Income tax - top 45% rate scrapped! Bonkers!

[HoppingKangaroo]

The 45% top rate of tax (which currently applies on earnings above £150,000) will be scrapped entirely. How will this help the economy? It will just add to the government debt and it just helps out the very weathly.
Why not have more help for the poorest in the country and not have tax cuts for the very wealthy.

www.gov.uk/government/news/uk-house-price-index-for-may-2022

I think the north is generally defined as anywhere that didn't vote Tory.

They should have started tightening sooner, agree with you…but silly of them.

Hmm… I agree that protesters are angry at the rich rather than liking the poor. There needs to be a balance.

But a fairer society is also important for law and order. More inequality… more crime. That kinda crime usually impacts those with money because they have stuff for burglary, car thefts etc. Even the rich must pay a price for safety and security - and many are willing to pay taxes.

Still, Truss’ government doesn’t have a proper mandate. She never won a general election to earn the right to make decisions like this.

Exactly!
even on 350k, 2.5k is huge saving relative to what it would be on a 600k home in London.

Out of interest, have any of them ever actually been quoted saying "trickle down"?

Is it??

From another poster:

The next few months will be make or break for Truss. There is a strong possibility that wholesale gas prices will fall (or at least won't continue to increase). Nordstream 1 has been shut off yet the markets quickly recovered from the shock. China is in economic difficulties thanks to its zero covid policy and so is selling off surplus LNG. Japan is recommissioning its nuclear power stations. India and others are switching generation to coal. Closer to home, European countries are looking to cut gas consumption by 15%. Storage across Europe is around 95% full now. This should reduce the cost of gas. If the government manages to untangle the price of electricity from the price of gas, we can take advantage of the cheaper price of renewables.

So if energy prices do drop (and I think that it pretty likely: Goldman Sachs reckon that gas prices will be down to €100 by December, from their late-August peak of €350, they're already down to €173, LNG has also halved since August 28th), not only will consumers not be hit quite as hard as feared but also the cost of the government's energy package will be much less than feared (it's worth noting too that the package would have a deflationary effect which will reduce index-linked rises in pensions, benefits etc., that will also mitigate the cost to the Exchequer).

If we all come out in March fairly unscathed, then the outlook for Truss will have much improved.

No I can’t see anything that shows anyone of them using it.

I also think it’s quite telling that the term originally came about as a joke. Apparently it was first used by a comedian who was criticising economic policies that benefited the wealthy - www.standard.co.uk/business/what-is-trickle-down-economics-how-does-it-work-liz-truss-uk-economy-b1027119.html

Oh yes, come next March, we’ll all be skipping hand in hand into the sunset and making flower crowns for each other… it’s not like Truss has other stuff in her in-tray, apart from the economy, to worry about or anything.

It's depressing to see so many posters still so firmly wedged between the Tory's arsecheeks. You'd think after 12 years of hoovering up their shite they'd have had enough but apparently not.

I wouldn't be surprised to see certain posters on here support a mass culling of puppies and orphans if the tories said it would help the economy. Which is bizarre when consider that they've literally fucked the entire country repeatedly over the years yet people are still coming out with "well let's give them a chance".

It's like buying a dog that's killed 50 children previous and then putting your toddler in a room with it "because it might not kill this time".

I mean, someone has literally said "It is interesting that people don't seem to be concerned with the success of our nation and they are more interested in fairness and equality even if we are collectively poorer as a result" apparently with all seriousness.

Of course people are more interested in an equitable and fair society, the major get zero additional benefit from any success in this country because the top 10% or so ensure they hoard it all. Most people are far more concerned about their friends, family, and neighbours being able to eat or heat their homes than they are about tax cuts for the rich or an extra 1% saving on their tax bill.

If energy prices have dropped that much why will the amount I pay go up next week?

People vote tories for one simple reason, they will keep more of their income / money / wealth under a Tory government than they would under a Labour government.

In what way is Kwasi Kwarteng the most qualified chancellor that we've ever had?

Only him and Lamont have a degree in Economics, the others read history, politics, classics etc…

also Kwasi has a phd from Cambridge in Economics.

As we established earlier in the thread, the brighter you are the better qualified you are and we measure this by how much you are paid.

So we can conclude that Kwasi is being paid more by those who pull the strings than any previous chancellor.

I love how they sell this "trickle down" as some kind of new thing, and how many people are so economically ignorant, or just seem to have spent the last 12 years in a coma, that they believe them.

Two of George Osborne's first actions were to cut the top rate of income tax from 50% to 45%, and to slash corporation tax. How much solid sustained growth did that create over the last 12 years, and how much of it is reflected in the pay packets and living standards of ordinary working people?

Of course they did simultaneously increase VAT, a tax which the poor pay as a much higher percentage of their earnings than the rich. Not that that gives any indication of their actual endgame though.

And people will vote for them again.

Classic & history at Cambridge.
Economic history PhD.

It’s disgusting is what it is. Don’t know what more to say.

The thing is that was more than 10 years ago and the circumstances were very different. We had for instance to maintain some semblance of stability and decorum as part of the EU, whose tiresome yolk we are now free from.
Also it was a completely different government as well, for instance Liz Truss was a remainer then.

Plus a scholarship from Harvard.
end of the day he’s highly educated and intelligent.
people like boris and truss have gone to oxbridge but this chap has numerous scholarships, so he’s actually very smart.

His wiki page says that his degree was in history and classics. And his PhD was in economic history, which is not economics.

Gordon Brown also had a PhD in history.

So I'm not really buying the argument that he is better qualified than any previous chancellor tbh. Although if he is anything like the intellectual heavyweight that Gordon Brown was, then that isn't too be sniffed at.

Be patient, give him until March.

Don't worry he hasn't got anything like the brain power of Gordon Brown or his dedication to the job.

Exactly. So not an economist as pp suggested.