Historical evidence of London moving into bubble & dragging rest of UK with it

PasturesNew

Remember: for everybody that thinks a bubble's about to burst ..... there are 10 teams of r1ch b4st4rds working out ways to prevent it

padington

CLAPTON wrote: »

no

just build more houses

Or make masses of great new jobs where there are loads of empty houses already built ? Liverpool is half empty.

To do that you need to inject loads of money into tons of brilliant new idea's and where better to tax that money from ...

Truth is Britain is lacking a wealth of highly paid employment prospects in other places than London more than anything else

The moment I can earn really well and live in a cottage in the Peak District, I'll happily move out of London.

CLAPTON

padington wrote: »

Or make masses of great new jobs where there are loads of empty houses already built ? Liverpool is half empty.

To do that you need to inject loads of money into tons of brilliant new idea's and where better to tax that money from ...

Truth is Britain is lacking a wealth of highly paid employment prospects in other places than London more than anything else

The moment I can earn really well and live in a cottage in the Peak District, I'll happily move out of London.

I agree
we need jobs everywhere other than London

sadly I've no idea how to do that

do you?

PasturesNew

In the 60s/70s companies were paid to move out of London, to spread the jobs love far and wide. Some took it up obviously - I worked for one such company briefly (boss was an utter loon though) about 15 years ago, it's still going. Even 15 years ago they were paying good wages across all functions.

They originated in Surrey.

It is a highly specialist research/manufacturing company, who export 80% of their products and knowledge, working a lot in the defence industry.

The deal included enough land to build the premises they needed - and staff were invited to relocate too (a lot did).

padington

Yes, you support and fund the brightest and most innovative entrepreneurs and reduce taxation for industries we want to grow.

That might mean also reducing VAT on any type of house building work whilst taxing excessive house price inflation through capital gains tax on sales.

Maybe, I don't know, I'm not an economist but It sounds about right to me.

mayonnaise

cepheus wrote: »

London’s line has just gone back above the blue line, in the first quarter of 2014

I needed my glasses to see that.

cepheus wrote: »

so the capital’s house prices just turned explosive.

Compared to the previous cycle, we're now in 1999. Sounds good.

CLAPTON

padington wrote: »

Yes, you support and fund the brightest and most innovative entrepreneurs and reduce taxation for industries we want to grow.

That might mean also reducing VAT on any type of house building work whilst taxing excessive house price inflation through capital gains tax on sales.

Maybe, I don't know, I'm not an economist but It sounds about right to me.

numerous attempts have been made to subsidise companies setting up out of London: special 'enterprise zones' already exist

http://enterprisezones.communities.gov.uk/

I have little faith that civil servants or politicians are clever enough to identify the brightest and most innovative entrepreneurs. If they knew how to do this they would all be millionaires by now and not working for the government anymore.

No idea what you mean about VAT: there is no VAT on new builds and anyway companies don't normally care about VAT as the offset VAT paid against VAT on their supplies.


I'm confused how taxing people selling their London property to move to Liverpool encourages people to move out of London.

junglejame911

cepheus wrote: »

.

https://theconversation.com/explosive-london-housing-bubble-set-to-spread-to-the-rest-of-the-uk-27721

I've looked at this a few times now and I'm still not clear what the y axis is and what they take zero to be. The critical threshold is almost linear, considering the short period represented here, the confidence intervals must be pretty wide and so this is all fairly meaningless. Happy to be corrected on this one.

padington

If you think innovation is funded as well as housing in the UK, you certainly are confused.

Look how much of the money banks actually loan to small businesses. It's peanuts.

CLAPTON

padington wrote: »

If you think innovation is funded as well as housing in the UK, you certainly are confused.

Look how much of the money banks actually loan to small businesses. It's peanuts.

There may well be a case for a tax payer funded bank to lend to small businesses.

If most go bankrupt it won't matter much as it's only tax payers' money.