Rishi Sunak considers benefits freeze and public sector pay freeze to pay for Covid crisis.

[HeIenaDove]

www.mirror.co.uk/news/politics/rishi-sunak-considers-freezing-benefits-22712652?utm_source=twitter.com&utm_medium=social&utm_campaign=sharebar

Rishi Sunak has looked at a freeze on benefits and public sector pay to fight the spiralling cost of the coronavirus crisis, it is reported today.

Sources failed to rule out the crushing blow to millions of workers and the poorest - just a few years after long austerity freezes finally ended.

The Chancellor is also said to be trying to persuade Boris Johnson to suspend the "triple lock" on pensions, reports the Mail on Sunday - amid fears it will artificially rise due to the economic turmoil.

A Treasury source downplayed the reports, emphasising that the government previously said there would be no return to austerity.

However, the department failed to rule out the claims, saying it would not comment on future tax or spending decisions

It was predictable. The private sector is already in a pay freeze with lots of redundancies. The public sector won’t be spared either. We will all feel the squeeze.

Best we can hope for us to avoid a deflationary spiral.

The stamp duty cuts have had a multiplier affect, they are keeping builders in work and stores that sell homes goods going.

@EmpressoftheMundane

The stamp duty cuts have had a multiplier affect, they are keeping builders in work and stores that sell homes goods going.

Why does making houses more expensive keep builders in work? It means less people can afford to buy one. If houses were cheaper and the profit margin lower for builders, they would have to build more to make the same profit and need more employees to do it.

If houses were cheaper people would have more disposable income left to spend on home goods.

[quote pandamoniummm]@roarfeckingroarr bet you haven't been frozen for the last ten years tho. No we shouldn't be exempt but we've also been reduced to the absolute bare minimum of funding and pay to the point there's barely any services left. [/quote]
I haven't been in the same job so can't comment. Regardless of the last ten years though, the economy is fucked right now and we are all going to pay for it.

@Bocadilla

Do you think anyone in their right mind ever, apart from the public school set, will ever vote Tory again? They are a disgrace. I wish we could revolt against this shameful excuse for a government

Yes. And at the next election.

@CassandraKnew

Someone has to pay for the free stamp duty up to £500,000 for wealthy people to buy an holiday home or landlords to buy more BTL's. It's pushed property prices up so people need longer mortgage terms to spread the cost. They will be glad when the pension age is put up to 75, it will give them more time to pay the larger debt!

What about those of us just buying a family home? Are we allowed to enjoy the stamp duty holiday? For us it means we will hopefully have a bit of money spare to do crazy rich person things like, you know, decorate.

Of course those working through the pandemic in hospitals can absolutely expect to be shafted by a pay freeze.

What a surprise, so the people who have probably received the least help during the pandemic are now the ones to pay for it.

That’s the Tory way. Protect the rich and privileged and keep the poor in their place. They don’t give a stuff.

As Dominic Cummings said in 2017: ‘...people think (and by the way, I think most people are right), the Tory party is run by people who basically don’t care about people like me. That’s what most people have thought about the Tory party for decades. I know a lot of Tory MPs and I’m sad to say the public is basically correct. Tory MPs don’t care about these poor people, they don’t care about the NHS’

They could tax the rich. They could make the system more fair. A group of mega rich people wrote an open letter to the Government asking them to do just that.

This is a chance to shift the balance, create a fairer and greener economy...it’s the chance of a generation ... but we have sociopaths at the helm so we are well and truly screwed.

But fear not we will have an extra 350 billion (or however much it was) for the NHS post Brexit. Yay!

Doesn't surprise me but what a way to repay key workers for all their hard work during the crisis ffs

I think we all have to make sacrifices to pay for Covid.

We’ve spent less on this than on bailing out banks in 2008. And it could easily be covered via cancelling some other shot - Hs2 almost does it in its own. If lockdown proved anything it was that we don’t need to get from London to a Birmingham 20 mins quicker.
www.independent.co.uk/news/uk/politics/coronavirus-furlough-cost-how-much-banks-bailout-trident-hs2-a9514231.html

I think we all have to make sacrifices to pay for Covid

What a ridiculous comment

Conservatives will always look after their core vote so that Triple lock won’t be going. It should though.

@annabel85

I think we all have to make sacrifices to pay for Covid.

To the extent of having no food or light or heating, or even a roof over your head? That's what happens if there's any further cut to benefits (and that's what a 'freeze' will do). People are already struggling to survive on them.

Morals aside, large numbers of desperate and destitute people will eventually turn to other ways of obtaining food and shelter. Crime rates will go up and up and up.
There's a very real risk of serious social unrest if we continue down this road.

@CassandraKnew, O don’t relish house prices rising. I don’t think it’s a good thing.

I’m just recognising that in the short to medium term, people moving house drives consumption: remodelling/renovating, decorating, buying a piece of new furniture, house warming parties, even extra cleaning supplies. Yes parties, home improvements and new dishwashers all happen when we stay in place, but statistically less and this matters for keeping the economy moving.

So let’s take more from the pensioners, shall we. They probably didn’t cost the country much during lockdown, many have been isolated for months and lost their free tv licence. Yes the debt has to be paid but this can be achieved by increasing taxes, which everyone will pay.

We're going to be paying for this for a generation whether we like it or not. We will have to male sacrifices.

It's unfortunate that it comes after a decade of austerity. We aren't really prepared for this.

Make

Some pensioners are poor, some young people are rich.

What I don't get is why, whenever there's something people don't want money spent on, an unpopular project or similar, we're told we're the 5th richest economy in the world.... But when we need something spent on, we're told we can't afford it. What's that all about?

@Alex50

How many billions is HS2 costing? When we are all working from home more.

... HS2 will cost £100 million per week for the next 20 years Boris has found a better way to spaff money than bridges to nowhere

https://www.theguardian.com/commentisfree/2020/sep/18/hitachi-nuclear-test-hs2-huge-projects-politicians-wasteful

• maybe they'll get Dido Harding to run the project

@SheepandCow

Some pensioners are poor, some young people are rich.

What I don't get is why, whenever there's something people don't want money spent on, an unpopular project or similar, we're told we're the 5th richest economy in the world.... But when we need something spent on, we're told we can't afford it. What's that all about?

We can afford over 100 billion for HS2 tbf

HS2 is using what will be obselete technology too. What a ridiculous waste of money. The only benefit is, I suppose, the jobs it will create at a time when many are facing redundancy. Does that balance out? The construction and engineering jobs involved, is that worth the cost? Does anyone know?

Yea I'm not convinced it's just to cover costs of covid either, but planning for the effects of Brexit, timing it so it APPEARS to be about covid.

Conservatives will always look after their core vote

You would think so if only for self serving reasons!!

But this Tory govt seem to be blindly alienating a number of sectors who are usually their main voters

Pensioners
Armed forces
Police

It seems like shooting themselves in the foot but they seem to be getting away with it!

It's unfortunate that it comes after a decade of austerity

You think it's purely bad luck?!

It's piss poor governance and lack of planning!

Yes, except the public sector hasn't had a pay rise for about 10 years, seriously 10 years. This year we went up 1% on average.

Meanwhile we've worked our asses off dealing with Brexit and now Covid. I work 110 hour+ weeks sometimes and we do not get paid overtime.

Thankfully DH is private sector because otherwise I couldn't afford to work for my country.