Osbourne Announces Benefit Changes for manifesto

Osbourne Announces Benefit Changes for manifesto

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Discussion

GavinPearson

5,715 posts

251 months

Tuesday 30th September 2014
quotequote all
If the Conservatives were very smart, they would raise the state pension to cover housing benefit, fuel allowance to one simple figure per pensioner.

They could then eliminate the administration and payment of housing benefit & fuel allowance, cap unemployment at whatever that figure was decided to pay pensioners for and cap child benefit at the current level for all kids born nine months after implementation and capped to a maximum of three kids thereafter.

They could also provide assistance for people to move from high rent areas to value rent areas to eliminate hardship.

If they got their sums right pensioners would love this and it would go a long way to fixing the out of control costs that some people burden the system with.

greygoose

8,262 posts

195 months

Tuesday 30th September 2014
quotequote all
GavinPearson said:
If the Conservatives were very smart, they would raise the state pension to cover housing benefit, fuel allowance to one simple figure per pensioner.

They could then eliminate the administration and payment of housing benefit & fuel allowance, cap unemployment at whatever that figure was decided to pay pensioners for and cap child benefit at the current level for all kids born nine months after implementation and capped to a maximum of three kids thereafter.

They could also provide assistance for people to move from high rent areas to value rent areas to eliminate hardship.

If they got their sums right pensioners would love this and it would go a long way to fixing the out of control costs that some people burden the system with.
Why would you want to pay housing benefit to pensioners who do not need it though?

Guybrush

4,350 posts

206 months

Tuesday 30th September 2014
quotequote all
Adjusting any system where benefits (i.e. perceived money for nothing) are received is going to be difficult while a period of adjustment occurs. All prices, expectations etc are built in and adjusted to take account of this money and while it is reduced the rest of the system needs time to adjust. Labour, borrowing like crazy, dishing out free money so at to soften up, make dependent and generally dull down their target market, while generally creating and maintaining divisions in society (also by enabling mass immigration) is all just so they can create their ideal market place. Then, the Conservatives set about fixing these problems and of course get the blame by the very people who Labour have put in that position. All very sad and just like decades ago - swinging from the party to fix the country and the party to make it go bust - the less literate of the country changing their minds at each election, deciding the outcome of the election.

JagLover

Original Poster:

42,426 posts

235 months

Tuesday 30th September 2014
quotequote all
otolith said:
Yes, getting everyone to think their prosperity is at the largess of the state was the Labour strategy, but I'm not sure it fools everybody. Redistributive taxes combined with token benefits are not convincing.

Young people receiving housing benefit - Tory votes lost there?

Families receiving more than 23k in benefits - Tory votes lost there?

People who think a 23k benefit ceiling is a shocking social injustice - Tory votes lost there?
Agreed

Potential Tory voters will be affected by the freeze in child benefit and on the "token" child tax credits those on decent incomes receive, but it will not be critical to household budgets and rises in the personal allowance will offset a part of it.

Most people's experience of benefits (those who pay for it all) is to turn up at a job centre and only have an entitlement for a glorified luncheon voucher as their partner works.




JagLover

Original Poster:

42,426 posts

235 months

Tuesday 30th September 2014
quotequote all
Hoofy said:
I'm in two minds. Interesting point made on LBC last night - it's not weighted by area. Someone could happily live on £23k up north but a similar family in South London could be in serious trouble.
The state should not be paying for people to live in the centre of one of the most expensive cities on earth.

Without the benefits system wages for low skilled work in central London would have had to rise far more.

Murph7355

37,739 posts

256 months

Tuesday 30th September 2014
quotequote all
JagLover said:
The state should not be paying for people to live in the centre of one of the most expensive cities on earth.

Without the benefits system wages for low skilled work in central London would have had to rise far more.
I agree (or costs would drop in that area as a subtle alternative).

jshell

11,006 posts

205 months

Tuesday 30th September 2014
quotequote all
Fittster said:
Daily Mail headline:

"Ten MILLION families to lose £500 under Osborne plan to freeze benefits for two years as he unveils £25billion in extra cuts"

http://www.dailymail.co.uk/news/article-2773427/To...

