How can banks and the government help you save more?

JohnRo

The seeds of the housing crisis were sown in large part by the dictates of the Goddess, much like the benefits crisis, banking crisis, public to private wealth transfers and perpetual stealth bailouts are.

The problem is the punch and judy show alongside MSM views at ten encourages people to have political attention spans of days and weeks not years or decades.

Archi_Bald

Just stumbled across the TISA website, and now I am wondering how this BBA initiative relates to TISA.

Primary Purpose:
To increase personal savings and investments

Mission:
To work with all relevant stakeholders to review, develop and implement effective policies, regulations, products, advice and services; thereby encouraging individuals to have the appropriate savings and investments to support them, and their families, throughout their lives.

Recent report on savings futures: http://www.tisa.uk.com/downloads/Our%20Financial%20Future%20-%20Final%2009-06-2014.pdf

Pugsley_03

The reason the majority of the country doesn't save is because there is too much month left at the end of the money!
One crucial way to get some higher rate tax payers to save would be to alter the order in which earnings are taxed.
Currently you pay tax in the following order - Earnings, then savings and finally investments. Meaning loads of "Directors" take a minimal salary from a company using their tax free allowance, then take dividends up to the higher rate of taxation (which carry a 10% notional tax credit) which effectively means that they get £40k(ish) tax free every year. (their company then pays corp tax at 21% on "profits" but no NI). And whats even more sickening is if they have a wife/husband that doesn't work then they can put the same amount through in their name too.


Firstly I'm not condoning this, I don't think it's right and I pay tax on my salary like all the other poor saps that don't have this benefit.


However these people do have spare cash kicking about, so if their savings were taxed after the dividend income at a fair rate of say 10% they may well be more inclined to save it.


How do you help the everyman on the street, more offset savings accounts to cut down on mortgage interest.


NISA allowances are irrelevant to most of us who need the financial help.

JohnRo

Archi_Bald wrote: »

Recent report on savings futures: http://www.tisa.uk.com/downloads/Our%20Financial%20Future%20-%20Final%2009-06-2014.pdf

I'm intrigued, other than repackaging ONS, and others, data, presumably for a hefty fee, what are TISA trying to actually say or do?

The ONS data they use clearly shows pensions and middle incomes have been hammered hard since 1977. Little wonder people aren't saving.

Eco_Miser

Herbalus wrote: »

Imagine a bank, or any company for that matter, doing something that harms it's profits for the public good.

You mean like an energy company paying to insulate houses?

Pugsley_03

Eco_Miser wrote: »

You mean like an energy company paying to insulate houses?

Energy Companies are only doing as instructed by Government to meet Green targets, they aren't paying for it out of the goodness of their own hearts.


That's why British Gas will insulate houses even if you aren't a customer of theirs, provided you meet the criteria!

Glen_Clark

JohnRo wrote: »

The seeds of the housing crisis were sown in large part by the dictates of the Goddess, much like the benefits crisis, banking crisis, public to private wealth transfers and perpetual stealth bailouts are.

The problem is the punch and judy show alongside MSM views at ten encourages people to have political attention spans of days and weeks not years or decades.

Thats about right. The irony is that if we had lost the Falklands War, the Goddess would have been ousted at least 6 years sooner, and the country might be in a lot better shape :mad:

Archi_Bald

JohnRo wrote: »

I'm intrigued, other than repackaging ONS, and others, data, presumably for a hefty fee, what are TISA trying to actually say or do?

you can see as much as I can - they say "The outputs from this report will be used in the development of strategic proposals that will seek to increase consumers’ financial well being and support them in creating greater personal financial security".

Sounds a worthwhile goal to me, and I would certainly have more confidence in TISA than in the BBA achieving any noticeable changes. I am impressed with their approach of pulling together a multi-facetted baseline of facts and figures from multiple sources, as they have done in the report.

JohnRo wrote: »

The ONS data they use clearly shows pensions and middle incomes have been hammered hard since 1977. Little wonder people aren't saving.

Yes there have been very dramatic changes in pensions, mainly triggered by increased life expectancy and increased number of people. The focus has shifted from state and employers paying the lion's share of pensions to individuals having to assume the main responsibility for themselves. This is pretty much what happened in other western countries, the UK isn't unique with that.

In the light of this, it is a bit shortsighted to say I am not going to save because nobody else is saving for me. The only one suffering from such an approach would be myself.

Eco_Miser

Pugsley_03 wrote: »

Energy Companies are only doing as instructed by Government to meet Green targets, they aren't paying for it out of the goodness of their own hearts.

I know, that's why I offered them as an example of companies going against their interests for the public good.

Banks may also act for the public good, if the government puts pressure on them.

Thrugelmir

Glen_Clark wrote: »

Thats about right. The irony is that if we had lost the Falklands War, the Goddess would have been ousted at least 6 years sooner, and the country might be in a lot better shape :mad:

The Clown has a lot to answer for after a period of total mismanagement that'll take years to unwind. Expected to leave office and be nominated as Head of the World Bank. And where is he now?