| All this Budget Speculation 23:28 - Oct 18 with 11654 views | JACKMANANDBOY |
The plan seems to be to raise taxes like IHT and Capital Gains and maybe on Non-Doms etc. whilst changing the rules to borrow more.
There a realistic risk here, if the tax income does not increase as planned, the very rich can work their way around these increases, and if growth is slow then the cost of borrowing increases as bond rates will go up as confidence is lost in the money markets and we will have a slow burn Liz Truss effect.
With all that is happening in the World having some gold makes a lot of sense right now. |  |
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| All this Budget Speculation on 13:24 - Jan 7 with 604 views | controversial_jack |
They said that when the minimum wage was introduced, it didn't happen |  | | |
| All this Budget Speculation on 16:44 - Jan 7 with 529 views | Boundy |
| All this Budget Speculation on 13:24 - Jan 7 by controversial_jack |
They said that when the minimum wage was introduced, it didn't happen |
Not quite the same is it. | |
| "In a free society, the State is the servant of the people—not the master." |
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| All this Budget Speculation on 23:37 - Jan 7 with 457 views | majorraglan |
And then we have Next. There’s an article on the BBC about Next raising prices to offset “an unusually high" £73m increase in staff wages and taxes and then proceeding to explain the increases are as a result of changes announced in last years budget.
Anyone with the curiosity or patience to finish reading the article will learn that "Next expects profits to rise by 3.6% to more than £1bn next year."
Are we being taken for a ride by some?
https://www.bbc.co.uk/news/articles/cgkxlnlne0po | | | |
| All this Budget Speculation on 00:50 - Jan 8 with 437 views | JACKMANANDBOY |
| All this Budget Speculation on 23:37 - Jan 7 by majorraglan |
And then we have Next. There’s an article on the BBC about Next raising prices to offset “an unusually high" £73m increase in staff wages and taxes and then proceeding to explain the increases are as a result of changes announced in last years budget.
Anyone with the curiosity or patience to finish reading the article will learn that "Next expects profits to rise by 3.6% to more than £1bn next year."
Are we being taken for a ride by some?
https://www.bbc.co.uk/news/articles/cgkxlnlne0po |
They will pay £250M in Corporation Tax if they make the numbers. They could make £750 Million net profit on £6 or £7 Billion turnover but that depends on how the economy goes. Profit could be much less and they will need to reinvest some of the £750M.
I would not like to.be in Retail.
They could swallow the NI increase but if they think can operate by increasing prices there's nothing stopping them.
There's no monopoly or obligation here to buy their goods, if people are happy to buy their goods at a given price then that's up to their customers. [Post edited 8 Jan 0:57]
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| All this Budget Speculation on 07:30 - Jan 8 with 379 views | AnotherJohn |
The yield on UK 30-year gilts went up by four basis points yesterday to 5.22%, exceeding the spike after the Liz Truss fiasco. It is a bit of a mystery why there isn't more of a furore about this, as we are now moving into very dangerous territory. This is because the extra cost of servicing the national debt is now swallowing up the extra money that Rachel Reeves planned to borrow to fund her growth plans. If the extra cost of new borrowing is added to the extra cost of servicing the debt, then Reeves will break her new fiscal rules. The difficult choice she is now facing is between (a) doing that, which would be likely to spook the international markets, (b) raising taxes, or (c) cutting public spending. The big risk is stagflation. If people argue that Truss crashed the economy, I wonder what they think about this?
Edit
Getting worse. Gilt yields up to 5.38% today and pound at lowest rate against US$ for 9 months. [Post edited 8 Jan 15:22]
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| All this Budget Speculation on 16:11 - Jan 8 with 281 views | SullutaCreturned |
| All this Budget Speculation on 07:30 - Jan 8 by AnotherJohn |
The yield on UK 30-year gilts went up by four basis points yesterday to 5.22%, exceeding the spike after the Liz Truss fiasco. It is a bit of a mystery why there isn't more of a furore about this, as we are now moving into very dangerous territory. This is because the extra cost of servicing the national debt is now swallowing up the extra money that Rachel Reeves planned to borrow to fund her growth plans. If the extra cost of new borrowing is added to the extra cost of servicing the debt, then Reeves will break her new fiscal rules. The difficult choice she is now facing is between (a) doing that, which would be likely to spook the international markets, (b) raising taxes, or (c) cutting public spending. The big risk is stagflation. If people argue that Truss crashed the economy, I wonder what they think about this?
Edit
Getting worse. Gilt yields up to 5.38% today and pound at lowest rate against US$ for 9 months. [Post edited 8 Jan 15:22]
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The scales have well and truly tilted in the wrong direction, Question is will Reeves sit tight and hope things improve or will they take "emergency" measures to try and rebalance the scales. | | | |
| All this Budget Speculation on 16:25 - Jan 8 with 271 views | AnotherJohn |
Indeed. Back in 2022 the emergency action was to get rid of Truss and Kwarteng and bring in Sunak and Hunt, which by October 25th resulted in the 30 year gilt yield falling to 3.68%
https://www.ft.com/content/a5758ce9-f8f3-4013-aa97-81ff3db3eaf2
I'm not sure what Starmer and Reeves can do in the present situation. | | | |
| All this Budget Speculation on 16:46 - Jan 8 with 255 views | Joesus_Of_Narbereth |
| All this Budget Speculation on 16:25 - Jan 8 by AnotherJohn |
Indeed. Back in 2022 the emergency action was to get rid of Truss and Kwarteng and bring in Sunak and Hunt, which by October 25th resulted in the 30 year gilt yield falling to 3.68%
https://www.ft.com/content/a5758ce9-f8f3-4013-aa97-81ff3db3eaf2
I'm not sure what Starmer and Reeves can do in the present situation. |
To quote Blackadder their resignation and suicide might raise morale a bit. Make a note of it Darling. |  |
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| All this Budget Speculation on 18:44 - Jan 8 with 204 views | JACKMANANDBOY |
| All this Budget Speculation on 16:11 - Jan 8 by SullutaCreturned |
The scales have well and truly tilted in the wrong direction, Question is will Reeves sit tight and hope things improve or will they take "emergency" measures to try and rebalance the scales. |
I can't see anything but poor economic performance for the first three months of this year as the budget effects come through. Today's bond sale did not go well, I expect that Reeves will end up having to take some sort of action. [Post edited 8 Jan 22:39]
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| All this Budget Speculation on 21:07 - Jan 8 with 147 views | SullutaCreturned |
| All this Budget Speculation on 16:46 - Jan 8 by Joesus_Of_Narbereth |
To quote Blackadder their resignation and suicide might raise morale a bit. Make a note of it Darling. |
No need to resign, cut out the middle man, I'm all for government efficiency savings. | | | |
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