Anyone watching the Budget 2024?

[LadyofRutshire]

I couldn't find a thread on today's budget. Anyone watching live?

Because of the budget, I think I may as well just stop work and spend it until it runs out!
If I am thinking this, I would imagine many higher tax earners (I'm not now) may be thinking the same, as they have more than likely factored this in their IHT planning - to leave to children tax free.
I know the government is keen that people continue to be economically active until up to state pension age.

The government want poor people economically active until pension age. They don't want loads of people with no money depending on disability benefits, unemployment allowances and housing top ups through their 50s and 60s.

A well off person? Less of an issue. You spend your money (good!). You free up a well paid senior job for a younger person (good!).

Its not like you can get your state pension early. As long as you are funding yourself you aren't an issue

We definitely won't see 5,000,000 million people being made redundant.

Yes, I do agree with that. Public sector pensions are generous compared to many private sector ones (though nowhere near as good now as they were previously). It kind of makes up for the years of crap pay.

I do think there's a perception that someone who worked in the public sector for 20+ years would get a way more generous pension than £9k though. Many, many public servants get a so-called 'gold plated' pension of less than £10k, even after decades of service. But I do agree with your general point.

£800k profit, that will be taxed, on what might be a £10m or £15m balance sheet isn’t a great return on capital, taking into account risk.

Sure, it’s not the breadline, but we need people setting up, growing and running companies like this because they employ half the working people in this country. That 200 people will be generating a million in employers NI and probably another £2 or £3 million in PAYE receipts to the government. And, if it’s VAT registered, more money there as well. Perhaps £500k or more in business rates.

The left might well moan about £800k being a lot of money, but as a % of capital employed after tax it’s not. And it generates multiples of that for HMRC. Maybe they’d be better selling the land and buildings for housing, and investing their £15 million in listed (probably US) businesses. But that knocks £4 million out of governments hand, and potentially makes 200 people redundant. But it’s okay, because someone perceived as rich isn’t now making profits through their business

This government came in on a growth agenda, yet growth has been revised down, inflation up and cost of money up. That doesn’t look like growth.

Of course we won’t. Was just an example.

@EricTheGardener not really an issue for the budget but public sector pensions really are a crippling cost to the employer, and they haven’t modernised so really quite old fashioned and inappropriately expensive. I do think they need reform.

You can, but you lose a massive chunk of it for every year earlier you want to retire.

My public sector pension was tied to my state pension age of 67. I took it at 62 and lost 27% of it

The papers have been full of their success stories.

Not.
Just sack that lot of civil serpents.

Our rewilded countryside means someone else is having to grow our crops.
Using whatever chemicals they allow and whatever labour conditions they permit.

See, this is how public sector pensions will NOT be a drain. We’ll either take huge penalties or take part time roles or other jobs - thus reducing the bill. Been trying to explain this for 10 years when arguments ariise!

Yup.

Let the countryside go to pretty weeds and import all the food.

Many schemes were reformed in 2015 - they are less generous than they used to be, but as another poster said, the public purse won't feel the benefit of this yet as people are still retiring under the older schemes.

There is an argument for reducing public sector pensions IF public sector salaries were then brought in line with the private sector. I know several young people where I work would find a higher salary NOW more useful than a good pension later. I work in tech in the public sector and I am paid around 35% less than the equivalent role in the private sector. The disparity in tech salaries is particularly large, which is why the public sector finds recruiting for them so hard. But as I'm further towards the end of my career than the beginning, I weighed up this salary against the pension, flexibility and security of the role, and it was worth it for me - just about.

That doesn’t help the employer paying 31% contribution though? How can it not be a strain?!

lozling at the banging on about NI increase when there are plenty of employers stuck paying 30% pension contributions to their staff that could well be 35% next year

Historic moment, first female chancellor 👏 reminded me of Kamala Harris speech when she became VP.

So effing what. They are going to rip us off left, right and centre, makes no difference to me what's under their pants if I can't put food on the table or keep a roof over my head.

Tech in the public sector is a pretty different beast though right? You can hardly compare your job to working for google?!

lots of employers pay public sector pensions- not just schools, local government, police etc. many organisations have historic public sector pension obligations under TUPE.

tbh, someone on £75k on LGPS will cost me £100k. If I could pay a DC scheme I could employ a higher calibre of employee for £85k costing £100k which I would prefer to do. It’s almost circular.

I'd describe this budget as one you'd expect of a managed decline of a country. At first I thought it wasn't too bad, but that was of course in context to the media buildup the past few weeks.

Having thought about it a bit more, I think it is terrible & the UK is in real trouble. The anti-business narrative is going to be terrible for millions of people who aren't business owners.

Those applauding the fact that we have got the first female chancellor are clearly privileged and don't have much to worry about apart from what's under their chancellors pants 🙄

It all stacks up, but yeah that too

I agree.

It doesn't seem positive at all.

I have zero confidence that all this money will have any positive impact on the NHS. It will just disappear into the black hole.

It's an ideological budget that rewards benefit claimants and public sector workers. There is nothing for business growth apart from disdain.

And what do people imagine will happen to the land farmers have to sell? Wildflower meadows?

I actually worked for one of the big global tech companies before where I am now and do essentially the same role. It is of course different but not as different as you might think. It is certainly way, way more complex in the public sector as I am dealing with dozens of legacy systems that don't speak to each other. I definitely exercise a lot more brain power in my current role and don't spend half the day lounging round on cushions doing blue sky thinking :)

I genuinely don’t understand this- I’m not very old (45) and I everything RR has laid out today has been done before in budgets since I’ve been working (I’m an accountant so recall
implementing it all) plus there has been plenty worse ie increases in VAT.

its a genuine question- I really think this is a fairly boring budget that’s all been done before

This.

The growth agenda we were promised is nowhere to be seen.

Was there anything about benefits other than the increase in earnings threshold for carers allowance and a clampdown on fraud? can't seem to find anything else?

Yep.