Darling Refuses To Rule Out Tax Increases

#1
After the financial fiasco of the last week, and the subsequent "bailing out" of the major financial institutions by the US and UK governments, the Chancellor, Alistair Darling, was asked a simple question during an interview on GMTV. "Will you be raising taxes to cover the cost?"

FOUR times he was asked. Four times he spouted complete ballooks about the world economy and the need to support the financial sector, skirting the issue.

The whole situation has been brought about by irresponsible lending, greed and incompetance of the money men, and I for one fail to see why we should fund via taxes this financial band-aid.

Answer the questions posed, Darling. :x

Stand by for the November budget.
 
#2
The answer's obviously yes. He is going to have to unless he slashes spending, which the loony left are physically incapable of doing.

Bring back Margaret Thatcher.
 
#3
Liarbour know of only one solution to any problem - tax it.
 
#4
Have you seen Maggie lately? Confused,bewildered,needs support when she walks,not sure what day it is.......

Yes I see your point.Can't be any worse than Cyclops and The Ship of Fools.
 
#6
I saw a story somewhere of raising the higher rate to 45p for those earning 175k and above. Which is all very nice but then these people will simply re-locate abroad and take their money with them, 45% of nothing is still nothing. Labours wealth re-distribution, making Britain poorer by the day. :roll:

It's all very trendy and retro, so much so it's like the 1970s all over again. Lets just hope we don't need an IMF loan to bail us out this time.
 
#7
Ord_Sgt said:
I saw a story somewhere of raising the higher rate to 45p for those earning 175k and above. Which is all very nice but then these people will simply re-locate abroad and take their money with them, 45% of nothing is still nothing. Labours wealth re-distribution, making Britain poorer by the day. :roll:
I rememebr reading that when a chancellor (can't remeber his name) reduced the top level income tax for 60 to 40% his tax revenue actually went up. The more tax someone pays the less incentive there is to work harder.
 
#8
Ord_Sgt said:
I saw a story somewhere of raising the higher rate to 45p for those earning 175k and above. Which is all very nice but then these people will simply re-locate abroad and take their money with them, 45% of nothing is still nothing. Labours wealth re-distribution, making Britain poorer by the day. :roll:

It's all very trendy and retro, so much so it's like the 1970s all over again. Lets just hope we don't need an IMF loan to bail us out this time.
Erm i think One Eye and his brew biach have already have us in hock, too world bank?

not to mention the under the table deals that in effect PFI is...

Paulson at least has been honest that recovery is going too cost, but i am not entirely sure that he didn't have his fingers crossed when he said it will be less painful in the long run.

I honestly don't know if its best to bail out the financial system to the degree proposed thus far or alternatively to do nothing and let Darwinism loss to cull both banking and consumerism!

What ever happens it going too hurt big times for a lot of us, what gets me is those that got us in too these situation will as always find themselves living relatively pain free.
 
#9
Oh yes Halo, it is going to hurt like hell. We give about 1/2 of GDP to the government each year, 500 billion give or take a few quid. They waste that on sh1te and also borrow, billions more. Currently we will be just shy of 1 trillion pounds, yes 1 trillion of public debt when this lot get the boot in 18 months. As well as fixing the country, the next government have got to repay that money, or rather the taxpayer has. So yes its going to fcuking sting.
 
#10
There is no doubt that taxes will have to go up. Only question is when and Cyclops is hoping that by ramping up borrowing it will not happen before the next election.

But as the tax take falls (and remember that over 50% of all those "evil" City bonus payments end up as tax and NIC) that is looking ever more doubtful no matter how many accounting tricks are applied
 
#11
So it'll take another ten years to rebalance the books using tight fiscal controls and deep cuts in government spending. Therefore a very poison chalice for the (presumably) incoming Tory government: by the time they start to get things sorted out, the masses will be fed up of belt-tightening and will vote Liarbor back in again - who will immediately revert to tax-and-spend. Hard to see UK breaking out of this downward economic spiral, and no wonder many tax earners are voting with their feet....
 
#12
You're right Blogg, the tax take is heading south and current spending cannot be maintained. But rather than a serious look at public finances these cnuts will stick their heads in the sand and just keep borrowing. Theres a reason they spent 18 years in opposition last time. Yhey've managed to blag things but the bubble is about to burst spectacularly and the sh1t inside is going to really stink the place up.
 
