Are the middle classes going to bail out the rest of the country?

Sir_Humphrey

drc wrote: »

Sounds good in theory but I suspect we'd get a two-tiered system here whereby those not in work would have to pay nothing and those in work would have to pay twice (for themselves and those that don't work). Not really very fair.

It's even worse than that. Council tax in rich boroughs such as Wandsworth can be low because of there being less need for social services and there are more high-banded properties.

So if we switch to local taxation, those in poorer boroughs (who tend to be poorer) will pay through the nose, reducing the incentive to work.

The Treasury would hate it too.

drc

Sir_Humphrey wrote: »

It's even worse than that. Council tax in rich boroughs such as Wandsworth can be low because of there being less need for social services and there are more high-banded properties.

So if we switch to local taxation, those in poorer boroughs (who tend to be poorer) will pay through the nose, reducing the incentive to work.

The Treasury would hate it too.

Agreed. I always find it ironic that residents of Westminster have some of the lowest council tax in the country because they get so much revenue from tourism.

kabayiri

Will the middle classes end up paying more because of our situation?
Undoubtedly.

Are the middle classes going to bail out the country?
Unlikely. It's too big an ask. I doubt the resources of the middle class sector would be anywhere near enough.

We are going to have to scrape money from every sector. It includes rich and poor alike.

ninky_2

drc wrote: »

Sounds good in theory but I suspect we'd get a two-tiered system here whereby those not in work would have to pay nothing and those in work would have to pay twice (for themselves and those that don't work). Not really very fair.

i don't see why we need this system. there is more than enough wealth to pay for these things. it's just a case of stopping the super rich from lining their pockets further.

there's no point in wealth creation unless it trickles down. and state intervention is what is needed to ensure this happens.

marklv

I strongly disagree with council tax, but I'm not exactly a fan of local income tax. I would much prefer a form of local VAT, like they have in the USA, although I can understand that this would be potentially very difficult to administer.

ninky_2

Sir_Humphrey wrote: »

It's even worse than that. Council tax in rich boroughs such as Wandsworth can be low because of there being less need for social services and there are more high-banded properties.

So if we switch to local taxation, those in poorer boroughs (who tend to be poorer) will pay through the nose, reducing the incentive to work.

The Treasury would hate it too.

i'm quite concerned about what will happen in my area (tottenham). we've seen numbers of university admissions for local children double over the last ten years and the area has really come on leaps and bounds under labour.


what is going to happen to children in areas where the parents don't have the abilities to push for the better local schooling? it's all very well putting it in local hands but to me that just means the more privileged and pushy parents will get better schools for their kids whilst the poor are left to rot.

it's so so depressing. i've got quite down about it all over the weekend.

Sir_Humphrey

marklv wrote: »

I strongly disagree with council tax, but I'm not exactly a fan of local income tax. I would much prefer a form of local VAT, like they have in the USA, although I can understand that this would be potentially very difficult to administer.

My understanding of the USA is that their equivalent of Council Tax is far higher than the UK, and that they pay both State and Federal Income taxes.

Please correct me if I am mistaken.

tomterm8

marklv wrote: »

I would much prefer a form of local VAT, like they have in the USA, .

Would never work. The USA is a huge area, so the sales taxes work over distances the same size as Wales. Its not worth travelling the distance to get a cheaper tax rate. Whereas, you can often move country borders in a fifteen minute drive.

Oldbiggles

drc wrote: »

So far it seems that all the cuts/tax rises are going to be laid squarely at the foot of the middle classes (and not everyone earning £50k per year is rich, especially if you live in London or the south-east).

I feel sorry for all those people who voted Conservative and got newLabour pt2.

Did anyone else notice the look of relief on the faces of some of the labour MP's when they realised they would not have the resposibility of sorting out the mess that they left behind?

drc

ninky wrote: »

i'm quite concerned about what will happen in my area (tottenham). we've seen numbers of university admissions for local children double over the last ten years and the area has really come on leaps and bounds under labour.


what is going to happen to children in areas where the parents don't have the abilities to push for the better local schooling? it's all very well putting it in local hands but to me that just means the more privileged and pushy parents will get better schools for their kids whilst the poor are left to rot.

it's so so depressing. i've got quite down about it all over the weekend.

Not all poor people are incapable of helping themselves. Some actually have a brain and can do quite nicely without being patronised by Labour's nanny state ethos of equality of outcome rather than equality of opportunity.