To ask what you'll be doing to avoid the Labour tax hikes

[OptimismvsRealism]

Pension contributions
Gift aid
Selling my shares now while CGT is relatively low

What really worries me is that all the professionals we actually need to want to be here will just fuck off elsewhere, though.

It's not like we're knee deep in hospital doctors.

This.

We paid next year’s school fees well ahead of the GE.

I’m going to max my annual pension contributions before end of September.

Earlier this week, DH sold all of our shares, except those is an ISA wrapper.

We’ve kept some investments from our time living overseas offshore.

We’ve been back in the UK for the past 7 years, but are now considering emigrating again. Thankfully both in global jobs that can transfer to another office. We’ve got Permanent Residence status in another country where tax is less onerous and the standard of living is much higher than the UK.

Yes, all those people sitting in mansions worth £600k…

https://www.rightmove.co.uk/properties/148605656#

How do you know that Reeves will reverse these? the Tax Foundation is also a centre right organisation.

Brexit appears to be the biggest driver in a lack of investment, not surprising, barriers to trade with the EU and speed of trade are immense.

Delays at the border are only going one way, they are getting longer and more complex.

The average house price in 1974 was under £9,000, the average manual worker’s wage was just under £2,000 per year according to Hansard (Average wage 1974). In London the average property was just under £11,000 then. So you could buy a house on less than 10x annual salary of one manual worker.

Current average UK house price is £282,000 and £698,944 in London. Average UK salary is £34,000 and £44,000 in London. So house prices are between 8 and 15 times annual salary, depending on where you live.

Some people bought their forever home 50 years ago and have never moved. Their ‘wealth’ is inaccessible to them until they sell. Unless you are demanding compulsory sales of OAPs homes, you have to accept that the increase in property value is due to other people wanting to live in popular areas, not the people who already own the property, but those pushing house prices up by outbidding others for the limited asset.

So yes, if a manual worker bought their home in London in the 1960s it could well be worth £1m+ and yet as a pensioner in their 80s or 90s they might be on the state pension only as workplace pensions weren’t common for manual workers then.

Still, the withdrawal of the winter fuel allowance will probably cull a lot of those OAPs, won’t it?

Im in Scotland, £600,000 is a mansion

https://www.rightmove.co.uk/properties/151740053#/?channel=RES_BUY

https://www.rightmove.co.uk/properties/149552129#/?channel=RES_BUY

Not everyone lives in Scotland.

And not everyone lives in London. Contrary to the views on this thread

And your point is…?

Same.

I would rather they took my tax receipts and stayed out of my way - I don’t need a thank you.

But no, they couldn’t leave it alone.

Well, no more money from me either.

£600K mansion? Where on earth do you live to think you can buy a mansion for that? I've just looked on Rightmove and I could get a 3 bed bungalow for that.

I'm being made redundant next month and don't plan on working for the next 3-6 months at least so I'll worry about taxes when I'm earning again.

Well done for planning.

Dont blame you, seriously.

My point is if you’re not in London and you have a £600,000 you are extremely wealthy. You can, and should, liquidate your assets instead of pleading poverty and getting working age people who are struggling to pay their own rent to pay for your heating

London and the SE is a complete anomaly to the rest of the country. There are many many asset rich millionaires in other parts of the country and they are wealthy, despite the claims upthread that millionaires are somehow impoverished charity cases.

I live in Scotland and you can get plenty of mansions for £600k if you want to move after your redundancy.

https://www.rightmove.co.uk/properties/149552129#/?channel=RES_BUY

https://www.rightmove.co.uk/properties/151342346#/?channel=RES_BUY

https://www.rightmove.co.uk/properties/149005523#/?channel=COM_BUY

It’s fairly easy to move an hour south though the major cities in Scotland and be in England, you can still nip home and see friends and family, you don’t have to emigrate and go though any sort of process, you can even keep the same job and commute from England. It’s not quite the same moving to Dubai or Australia where the process is more complicated

1 in 10 people in the UK live in London. Urban areas vote labour. Anything that hits urban (not just London) swing voters hard will ensure it's a single term for labour.

I can't see a hard hit on sub £1.5m houses.

I wish! We've given up hope of moving unfortunately as we can't afford to extend the lease on our flat (long story). Now that's something Labour could do, go through with the leasehold reforms!

This is what you get for £600k where I live.

https://www.rightmove.co.uk/properties/151357730

do you guys wanna move this to the property section???

At one level that’s sensible; remaining in equities is, in the long term, a good thing. However, UK equities tend to underperform US equities, and UK stock markets tend to perform worse under Labour governments. So a sensible thing to do might be to be underweight in UK equities, because the likely increase in employers NI, living wage, corporation tax and reduction in R&D tax credits will lead to higher costs for UK businesses and lower growth. I am not saying that any of those things by themselves are bad, but the consequences will be a drag on UK business performance. However, there are some sectors in the UK it makes sense to remain invested in - bio tech for one.

The local authority already have the power to put a charge on your house to pay for your care costs, how long before they can do the same to pay your heating bills if you can't afford them?
A kind of equity release scheme if you like but money is released to the public coffers.

If you ‘liquidate your assets’ and they happen to be tied up in a single property, you’ve got to move somewhere else haven’t you?

If rumours are to be believed then Labour are considering Capital Gains on main homes, so any increase in value would automatically be reduced by up to 40% if it’s tied to income tax levels which is another thing they’re apparently considering.
Then, after selling, you’ve got to pay Stamp Duty on whatever you buy next if it’s over the threshold - and in the SE that’s pretty much a given.

The only way it would benefit someone is to move somewhere cheaper - say the North - and by doing so drive property prices up there too. Or they could downsize to one of the starter homes intended for first time buyers instead. Those FTB will just have to save up a little more to buy the expensive homes the old folks are downsizing out of. That’ll work, right? 🙄

Capital gains tax on main homes?? That's going to really set the cat amongst the pigeons 😬

Utility companies are all privately owned and local authorities don’t have carte blanche to go after anyone’s money for a third party so that’s essentially nonsense.

You don’t pay capital gains tax on a primary residence.