Thanks for watching! To see more of our analysis ahead of the Budget visit: ifs.org.uk/collections/ifs-green-budget-2024 Timecodes: 00:00 Introduction: Fiscal Challenges 00:19 IFS Zooms In: Live Announcement 00:59 Anticipation for the Upcoming Budget 02:04 Public Finance Overview 05:32 Public Service Spending Dilemmas 12:15 Investment and Fiscal Rules 15:29 Debate on Debt Definitions 17:37 Strategic Choices for Investment 18:24 Government's Investment Strategy 18:52 Public Sector Net Worth Explained 20:05 Challenges of Public Sector Net Worth 23:28 Constraints on Government Borrowing 24:14 Balancing Investment and Borrowing 26:38 Impact of Investment on Public Services 28:35 Rachel Reeves' Budget Choices 34:37 Conclusion
I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Wendy Hubbard Stewart.
very informative discussion, thanks. When you say we might get an extra £50bln (or whatever) headroom by changing the definition of debt, is that an extra £50bln per year or in total over the Parliament?
Well said. We left.last year and right now I cd run a sude gig as a relocation advisot. The tkp 5% pauing 50% of tax and - as you say - less than 50% paying any tax cannot go on. People coming out to invesigaye our new home were already tapped out by the conservatives (most SME biz owners.and £100k salary getting.caught in 62% marginal tax). My.sense from talking to them is that labour isn't the catalyst but it is the last straw.
@@advocate1563 the lack of link between contributions and entitlement. Drives me crazy. I feel I pay a lot of tax. Yet when I needed the state due to a vehicle accident then I was sorely let down. With HMRC hounding me for VAT, NIC, CT, IcT, ND Rates, while in hospital. Then being entitled to very little, staff lost there jobs my business went into hibernation for 2 years while I recovered. There is scope to raise a little tax through removing some distortions. Switching back to the Lawson CGT model. Broadly abolishing sdlt to PPP and apply CGT. Rolling 5 year IcT/NIC/CT tax allowance. Level up the sole trader and ltd NIC position. Make the ER NIC allowance business based to target SMEs rather than individual based which drives up the in work benefits bill with the state subsiding low paid part time jobs in warehousing, hospitality and retail due to artificial caps on hours. To make a real difference to the economy we need a cost benefit analysis of big policy's of reforming education/childcare for the under 11s. Improving the employment opportunities for women will boost GDP and tax revenue massively. Similarly the state funding employers for maternity and paternity leave through the NIC system would spread the cost through the whole of the employment rather than focusing it.
You mention borrowing from the private sector, but how about borrowing from the Bank of England instead? If they charge interest just borrown that from them too.
They eill move into the business of physics and keep finding new black holes, then tax the hell out of the productive parts of the economy in the name of growth, whilst bunging free cash to the unproductive sectors.. Very happy to be writing this from somewhere else in the world - we left last year. Writing was on the world around the uniparty omnishambles. We now live in a.country with no govt debt and 20% flat tax.
Labour could have reversed the last NI tax cut nade by Jeremy Hunt (he made two cuts) saving around £10bn. By refusing to increase income tax, vat and NI (although not employer NI by the sound of it) they have backed themselves into a corner. Public sector spending is getting out of hand and there needs to be a root and branch study looking at front line needs vs back room non-jobs
The government was foolish to back Hunt's £20bn tax cut and then box itself in by ruling out tax cuts and commit to the triple lock. These guarantees that debt will continue to rise. Poor government. The Tories were unpatriotic. Instead of building prisons, they were giving tax cuts. Very poor decisions. As citizens, we cannot have great services without paying for them.
In terms of “extra” spending not part of the overall plan pre pandemic, as well as higher debt service costs and working-age benefits, don’t forget the now significant and rising cost of housing asylum seekers/illegal immigrants. A contentious subject, but one that is of a not immaterial size in economic as well as social and political terms
Working class basic rate tax payer with limited economic knowledge here, I have a very simple question. Highest tax burden, debt through the roof, the worst public services in my lifetime, infrastructure bordering on third world standards. Where the hell is all the money going?
