Well done George Osborne - stonking budget

[claig]

Tax free Allowance rising to £11000
40% tax threshold rising to £43000
Corporation Tax falling to 19% and then 18%
National Living Wage will reach £9 by 2020, will start at £7.20

If they carry on like this, Labour are finished and poor old UKIP and Farage won't stand a chance of getting a look in. But credit where credit is due - well done Osborne!

[ThomasRichard]

coffee how have child tax credits been halved? I thought the way they've approached that was as well thought-out and fair as it could be: applying only to children born after April 2017 and not in the case of multiple births following a singleton.

[bialystockandbloom]

Scrapping tax levy subsidies for for renewable energy providers - yay!
Scrapping maintenance grants for poorest students - yay!
Lowering corporation tax with no compulsory commitment for increasing living wage - yay!
Pay freeze of 1% for all public sector workers for four years - yay!
Benefits cap of £23k for "hardworking families" in London (cause that's liveable) - yay!
Reducing bank levy - yay!

Yep lots of good stuff there

[LashesandLipstick]

Plum100 accurate username...

[DragonWithAGirlTattoo]

re tax

say your limits are as follows -with no credits or benefits, just pure numbers
less than 11k - 0
between 11001 and 43k 20%
more than 43001 40%

if you earn £50k you would pay
no tax on the first 11,

20% on the bit between 11001 and 43 (which is about 32k), (about £6,340 ish)

and then 40% on the remainder (which would be around 7k) (about 1,400)


total Tax bill would be £7740ish
does that make sense?

[TalkinPeace]

I wonder how many nurseries and playgroups will go bust with the new NMW

still trying to track down the new NI rates

the dividend thing is a kick in the nadgers for micro business though

[lutra3d]

Why aren't adults aged under 25 worthy of a living wage?

[aurorablues]

QuiteLikely5 of course it's still worth her doing a degree, over her life time she will earn way more than 50k

Her poor DD will rack up a debt of 50k by the time she leaves Uni.

A paramedics wage isn't that much, but it just over the £21,000 threshold to start paying it back. So she will have to start paying back this debt as soon as she qualifies and is working.

On top of that, there are bills, rent, and the general cost of living. She will barely have any money left.

Can you imagine being in such debt by the time you are 22 years old and leaving Uni, it's astonishing and will put many youngsters off applying for such positions.

[bialystockandbloom]

too many families not communicating and young adults leaving home thinking the gov will sort them out . Your kids - your problem - you are responsible for ensuring they are sensible mature adults that can support themselves before they leave home, if they are not - still your problem - not ours!!!!

plum100 let's hope no young people you know may one day have, say, mental health needs or a disability which tear the family apart, resulting in a 20yo not able to claim housing benefit, with no access to MH services and ESA cut. Or no young people have abusive parents. Or no parents.

[sliceofsoup]

Why aren't adults aged under 25 worthy of a living wage?

Well, its the same as asking why 16-20 year olds aren't worthy of the same NMW as those over 21. Especially in the unskilled sector where younger colleagues are doing the same job for less money.

But I assume that the govt is trying to make parents take more responsibility for their young adult children, and also they are assuming that young people are mostly studying or in apprenticeships.

I am curious as to how the PP has come to the conclusion that tax credits have been halved. They have been frozen, and the amount that they will taper off when income is increased has changed, and yes, they are capped at two children for new claims after 2017, but I fail to see how that is a huge reduction?

[CatMilkMan]

I'm really happy with the budget and I find it pretty easy to ignore and forget about all of the mumsnet posters that will cry and call me "another right wing poster"

[hugoagogo]

Fucking hell plum You win a prize for selfishness and stupidity- well done.

[coffeeisnectar]

Thomas they have dropped the threshold. By £3k. So you will lose out unless you earn less than £3850 a year. Anything over that it will be reduced up to the max limit (whatever it is now). It used to be around £6.5k so it's like a tax allowance and they've just reduced it.

[specialsubject]

less important than some other things, but encouraging purchase of new cars is a BAD thing. Horrific waste of resources and materials, and many new cars are really badly designed. Older cars can be as fuel efficient if not more so, and carry fewer stupid gadgets which add weight and go wrong.

