MNHQ here: are you a JAM ("Just About Managing")?

[FinnMumsnet]

Hello,

With the Chancellor's Autumn Statement coming up next Wednesday (23 November), rumours swirl that it will include measures targeted at a group the government has been calling "JAMs", or those "just about managing." There's some suggestion that this will include action on things like childcare subsidies, the cost of holiday flights and fuel duty. (For more, here's the Mirror, the Telegraph and the FT.)

We know from previous conversations that many MNers are having to work hard to make ends meet, and we'd love to hear your thoughts on whether you think you fall into this category, what action you'd like the government to take, and whether any of the proposed measures (though we don't have any more details we're afraid!) would make a difference to your lives.

Thanks,
MNHQ

" Those who need a shorter-term tenancy can choose that of course "

Not necessarily. When long-term contracts become the norm, short-term ones might be much more expensive. Where I used to live, you couldn't get less than 3 years on anything but furnished flats. Furnished flats weren't the norm as they are here and they were much more expensive.

Katherina - you didn't answer the point about the awful neighbours.

Housing housing housing. If rents and mortgages will what they were 20 years ago you would remove most jams out of this situation.

Yes, but there will also be a few sublets available from the people who want to get out of their longer tenancies! And you can legislate for these things too - require freeholders/developers to set aside a certain portion for one group (as happens now, in other cases).

I didn't answer the neighbours point - I guess you have to take your chances, like everyone does! And use the other means of combatting awful neighbours (local council etc). I think the neighbours a bit of a red herring actually - the LL (usually) can't do very much about that, and it's something we all have to deal with, as renters, homeowners or whatever.

What I'm saying, Gwen, re the shorter tenancies, is that we can take the experience of models that have worked in other countries, and further refine them. No model will be perfect.

" it's something we all have to deal with, as renters, homeowners or whatever."

While you can have difficult neighbours everywhere, I think people living in rental properties generally have bigger problems as they're more likely to be in deprived areas and/or be living in flats.

Allowing subletting as standard would be very useful, hardly any agreements do now.

Yes, bad neighbours can happen elsewhere too. Some bought the place next door to an old house of ours, but we didn't report them and managed to sell within a few months - to a landlord who was going to let the place to students, who we secretly hoped would give the noisy neighbours a taste of their own medicine. Thankfully we weren't stuck with them for a year, urgh. (Later ended up back in rented due to a move to a more expensive part of the country)

And that is probably an example of how de-gentrification happens.

When I clicked on this thread, I thought I wouldn't reply as I don't think we are JAM - we are relatively comfortable, by which I mean that we have a mortgage and a car and we aren't struggling to make ends meet every month. However there is no way we can afford foreign holidays at the moment!

We own our own flat, which is lucky because we wouldn't be able to afford the rent on our place (we bought when prices were lower). I think housing costs are the biggest problem for JAMs and I would support rent caps and more social housing.

Stop cutting the provision of free or very cheap things to do with kids. Libraries, museums, council run leisure centres etc have had a really hard time recently and they provide an essential service to everyone, not least families who are struggling to make ends meet.

Another poster who says housing rental regulation is a massive priority. People who rent do not know where they are going to be living months / years from now, can't feel secure, can't make job plans in case they have to move, their children have to move schools, pets possibly have to be rehomed (a subject close to my heart). Renting is draining and unsettling both emotionally and financially.

Property prices obviously cause massive issues in some areas of the country (I can't see how my kids will ever buy in the south, unless i downsize). But it can't be the whole issue as some areas its still relatively cheap (my IL's 3 bed house is only about 10k more than the 2 bed flat i bought 30 years ago).

someone said they were struggling, and whilst they had a degree were working PT in a supermarket. Whats stopping them getting a more professional higher paid FT job - none around, wrong degree or something else?

I'm not pointing any fingers here, just genuinely interested in the debate

There are half a million empty homes in the UK

There are a million second homes in the UK

There are half a million plots with planning permission that the companies are not building.

Local Authorities who pick up the tab for Housing benefit are banned from building new homes for rent

It is an entirely politically driven situation
that could be reversed at the stroke of a pen
but Tory donors would lose out
so it will never happen

re state pensions. They ARE becoming unaffordable (hence the hint about the Triple Lock). Pension age is going to have to rise to 70 or more within the next 30-40 years, and I firmly believe the basic pension is going to become a secondary source of income, not the primary source it is for many people at present. Sooner or later, the govt (the next one if not this one) will make it compulsory for everyone to have a private pension.

I don't know about preserving the Silver vote, they have lost probably half a million votes nationwide because of their stance on the 1950's women.

Means-testing the ancillary age-related benefits like concessionary travel and winter fuel allowance: the truth is, it would cost them more in admin costs to make these means-tested than they would save on the bill.

Yes there ARE lots of pensioners with very good incomes, but there are also many people struggling on the bare minimum through no fault of their own. I know a lady, now in her late 60's, who fostered children for almost 40 years. She didn't earn any pension at all for all those years.

