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Tax increases imminent

1000 replies

Iwishicouldflyhigh · 04/07/2025 11:28

Heavy hints that taxes will rise in the next Budget after the recent climb down (as the ‘taxes won’t rise again’ was based on a 5 billion saving in benefits).

I can’t lie, I’m so pissed off about this. I don’t think anyone wants to see someone who is genuinely unable to work to be further penalised, but we all know there are thousands of people who could work but don’t.

this country is going to absolute shit . We pay more and more for less and less.

OP posts:
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6
WhitegreeNcandle · 05/07/2025 07:56

I think you’re right and tax rises are on the way. I wish we could just have some good old straight talking about how we can’t afford to pay for everything and something has to give.

However, I also think the person upthread who said about making sure nail bars and barbers are taxed correctly is onto something. The cash economy I think is bigger than many of us realise. I have come across 3 people in the last few weeks who I know fairly well who have admitted to having cash in hand jobs. None of whom are big earners - all part time low wage. Or so the government thinks anyway. I think that is often the answer as to why people can afford holidays and cars that others can’t.

EasternStandard · 05/07/2025 08:00

globalnomad25 · 05/07/2025 07:51

I think the problem is that Labour need to first identify exactly what they stand for, and give a clear purpose and outcome to any cutting or taxation.

Taxation without purpose or any discernible benefit has terrible optics to whomever is being taxed.

If I were Labour leader, I’d be focusing on (1) very, very clear communication about the overall strategy FIRST, then
(2) be very upfront that not everything can be afforded, and only THEN
(3) set out the cuts or taxes.

For example, if Labour clearly articulated that their core aims are around social justice, reducing child poverty, or building a resilient NHS, then they can frame every fiscal decision through that lens — even tough ones.

They also need to avoid being simplistic about the effects of taxation or cuts. For example, without careful implementation, the proposed non-dom reforms risk driving away high earners and investors — which could actually reduce tax receipts in the long run.

The same goes for windfall taxes or corporate levies: if they are perceived as unpredictable or punitive, they may scare off the very businesses Labour needs to fund its agenda.

That’s why the focus should be on a small number of strategic, clearly explained priorities, each backed by honest communication about trade-offs. In other words:

  • strategise,
  • think through,
  • communicate, communicate, communicate!

The public can handle difficult truths if they feel there’s a coherent plan and shared purpose behind them— but what won’t work is improvisation disguised as fairness.

If it is tax rises then they’ll have need to do this strategy pre GE.

bookdook · 05/07/2025 08:04

The public can handle difficult truths if they feel there’s a coherent plan and shared purpose behind them

I don't think they can tbh. It's why I think Reform is growing in popularity. People would rather believe lies because the lies are more palatable.

bookdook · 05/07/2025 08:05

raise pension age

it's already 68 with no increase in healthy life expectancy!

globalnomad25 · 05/07/2025 08:08

bookdook · 05/07/2025 08:04

The public can handle difficult truths if they feel there’s a coherent plan and shared purpose behind them

I don't think they can tbh. It's why I think Reform is growing in popularity. People would rather believe lies because the lies are more palatable.

Hmm, that’s a good point. You may be right. Although I have to cling onto hope that it’s not completely true!

Rosepalmaviolets · 05/07/2025 08:08

@lighthouseahoy I agree .
And raising thresholds directly affects the most poor putting more into workers pockets.
Optimisim , taking growth in business not workers all helps.weve just had doom and gloom plastered all over us.

mydogisthebest · 05/07/2025 08:09

Rosscameasdoody · 04/07/2025 21:33

I didn’t say it was.

You asked whey I stated tax was not payable on benefits so I answered you - it is on universal credit.

I know a few people on universal credit who don't work and they get a lot more than I get with my state pension so why should they not pay tax?

bookdook · 05/07/2025 08:10

@globalnomad25 I would like to be proved wrong!

EasternStandard · 05/07/2025 08:10

globalnomad25 · 05/07/2025 08:08

Hmm, that’s a good point. You may be right. Although I have to cling onto hope that it’s not completely true!

The main problem is explaining why tax rises are needed now is too late.

There’s a GE pledge not to do that. So speaking of lies to the electorate that’s what the problem would be.

mydogisthebest · 05/07/2025 08:10

bookdook · 04/07/2025 21:35

The state pension and pension credit are bloody benefits!

I don't get pension credit, just state pension and yet have to pay tax on it so why do people on universal credit not have to?

bookdook · 05/07/2025 08:11

The main problem is explaining why tax rises are needed now is too late.

Whereas I would argue anyone with a brain realises it's tax rises & cuts. That is the foreseeable future for a long time.