More old people, less working people as a percentage. Working people pay tax, and old people generally do not. Most western countries are now at the end of a period in which the boomers are workers, this massively inflated tax revenue. This inflated revenue as compared to the burden per worker was then used to cut taxes and increase spending, which we now expect. So basically we expect a level of public services that is impossible to do with the tax burden we are willing to pay, unless you have inflated revenue due too more workers. We are spoiled...
28:11 borrowing to regain public services infrastructure & physical assests is good. Borring to pay ceo's & share holders bad. Much like getting a loan to buy their home as opposed to getting a loan to pay their coke dealer.
Sadly focus right now is.current spending not.capital.and i.d9n't believe that will.change. benefita.of.capital - 5/6 years -longer than the electoral.cycle.
What is the IFS position on modern monetary theory? With inflation falling below BoE targets, does this not give more headroom for spending without additional tax rises? A video on the subject would be interesting.
@@jonh7054 True, but there again the whole 2% target thing is just a number pulled out of a hat. I would add that I have read that it is the drop in air fares which is the key factor leading to the current fall in inflation.
The NHS is the real "black hole", having doubled its budget (as a percentage of GDP) over the past 30yrs, whilst its service levels have declined. Throwing more money at it is pointless without serious reform. Starting with the 650k admin staff. What the hell do they all do?
They ensure that doctors and nurses don't clean, move patients around, cook and serve meals, do the accounts, make calls to confirm appointments, provide security, provide HR services, do strategic planning etc.
@@SGIQ7 - Cleaning, meals, security & facilities management are generally outsourced to private contractors. Accounts, HR, planning & making appointments represents a small fraction of the number of clinical staff. There's still a yawning chasm of staff unaccounted for in terms of productive usefulness.
Billions leaving the uk monthly to tax haven's. A good place to start filling the black hole. But that won't happen when starmer gets tax free pension. Wealth inequality has to be addressed.
Please make sure you invite Reeves to your live event. She's clearly out of her depth and needs some answers that actually work, as opposed to the ones she's already mooted that the IFS, OBR and other Civil Service depts have already raised major concerns about.
Isn't she just. Talk about flying without a license. The fact that she announced withdrawal of.winter.fuel allowance without checking the Offen.cap revision announced only 2.weeks later at +£149.was breathtakingly naive. Her.manifesto chickens also coming home to roost and the electorate is.NOT.in a forgiving mood, particularly.on the back of £107k of free stuff, 200 cronies.stuffed into rhe.civil servixe, same planned for house.of.lords,.etc.
Why do we assess the government's ability to pay their debt by a % of GDP? We should be measuring the debt repayment (budget excess). No good lending to a business that gross 2 billion when their net profit is in the red 😅
@hughiemg2 Who's going to buy up the assets families sell to pay the IHT? Regular people or the richest 1%, who avoided any meaningful wealth taxes? This will accelerate the richest owning everything.
@@noonecaresaboutgoogle3219 government need to come at it from both ends which means the top 1% needs to pay it too. Id drop the rate from 40% which I think is too high and then do away with all the bs loopholes like trusts, agricultural land and business relief which means the larger estates pay pretty much nothing.
@hughiemg2 The people at the top are multi lingual, have multiple nationalities, and can move assets out of the country. If needed, they'd renounce their citizenship. So the UK government can't tax them significantly without international cooperation. They will dodge IHT and buy up all the assets sold to pay the tax.
Cut expenditure by scaling back the role of government. For example, there is absolutely no need to spend any Government money on the arts or museums. Those who want to consume either should pay the full cost of doing so themselves.
FFS, borrow more? The mess we are in has been caused by borrowing for every day spending. None of these politicians could run s corner shop let alone a country. From 1997 it's been borrow borrow... and waste waste !!!
As it was all costed, why did the £20.000.000 come into it. Was it costed, like rob Peter then pay Paul. That’s how it’s turned out. It would appear that the inmates have taken over the asylum.
