[Finance] Rachel Reeves to reveal £20bn shortfall left by Conservative Government

[Diablo]

Is anyone surprised they got in power with promises, now in power reality hits ??

 

[Eeyore]

Reeves is expected to make it explicit that she believes her predecessor deliberately did not act to address the looming spending shortfall. “Jeremy Hunt is going to have a lot of explaining to do,” said one source.

Rachel Reeves expected to reveal £20bn shortfall in public finances

Chancellor may raise some taxes in the autumn due to what Labour describes as its ‘shocking inheritance’ from Tories

www.theguardian.com

I always had suspicions about the calling of the election at the time they did. They knew they would lose. So why not try and wait for some good news ? There was only going to be worse.

 

[Deportivo Seagull]

It’s all the other so called ‘wealth taxes’
Hate socialists

Why?

 

[Weststander]

Just tax the dead, why should people receive hundreds of thousands of unearned wealth tax free? They didn't earn it...

Time to remove the ridiculously generation exemption on the family home.

It’s funny when people (inheritors) write to financial columns about evil HMG/HMRC taking “their” money through IHT. It’s not their money. It’s their parents, less a contribution to the nation, leaving their money.

A recent letter to the Telegraph, someone was furious because effectively HMRC were taking £400k from their parents £2m estate.

Money …. people are obsessed. How about being elated with the £1.6m?

 

[Nobby Cybergoat]

The way I see it, you don't have to raise tax to raise the amount you receive. So instead of making the IT 20p rate 25p or something, you can make the earnings at which you start paying it lower.

Politically not easy of course, but then what is? They can say they haven't broken their promise. They didn't say they wouldn't do this. They just said they wouldn't raise income tax

 

[Weststander]

I always had suspicions about the calling of the election at the time they did. They knew they would lose. So why not try and wait for some good news ? There was only going to be worse.

Bozza’s already pointed out there is no finances shock or subterfuge. The IFS for example were clear a month ago and public finances are literally on public record.

 

[Bozza]

The way I see it, you don't have to raise tax to raise the amount you receive. So instead of making the IT 20p rate 25p or something, you can make the earnings at which you start paying it lower.

Politically not easy of course, but then what is? They can say they haven't broken their promise. They didn't say they wouldn't do this. They just said they wouldn't raise income tax

You don't even have to reduce thresholds, you just freeze them for a period of time. Then, as incomes naturally rise, more people are drawn into paying tax, and others will pay more.

Fiscal Drag 101 here:

https://commonslibrary.parliament.uk/research-briefings/cbp-9687/

 

[T.G]

It’s all the other so called ‘wealth taxes’
Hate socialists

Probably not as much as I hate greedy, arrogant capitalists

 

[Doc Lynam]

Don't tell me, we might see taxes going up after all

Thank thick lizzy and the Tories for that

 

[Is it PotG?]

Thank thick lizzy and the Tories for that

You DO know that Labour are in power now?

Please keep up.

 

[Nicks]

Well what a suprise, Labour having to raise taxes !!!
Standby for ULEZ in every city etc etc

 

[beorhthelm]

It’s funny when people (inheritors) write to financial columns about evil HMG/HMRC taking “their” money through IHT. It’s not their money. It’s their parents, less a contribution to the nation, leaving their money.

A recent letter to the Telegraph, someone was furious because effectively HMRC were taking £400k from their parents £2m estate.

Money …. people are obsessed. How about being elated with the £1.6m?

it's not the state's money though either. i think it's the framing of IHT, a tax on death and your inheritance which is something a lot of people spend their live working for (pass on something, give them something they didnt have, etc). most often people dont even qualify but still get annoyed at the concept of that. reframe it to tax the recipient, flat 20-30% rate on monies received. people accept income tax as quite normal, i reckon this would raise way more, more difficult to avoid, and help ease the abomination of probate.

 

[LamieRobertson]

Guardian in shit stirring propaganda shocker.

Impossible ….this is a highly regarded totally independent wonderfully amazing fantastic news source ….i can’t believe you said that 100% accurate statement

 

[Nobby Cybergoat]

You don't even have to reduce thresholds, you just freeze them for a period of time. Then, as incomes naturally rise, more people are drawn into paying tax, and others will pay more.

Fiscal Drag 101 here:

https://commonslibrary.parliament.uk/research-briefings/cbp-9687/

Yes, but if you need big money sooner, you can reduce the thresholds to significantly less without having lied in your manifesto. I reckon we might see this with the higher rate.

Not sure we can raise enough fast enough just by freezing

 

[nicko31]

What about folk working their guts out throughout a lifetime in order to pass a safe home to their offspring?

They didn't work their guts down to give it to me tax free. I probably will inherit and probably more than the average, but friggin hell I should pay tax on it. Why should I receive privilege when some inherit very little

 

[LamieRobertson]

It’s funny when people (inheritors) write to financial columns about evil HMG/HMRC taking “their” money through IHT. It’s not their money. It’s their parents, less a contribution to the nation, leaving their money.

A recent letter to the Telegraph, someone was furious because effectively HMRC were taking £400k from their parents £2m estate.

Money …. people are obsessed. How about being elated with the £1.6m?

I’d be happy with £1600

 

[Pavilionaire]

It is high time for a grown-up appraisal of the financial situation. The party politicking - as evidenced on this thread - is utter bollocks.

Bottom line - if we want decent public services, state pensions for the elderly, affordable homes then we have to pay for it. IHT, CGT have been too low for too long.

Covid clearly f***ed our finances but a bad situation was made worse by government mismanagement and greed. Brexit has made that worse situation dire. There are no better trade deals than the one we had and we need to start renegotiating with Europe to undo some of this shit.

The average home now costs 8x average earnings - 30 years ago it was 4x earnings, so don't give me that shirt about boomers working their guts out for 40 years and about to lose all their hard-earned cash. With their sex in the 60s, strikes in the 70s, privatisation in the 80s, housing boom in the 90s and 00s they've done alright. It's time to give back and high time wealth inequality was tackled head on.

 

[LamieRobertson]

They didn't work their guts down to give it to me tax free. I probably will inherit and probably more than the average, but friggin hell I should pay tax on it.

Aww bless you such a saint

 

[beorhthelm]

Yes, but if you need big money sooner, you can reduce the thresholds to significantly less without having lied in your manifesto. I reckon we might see this with the higher rate.

Not sure we can raise enough fast enough just by freezing

lowering the allowances cant really be seen as anything other than a tax rise. people will see it, with their nominal income cut, even if they get some pay rises. with fiscal drag you can get away with it past the political arena, people see income stay same at a minimum.

 

[LamieRobertson]

It is high time for a grown-up appraisal of the financial situation. The party politicking - as evidenced on this thread - is utter bollocks.

Bottom line - if we want decent public services, state pensions for the elderly, affordable homes then we have to pay for it. IHT, CGT have been too low for too long.

Covid clearly f***ed our finances but a bad situation was made worse by government mismanagement and greed. Brexit has made that worse situation dire. There are no better trade deals than the one we had and we need to start renegotiating with Europe to undo some of this shit.

The average home now costs 8x average earnings - 30 years ago it was 4x earnings, so don't give me that shirt about boomers working their guts out for 40 years and about to lose all their hard-earned cash. With their sex in the 60s, strikes in the 70s, privatisation in the 80s, housing boom in the 90s and 00s they've done alright. It's time to give back and high time wealth inequality was tackled head on.

Nothing like shoving people into silly categories ….oh then going on about politicking but bringing up Brexit ..lol
..I do like that first line though