Why isn't work paid better?

[malificent7]

People who work hardshould be able to afford a better life for themselves. So many work in stressful jobs and also have stressors outside of work too like poor housing, expensive food and childcare etc. Please explain to a simpleton why jobs aren't being paid in line with inflation...espwcially public services.

If only we weren't so backward here 😖

I’m not saying we ban btl landlords, I’m just saying that where you have large investments companies willing to invest in residential housing - Build to Rent - you can offer renters much more security and that’s a good thing.

I think it should be possible to buy a property on one average income instead of the two required now.

As it used to be.

As you say, people who are new immigrants to our country may be more willing to work hard because the wages (to them) are high. Furthermore there is a large incentive for them to make an effort to get a foothold in a new country.

It's not that British people are lazier than immigrants, but you clearly can't see that you have negated your own very weak argument!

I don't like to stereotype (and I'm British!) but absolutely this. I've managed many, many large groups of minimum wage workers and there's so much wingeing/entitlement/work-shyness among brits I was sometimes ashamed myself!

Decades of accountants increasing salary and bonuses disproportionately to those in management rather than those doing the majority of the work.
It’s even worse if Shareholders are involved…

This poses all sorts of questions when we have a housing shortage, a rising population and more people than ever choosing to live alone. In the past it may have been possible to afford a house with one average income, but it was possible to achieve this with far fewer houses than you would need today. Who is going to pay to build all these extra houses knowing that they will probably lose money when you account for the increased cost of labour, materials and land? Do you think tradespeople should be paid less? Can you think of a way we can ascertain expensive materials, often from abroad, for less? Do you think land should be compulsorily purchased and the green belt shouldn't exist?

Time to cap rent by m3, as they do in many EU countries. Once renting becomes on par or cheaper than mortgages, then both should only be allowed to increase by inflation and not on “I’ll pay more because I’m considerably wealthier than you“ basis…

This so very very true.

I base it on coronation street. Look at the lives of the people then. Look at it now.

You are 100% right and we should remember that.

Supermarkets are in a really competitive market and make very slim profits as a percentage of turnover. If their costs increase they have to raise prices or cut costs elsewhere. In the case of employment taxes, employers usually make so with fewer workers.

Profits might sound like a lot but are usually only a few pence per share. Shareholders in companies like that are pension funds and insurance companies so they need to make a profit so their shareholders can pay their members.

We are lucky in the uk that we have relatively low food prices and a competitive market.

I'm sorry but this is ludicrous. Rent controls are known to cause many issues, especially in areas where there is a housing shortage (which is most of the UK). Research has proven time and again that they have adverse consequences and lead to increased misallocation of housing.

https://iea.org.uk/media/rent-controls-do-far-more-harm-than-good-comprehensive-review-finds/

We really need sensible suggestions if we are actually serious about improving the situation. They need to be cognitive of the practical and economic reality we find ourselves in and not pretend that we live in some Eutopia where you can just freeze rents and pretend that this won't have any adverse impact on housing supply and allocation.

I think it should be possible to purchase a house on one average income.

That’s all I am saying. The fact that people need a partner to afford some of the basics of life is at the core of the issue.

"Presumably if you want to abolish it you want to get rid of landlordism all together? If so, then we're in agreement!
I'd much prefer properties being rented by HB recipients to be compulsory purchased by councils and turned into social housing for those same people. It would amount to a proper reversal of one of the most harmful aspects of Thatcherism."

Not really getting rid of landlordism then is it? You're just replacing the private landlord with the council. One of the main drivers for selling off public housing was that it costs much more for councils to build and maintain the same housing. Councils tend to be inefficient and have are poor at managing costs. We pay billions every year on top of benefits to subsidize public housing.

We so need a mix of housing. I've lived in private rentals in one place while letting my own flat out in another area. Councils can't meet all the demand in a cost effective or efficient manner. People have never been able to choose where they live in social housing unlike private rented. The main issue at the moment is lack of supply in all sectors. There is simply not enough property to rent or buy.

Some people have to stay poor so that the rich can stay rich and the super-rich can keep on getting richer.

There is simply not enough property to rent or buy.

and rent controls exacerbate that

Modern business as it exists today is indeed dependent on low costs to maintain profitability and accessibility for consumers, so if they actually paid proper wages etc peoples eg starbucks would cost over £8 as an example if costs were costed properly, at least thats my guess

Where in Europe?
😳
I was born in Prague, where family apartments cost as much as some houses in London.
People live in them across social classes.
Nobody wants to rent, unless they have other options.
These family apartments have been given for nothing to the "silent generation" by then Communist government.
👍

Now that's the spirit.
Couldn't be more true.

I was thinking countries not under soviet control until 35 year ago.

This is absolutely shocking. In my opinion, a Carers salary should be on par with a Nurse's salary.

The IEA is not exactly a legitimate source of information.

Why? Not knocking carers who are definitely underpaid for what they do. But don’t you think three years of nursing training should attract a better wage?

Nurses start on £15 an hour, only £3 an hour more than the £12 this lady said she earns. So it's not actually very different, and the nurses have 3+ years of student debt to pay off, so once their loan repayments are taken from their salary, probably don't earn much more than carers. Both deserve more.

And this report is exactly what has been used to start dismantling the system in parts of Europe….
E.g. Berlin, where the chief author is from. I have friends that rent there, and have done for generations, and this pov is from their observations about the excessive rent increases there in recent years.
Of course it’s ludicrous to introduce a rent cap - when you begin to consider housing as a luxury instead of a utility.
For the previous several generations of renters in Berlin, whose rent has been capped to keep it at a rate proportional to income, this study identifies that because housing stock for purchase is increasing in value against wages, the landlords are missing out on Important. Capital. Gains. This is clearly bad for the few who own these properties
Now, I wonder whose idea it was to suddenly view the very basics of human survival, protected in the past several decades in E.g. Berlin, as a luxury commodity?
It isn’t Utopia for most people when they are spending a disproportionate amount of their income on just the roof over their heads, is it?
However, I can see it being very appealing for those seeking to enrich themselves, the few, at the expense of the many, so to go against this new thought would be like Turkeys voting for Christmas, for the elite…
It has been happening here for longer than Berlin, but nevertheless, it’s disgraceful how much rental costs are, and these also keep house prices high, prohibiting more and more people from ever getting a foot on the housing ladder.
Rent Caps Bad, Free Market Good just doesn’t work for most ordinary people…

Basic accommodation is a requirement. But what about accommodation that is not so basic? Should there be rent controls on luxury mansions? Or if a single person wanted to rent a three bed house? Should three bed houses only be rented to families with three children?