It’s not borrowing, it’s money creation. Almost all our money is created this way by private banks as stated in The Bank of England Q1 2024 Bulletin. Government can also create our money and should for the common good. Your handbag economics paradigm suits your narrative but it’s incomplete without Macroeconomics. Tax is the tool to control inflation. Let’s use it but tax money and not people.
Overseas aid is basically a bung to allow us to operate and make money in those regions. If you think China BRI etc are doing it as a goodness of heart gesture think again, what we put into it we get more than that back. While financial aid to developing countries is often presented as an act of generosity, it’s important to recognize that it can also serve the strategic interests of donor nations. Many times, aid comes with strings attached-like opening up markets for the donor’s goods, securing access to natural resources, or gaining political influence in the region. This means that instead of being purely altruistic, financial aid can function as a tool for advancing the donor country’s own agenda. All major countries whether left or right wing do it as you get more out than you put in.
@skylineuk1485 Tell me then? When Cameron increased overseas aid ,without any recourse, that they set up an agency,whatever, to distribute as you put it the "bungs" I recall a girl group in Africa being given aid money to get them going in the music job. I don't want my hard earned going on stuff like that, If it's "BUNGS" then we should know, a lot of aid appears to line the pockets of despots. If we take a broad enough view ,one can justify anything. I made my comment that initiated your response, as we the population see it.
CCS instead of insulation, raising wages instead of freeing up beds, using agencies insread of making HR do their job. Starmer's hard decisions or bad decisions.
Too many non jobs in the public sector, so start by sacking all those people and use the money more wisely. The answer is not taxing the private sector more which is where your growth comes from. Tax us more and we will stop working.
They need to Stop wasting money. My local council has just fixed a road round my way by doing a nice bit of hot rolled asphalt but only over the bits where the worst holes were. They left the bit that has some of the crappy surface they bodged there a couple of years back. Then they painted in some nice yellow lines but only over the new bits of asphalt they put down and not over the bits that’s pretty much worn away. I’d that’s done the whole road and we are talking less than 50 yards it work be fixed for years. But instead it’s going to need doing again within a year or 2. Classic council bodge for the sake of spending the budget rather than doing the job properly.
Yes MP's and councils should be halved in number, same with civil servants on the golf course pretending to work at home, the US has 500 and odd legislators in the upper and lower house to handle 350 million, UK has 1,500 handling 70 million!?!
I agree. Sack all the NHS staff and make healthcare a private sector with some government provision for the very poor. The pensioners can all afford to foot the bill for their own healthcare. Working people can't afford to pay for the health costs for the old.
Why oh why do you persist in agonising over cuts and how the pot is split up? When are you going to put your effort into discussing how productivity growth can be DRIVEN to new heights so we can afford what we want?
I tjought.the whole.point of.Labour was growth. Personally I'm waiting to hear.a.single.policy that's.targetting that.end. Even the plan.to build houses (an.obvipus.candidate) reduced the.London targets.and is.over-building in places.like.Northumberland!!!!! . And.that's without.mentioning that the plan is for.govt.to.get 100% of the.land value through.CPOs. .what could possibly go.wrong?
This is such a good comment. I never see discussion of deploying AI, genomics, weight loss drugs. "spending" or "investment" doesn't mean anything on its own.
They have talked about this in the IFS Zooms in podcasts. There's a really good one about productivity in the NHS being reduced to lack of investment on infrastructure and equipment, very good listen. :)
Yes, the figures show public sector productivity has flat lined since 1997, whilst the private sector has improved by over 25%. This is vital, as current projections show public sector debt increasing from 100% of GDP to over 250% in the next 40-50yrs.. No amount of extra taxation or accounting fiddles will fill that "black hole".
@@Benzknees And presumably, your figures dont include the public sector defined benefit pension scheme - which everyone seems to suggest is totally unfunded ??
choice of words can affect the perspective of a situation. "I just spent £1000 on car upgrades" is very different to "I just invested £1000 into the car, including preventative maintenance to ensure long term reliability" Either way i spent £200 on its anual service, and £800 on various nice to haves, details are important!