Does CMD realise there's a election next year?
You gotta laugh at CMD. All the people saying he played a clever game over the Scottish Independence vote, and then he hands Labour an election victory as easily as this.

Even fecking idiots get lucky sometimes, but their true abilities catch up with them.

sidicks

25,218 posts

221 months

Tuesday 30th September 2014
quotequote all
edh said:
It's a good question - how about "no representation without taxation" ? Paying tax is one way of keeping people in touch with the society they are living in - and maybe having some effect on what you might call the "entitlement" culture. "I pay tax, I'm part of society and have an interest in how it's (mis)spent".
Which suggests the you think that those currently working but earning less than the personal allowance do not feel 'in touch with society' as they don't pay tax.

Plus of course if that tax is subsidised by benefits it is all fairly meaningless anyway.

edh said:
WTC and CTC were well intentioned but very poorly implemented & with massive unintended consequences. I doubt UC will be any better - although the chance of it ever arriving in a meaningful way are slim.

In any case, I'd suggest setting a higher tax allowance wouldn't stop us paying benefits to taxpayers, unless you have another very complex set of rules for many different circumstances.
It would clearly drastically reduce the number of people involved. Surely even you can see that?.

edh said:
btw do you mean the untaxed min wage is the same as the (taxed) living wage? I can see that there is a big problem that pay rises for low earners give them no benefit with a near 100% withdrawal of benefits.
Of course that doesn't happen at the moment....
banghead


edh said:
Of course if anyone wants to save £25bn from the govt budget, there are plenty of other decent options to consider smile
There are two issues to worry about, one is to 'balance the books'. The second, which is equally or even re important, is to put the right incentivisations in place to encourage appropriate behaviours.

Edited by sidicks on Tuesday 30th September 08:42


Edited by sidicks on Tuesday 30th September 08:44

Hoofy

76,372 posts

282 months

Tuesday 30th September 2014
quotequote all
JagLover said:
Hoofy said:
I'm in two minds. Interesting point made on LBC last night - it's not weighted by area. Someone could happily live on £23k up north but a similar family in South London could be in serious trouble.
The state should not be paying for people to live in the centre of one of the most expensive cities on earth.

Without the benefits system wages for low skilled work in central London would have had to rise far more.
That's true. It's definitely something I've mulled over in the past.

jshell

11,006 posts

205 months

Tuesday 30th September 2014
quotequote all
Hoofy said:
JagLover said:
Hoofy said:
I'm in two minds. Interesting point made on LBC last night - it's not weighted by area. Someone could happily live on £23k up north but a similar family in South London could be in serious trouble.
The state should not be paying for people to live in the centre of one of the most expensive cities on earth.

Without the benefits system wages for low skilled work in central London would have had to rise far more.
That's true. It's definitely something I've mulled over in the past.
How would you get 'service' workers then? They commute into London whilst more wealthy folks live in London. That doesn't work even in Monaco where there are areas of what is essentially 'social housing' within the principality.

edh

3,498 posts

269 months

Tuesday 30th September 2014
quotequote all
sidicks said:
edh said:
It's a good question - how about "no representation without taxation" ? Paying tax is one way of keeping people in touch with the society they are living in - and maybe having some effect on what you might call the "entitlement" culture. "I pay tax, I'm part of society and have an interest in how it's (mis)spent".
Which suggests the you think that those currently working but earning less than the personal allowance do not feel 'in touch with society' as they don't pay tax.

Plus of course if that tax is subsidised by benefits it is all fairly meaningless anyway.
Yes I think a lot of people have opted out of the political system "no point voting - they are all the same" etc.. Look at the turnout for local elections and now the general elections. Paying tax, a bit like jury service, is part of that participation in civil society. The alienation from politics has in part led us to the current disaster of career PPE/SPAD politicians.



sidicks said:
edh said:
WTC and CTC were well intentioned but very poorly implemented & with massive unintended consequences. I doubt UC will be any better - although the chance of it ever arriving in a meaningful way are slim.

