Dorkins said: I think all this tough talk about the next budget is expectations management, so when they actually announce a fairly flat budget people will breathe a sigh of relief. If they announced a flat budget without doing this groundwork people might get annoyed that the government wasn't 'doing more to help' i.e. opening the spending taps. The taps will only open in 2023 to pump prime the 2024 general election. The taps have already opened with an interest rate cut, more term funding, furlough, eat out to help out, increased benefits, haven't they? Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 31, 2020 Author Share Posted August 31, 2020 Roger Bootle makes the point here that tax rises should be seen as part of an overall tweaking of the system to a tax system that promotes growth and not tax sheltering schemes involving debt etc. He does support gradual adjustment of capital gains tax to the levels of income tax, but no all in one go as it would constitute a shock. https://www.telegraph.co.uk/business/2020/07/19/diy-approach-tax-wont-work-uk-needs-structured-path/ Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 31, 2020 Author Share Posted August 31, 2020 Roger Bootle makes the point here that tax rises should be seen as part of an overall tweaking of the system to a tax system that promotes growth and not tax sheltering schemes involving debt etc. He does support gradual adjustment of capital gains tax to the levels of income tax, but no all in one go as it would constitute a shock. https://www.telegraph.co.uk/business/2020/07/19/diy-approach-tax-wont-work-uk-needs-structured-path/ Quote Link to comment Share on other sites More sharing options...
byron78 Posted August 31, 2020 Share Posted August 31, 2020 Tax hikes for you proles are indeed coming. I think we'll be okay. Quote Link to comment Share on other sites More sharing options...
shlomo Posted August 31, 2020 Share Posted August 31, 2020 37 minutes ago, byron78 said: Tax hikes for you proles are indeed coming. I think we'll be okay. Happy to see you are back. Quote Link to comment Share on other sites More sharing options...
koala_bear Posted August 31, 2020 Share Posted August 31, 2020 I'd expect some large council tax rises in April as most councils are effectively broke and the government can blame it on local council mismanagement... Staines at the the top of the list. Quote Link to comment Share on other sites More sharing options...
“Nasty Piece of work” Posted August 31, 2020 Share Posted August 31, 2020 Why sh1t the bed, make you and your Party toxic, and take the blame, when you can leave a smelly mess for those that come after (who might even be a different hue). Quote Link to comment Share on other sites More sharing options...
scottbeard Posted August 31, 2020 Share Posted August 31, 2020 If I were in government I would be concentrating now on: - Introducing taxes I've wanted for years but not been politically able to push through, badging them as "necessary due to COVID" (whether they are or not) - Introducing measures that make it look like I was doing something fiscally responsible in light of all the furlough etc giveaways (even though the giveaways were massive and the measures may or may not be) So expect some tax rises, but not game-changing. Quote Link to comment Share on other sites More sharing options...
AAA Posted September 1, 2020 Share Posted September 1, 2020 Only rich homeowners and rich landlords can afford to pay more raxes in the current situation. However, most of our goverment officials and MPs are rich homeowners and/or rich landlords. Will they raise taxes for themselves? I really doubt they will. Quote Link to comment Share on other sites More sharing options...
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