What will the government to to help savers

marc5180

As the title says what do you think the government can/will do to help out the savers.

Both me and my girlfriend have been saving now for the past 2 years and i have the money to put in the 2009 allowance come april but the rates have been literally slashed by about 60%.

What would ther options be?
maybe upping the isa allowance?

staffie1

Sod all I would suggest. They want people to spend, not save, so there's no incentive to do anything.

tradetime

I suspect another small adjustment in the ISA level, possibly weighted towards the S&S side, and possibly tax breaks to anything like GEB's and such like products sold by banks, don't forget the government is doing its damndest to get people spending, can't really turn around and make it attractive to save

gozomark

inflation has been slashed just as much, so you should be no worse off compared to when interest rates were higher

ian-d

staffie1 wrote: »

Sod all I would suggest. They want people to spend, not save, so there's no incentive to do anything.

Well there is, if savers are not offered a good return, some will take money out of the banking institutions to place in other forms of investment, hence reducing the amount of capital the banks can use to lend one another and consumers. There's got to give us something!

staffie1

ian-d wrote: »

Well there is, if savers are not offered a good return, some will take money out of the banking institutions to place in other forms of investment, hence reducing the amount of capital the banks can use to lend one another and consumers. There's got to give us something!

Maybe you're right. But it won't be much and it won't make a scrap of difference.

tradetime

ian-d wrote: »

Well there is, if savers are not offered a good return, some will take money out of the banking institutions to place in other forms of investment, hence reducing the amount of capital the banks can use to lend one another and consumers. There's got to give us something!

No worries there then, the government will just donate some more on your behalf from your tax contributions to make up for it

jon3001

ian-d wrote: »

Well there is, if savers are not offered a good return, some will take money out of the banking institutions to place in other forms of investment, hence reducing the amount of capital the banks can use to lend one another and consumers. There's got to give us something!

They're not bothered. They'll just get hundreds of billions more off the government/taxpayer. Look what happened with the run on Northern Rock.

gozomark

loaner wrote: »

food inflation 9%
council tax approx 3%

petrol -10%
electricity -10 to 20% over the next year

sh856531

No worries there then, the government will just donate some more on your behalf from your tax contributions to make up for it

So true...

:-(

Gray_colt

Over the last 10 or so yrs savers should have spent up there savings n got in2 debt, so they wont now get owt 4 being prudent, so its there own fault 4 not being in debt. Your a fool to save under nu labour.