In any case, I'd suggest setting a higher tax allowance wouldn't stop us paying benefits to taxpayers, unless you have another very complex set of rules for many different circumstances.
It would clearly drastically reduce the number of people involved. Surely even you can see that?.
I'm trying to agree with you here...to an extent. Your suggestion is very simple. Benefits are v complex, paying at different levels to u25's, single people, couples etc.. Coming back to unintended consequences - What you're suggesting could lead to basic rate taxpayers all needing their own individual tax code - can you imagine the extra cost of that & the errors that would result?


sidicks said:
edh said:
btw do you mean the untaxed min wage is the same as the (taxed) living wage? I can see that there is a big problem that pay rises for low earners give them no benefit with a near 100% withdrawal of benefits.
Of course that doesn't happen at the moment....
banghead
again - I'm agreeing with you - it's a problem that hasn't been solved yet

sidicks said:
edh said:
Of course if anyone wants to save £25bn from the govt budget, there are plenty of other decent options to consider smile
There are two issues to worry about, one is to 'balance the books'. The second, which is equally or even re important, is to put the right incentivisations in place to encourage appropriate behaviours.
I'm wary of too much "incentivisation" - I'm in favour of more personal liberty and choice not less. (Ok that's not a view held by a lot of left & right politicians who always know what's best for everyone)

In the voluntary work I do, I come across quite a number of people who are involved with the benefits system. I see very very few who don't want to work, or who don't want the self respect that comes with being a productive member of society. Maybe it's better expressed that we should remove the "disincentives" to work associated with high marginal tax/benefit withdrawal rates? I don't actually think anyone disagrees with that.

BTW - Don't be so adversarial - I'm trying to discuss this by finding common ground as you're one of the more sensible right wing nutters on here smile

Oh and I see the FT are bashing the pensions sector today - have they been infiltrated by the morning star this week?

sidicks

25,218 posts

221 months

Tuesday 30th September 2014
quotequote all
edh said:
BTW - Don't be so adversarial - I'm trying to discuss this by finding common ground as you're one of the more sensible right wing nutters on here smile
Where's the fun in that??
biggrin

edh said:
Oh and I see the FT are bashing the pensions sector today - have they been infiltrated by the morning star this week?
I saw that - how surprising, they pick the top of the equity market and surprise surprise we've barely recovered back to that following the two crashes in the middle.

What would the performance have been looking at the bottom of the market in 2003 or 2009...?

A total non-story IMO.


Edited by sidicks on Tuesday 30th September 11:37

Gargamel

14,993 posts

261 months

Tuesday 30th September 2014
quotequote all
FT op ed is largely bks these days sadly, still cheerleading the Euro project.

I think we should all celebrate a politician actually trying to be reasonably honest with the electorate. I guess this is step one in a phased plan.

Highlight where the pain will fall, show the numbers and the need to close the deficit, it puts a massive spotlight on "forgetful Ed"

Get to the budget and unleash a couple of decent tax cuts, that make work pay. And hope that most people feel that the carrot is worth the stick...


Fittster

20,120 posts

213 months

Tuesday 30th September 2014
quotequote all
Gargamel said:
FT op ed is largely bks these days sadly, still cheerleading the Euro project.

I think we should all celebrate a politician actually trying to be reasonably honest with the electorate. I guess this is step one in a phased plan.

Highlight where the pain will fall, show the numbers and the need to close the deficit, it puts a massive spotlight on "forgetful Ed"

Get to the budget and unleash a couple of decent tax cuts, that make work pay. And hope that most people feel that the carrot is worth the stick...
Yes because focusing on George's record will do wonders from the conservatives.