Agree 200% about housing. More social housing should be provided, and the BTL market needs to be much more regulated. Social housing provided by LAs isn't supposed to be turning in a massive profit, just covering the maintenance & admin costs. At the very least, BTL shouldn't be encouraged as a profit-making scheme. I know there are lots of good landlords out there, but its not on forcing JAMs (and pensioners) to move every year or so, paying money they can't afford in agency fees.

Also agree with a previous comment about forcing women with young children out to work so they need to pay for childcare. Two families I know are no better off at all with both parents working - paying for childcare & extra costs associated with working including transport. If the govt is willing to pay towards early years childcare, why don't they just pay a decent allowance to SAHMs (or dads) instead & cut out a lot of the intermediate admin costs?

State pensions cost more than the NHS
State pensions cost more than double the Education budget
www.ukpublicspending.co.uk/

saag - wouldn't it encourage the more feckless just to have loads of children if they had a 'decent allowance to SAH'? Don't fancy going back to work....then lets have another baby. And how would this benefit people in London/South where housing is so high? the allowance would need to be really high in these areas.

I would like to see incentives for letting out rooms in your homes - or at least it not counting towards your income. I would like to see incentives for companies moving to cheaper areas - not just the north - some areas of the SW need more employment. Second homes allowed if they were used but not left empty (and that includes property in london, not just tourist areas)

People encouraged to downsize and sell rental properties (if you want to minimise this - a whole new debate) - instead of the high capital gains tax thats been introduced.

i would like to see a higher inheritance tax (so that funds don't just become concentrated in families and rich get richer) and schooling made better (funding spread more fairly rather than just focused on inner city areas)

i would like more apprenticeships - i can't believe that all these people at uni doing strange degrees are actually going to get jobs that warrant the cost.

For money to be shared more fairly throughout the UK. If scotland can afford no tuition fees, small class sizes, and free home care for the old its getting too much money

I'm one of these women, working with young DC, to break even financially. It is hard.

Most women nowadays do it, as there are so few secure jobs & industries nowadays. So being reliant on one salary is too much of a gamble. Although it can be tempting to SAH, especially with all the stress of commuting, work, trying to juggle DC & home, it's just not feasible nowadays for most.

And if you take time out to have DC, you rarely/never get back in again, certainly not at the same level. If you've been to university, and built up a career until your 30's, before having DC, it's a lot to throw away. A friend of mine is an accountant of took a 5-year career break from KPMG. Unsurprisingly, at the end, her old job no longer exists & she is out of work.

Plus 2 salaries are generally needed for housing costs. Gone are the days of a nice house on 1 salary. That's why most women continue working, but many give up as you have to earn 35-40K to pay for 2 places. Round here it's £100-120 a day for 2 places, and £20/day for wraparound school care.

If the government wants to get people in to work, and contributing taxes to pay for current pensions, the NHS etc, then subsidising childcare would be a great way to do it.

On a separate note, I'd happily pay more taxes for public services & the NHS.

If scotland can afford no tuition fees, small class sizes, and free home care for the old its getting too much money

It can't really, it's struggling with the tuition fees now especially.

Sooner or later, the govt (the next one if not this one) will make it compulsory for everyone to have a private pension.
Which would be fine if DC pensions actually provided enough money to live on
but they do not.
At current return rates you need to pay in 15% of your income for 40 years to have the median wage in retirement
which means everybody over 30 is already screwed

the concept of "retirement" is out dated

BUT
the best way to deal with the housing shortage
and
to balance the books
is a well designed Land Tax

Housing! Security of tenure as well as cost of renting!

SauvignonPlonker - you said that it was hard for you to break even financially - and you also say you'd be happy to pay more tax. In reality could you afford to pay another 10% of your earnings or more. You'd be worse off - and things are already tough.

That is not to criticise - I would pay more tax - but I can't at the moment. Nor can many working families. Which leaves us with the corporations who, most people advocate should pay more and be prevented from evading tax, and the very high earners, who, more than likely will just relocate.

Just about managing does not include holidays! They are a pipe dream.

A living wage that is actually a living wage would be the best thing to focus on imo.

I don't want tax rises. I scrap by. I pay tax and I can't possibly afford to pay more. It's no good telling me we could have this that and the other if I paid more tax. I will never vote for any party that puts tax up.

I will never vote for any party that puts tax up.
Then you should be happy that the cuts will continue to bite into the NHS and schools and benefits and the environment.
Or you should be happy that we borrow from our kids to carry on living in the never never.

Living wage. Rent cap on private landlords. Making it unlawful for rental agencies to charge fees. Making tenancies secure and giving tenants more legal rights in regard to neglectful landlords. HB provision that collated with local private rent. Building social housing. Making BTL undesirable and unprofitable. Subsidised childcare not being cut as it is in my local area. Ensuring that the wealthy pay their taxes and don't become non doms. Heavily taxing second homes. Diverting public money from Trident to fund public services. Subsidised dental care and prescriptions for those above the benefit threshold but still poor.

"I don't want tax rises."

Not even for rich people?