Anyone else worried about todays budget?

[Booklover3]

I’m quite worried about it. I know there’s naff all we can do about it. They will do what they will do. Anyone else feeling uneasy?

I’m self employed as is my husband. We are only just about (by the skin of our teeth) managing now.

@Booklover3

is there one aspect in particular that you're worrying about?

Generally having to pay out more for anything. There’s not much left. I can raise the price of the services I offer but people will just stop coming… then I’ll be in an even worse position.

I don’t live in the UK but I understand why you and many others might be worried about it, I’ve been reading the build up the last few weeks and JH has given no reassurance really at all. I do think that the general consensus on interest rates not rising much more is some positive news in a sea of shite for most people. Also on a personal level - i know its hard to be self employed but the silver lining is the freedom it gives you to dictate how you work and what you do next, the big & small decisions etc. If you’re still managing today that’s one big positive! All I hope now is at the next election people stop voting for the Tories. I just think they’ve absolutely destroyed the UK over the last decade whilst lining the pockets of their friends. The hardship many live in and the state of our public sector, councils, NHS & schools is just awful. Best of luck to you and your business, I’m sure it won’t be as bad as you fear. The fact you are concerned before the fact tells me you are good at planning/foresight/resourcefulness so another positive for you xX

Just seen your second post - don’t undersell yourself! If you are good at what you do, people will still come. One of the issues we have really is the stark difference between the Haves and the Have Nots. Some people still have plenty of disposable income. Your clients might change but such is life and there will be some people who can afford to come even at higher prices! Perhaps you could offer some things cheaper and other things more expensive? Hard to say without knowing what you do but maybe you could mix things up a bit and see if you can charge more here and there x

I am not a Tory and think in the past they have badly mismanaged the economy. However this budget seems to be uprating benefits and pensions by inflation which will put a bit more spending money into the economy. Balancing the books will reassure the markets and support the £ hopefully bringing down inflation. Most of the tax rises seem to fall on those earning over £125k with the acception of council tax (passing the buck here to local government to raise tax) . Overall I don't think it is a bad attempt to try to deal with the mess they made in the first place.

You’ve given me some things to think about thank you. Broadly I work in mental health. I’ve been very resistant to increasing my price as I generally don’t want to make anyone’s life harder. I’m going to think about what services I could offer at a lower rate and what could go on a higher rate. Time to try and think a bit outside the box.

if the worst comes to the worse I could look at getting rid of my office because that’s a massive expense but I dislike online working!

we will see what happens later. I’m thankful I did get some sleep.

Thanks for your kind words.

@Wheretheskyisblue from what you say it sounds like it could definitely be worse. Fingers crossed the councils don’t raise the tax too much. If they start taxing small business with rates again (we get relief here) then I don’t know what I’ll do. That would probably force me into online working which I’m also resistant to!

If you provide a mental health service then speak to your local church about using one of their backrooms as an office in exchange for a certain amount of free services for people in need. You can still charge for your normal service but offer something slightly different as the free one? A local team of therapists is doing this at our church and it works really well.

@Wheretheskyisblue uprating benefits and whilst good for the less well off will fuel inflation and the rise will be matched by price rises so everyone will be worse off. Interest rates may have to go higher than currently anticpated.

We don't need more money going into the economy, we need to take it out. Harsh as it sounds we need a recession to reduce inflation, basic economics.

That depends if the inflation is driven by consumer demand or supply issues. Most economists think it is largely driven by the latter. Uprating income of the poorest will mean that more essential bills are paid and is less likely to fuel inflation that uprating incomes of those on higher incomes who will increase non essential spending.

I'm expecting it to be generally awful. The word is that non-doms and banks will be protected while the rest of us get a tax rise.

Yes, I'm worried, not for myself so much as because austerity 2.0 is the wrong policy.

It is not as much about 'they will do what they will', it is more about doing what they have to.

The cost of servicing UK debt is otherwise going to rise to about £3,600 per annum per household. UK debt is currently about £85,000 per household. A 25 year plus era of low interest rates - globally not just UK - has come to an end. It is time to get the debt under control otherwise we are heading into bankruptcy and having to go to the IMF for a handout. There are some serious commentators out there who say the UK may have to do that anyway because, for a variety of reasons, the UK is not seen as a great place for direct foreign investment anymore. The Conservative, Labour and coalition governments all shoulder blame for this, for different reasons.

What we have to hope for is that those who are most vulnerable receive protection and those with high value liquid assets and income bear the biggest brunt of the tax rises. Personally, I cannot see JH delivering this budget it any other way.