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Tax credits cut 'affects 120,000 NI households'

http://www.bbc.co.uk/news/uk-northern-ireland-34384214

The analysis suggests the average loss per household will be £918 per year.

Currently tax credits payments start to reduce, or taper, once a family income reaches £6,420. From April 2016 the threshold at which payments taper will be £3,850.

There are currently 109,000 claimants in Northern Ireland who are earning above the £6,420 threshold and have a 'tapered' tax credit award. Once the threshold is reduced to £3,850, these claimants will have their tax credit award tapered further.

An additional 12,000 claimants will also become subject to the taper once the threshold is reduced to £3,850.

The DSD analysis also looks at other welfare changes announced in the budget, including the freeze in most working age benefits up to 2020. Using an assumption that welfare reforms will ultimately be introduced in Northern Ireland, it estimates that the July budget will take £206m off the welfare bill in 2016/17, rising to £361m in 2019/20.

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Renewable energy: Subsidy cuts 'could cost 10,000 jobs'

http://www.bbc.co.uk/news/uk-northern-ireland-34434477

Government-backed incentives for wind power and other energy sources are due to end within 18 months.

Michael Doran of Action Renewables told the BBC's Inside Business programme that some people who had invested in wind turbines faced massive losses.

He said jobs would be lost unless a replacement incentive was introduced.

He is a director of the organisation which advises provide expert advice on renewable energy to both the government and commercial investors.

"I'm aware of 15 individual farmers who've already bought wind turbines which they now will not be able to put in because they don't have the grid connection from NIE [Northern Ireland Electricity]," Mr Doran told the programme.

"Those have cost them between £100,000 and £200,000 each already - so already I'm aware of individuals who have lost over £1m.

"My guess is, if there is nothing to replace the renewables obligation whatsoever, it would lead to between 5,000 and 10,000 job losses within Northern Ireland - it's significant."

Last week, it was announced that the current subsidy system for on-shore wind energy in Northern Ireland is set to end next April, a year earlier than planned.

Stormont's Enterprise Minister Jonathan Bell started a two-week consultation on the proposal.

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The way we buy cars today - the rise of personal contracts

http://www.bbc.co.uk/news/business-34383082

So popular have the new PCP deals become that, in the twelve months to July 2015, 705,000 people used them to buy new cars.

That was nearly 59% of all private new cars sold in the UK during that period.

Apparently more than 80% of Mercedes sales in the UK now take place via this sort of deal.

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The way we buy cars today - the rise of personal contracts

http://www.bbc.co.uk/news/business-34383082

So popular have the new PCP deals become that, in the twelve months to July 2015, 705,000 people used them to buy new cars.

That was nearly 59% of all private new cars sold in the UK during that period.

Apparently more than 80% of Mercedes sales in the UK now take place via this sort of deal.

It's the norm now. Look at a car ad, the price is in the small print (if at all), the headline figure is the monthly cost. Even that is generally false as it is a convoluted number using the absolute base model with a huge deposit and small lease term to make the monthly numbers seem reasonable (business users only). Edited by martymcfly

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More jobs paying below living wage

http://www.bbc.co.uk/news/business-34505114

The ONS figures show that the proportion of jobs paying below the living wage has grown.

In 2014, young adults were most likely to be paid less than the living wage. Some 58% of jobs carried out by 18 to 24-year-olds outside of London and 48% of jobs in this age group in London were paid less than the living wage.

In accommodation and food services in 2014, an estimated 65% of jobs paid less than the living wage in London and 70% in the rest of the UK.

Northern Ireland had 29% of jobs paying below the living wage, the highest in the country.

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Northern Ireland behind regional rivals despite growth in all sectors of economy

http://www.belfasttelegraph.co.uk/business/news/northern-ireland-behind-regional-rivals-despite-growth-in-all-sectors-of-economy-31600185.html

"The construction sector has seen a return to growth in output and orders in September. However, it continues to lag, and was the only sector to report a contraction in activity, orders and employment over the third quarter.

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15% of businesses 'can't afford to pay new living wage'

http://www.belfasttelegraph.co.uk/news/northern-ireland/15-of-businesses-cant-afford-to-pay-new-living-wage-31605993.html

Meanwhile, the survey also revealed a loss of momentum in Northern Ireland's economic recovery with a deterioration in the performance of both the manufacturing and service sectors.

Business confidence, competition and exchange rates were among the major worries highlighted in the survey.

Peter Burnside, managing partner with business advisors BDO, said the results reflected the precarious state of the economic recovery. "The pace of economic recovery has slowed across the UK and this survey shows growth has slowed locally as well and that is disappointing.

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Surprised there has been no discussion here on Corp Tax down to 12.5% ( same as the South ) from 2018.....

Personally I think this is the best news I have heard in all my time in NI.

We only need to look at the South where the Irish Government had expected to take in €4.6 billion in corporate tax in 2015 but already are running €2 billion ahead of target, it could return this year to the peak of €6.7 billion that was collected in 2006, before the financial crisis began....

Edited by getdoon_weebobby

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Surprised there has been no discussion here on Corp Tax down to 12.5% ( same as the South ) from 2018.....

Personally I think this is the best news I have heard in all my time in NI.

We only need to look at the South where the Irish Government had expected to take in 4.6 billion in corporate tax in 2015 but already are running 2 billion ahead of target, it could return this year to the peak of 6.7 billion that was collected in 2006, before the financial crisis began....

