Because the wealthiest have the loudest voices?
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Not globally it doesnât.
A month or so ago with the Straits of Hormuz fully closed there was a real risk that everyoneâs stored oil would would run out, bar China.
That risk still remains to some degree. The US is currently the worldâs largest oil producer and exporting like crazy, Russia is now importing oil.
The oil price is currently suppressed. That wonât last if oil reserves hit bottom.
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The wealthiest donât pay income tax. Tax wealth not work.
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As I have stated either here or in another thread my experience of using local tradesmen is that most of them donât either. Everyone seems to be evading paying their due and at the same time moaning about the NHS, schools, defence etc. I spent a big chunk of my working life self employed and paid every penny I owed and it really hacks me off. I must have been a right mug but I do at least get satisfaction from knowing I didnât avoid paying for the services provided.
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Obviously.
Total control over UK reserves though, but operators leave it in the ground until it suits them, due to the windfall tax
I can believe it. Iâm talking about oil stock. Itâs held by by suppliers / refiners but under UK government mandate. We currently have 63m barrels, down from 76m. So not drastic but we use 1.5m barrels a day.
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Would you explain this part, preferably in laymanâs term.
Is it that the UK invests/spends too much in social security/pension schemes that should be diverted into more productive projects?
This is brand new. I listened to it this morning.
The comments say it all.
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So in times of crisis (Iran), windfall tax could be temporarily relaxed to allow shoreside reserves to be topped up.
Probably more complex than that, but probably possible.
Offshore reserves are significantly higher.
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I think it is more that people are not paying enough towards their pensions and that successive governments should have done something about it much earlier than they have.
In the UK people build up entitlement to the state pension usually by paying National Insurance contributions and their employers also paying National Insurance Contributions each year. However, the money raised is not saved for their retirement, it is effectively paid out to those already receiving the state pension. So we are reliant on having a healthy number of workers to retirees. Over the next 20-30 years that ratio is going in the wrong direction.
If the government pays out more in state pension payments than it receives in National Insurance Contributions, then the difference is funded by general tax revenue/ borrowing. If it receives more than it pays out the money can used on other things to invest and grow the economy.
On average, the amount of money people have paid in national insurance contributions equates to about 60% of what they will likely receive in state pension payments. Meaning the government is making a sizeable âtop upâ. That top up comes at the cost of whatever else the government (or taxpayer) would want/ need to spend it on.
In many countries (at least in Europe) there are multiple âpillarsâ that make up the pension system, including private pensions and insurance to lessen the strain on the government and individuals.
In the UK we have a very active Private Pension system but it can be expensive (fees often eat up a lot of the contributions) and many people will be reluctant to invest in a product that ties up their money until their late 50âs, especially when there are other demands on their income such as higher house prices or having to pay off student loans, so often it is the people who are already better off that are paying into one.
The government about a decade ago introduced legislation requiring people to pay into a private or workplace pension, but there are opt outs available and the contribution requirement is something like 8% which isnât really enough to fund a decent pension pot for most people.
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Interesting idea. Weâd have to see the numbers of loss in wind fall tax receipts Vs other tax receipts from the increased production.
My gut tells me the timing is off though.
If it was a crisis, the there was a genuine belief that reserves were going to run dry, itâs probably not the right time for them to be number crunching.
Agreed if youâre a few days off but a month away I think it needs a look at given the UKâs financial position.
Well madcap Milliband is costing the equivalent of several black holes, could divert some of that to avoid a crisis.
Theres even a windfall tax on clean energy isnât there?
Milliband and, Haigh, RaynorâŚâŚ the top politicians leading us all!
And before people jump all over me⌠Truss, Johnson etc
Itâs a game a million miles from reality. These people could never run a business. While I am ranting. How can you fail, show incompetence etc and keep coming back? Milliband. Mandelson.
In fairness, a lot of business people couldnât run a country.
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Wouldnât that be like turkeyâs voting for christmas?
The individual tax burden in the UK is at a post-war high already.
Maybe the government could set up an account anyone can pay into voluntarily? At the end of the year they could buy a few pairs of new boots for the army.
Yeah, thatâs the absurdity of UK energy pricing. They get double bubble profits as they get profit on simply generating and then another wedge when energy is linked to higher gas prices.
Diverting cash from one budget to another can be done I guess. Not easy but possible, depends on the contract commitments that are already in place, and I know the government are looking for savings and underspend across several sectors.
What I donât know is if the money was available and they decide to drill some more, how long that takes to filter through as an inflation and energy cost reduction and increased tax receipts.
Canât expect it to go down well but people must be given a stark choice. There is a huge amount of middle class and indeed working class disposable income still swilling around. I just heard a guy on Radio 5 saying he had been over to US for early England games and had booked his return flight for the final and had his ticket although you only pay for that if England qualify apparently.
For 20 years now I have been regularly flying to Paris on Easyjet from JLA and I have never been on a flight with more than a couple of empty seats and always includes extended scouse families going to EuroDisney. That is not a cheap jolly.
I refuse to believe most people canât afford an extra penny or two in the pound on income tax.
Also apparently the UKâs overall tax-to-GDP ratio remains below the average of many other advanced Western European economies.
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