To ask how this will all be paid for?

[Charlieandthechocolatecake]

The furloughed and self employed will get 80% pay, which is excellent given the alternative.

I'm a keyworker. Working overtime on taxpayers money. Half of my colleagues are self isolating on full pay for a minimum of 12 weeks due to health conditions. I hope the NHS are doing the same.

Where is this money coming from? How will we end up paying it back?

Loads of people getting 80% for sitting at home

Tbf though if you're furloughed it's likely your company may not survive & the government won't pay you for the pleasure of sitting at home for months.

I think it would be great if we bought more manufacturing back to the UK, it's good to be self sufficient. We seem to sell everything off for a short term gain & then pay more in the long run.

There are pots they can they will be dipping into in the first instance as well such as foreign aid and defense. It's likely we'll be paying for it for a long time.

It totally depends on how long markets are in lockdown imo.

I think Hs2 will be "postponed" to save face and there's absolutely no justification for Heathrow at the moment really is there?

I know they've said they'd continue the wage grant scheme for as long as needed but I believe after 3 months alongside (hopefully) better testing measures, they'll start a phased return to opening up the country and this will end.

I'm sure there will be a large tax increase for the SE in 2021 as Sunak pretty much said but not sure that PAYE will take a huge hit maybe increased NI. I think they'll want people spending and creating jobs. Of course if we can't get back to a degree of normality in 3-4 months then this goes completely out of the window.

I can foresee the NIC exemption on pensions and workers over retirement age being scrapped

Never in a million years. NI is badged as paying for pensions, what justification could be made for continuing to pay it when you’re already getting the pension it’s paid for? It would also be seen as yet another smack in the teeth for Waspi women.

My prediction is that a new tax rate on very high incomes will appear. Those footballers mentioned upthread are a prime example of where the money should come from.

It’s going to be a very interesting decade that is for certain. The roaring 20s we were expecting has effectively been nipped in the bud before we ever started.

@Alsohuman

I agree with you in principal, however high earners can easily move abroad to more favourable tax conditions and / or pay for very good tax advice. Exceptionally high earners will always find a loophole.

Closing the loopholes will be crucial after this.

@alsohuman

Can’t ban them from moving abroad and just flying in for matches though. There would need to be a coordinated global approach. Like I said, I agree with you in principal but I can’t see how it would work.

Greater taxes for the rich, inc a wealth tax, is social justice. But I agree with the poster upthread re the nil revenue effect of taxing the rich. The way to get significant increased monies into the tax system is thru broadly-based taxes such as income tax and VAT.
Macro economics is hugely complicated. An analogy: macro-economics is to your budgeting as calculus is to arithmetic.

There would need to be a coordinated global approach.

Exactly & why it won't happen. What can have an impact is people choosing where to spend their money, don't like how "X" football team behaved don't watch the matches, don't buy the kit or game tickets. Same for retailers, shop elsewhere.

I would like to see heavier taxes on 2nd homes & foreign owned property though.

Am I the only one cynical enough to think the government has taken into account how many OAPs are going to die and the cost savings in pensions will make up the shortfalls.

@mochajoes

Agree with both your posts. Especially 2nd (and 3rd, 4th etc) homes. I’m appalled by how Richard Branson has behaved and will be avoiding his businesses.

@Moanranger. @Alsohuman

i understand that US citizens have to pay tax to the IRS on income and property abroad, even if they are dual citizens, hence Boris getting rid of his US citizenship. I don’t think this is something the U.K. do. It’s not just higher earners either. I used to live in HK and I paid no U.K. tax on the income I earned there, however my US citizen friends had to fill in a return and pay the IRS each year. Wondering if something like that could potentially work.

Yes @LooQoo US citizens have a tax obligation regardless where you work or live. I'm not sure why the UK doesn't do that.

@mochajoes

It would make sense to do this above a certain threshold, I think. We could look at how the US coordinates it and see what we could replicate.

@picak

Possibly but a lot of the elderly who die will have underlying conditions and would have died in the short term, with or without Coronavirus. I’m not sure how much of a saving it will be.

Am I the only one cynical enough to think the government has taken into account how many OAPs are going to die and the cost savings in pensions will make up the shortfalls

Do you know how much the state pension is? If every single pensioner popped their clogs the savings wouldn’t touch the sides.

I may be naive, but perhaps a review of loopholes the giants like Amazon, Google, Starbucks etc use to avoid paying tax here?

@neron

They just base themselves in a lower tax country like Ireland or Luxembourg. As we said above, it would need a coordinated effort from many countries to achieve this.

Rampant inflation. It's going to be a nightmare.

Do you know how much the state pension is? If every single pensioner popped their clogs the savings wouldn’t touch the sides.

Not sure about that & obviously don't want that to happen.

"The largest benefit is the State Pension at £96.7 billion in 2018 to 2019, a rise of £1.2 billion in real terms since last year. It is paid to 12.7 million people."

Is £97billiin insignificant?

Is £97billiin insignificant?

Normally, no. In this context yes.

The middle classes will be taxed even more to pay for all this.

Hopefully they'll get some money out of China and at least ban Chinese from buying up huge swathes of the country.

Those saying you think HS2 will be postponed/cancelled - are you aware that construction crews are still working on it? It’s clearly considered essential, much as I’d like it permanently cancelled.