I agree that net worth of a prison / aircraft carrier / hospital isn’t the value of how much is cost, or even a depreciated value that a business would use for an asset. But could it be the value it brings, so an NHS investments value is a healthier population who can be more productive, the value of power infrastructure is the ability to bring on line more green energy projects . Gets more difficult for a prison / defence spending. Also need to have someone like the OBR to create this value, not the government, just a thought.
regarding prisons, I'm not sure they are ever able to be classified as 'investment' unless a very tenuous link could be established suggesting a positive correlation between locking more people up and a safer/better business environment!
Umm... doesn't work without public ownership including in housed services. Outsourcing public services. You can't count the scanner that you paid for but is now owned by private industry as your asset.
The great British public have really gotten the word out on the street and all over social media. The words being “get yourself and your family a disability”. Gotten way out of hand and needs to stop. ADHD everywhere you turn, everyone has it, it seems.
Turns out 24/7 365 modern life isn't good for human beans. Weird that in a world increasingly built for tech, by number machines, humans are breaking. Often before the system gives them their unit number.
The framing of this is entirely disingenuous. It completely obfuscates the way the government can influence the capacity of the economy. It’s totally on purpose that “borrow more” is at the very end of the list, as if to say that the very last resort is to become more indebted. But borrow more from whom? From the Bank of England of course! The IFS is a bastion of neoliberal conventional economics, peddling this myth that we must tax in order to spend. The reverse is true! Tax has nothing to do with spend in the economy! Spend some goddamn money! We need it now more than ever
Because the BoE printing more money into existence during covid went so well? As long as we ignore the massive inflation & economic dislocation that caused. And further back in time we only need to look at what happened to Mugabe's Zimbabwe or Weimar Germany to see what happens if such a policy is followed.
Enough to spend on index linked pay pension and perks of public servants and waste 20 billion on co2 which nature does for free and in any event since air travels what is the benefit. Then 15 billion on migrants and 15 billion on overseas aid etc
![GEEK TIMË [OFFICIAL AUDIO]](http://i.ytimg.com/vi/ry-6RvkH880/mqdefault.jpg)
Thanks for watching! To see more of our analysis ahead of the Budget visit: ifs.org.uk/collections/ifs-green-budget-2024
Timecodes:
00:00 Introduction: Fiscal Challenges
00:19 IFS Zooms In: Live Announcement
00:59 Anticipation for the Upcoming Budget
02:04 Public Finance Overview
05:32 Public Service Spending Dilemmas
12:15 Investment and Fiscal Rules
15:29 Debate on Debt Definitions
17:37 Strategic Choices for Investment
18:24 Government's Investment Strategy
18:52 Public Sector Net Worth Explained
20:05 Challenges of Public Sector Net Worth
23:28 Constraints on Government Borrowing
24:14 Balancing Investment and Borrowing
26:38 Impact of Investment on Public Services
28:35 Rachel Reeves' Budget Choices
34:37 Conclusion
I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Wendy Hubbard Stewart.
I'm surprised that you just mentioned and recommended Wendy Stewart, I met her at a conference in 2018 and we have been working together ever since.
The very first time we tried, we invested $2000 and after a week, we received $9500. That really helped us a lot to pay up our bills.
You trade with Wendy Stewart too? Wow that woman has been a blessing to me and my family.
I'm new at this, please how can I reach her?
I was skeptical at first till I decided to try. Its huge returns is awesome. I can't say much.
Thanks for making this available in this manner
very informative discussion, thanks. When you say we might get an extra £50bln (or whatever) headroom by changing the definition of debt, is that an extra £50bln per year or in total over the Parliament?
"The highest tax burden ever" - only for high earners though
Getting the percentage of net contributors up from 46% to of something crazy like 60% would make a huge difference.
