Nervous/anxious/scared about the Autumn budget 2024

[Cartwrightandson]

I know that we don't know any details. We have read or heard bits that might be incorrect or just plain wrong. I also know we won't know anything until Wednesday when Rachel Reeves publishes/announces the contents of the budget...

But what we do know...it's the first labour budget for over 14 years, we've had a conservative government, austerity, brexit, covid and cost of living/interest rate increase meaning our economy is not in a good place.

Our services/infrastructure haven't had much needed investment for a long time.
Councils are practically bankrupt, some already are. Schools, housing, NHS, social care and economy are all struggling..to remedy this requires money and this will need to come from higher taxes.

There's a 19 billion pound black hole and Labour have already removed the winter fuel allowance, showing they are willing do things that are unpopular or possibly controversial..the Labour manifesto said it wouldn't increase taxes, but now they are saying they have to.

They've already allocated money for Ukraine, teachers, train drivers, junior doctors, NHS staff ect

Keir said people who don't 'work' for their income (shares/savings/landlord income) aren't classed as working people and will be taxed..

Basically this budget is going to need to raise taxes to pay for investment in services. That much we do know. But where the cuts and the tax increase will be is unknown. I don't think anyone will be 'better off'...

Possibilities.. (note these are not absolute, I could be very wrong)

Inheritance tax changes
Fuel duty increase
Income tax increase
Social housing rent increase
Benefit cuts
No free universal prescription for over 60s
Change to tax free allowance
Removal of help to buy, right to buy and alterations to stamp duty
Pension age to increase
State pension to decrease?
Tuition fees to increase
Tax free pension allowance to be reduced
Isa/bond/shares/investments taxed

Who really knows...but I think the labour comms are possibly leaking information so that we are being drip fed so when the budget does happen we already know and are braced/prepared for it.

Or what is being leaked about the budget is really bad but when the budget happens we are relieved it wasn't as bad the leaks hinted at. But it is still painful but we are more accepting because it's not as bad as it could have been...if that makes sense.

The average Joe isn't off skiing, doesn't have a Merc or own a horse. 🙄

But the people that already don’t have those things can’t cut back even more.

But are still affected by the increase. Those people cannot afford to pay more tax.

I haven't got a personal objection with the tax as such, it's the use of the term 'working people' prior to the election and the fact that it is now being used in a different way.

Changing the meaning of everyday words isn't a good look. He ought to have had the courage of his convictions prior to the election to explain his intentions with taxation.

Instead people will feel mislead, and rightly so.

Not when you hit the higher tax bands and pensions payments.

No doubt.

But it's still disappointing and we are allowed to say so.

Unfortunately, labour is not the party for workers. It is for scroungers, who don't want to work and won't work.

Who the fuck are you to tell people what they can and cannot spend their money on?

Stalin in disguise?

I’m working every hour God sends. I will spend it on what pleases me. I’ll feed caviar to my ponies while I drive them to a horse spa in my Range Rover while the dog rides separately in the Porsche. Well, not quite but you get the idea.

And WTF is a “beamer”?

Incredible lack of understanding of tax and spending according to a recent survey.

Many, many people just have no understanding at all.

taxpolicy.org.uk/2024/10/26/the-publics-surprising-choice-of-tax-increase-and-why-we-should-ignore-it/

A survey showed people thought MPs expenses cost the state more than pensions. They thought immigration cost more than pensions too! Pensions = £141bn a year, immigration = £3bn. MPs cost £100m. Is this what too much Daily Mail does? Mushes brains? 40% of taxpayers thought when you reach the 40% higher rate of tax, ALL of your income is taxed at that rate. Of course it isn’t! The first £12,500 is tax free, the next to £50k is 20% and any income that you make over £50k is taxed at 40%.

This leads me to think there must be a lot of people out there who are petrified that they’ll lose loads if their income hits the higher rate. When it doesn’t. Chill guys. Chill.

What tax rises are you suggesting?

@Singinginthespring fucking hell that.is terrifying. Sort of explains a lot of things though. 😬

I haven't told anyone what they can or cannot spend their money on.

Learn to read and comprehend. If your brain cell can stretch that far.

The telegraph and other right wing media are doing a lot of scaremongering.

Actually I'll qualify my statement. My concern about higher taxes for small business owners is that as a nation we need to encourage economic growth. These taxes may disincentivise some small businesses.

I would like to know what plans Labour have for that, what incentives are there for businesses to set up or remain in the UK? Without a serious plan for economic growth , higher taxes are pointless as the financial burden is too great.

Don't you think Labour announcements have spurred this on?

They've said pain, difficult decisions and harsh light of fiscal reality

I mean pain is never good is it?

The world this weekend on radio 4 had an interesting section on their programme. You can listen on catch up in BBC sounds. People really need to start going beyond the tabloid headlines and online news bites. We’ve had years of underfunding and lack of investment from the tories. Austerity was a political idea not a necessity. There is no budget under any government right now that would not involve tax rises. The real question is what are they going to do with it. That’s where the debate should be.

Must have had one of those magic money trees.

I’m middle aged and for the first time in decades I’m scared too. In the midst of a col crisis and our heating just going up , as winter approaches they are going to fuck the public. Every single way they can, as they came in and spent spent spent in their first weeks.

its terrifying.

ar some point Labour supporters need to stop blaming the tories. Really they do. No one is buying this shit show is their fault any more.

Well I wouldn't suggest any on income because I am not in favour of them.

But they are pretty obviously going to be ones associated with discretionary spending.

So revenue associated with higher rate tax bands for example will be where they will try to increase taxes.

Personally as regards taxation I would like taxes on assets (CGT) and income to be aligned, and I'd like to see higher taxation on housing and inheritance tax.

I’m also dubious whether people realise that CGT is only payable when the asset is sold, and only on the profit not the total value from some of the reactions I’ve seen.

I’ve had a quick google and the only reference I’ve seen about Rachel Reeves getting £250k expenses is she received £248k in campaign donations.

What? Who are you to tell anyone what they can and can’t spend their money on?

I’m not on this earth to redistribute wealth, reduce inequality or fix the NHS. I didn’t cause any of these issues. They’re unsolvable, anyway.

I’m an additional rate taxpayer, I contribute enough. Any more, and I would seriously think of leaving. Why on earth would you stay.

When a new party come in they always blame the party before. They hope it will deflect blame from them. 🙄

Tax burden is pretty high already for higher centiles so you'd have to be sure higher taxes wouldn't trigger behaviour change where people just opt out altogether

Fucking hell, at the last election, the Tories were blaming Gordon Brown for the last 14 years!

Labour were elected in JUNE! In what world are they supposed to turn the country round by October!?

Not everyone wants to pay more and more tax, and be poorer. It shouldn’t be a race to the bottom. 🤷‍♀️