Where will the cuts fall

Jack_Johnson_the_acorn

antrobus wrote: »

good question.

As ed balls has made clear;

"we have clear pledges. No rise in vat under labour, no rise in the basic and higher rates of income tax under labour, no rise in national insurance under labour."

if you're not going to put taxes up, and you have a £90bn deficit to clear, there are going to have to be cuts, and they're going to have to be made somewhere.

Has ed balls supplied any details of where he intends the cuts to fall?

mansion tax....... It will cure the uk of "all" it's fiscal problems

Jack_Johnson_the_acorn

So far Labour have said very little specifically on where the cuts will fall...
But they have said:

No additional borrowing for new spending.

Reintroduce the 50p top rate of income tax for earnings over £150,000.

Cut income tax for 24 million people by bringing back the 10p rate, paid for by scrapping the Married Couples' Tax Allowance.

Bring in a "mansion tax" on properties worth over £2m, to raise £1.2bn.

A tax on bankers' bonuses.

A 5% pay cut for every government minister.

Push for UK overseas territories to be put on an international blacklist if they refuse to co-operate with a drive against tax avoidance.

No increases in VAT or National Insurance contributions.

michaels

Oh yes, the 10% tax rate...the tories (lib dems) have introduced a much bigger 0% tax band but somehow a 10% rate plays better to voters?!

Govt borrowing = deferred taxation. Only labour supporters seem to find this difficult.

Jack_Johnson_the_acorn

michaels wrote: »

Oh yes, the 10% tax rate...the tories (lib dems) have introduced a much bigger 0% tax band but somehow a 10% rate plays better to voters?!

Govt borrowing = deferred taxation. Only labour supporters seem to find this difficult.

So is Labour taxing more people or less with the 10p tax rate, as you seem to be implying that the CONS are taxing people less with the 0% tax band, yet in the same breath are stating that Labour are borrowing more to pay for tax cuts??? I'm confused.

Generali

Jack_Johnson_the_acorn wrote: »

mansion tax....... It will cure the uk of "all" it's fiscal problems

ROFL. This is a joke, right.

chucknorris

Generali wrote: »

ROFL. This is a joke, right.

I hope so, that's why I thanked him, I'd hate to think anyone (outside of the labour party) would seriously think that.

Graham_Devon

Cameron pointed out that the cuts are likely to be on the young.

Housing benefit rates were cut in 2012 under the tories for those aged 35 (and childless) or under. He pretty much stated this would happen again in the "debate" yesterday.

Further it seems access to out of work benefits will be cut again for the younger age group.

The total amount any household can receive from benefits will be reduced from 26k to 23k....which is a complete farce anyway, there are thousands that are now simply under the "emergency" scheme which the official figures ignore. This scheme caters for so many in London who take over 26k in benefits (mainly made up of housing benefits) it's makes this pact a complete and utter joke.

Immigrants working here won't be able to send child benefit back home. UK nationalities living elsehwere won't receive them.

Child benefits to be cut to a max of 3 kids.

Those are pretty much known.

Others I'd have a stab at are further cuts to child benefit. Cuts to tax credits for people under 40(ish). Cuts to job centre roles. Cuts to expenses for jobseekers. Cuts to council tax benefit (exlcuding pensioners). Cuts to housing benefit (excluding pensioners).

And an increase in NI. I know they recently stated they were cutting Class 2 NI for those self employed, but what they didn't tell you (but was announced the next day) is they are looking into a contributory element for Class 4 NI. So class 4 will likely go up to scoop up the "savings" from the axing of Class 2 contributions and they will likely increase Class 4 at the same time.

Further cuts to support for jobseekers and more "on job" based schemes such as workfare. Further cuts to support and respite type services. Further cuts to youth clubs / activity clubs / breakfast clubs etc. Cuts to nursery places.

As they are ot going to touch pensioners....infact, they are increasing what pensioners get, all you are left with is the working age lot. So all the cuts will have to come from them.

michaels

Jack_Johnson_the_acorn wrote: »

So is Labour taxing more people or less with the 10p tax rate, as you seem to be implying that the CONS are taxing people less with the 0% tax band, yet in the same breath are stating that Labour are borrowing more to pay for tax cuts??? I'm confused.

Got ya - the Tories (Lib dems) have vowed to increase the 0% band whereas labour will instead tax this bit that the tories are going to make tax free at 10% and thus tax the poor more

Thrugelmir

CLAPTON wrote: »

i feel sure that being averse to flying counts as a disability and as such alternative methods should be fully subsidised.

Sounds as if you work in the public sector.

Generali

BobQ wrote: »

http://www.bbc.co.uk/news/uk-32084722

After the election, where will the cuts fall?

Mr Cameron told us yesterday he had no idea but he has civil servants looking into it.

Obviously this document is ill-informed speculation but it does indicate some options

Carers Allowance ended
Tax Disability Allowances etc.

Ultimately cuts have to come from where the money is spent: welfare, health and education. Everything else is tinkering around the edges.

The obvious way is to pay public employees less.