Well said. We left.last year and right now I cd run a sude gig as a relocation advisot. The tkp 5% pauing 50% of tax and - as you say - less than 50% paying any tax cannot go on. People coming out to invesigaye our new home were already tapped out by the conservatives (most SME biz owners.and £100k salary getting.caught in 62% marginal tax). My.sense from talking to them is that labour isn't the catalyst but it is the last straw.
@@advocate1563 the lack of link between contributions and entitlement. Drives me crazy. I feel I pay a lot of tax. Yet when I needed the state due to a vehicle accident then I was sorely let down. With HMRC hounding me for VAT, NIC, CT, IcT, ND Rates, while in hospital. Then being entitled to very little, staff lost there jobs my business went into hibernation for 2 years while I recovered.
There is scope to raise a little tax through removing some distortions. Switching back to the Lawson CGT model. Broadly abolishing sdlt to PPP and apply CGT. Rolling 5 year IcT/NIC/CT tax allowance. Level up the sole trader and ltd NIC position. Make the ER NIC allowance business based to target SMEs rather than individual based which drives up the in work benefits bill with the state subsiding low paid part time jobs in warehousing, hospitality and retail due to artificial caps on hours.
To make a real difference to the economy we need a cost benefit analysis of big policy's of reforming education/childcare for the under 11s. Improving the employment opportunities for women will boost GDP and tax revenue massively. Similarly the state funding employers for maternity and paternity leave through the NIC system would spread the cost through the whole of the employment rather than focusing it.
You mention borrowing from the private sector, but how about borrowing from the Bank of England instead? If they charge interest just borrown that from them too.
They eill move into the business of physics and keep finding new black holes, then tax the hell out of the productive parts of the economy in the name of growth, whilst bunging free cash to the unproductive sectors.. Very happy to be writing this from somewhere else in the world - we left last year. Writing was on the world around the uniparty omnishambles. We now live in a.country with no govt debt and 20% flat tax.
Please, do tell. Where at and how’s the lifestyle?
Labour could have reversed the last NI tax cut nade by Jeremy Hunt (he made two cuts) saving around £10bn. By refusing to increase income tax, vat and NI (although not employer NI by the sound of it) they have backed themselves into a corner. Public sector spending is getting out of hand and there needs to be a root and branch study looking at front line needs vs back room non-jobs
The government was foolish to back Hunt's £20bn tax cut and then box itself in by ruling out tax cuts and commit to the triple lock. These guarantees that debt will continue to rise. Poor government. The Tories were unpatriotic. Instead of building prisons, they were giving tax cuts. Very poor decisions. As citizens, we cannot have great services without paying for them.
In terms of “extra” spending not part of the overall plan pre pandemic, as well as higher debt service costs and working-age benefits, don’t forget the now significant and rising cost of housing asylum seekers/illegal immigrants. A contentious subject, but one that is of a not immaterial size in economic as well as social and political terms
Time for a Land Value Tax!
If they increase tax will they reduce it again once the 22 billion hole has been filled?????
reduce taxes leading up to the next election, either win votes or leave a new black hole for the new governemnt to use as an excuse for everything 😂
"you can't sell a prison - who you going to sell it to" ... I don't think these chaps have met PFI. Which is odd.
G4S , serco , take your pick ? It’s why the prison system is flawed and no worker cares on minimum wage as they are agency staff
Try getting the money back from the previous government Rachel, not us the publics problem! 🧐
Detective of Money Politics is following this very informative content cheers from VK3GFS and 73s from Frank from Melbourne Australia
Working class basic rate tax payer with limited economic knowledge here, I have a very simple question.
Highest tax burden, debt through the roof, the worst public services in my lifetime, infrastructure bordering on third world standards. Where the hell is all the money going?
More old people, less working people as a percentage. Working people pay tax, and old people generally do not. Most western countries are now at the end of a period in which the boomers are workers, this massively inflated tax revenue. This inflated revenue as compared to the burden per worker was then used to cut taxes and increase spending, which we now expect. So basically we expect a level of public services that is impossible to do with the tax burden we are willing to pay, unless you have inflated revenue due too more workers. We are spoiled...
it's really basic. demographics. too many old, too few young.
