What Rachel Reeves does next? Surprised no thread on this yet. It's all over Twitter

[Sharingsomewisdom]

https://www.dailymail.co.uk/news/article-13764547/Rachel-Reeves-mulls-tax-hikes-spending-squeeze-raising-rents-social-housing-Chancellor-sees-Government-borrow-3bn-forecast-month.html

Or am I the only one interested what she is eying next? Any comment on the reasonableness or otherwise of Rachel's next focus?

Social housing isn’t supported by tax payers unless a tenant is receiving the housing element of universal credit. The majority of council tenants work.

Yup. Mine was £600 in 2022 when I moved in and £700 now. I pay it all.

If it goes up much higher within the next year or so I might say what’s the point and start looking into private in my area which isn’t much more. (I don’t live in London)

SH tenants blame and chase someone else

ITS IN THE FUCKING TENANCY AGREEMENT THAT IT HAS TO BE FIXED BY THE HOUSING ASSOCIATION. THE TENANT WOULD BE IN BREACH OF THE TENANCY AGREEMENT IF THEY DID THIS THEMSELVES its not blaming and chasing Its abiding by the tenancy agreement
I have noticed over the years ive been on here though that SH tenants trying to fix something like this themselves (instead of "blaming and chasing") is the ONLY time the SH haters on here are right behind SH tenants breaking their tenancy agreement. Yep You dont mind tenants breaking it when it comes to trying to fix repairs themselves. But break any other part of the TA and its screams of eviction. The hypocrisy is stark.

I agree with pp who say tories have mismanged our money and we’ve seen very little for what we pay. The country is in shambles and tbh I’m looking into making plans to relocate within the next year or so. Because even if Labour can successfully turn things around - and the jury’s out on that - it’s going to take a long time and I’ve had enough. Life is short.

I did too.

I can't help wondering why over half the comments here are limited to 'whose faut its it'. Who gives a stuff? We are where we are. I had understood from DM or X or Reuter or the Guardian that the extra cash was going to be taken off the 1% but now we're hearing capital gains or inheritance tax. The latter has always seemed to be the most unfair of all - someone works all his life and pays all his taxes then his kids only get wha the state leaves after tax. They are extending working life beyond the grave!

That’s nonsense. Only around 7% of estates are liable for inheritance tax and the bulk of those are comprised of unearned, untaxed property inflation. The kids get a £500k tax free sum or £1million from a couple. That’s enough for anyone.

It's not really about being enough though is it? It's the perception that people have paid tax all their lives and shouldn't have to pay again in death.

I am sure far more will be liable than 7% as house prices have risen so much

Why they won't tax 1% extra on the ultra rich I do not know.

Profit on your house has never been taxed - what’s so special about a profit of hundreds of thousands of £ that it shouldn’t be taxed? Currently it’s 7% of estates, if you own a house that you paid 12/6 for that’s now worth over £1 million through no effort of your own, why shouldn’t it be taxed?

Because tax is paid by those who inherit, not the deceased. When you get paid from work and get taxed on it, the money your employer uses to pay you is from taxed profits. It’s the same thing.

Huh? Not all wages are paid with taxed profits.

Money earned by a business is taxed. Then they pay wages with it that are taxed. Simplistic? Well, yes. But it illustrates a point.

I’d like to see more honesty about the vast cost of unfunded public sector pension commitments. In several of the largest schemes, today’s employees are paying for current pensioners. The gov can’t realistically mess around anymore with the retirement age, without it getting ridiculous, so what can they do?

In the teachers pension scheme, for example, the government funds an extraordinary 28% of salary by way of employer pension contributions, on top of every month of pay to every teacher. But that teacher isn’t getting an extra 28% of deferred wages, because the money goes to pay the already retired teaching workforce. It’s a giant Ponzi scheme and if the Labour government won’t support economic growth and confidence, the whole house of cards is going to be increasingly unsustainable and come tumbling down. At least DC schemes are properly funded, with the risk on the prospective pensioner. It is foolish, shortsighted and divisive to be undermining private sector pensions at this time. Somebody has to be incentivised to make the money to pay the taxes to fund the public sector pensions and seeding division and playing politics is no way to do this.

Well, Labour does support economic growth. It’s at the heart of the manifesto, so there’s that.
Using the phrase ‘playing politics’ about politicians is weird. It’s like saying Andy Murray was playing tennis and thinking it’s a criticism.

Perhaps we all have to play our part. I mean how
many of us check each pound that we pay and where that pound is going. If we want things to get better stop buying coffees from companies that don’t pay proper tax here. Also stop buying cheap products from overseas from companies that pay limited tax. We have the power to change things but none of us do.

@cardibach wages are taxes deductible as an expense of the business. Tax is paid on profit after the deduction of expenses

Ok, the money people buy the products with to give the company profit has been taxed already. My point is simply that taxing money when it changes hands isn’t unusual.

@cardibach true.

The trouble with IHT for example is that for the super rich (e.g. the Duke
of Westminster) it is far to easy to plan for and avoid. It (like a lot of the proposed tax changes) catches the wrong people. It catches people who have done relatively well for themselves through usually hardwork and PAYE income rather than the truly privileged who inherit vast amounts of wealth over several generations.

We don't want a tax system that discourages hardwork and aspiration. That won't
help the economic growth plan.

Then change that so there are fewer loopholes. I’m ok with that. I’m not ok with people thinking it’s unfair to tax their children’s unearned income.

@cardibach

If I could I would!

@sunflower122 I hope Labour get round to the tax loopholes sooner rather than later.

Me too! I wish they would look at this rather than focusing on taxing income from employment that people have already paid tax on.

The disproportionate way income is taxed vs wealth is deeply unfair

I'm still going to bide my time and give these new kids at least a year before I start getting all worked into a lather.

It depends if a large tax cut affects you or not, I guess.