"Let's just remind ourselves of the facts. Back in June 2010 the OBR forecast that real GDP would grow by a cumulative 8.2% in between 2010 and 2013. In fact, it grew by only 3.1%. Partly because of this, the deficit is much larger now than expected. In 2010, the OBR forecast that PSNB in 2014-15 would be £37bn, or 2.1% of GDP. It now expects it to be £83.9bn, or 5.5% of GDP."

Now if Osbourne thinks the deficit is important he's record at closing it is so bad he should ask himself if he's in the right job.

wc98

10,401 posts

140 months

Tuesday 30th September 2014
quotequote all
not to worry,according to "revised" ons figures announced this morning , 0.9% increased growth when coke and hookers are factored in ,wtf ?

The figures from the ONS include a new methodology for calculating gross domestic product (GDP). The new measure includes factors such as spending on research and development, as well as the economic contribution made by drug dealers and prostitutes.

http://www.bbc.co.uk/news/business-29422267

Gargamel

14,993 posts

261 months

Tuesday 30th September 2014
quotequote all
Fittster said:
Yes because focusing on George's record will do wonders from the conservatives.

"Let's just remind ourselves of the facts. Back in June 2010 the OBR forecast that real GDP would grow by a cumulative 8.2% in between 2010 and 2013. In fact, it grew by only 3.1%. Partly because of this, the deficit is much larger now than expected. In 2010, the OBR forecast that PSNB in 2014-15 would be £37bn, or 2.1% of GDP. It now expects it to be £83.9bn, or 5.5% of GDP."

Now if Osbourne thinks the deficit is important he's record at closing it is so bad he should ask himself if he's in the right job.
Trying to balance achieving economic growth, and reducing the deficit has proved to be beyond the powers of Germany, Italy, France, Greece, Ireland, Portugal and arguably the US too.

Don't you think that a qualified success is better than the alternatives ?

sidicks

25,218 posts

221 months

Tuesday 30th September 2014
quotequote all
Gargamel said:
Trying to balance achieving economic growth, and reducing the deficit has proved to be beyond the powers of Germany, Italy, France, Greece, Ireland, Portugal and arguably the US too.

Don't you think that a qualified success is better than the alternatives ?
Didn't you get the memo from Labour HQ? The way to reduce borrowing is to borrow more money.....
banghead

edh

3,498 posts

269 months

Tuesday 30th September 2014
quotequote all
sidicks said:
Gargamel said:
Trying to balance achieving economic growth, and reducing the deficit has proved to be beyond the powers of Germany, Italy, France, Greece, Ireland, Portugal and arguably the US too.

Don't you think that a qualified success is better than the alternatives ?
Didn't you get the memo from Labour HQ? The way to reduce borrowing is to borrow more money.....
banghead
Don't forget the govt has budgeted for big increases in personal borrowing - it expects us to borrow for consumption to help grow gdp

sidicks

25,218 posts

221 months

Tuesday 30th September 2014
quotequote all
edh said:
Don't forget the govt has budgeted for big increases in personal borrowing - it expects us to borrow for consumption to help grow gdp
Well, how else are we going to get back to the previous levels of GDP which were purely based on massive private borrowing under Labour!!

98elise

26,626 posts

161 months

Tuesday 30th September 2014
quotequote all
jshell said:
Hoofy said:
JagLover said:
Hoofy said:
I'm in two minds. Interesting point made on LBC last night - it's not weighted by area. Someone could happily live on £23k up north but a similar family in South London could be in serious trouble.
The state should not be paying for people to live in the centre of one of the most expensive cities on earth.

Without the benefits system wages for low skilled work in central London would have had to rise far more.
That's true. It's definitely something I've mulled over in the past.
How would you get 'service' workers then? They commute into London whilst more wealthy folks live in London. That doesn't work even in Monaco where there are areas of what is essentially 'social housing' within the principality.
Thats how most workers do it, so why are "service workers" special. I've commuted in for the past 20 years because I can't afford to live in London.

If you don't subsidise service works the pay will rise to make sure they can fill positions. Sunsidising with benefits simply passes a part of the cost onto the tax payer (so everyone) rather than the consumer.