28:11 borrowing to regain public services infrastructure & physical assests is good.
Borring to pay ceo's & share holders bad.
Much like getting a loan to buy their home as opposed to getting a loan to pay their coke dealer.
Sadly focus right now is.current spending not.capital.and i.d9n't believe that will.change. benefita.of.capital - 5/6 years -longer than the electoral.cycle.
What is the IFS position on modern monetary theory? With inflation falling below BoE targets, does this not give more headroom for spending without additional tax rises? A video on the subject would be interesting.
Would be interesting to hear their view. I suspect the issue they raised on the lack of staff and materials would then be the main constraint.
Warren Mossler - it's ultimately inflationary.
Yes, I would like to hear their view on that too. Great question.
The figure that they have released today doesn't include housing costs which I have heard is increasing and if were included show inflation at 2.5%.
@@jonh7054 True, but there again the whole 2% target thing is just a number pulled out of a hat.
I would add that I have read that it is the drop in air fares which is the key factor leading to the current fall in inflation.
The NHS is the real "black hole", having doubled its budget (as a percentage of GDP) over the past 30yrs, whilst its service levels have declined. Throwing more money at it is pointless without serious reform. Starting with the 650k admin staff. What the hell do they all do?
They ensure that doctors and nurses don't clean, move patients around, cook and serve meals, do the accounts, make calls to confirm appointments, provide security, provide HR services, do strategic planning etc.
@@SGIQ7 - Cleaning, meals, security & facilities management are generally outsourced to private contractors. Accounts, HR, planning & making appointments represents a small fraction of the number of clinical staff. There's still a yawning chasm of staff unaccounted for in terms of productive usefulness.
HR should be doing the job that they outsource to staff agencies.
Billions leaving the uk monthly to tax haven's. A good place to start filling the black hole. But that won't happen when starmer gets tax free pension. Wealth inequality has to be addressed.
Please make sure you invite Reeves to your live event. She's clearly out of her depth and needs some answers that actually work, as opposed to the ones she's already mooted that the IFS, OBR and other Civil Service depts have already raised major concerns about.
Isn't she just. Talk about flying without a license. The fact that she announced withdrawal of.winter.fuel allowance without checking the Offen.cap revision announced only 2.weeks later at +£149.was breathtakingly naive. Her.manifesto chickens also coming home to roost and the electorate is.NOT.in a forgiving mood, particularly.on the back of £107k of free stuff, 200 cronies.stuffed into rhe.civil servixe, same planned for house.of.lords,.etc.
Why do we assess the government's ability to pay their debt by a % of GDP? We should be measuring the debt repayment (budget excess).
No good lending to a business that gross 2 billion when their net profit is in the red 😅
None of the above. Best learn from Richard Murphy on how the economy actually works and who for.
In a nutshell - "Taxing multimillionaires is harder than I thought. I'll have your grandparents' pension and house instead, thank you"
Taxation is how they keep us 'in our place'.
Better that than crushing younger people with tax in order to ring fence Sheridan's inheritance...
@hughiemg2 Who's going to buy up the assets families sell to pay the IHT? Regular people or the richest 1%, who avoided any meaningful wealth taxes? This will accelerate the richest owning everything.
@@noonecaresaboutgoogle3219 government need to come at it from both ends which means the top 1% needs to pay it too. Id drop the rate from 40% which I think is too high and then do away with all the bs loopholes like trusts, agricultural land and business relief which means the larger estates pay pretty much nothing.
@hughiemg2 The people at the top are multi lingual, have multiple nationalities, and can move assets out of the country. If needed, they'd renounce their citizenship. So the UK government can't tax them significantly without international cooperation. They will dodge IHT and buy up all the assets sold to pay the tax.
Cut expenditure by scaling back the role of government. For example, there is absolutely no need to spend any Government money on the arts or museums. Those who want to consume either should pay the full cost of doing so themselves.