If you can afford 20k plus on a new car I see no reason why you should pay less road tax.

as an aside something that hits us all; insurance premium tax going up from 6% to 9.5%. Was originally 2.5%. Insurance is NOT a luxury item.

reduction in green energy subsidies - great news. While renewables are an excellent idea, the money is being wasted/trousered by the current set up. We also need to encourage using less energy: no VAT on insulation/new boilers etc, much higher VAT on new techy-toys (you don't NEED a new iphone, especially given how much electricity it uses), banning of all new buildings that don't have windows that open, banning of all new aircon installations in the UK without a bloody good reason and so on.

and disincentives to buy brand new cars when there are millions of them about already.

[CatMilkMan]

Add message | Report | Message poster LashesandLipstick Wed 08-Jul-15 14:57:34
Plum100 accurate username...


Good job in adding to the conversation.

[LashesandLipstick]

SliceOfSouo I think it's a fair question - why ISNT a 17 year old doing the same job as a 25 year old getting the same pay? That's absolute bollocks that it should've parents responsibility, particularly 18-25s. These people are adults. And that's a bit of an assumption, plenty of people in that age have families and jobs!

[LashesandLipstick]

Cat Id have engaged properly with the individual if their post hadn't been incredibly offensive and insulting both to those in benefits and those who disagreed with the budget.

[TalkinPeace]

One UNDENIABLY GOOD THING in the budget is the massive uplift in the Rent a Room scheme - this should encourage more people to take in lodgers / rent out part of their homes

which will ease housing pressures, reduce loneliness (many of those with under occupied homes are old) and be good for the planet as more people living in each property saves energy over all.

I just wish Gideon Wallpaper had grown a pair and clamped down on Offshore LLPs
but that's a big ask that even Labour cocked up.

[sliceofsoup]

I am not George Osborne, I am just me. I didn't say I agreed, I was trying to work out where the government is coming from.

I remember being 17 and being paid around £2 per hour less than my colleagues, and we were all doing exactly the same job. It is madness.

[HarveySchlumpfenburger]

I think that's more likely to affect working parents though, Talk. Nurseries wil just increase fees to cover it, although this alongside the 30hr provision will bugger them. I'm not sure the increase in wage, and increase in tax threshold will be enough to cover the increased childcare costs and reduced tax credits. Which might mean a lot of people coming out of work because it makes no sense to make the family worse off by putting children in nursery so both of you can work.

Admittedly, that might lead to fewer nurseries required which might close a few.

[specialsubject]

well spotted - let's hope house insurers aren't difficult over that one.

er...what is LLP?

[LashesandLipstick]

SliceofSoup fair enough I thought you were defending it. It's ridiculous isn't it

[coffeeisnectar]

My sd works full time for a supermarket, often starting work at 5am. She's just been kicked out of the house by my dps ex and her partner. She's 19. So no housing help for her, her bf lives too far from her work and she's not got her driving license yet. I have no idea what she's going to do now, we've offered her a bed here but will mean leaving her job if they can't transfer her. We are already cramped (four in a two bed house) but we would make it work. She's a grafter but her age goes against her. Not entitled to the new wage and not entitled to help.

[Didntseethiscominghelpplease]

I'm pleased. Pretty much what I voted for. It's about time people had to "consider" having more children and as for people complaining about putting people into poverty, if you don't get a decent job because you either dossed about at school and are not employable, or you cannot be bothered going to work then sorry but yes you may well have to deal with some poverty. Benefits have become to easy to opt into. Short term help, as in the old school "dole" used to be there to help people get by. Most schools are pretty decent these days, teachers go into teaching because they have a desire to help young people. If the young people do not take up the chance of being educated, FOR FREE then perhaps they should go to countries where education is a privilege not a right. I'd love to know stats for long term benefit claimants / unemployed and qualifications gained in school. Time to get tough frankly. All credit to those families on low incomes who do work hard in jobs they might not enjoy, budget and do not scrounge. Being able to get a living wage is something they deserve.

[McDreamyMcNastyMcHottie]

I haven't had time to catch up with the budget shenanigans but in response to the poster whose daughter wants to be a paramedic do NHS courses no longer have their fees paid? When I did midwifery the NHS picked up the tab.

[SisterMoonshine]

So are the tax credits I am currently receiving for my 2 DC affected?