Rosscameasdoody · 05/07/2025 08:11

mydogisthebest · 05/07/2025 08:09

You asked whey I stated tax was not payable on benefits so I answered you - it is on universal credit.

I know a few people on universal credit who don't work and they get a lot more than I get with my state pension so why should they not pay tax?

Many people on universal credit pay tax if they are also working, but tax isn’t payable on the benefit itself because it’s means tested and paid according to whether there is any other income.

Rosscameasdoody · 05/07/2025 08:13

mydogisthebest · 05/07/2025 08:10

I don't get pension credit, just state pension and yet have to pay tax on it so why do people on universal credit not have to?

You would only pay tax on state pension if you had other income which takes you above the tax threshold. At present state pension doesn’t meet the tax threshold on it’s own.

EasternStandard · 05/07/2025 08:14

bookdook · 05/07/2025 08:11

The main problem is explaining why tax rises are needed now is too late.

Whereas I would argue anyone with a brain realises it's tax rises & cuts. That is the foreseeable future for a long time.

Too bad. If Labour didn’t have the required brain and sold the electorate a lie to get in it’ll come back to bite.

globalnomad25 · 05/07/2025 08:16

EasternStandard · 05/07/2025 08:00

If it is tax rises then they’ll have need to do this strategy pre GE.

Agree… but in the meantime, I worry that poorly-thought-through tax rises are going to at best annoy or at worst drive away (or dissuade from coming) the very people and businesses that we need to get ourselves out of debt.

Rosscameasdoody · 05/07/2025 08:17

bookdook · 05/07/2025 08:05

raise pension age

it's already 68 with no increase in healthy life expectancy!

It’s 66. It will gradually rise to to 67 between 2026 and 2028, and then to 68 by 2044-46.

EasternStandard · 05/07/2025 08:17

globalnomad25 · 05/07/2025 08:16

Agree… but in the meantime, I worry that poorly-thought-through tax rises are going to at best annoy or at worst drive away (or dissuade from coming) the very people and businesses that we need to get ourselves out of debt.

I agree with you there @globalnomad25

bookdook · 05/07/2025 08:18

Too bad. If Labour didn’t have the required brain and sold the electorate a lie to get in it’ll come back to bite.

I don't understand the above. Whatever they do will come back to bite. But we still need to acknowledge reality rather than shut our fingers in our ears and say "you lied". P.S I knew the 300m for the NHS after Brexit was also a lie.

@globalnomad25

Can you see why I think the way I do? Depressing but true.

mydogisthebest · 05/07/2025 08:18

Rosscameasdoody · 05/07/2025 08:13

You would only pay tax on state pension if you had other income which takes you above the tax threshold. At present state pension doesn’t meet the tax threshold on it’s own.

I have no other income. I get just over £13,000 pension and the tax allowance is £12,570 so I have to pay tax

deedooHaHa · 05/07/2025 08:18

LeavesTrees · 04/07/2025 11:48

I agree with @NeedyOpalSquid that the state pension should be means tested. I know extremely wealthy pensioners who have exotic holidays once a month who receive state pension. They do not need it. And there are a lot in that position.

But if you means test the pension, who, out of the UK tax payer, will stay?

To have a 12k pension you need about 300k saved.

If I save my socks off to have 300k in my personal pension, and then the government takes away my state pension, I'll be off.

bookdook · 05/07/2025 08:19

@Rosscameasdoody it's 68 for anyone that falls into the category of having it increased further...

EasternStandard · 05/07/2025 08:19

bookdook · 05/07/2025 08:18

Too bad. If Labour didn’t have the required brain and sold the electorate a lie to get in it’ll come back to bite.

I don't understand the above. Whatever they do will come back to bite. But we still need to acknowledge reality rather than shut our fingers in our ears and say "you lied". P.S I knew the 300m for the NHS after Brexit was also a lie.

@globalnomad25

Can you see why I think the way I do? Depressing but true.

The electorate will expect Labour to stick to a major GE pledge. Even if a few mners want them to tax more.

deedooHaHa · 05/07/2025 08:20

mydogisthebest · 05/07/2025 08:18

I have no other income. I get just over £13,000 pension and the tax allowance is £12,570 so I have to pay tax

But only a very small amount, surely?

bookdook · 05/07/2025 08:22

The electorate will expect Labour to stick to a major GE pledge. Even if a few mners want them to tax more.

Why do you think people want to be taxed more?! Have you read the thread? 😆

deedooHaHa · 05/07/2025 08:23

bookdook · 05/07/2025 08:22

The electorate will expect Labour to stick to a major GE pledge. Even if a few mners want them to tax more.

Why do you think people want to be taxed more?! Have you read the thread? 😆

I am not sure that there is another option unfortunately. They'll have to increase tax.

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