Stop wasting all our taxes?
FFS, borrow more?
The mess we are in has been caused by borrowing for every day spending.
None of these politicians could run s corner shop let alone a country.
From 1997 it's been borrow borrow...
and waste waste !!!
I think u mean 2010. Look at the PSNB chart and you'll see how the tories indebted us for generations.
the debt blowout has been since 2010.
As it was all costed, why did the £20.000.000 come into it. Was it costed, like rob Peter then pay Paul. That’s how it’s turned out. It would appear that the inmates have taken over the asylum.
It’s not borrowing, it’s money creation.
Almost all our money is created this way by private banks as stated in The Bank of England Q1 2024 Bulletin.
Government can also create our money and should for the common good.
Your handbag economics paradigm suits your narrative but it’s incomplete without Macroeconomics.
Tax is the tool to control inflation. Let’s use it but tax money and not people.
Cut spending on overseas aid we need that aid here in the uk
to cope with the new population
these nutters let in
Overseas aid is basically a bung to allow us to operate and make money in those regions. If you think China BRI etc are doing it as a goodness of heart gesture think again, what we put into it we get more than that back. While financial aid to developing countries is often presented as an act of generosity, it’s important to recognize that it can also serve the strategic interests of donor nations. Many times, aid comes with strings attached-like opening up markets for the donor’s goods, securing access to natural resources, or gaining political influence in the region. This means that instead of being purely altruistic, financial aid can function as a tool for advancing the donor country’s own agenda. All major countries whether left or right wing do it as you get more out than you put in.
@skylineuk1485
Tell me then?
When Cameron increased overseas aid ,without any recourse, that they set up an agency,whatever,
to distribute as you put it the "bungs"
I recall a girl group in Africa being given aid money to get them going in the music job.
I don't want my hard earned going on stuff like that,
If it's "BUNGS"
then we should know, a lot of aid appears to line the pockets of despots.
If we take a broad enough view ,one can justify anything.
I made my comment that initiated your response, as we the population see it.
@@skylineuk1485 a footnote to my reply,the calibre of people to negotiate these donations falls far short of my requirement as a deal maker
Scrap the nhs and welfare system, that is half of government spending
When you give money to people who refuse to work…. This happens
CCS instead of insulation, raising wages instead of freeing up beds, using agencies insread of making HR do their job. Starmer's hard decisions or bad decisions.
Too many non jobs in the public sector, so start by sacking all those people and use the money more wisely. The answer is not taxing the private sector more which is where your growth comes from. Tax us more and we will stop working.
They need to Stop wasting money. My local council has just fixed a road round my way by doing a nice bit of hot rolled asphalt but only over the bits where the worst holes were. They left the bit that has some of the crappy surface they bodged there a couple of years back. Then they painted in some nice yellow lines but only over the new bits of asphalt they put down and not over the bits that’s pretty much worn away.
I’d that’s done the whole road and we are talking less than 50 yards it work be fixed for years. But instead it’s going to need doing again within a year or 2.
Classic council bodge for the sake of spending the budget rather than doing the job properly.
Yes MP's and councils should be halved in number, same with civil servants on the golf course pretending to work at home, the US has 500 and odd legislators in the upper and lower house to handle 350 million, UK has 1,500 handling 70 million!?!
I agree. Sack all the NHS staff and make healthcare a private sector with some government provision for the very poor. The pensioners can all afford to foot the bill for their own healthcare. Working people can't afford to pay for the health costs for the old.
But who in the real world would ever want to employ anyone from the public sector? There'd be another 6m unemployable people in line for benefits.
Bs, if u take the gov spread sheet and take out future obligations because future tax will cover it the uk is 900 billion in credit.
Why oh why do you persist in agonising over cuts and how the pot is split up?
When are you going to put your effort into discussing how productivity growth can be DRIVEN to new heights so we can afford what we want?
