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About LinkBacksRead more.To come into effect on January 4, 2011.
Read more.To come into effect on January 4, 2011.
Comes as no surprise considering the state of the economy.
Harsh times ahead.
Last edited by vicar; 22-06-2010 at 10:21 PM.
Deo Adjuvante non Timendum
#&?$%!
My overall response to the budget was 'meh'
Probably a good thing and suggests he's probably pitched it about right.
At the end of the day people will moan because it effects them, what they dont care about is the state of the country..
The opposition will slag the budget off.
People will moan.
tbh if they have worked the figures out properly and the country is debt free by 2016 then I dont mind, everyone seem to be selfish about it but dont seem to get that its for the good of the country.
Harsh times yes but if it were a family that were in a similar state then they would have to make cuts so it makes sence to me for the country to do the same..
Facebook put the UK populous into perspective:
#facepalm#**** ***** "'Unemployed people will see their Housing Benefit cut by 10%, after 12
months of claiming Jobseekers Allowance from April 2013.
' << ****ers!" "
It would help if 60% of those people weren't just trying to scrounge off the state in the first place, they should have it cut to 10%, not by 10%... (i'm talking long term unemployed who're fully capable of working)
20% of them are actually trying their damnedest to find work and should be supported to the full extent...
20% are at-least attempting to find work and should be helped out...
Take the money off the feckless and put it back into the hands of the decent folk (easier said than done, i know...)
How have we got into a state where sponging off everyone else's hard work is acceptable?
*this post contains made up percentages*
Post Counts and Other Rewards, Rules, Folding@Home, Fans: Push vs Pull vs Push-Pull, Corsair PSU OEMs.
TAKTAK.co.ukOriginally Posted by razer121
people may moan about the VAT rising to 20%, but it sure makes some of the math questions on the exam easier
our boiler broke so we has no heating or hot water, this is the bloody result ^^
^ funny lol.
20% VAT is a bad one, I'll be holding back on new tech for at least a year and maybe even longer now.
You know it only raises in January, right?
To be honest the change in the pound/dollar has had far more effect on the price of computer components here than the change in vat will.
(\__/) All I wanted in the end was world domination and a whole lot of money to spend. - NMA
(='.*=)
(")_(*)
Quite a big "if" at the start of that, though ... especially in relation to the projected growth figures.
The things is ... nobody (and I mean nobody) knows what the effect will be. The ConLibs don't when they say this is best, and Labour don't when they say their plan is best.
There are risks from taking these measures, and there are risks from doing as Labour want and not taking them ... or to be more accurate, not taking all of them.
What it comes down to is that we, as a country, are in the poop. We have a honing great debt problem, and it's compounded by a honking great deficit problem. These are both due to a combination of atrocious economic management by Labour, and the compounding effects of the banking crisis which, while not the cause of our problems, sure made them a lot worse .... though perhaps it did us a favour by bringing it to a head.
Either way, it has to be dealt with. All the major parties agree on that, including Labour. And they all agree that the solution is going to be painful. They just disagree on quite how painful to get. In a nutshell, the Tories are saying 'deal with it quickly and get it over with', and Labour are saying 'less pain, but for longer'. Either way, it's going to be unpleasant. If it gets no worse than our computer and TV toys costing 2.5% more, we ought to thanks our lucky stars. The real questions are things like the impact on unemployment, and on growth. The only way out of this mess that doesn't involve very severe cuts to essential services, and for a very long time, is to grow our way out. In that respect, Osborne's budget was actually far more clever than I would have given him credit for. It was pretty well thought out, and pretty well presented too. He, and his team, did better than I expected.
That £1000 computer will now cost £1021.28... So what.
The end of the day it will effect us all slightly, but really help the country. Go for it.
Sadly we will not be debt free by 2016, by that point our incoming and outgoings will be the same. If it then continues we might start paying down the debt however it is STILL going to grow in the mean time. Personally though there are a number of windfalls the government could get to help with the debt (selling the 3 banks they control back to the market). This is why it is important for the market to like the UK, as it will increase the value of these assists and hopefully HMG will make a nice little profit on them.
(\__/) All I wanted in the end was world domination and a whole lot of money to spend. - NMA
(='.*=)
(")_(*)
Yes I know, but I don't see that getting better soon either and with additional VAT on top, well I'm glad I'm not buying right now.
I believe we might get close to the $1 for £1 mark before this year is out, after VAT etc is taken into consideration. I'm pretty free spending with pc upgrades and if I'm baulking at the thought now then surely many more people must be too.
I don't see how this can help in the long run, in fact I don't see it helping in the short term either. That 20% VAT is also a psychological barrier to making new purchases.
Well without getting to bogged down in economic theory.
People like the Adam Smith Institute like the idea of small raise in VAT because it doesn't produce the diminishing returns in the same was as a tax on say Income. With income plenty of people who are just above a bracket decide its simply not worth it for them, they can work somewhere closer to home that doesn't require a car, or it is no longer worth working that extra hour because of the childcare etc. You also have, which is actually more worrying for someone who has wealth transfer ideals (ie Labour party should care) the rich will move away, we've seen this already happen with the 50p tax estimates been downgraded barely 3 months after it was announced. I know of many very profitable businesses even in the recession who have now gone to Geneva, the 50p tax was too much, funnily enough the lower corp tax might top the full exodus (even thou 50p still stands!) but it wont bring the lost firms back any time soon.
How can we improve the value of the pound? We can either export more, in which case VAT has no effect as anyone large enough to do an export business is certainly VAT registered.
We reduce our perceived risk to investors, we make international people want to buy sterling. One easy and definitely required way of doing that is to reduce our deficit.
As such the effect of VAT compared to the volatile nature of the pound, if hypothetically we knew that by putting an asbolute raise of 10%, brining VAT to 30% that the pound would get back to 2:1, then a TV would cost
1000USD
500GBP + 150GBP vat = 650GBP.
Given that today its 1.5:1 that TV would cost
£666 BEFORE any VAT.
So you can see that for imported goods, the effect of the VAT increase is completely negligible, possibly, negatively correlated. This is yet another reason to laugh at Harriet Harman!
But there is a much easier way of knowing that raising VAT is a good idea, and definitely the right thing to do, and no, its not because Chancellor Merkal agrees; It was the opposite of what Gordon Brown did. The man responsible for getting us quite so deeply into this mess. Doing the opposite of what he did (ie cutting VAT) is odds are a safe bet before you consider any of the theory behind it
throw new ArgumentException (String, String, Exception)
Wow. I think you might actually be as cynical, especially about that muppet, as I am. Well met, Brother.....
But there is a much easier way of knowing that raising VAT is a good idea, and definitely the right thing to do, and no, its not because Chancellor Merkal agrees; It was the opposite of what Gordon Brown did. The man responsible for getting us quite so deeply into this mess. Doing the opposite of what he did (ie cutting VAT) is odds are a safe bet before you consider any of the theory behind it
Been to any Cynics Club lodge meeting recently? Maybe I saw you there?
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