Sorry Bobby but NI is not the Republic. We're 35 years behind. The headline rate in the south may be 12.5% but the multinationals aren't paying that. Financial services are also exempt from the ni cut. I think this could be an absolute disaster.

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Need to read the detail but it could well attract companies into NI rather than Roi (Euro Land) or the rest of the UK.. Many people believe it is a game changer but the politicians here are more excited about protection of benefits.

I do not agree at all that we are 35 years behind the republic..

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I think the lower corporation tax will attract new employers and help existing ones but it's over 2 years away from implementation. I would like to see lower energy costs and grants for startups in addition to research funding for local universities which have had their research funding slashed. Low tax alone will not create a strong private sector. How the welfare cuts and civil service cuts affect things needs to be factored in. For sure lots of people will be worse off. I can't see a boom coming but lower corporation tax should be good for jobs and give us more options but it's not going to be good for everyone. A significant period of change is likely where there are fewer public jobs, scarcer benifits, how many of those people will be mopped up by new businesses? Not many I think.

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How can 12.5% corp tax be deemed a disaster ?

Surely a 12.5% rate of corp tax shows a country building a climate that attracts and retains multinationals

Northern Ireland will STILL retain the most generous social welfare system in the United Kingdom

Future employment growth will only come from the private sector and reducing the rate to 12.5% will create tens of thousands of jobs

NI will be a gateway into the safety of the UK at a lower rate of tax

Look at the rates of Corp Tax globally and there are not many countries with a lower rate , certainly not many in stable countries.

Loads of Multinationals will become aware of the rate and set up a HQ or factory here to take advantage of the low tax and low wages ( though wages could rise in due course the more successful the corp tax is)

A very brave move and the first time I have really felt positive about something Stormont has achieved

Edited by getdoon_weebobby

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How can 12.5% corp tax be deemed a disaster ?

Surely a 12.5% rate of corp tax shows a country building a climate that attracts and retains multinationals

Northern Ireland will STILL retain the most generous social welfare system in the United Kingdom

Future employment growth will only come from the private sector and reducing the rate to 12.5% will create tens of thousands of jobs

NI will be a gateway into the safety of the UK at a lower rate of tax

Look at the rates of Corp Tax globally and there are not many countries with a lower rate , certainly not many in stable countries.

Loads of Multinationals will become aware of the rate and set up a HQ or factory here to take advantage of the low tax and low wages ( though wages could rise in due course the more successful the corp tax is)

A very brave move and the first time I have really felt positive about something Stormont has achieved

The multinationals have already moved to ireland. Their effective tax rate is less that 3% when using the double Irish. Multinationals think longterm, they are slow movers. Facebook, Google, eBay et al already setup their European headquarters in Ireland, they are gone, they won't be attracted to little NI. We're lightyears behind the Republic on this and it's stupid to play catchup.

And it's a disaster because the "missing" tax has to come from some other place. Are we going to raise business rates? Perhaps take the money from the health service?

10s of thousands of jobs? Who says? The CBI? Their last head of NI got caught sending 7 million to the Isle of Man.

Edited by 2buyornot2buy

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Think the corporate tax cut is a major risk and I don't know if it will work but don't what else can be tried.
Even with a largest budget (per person) than any other part of the united kingdom we still can't balance the books.
To fix this and to fund extra welfare payments/decrease corporation tax the solution is to cut the public sector by 20,000 people.

We are also borrowing money to do this

Whether we think this is possible or even a good thing it still means £500 million per year out of the local economy and 20,000 less jobs.

Nobody is expecting the private sector to create this number in the same period - in fact job losses in the public sector will make this harder in the short term - the hope is that long term it will and more.

Loads of risks in this choice

If we don't have enough people with the right skills - you can't attract the employers - may be becoming a problem in IT already.

We need to attract more manufacturing but if the transport and energy costs are still too high - will we?

We would like to attract highly skilled well paid jobs but we also need jobs for people that doesn't have these skills maybe just not so well paid but more likely to take people off the hope zapping dole - what would these jobs be?

In some ways it can be described a brave move but it could also end in disaster - i haven't heard any real alternative.

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Think the corporate tax cut is a major risk and I don't know if it will work but don't what else can be tried.

Even with a largest budget (per person) than any other part of the united kingdom we still can't balance the books.

To fix this and to fund extra welfare payments/decrease corporation tax the solution is to cut the public sector by 20,000 people.

We are also borrowing money to do this

Whether we think this is possible or even a good thing it still means £500 million per year out of the local economy and 20,000 less jobs.

Nobody is expecting the private sector to create this number in the same period - in fact job losses in the public sector will make this harder in the short term - the hope is that long term it will and more.

Loads of risks in this choice

If we don't have enough people with the right skills - you can't attract the employers - may be becoming a problem in IT already.

We need to attract more manufacturing but if the transport and energy costs are still too high - will we?

We would like to attract highly skilled well paid jobs but we also need jobs for people that doesn't have these skills maybe just not so well paid but more likely to take people off the hope zapping dole - what would these jobs be?

In some ways it can be described a brave move but it could also end in disaster - i haven't heard any real alternative.

Just want to say i agree with you. The unskilled need unskilled work.

The shipyard, semi skilled afctories like getty connections all provided work for unskilled people which are now on the dole. The work went to china IIRC. If the civil service cuts happen NI is finished.

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  • 395 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%



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