I tjought.the whole.point of.Labour was growth. Personally I'm waiting to hear.a.single.policy that's.targetting that.end. Even the plan.to build houses (an.obvipus.candidate) reduced the.London targets.and is.over-building in places.like.Northumberland!!!!! . And.that's without.mentioning that the plan is for.govt.to.get 100% of the.land value through.CPOs. .what could possibly go.wrong?
This is such a good comment. I never see discussion of deploying AI, genomics, weight loss drugs. "spending" or "investment" doesn't mean anything on its own.
They have talked about this in the IFS Zooms in podcasts. There's a really good one about productivity in the NHS being reduced to lack of investment on infrastructure and equipment, very good listen. :)
Yes, the figures show public sector productivity has flat lined since 1997, whilst the private sector has improved by over 25%. This is vital, as current projections show public sector debt increasing from 100% of GDP to over 250% in the next 40-50yrs.. No amount of extra taxation or accounting fiddles will fill that "black hole".
@@Benzknees And presumably, your figures dont include the public sector defined benefit pension scheme - which everyone seems to suggest is totally unfunded ??
Oh dear, I didn't realize invest just meant spend.
choice of words can affect the perspective of a situation.
"I just spent £1000 on car upgrades"
is very different to
"I just invested £1000 into the car, including preventative maintenance to ensure long term reliability"
Either way i spent £200 on its anual service, and £800 on various nice to haves, details are important!
I agree that net worth of a prison / aircraft carrier / hospital isn’t the value of how much is cost, or even a depreciated value that a business would use for an asset.
But could it be the value it brings, so an NHS investments value is a healthier population who can be more productive, the value of power infrastructure is the ability to bring on line more green energy projects . Gets more difficult for a prison / defence spending.
Also need to have someone like the OBR to create this value, not the government, just a thought.
regarding prisons, I'm not sure they are ever able to be classified as 'investment' unless a very tenuous link could be established suggesting a positive correlation between locking more people up and a safer/better business environment!
Umm... doesn't work without public ownership including in housed services. Outsourcing public services. You can't count the scanner that you paid for but is now owned by private industry as your asset.
The great British public have really gotten the word out on the street and all over social media. The words being “get yourself and your family a disability”. Gotten way out of hand and needs to stop. ADHD everywhere you turn, everyone has it, it seems.
Turns out 24/7 365 modern life isn't good for human beans. Weird that in a world increasingly built for tech, by number machines, humans are breaking. Often before the system gives them their unit number.
Why raid pensions and leave billionaires untouched
The framing of this is entirely disingenuous. It completely obfuscates the way the government can influence the capacity of the economy. It’s totally on purpose that “borrow more” is at the very end of the list, as if to say that the very last resort is to become more indebted. But borrow more from whom? From the Bank of England of course! The IFS is a bastion of neoliberal conventional economics, peddling this myth that we must tax in order to spend. The reverse is true! Tax has nothing to do with spend in the economy! Spend some goddamn money! We need it now more than ever
Because the BoE printing more money into existence during covid went so well? As long as we ignore the massive inflation & economic dislocation that caused. And further back in time we only need to look at what happened to Mugabe's Zimbabwe or Weimar Germany to see what happens if such a policy is followed.
Borrow more obviously.
And cut some taxes.
Especially Employers Nics and Business Rates.
That went well for Liz Truss.
Don’t forget there’s more strikes incoming so they’ll need to spend more on the tube drivers at least.
Rachel thinks she's Robin Hood, she'll squeeze the thrifty to pay the feckless.
Spend spend spend!
My advice to the Chancellor would be to stop lying or better still resign
I’d rather here from Christopher Reeves ( present day ) than this muppet
Or just stop the fuckin boats and make Britain great again instead of bankrupt again !!!
Enough to spend on index linked pay pension and perks of public servants and waste 20 billion on co2 which nature does for free and in any event since air travels what is the benefit. Then 15 billion on migrants and 15 billion on overseas aid etc
If in doubt always assume - more tax, more debt, more spending and more immigration.