#13
Ord_Sgt Not good at all i have just Graduated with a nice fat debt thanks to Student loans as with many other recent graduates have also more toxic debt for UK PLC be it not at the level of the city but job market is not at all in good health, due too the UK dependence on the financial sector rather than real jobs as George Soros mentions in this short piece from newsnight

http://news.bbc.co.uk/1/hi/business/7620198.stm

The job market in the south west has never been good i can see it getting much worse unfortunately, the failure by liabour to invest the big fat piggy bank when they came to power eons ago instead of being used to build up real UK jobs, 'OH as an aside liabour service based call centres are not really sustainable job creation' seems to have been spnked on focus groups and none jobs as they chased after fat PFI contracts...
 
#14
Amazing isn't it? When John Major's government brought in PFI in 1992, the Liarbour Parrty dismissed it as 'privatisation by the back door'. Since 1997, this lot of corruptniks have used it to such an extent that we will be in hock for many, many years to come. In addition, they don't even tell us exactly how much we (the tax-paying public) owe as it's hidden by not being included on the government balance sheet and is no more than a cynical accounting fiddle. The cost so far is estimated to be £170 billion and as they are essentially loans, we are going to be skint for a very long time.

http://www.guardian.co.uk/uk/2007/nov/27/politics.economy1
 
#15
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
 
#16
Parapauk:
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
What about those things that are "off balance sheet"..... Nu labour are very good at reminding us of the 15% interest rates on Black Wednesday (they were that high for the grand total of 3 hours), and the cost of £10Bn.

Last week we topped up the Banks to the tune of some 45Bn, and another 20Bn this morning. All of which either has to be printed or added to the defecit somewhere - Either it starts hyper inflation or we are going to pay for it in taxation.

It was Lamont who recovering from Black Wednesday assisted in giving us the long period of economic stability that ended last year, Brown simply benefited from a very long and stable streak in our finances. He has frittered away any benefit and the government's cupboard is now bare, we have to borrow to get out of this situation, something we will be paying for in long years to come as taxpayers.
 
#17
parapauk said:
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
Are you referring to PSBR or to PFI in 1993/94? PBSR was about 6% of GDP in 93/94 but PFI was nowhere near that. PBSR is likely to hit £100 billion in addition to the £100 billion PFI bill. A tad worse than the last lot.
 
#18
bobthedog said:
Parapauk:
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
What about those things that are "off balance sheet"..... Nu labour are very good at reminding us of the 15% interest rates on Black Wednesday (they were that high for the grand total of 3 hours), and the cost of £10Bn.

Last week we topped up the Banks to the tune of some 45Bn, and another 20Bn this morning. All of which either has to be printed or added to the defecit somewhere - Either it starts hyper inflation or we are going to pay for it in taxation.

It was Lamont who recovering from Black Wednesday assisted in giving us the long period of economic stability that ended last year, Brown simply benefited from a very long and stable streak in our finances. He has frittered away any benefit and the government's cupboard is now bare, we have to borrow to get out of this situation, something we will be paying for in long years to come as taxpayers.
As far as I know that money was injected to improve bank liquidity, and will be withdrawn when the situation passes - it isn't a free gift.
 
#19
Bonzo_Dog said:
parapauk said:
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
Are you referring to PSBR or to PFI in 1993/94? PBSR was about 6% of GDP in 93/94 but PFI was nowhere near that. PBSR is likely to hit £100 billion in addition to the £100 billion PFI bill. A tad worse than the last lot.
The yearly PFI payments will are part of yearly government spending, and so the £95bln figure will include the PFI payments due.
 
#20
parapauk said:
bobthedog said:
Parapauk:
Keep in mind that even at the worst-case £95bln peak in 2011-2012, the budget deficit will be around 6% of GDP, bad but not as bad as the 7.8% 1993/1994 peak under the last lot.
What about those things that are "off balance sheet"..... Nu labour are very good at reminding us of the 15% interest rates on Black Wednesday (they were that high for the grand total of 3 hours), and the cost of £10Bn.

Last week we topped up the Banks to the tune of some 45Bn, and another 20Bn this morning. All of which either has to be printed or added to the defecit somewhere - Either it starts hyper inflation or we are going to pay for it in taxation.

It was Lamont who recovering from Black Wednesday assisted in giving us the long period of economic stability that ended last year, Brown simply benefited from a very long and stable streak in our finances. He has frittered away any benefit and the government's cupboard is now bare, we have to borrow to get out of this situation, something we will be paying for in long years to come as taxpayers.
As far as I know that money was injected to improve bank liquidity, and will be withdrawn when the situation passes - it isn't a free gift.
And the government are being paid a hefty wack of interest for loaning it to them.
 

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