I wished people talked about how inaccurate and misleading the headlines are. No one talking about the measures put in place so that the NI increase doesnt affect SMALL businesses. By increasing the threshold at which they start paying from £5,000 to £10,000. Its so disingenuous. I don't want my country to go down the same path of misinformation as the US
Also, people keep acting like the NI rise for employers is a giant tax increase that will either kill growth or ruin the working class, while seeming to forget that NI has been cut by 4 percent by Hunt. So even if the full NI tax increase of 1.2 % for employers is passed on to employees it doesn't even reverse the unfunded tax cuts from the tories.
@SDDT24 it's basically the same effect as just increasing NI for everyone. Everyone got an effective pay rise from the reduction in NI before and this is partially reversing it. I'm fine with it since the last NI reduction was more a political move just before the election by an unpopular party rather than something properly costed. Essentially it's not great it was done but could be worse lol.
That's a pretty niche section of the employment market you're talking about. You're nit-picking about a narrow tranche representing (wild guess) 2-3% of the market - which doesn't impact on the broad message discussed in this video. And some of the stuff you'd like them to talk about are honest mistakes (and omissions) only or just because content creators can't cover every little detail. If you want to send a message about 'misinformation' - and comparing it to big, crazy stuff in the US - try to stick to the big things not the little nit-picks.
I agree Sunak did a very poor job, and his cabinet has literally no valid argument to some of the arguments he's making, I also don't think it's fair to suggest that Starmer is yet doing such a fantastic job, given that his popularity with the public has dropped so low. I will say, thankfully, that Starmer has plenty of time to improve his popularity. He has brought in more investment, and hopefully, those investment agreements were already subject to the knowledge of these tax rises so they can't be reneged because of surprise taxes. In my opinion, he handled the disorder quite well, although he didn't handle his image during it well at all and the tonality that has continued because of the publicised incidents means that all the two-tier comments will continue until they are properly managed with real PR. Ultimately, he was left with a troubling situation. Stagnant economy, that while it was growing, it was growing for the wrong reasons (increased costs and pricing, little investment) public finances were shit and have been in austerity since 2010. I don't envy his position right now. But I do envy his commitment to do what he believes is the right thing. Whether the public agree come the end of it will be an entirely different conversation.
Atleast they confirmed HS2 would indeed terminate at Euston and not Old Oak. It was mindboggling that it was even considered to not bring HS2 to central london.
@@SaintGerbilUK Considering that the major point of the project was to reduce congestion on the lines leading to central London from the North and vice versa, it was somewhat mandatory to its function. But hey, don't let reality hit you on your way to the fallacy store. I'm sure you've got another pile of bile to spew.
@@Iltazyara from the still active HS2 website "HS2 will ensure better journeys for rail users in the West Midlands, London and the Southeast, with more services, faster journeys and fewer delays. It will provide more track, more trains, more seats and faster journeys to improve performance and reliability across the wider rail network, adding thousands of extra seats a day to the West Coast Main Line. Modern, eco-friendly flagship stations at Curzon Street, Interchange, Old Oak Common and Euston will act as transport hubs, putting hundreds of destinations in easy reach for travellers - and nearly halve the journey times between Birmingham and London." Weird how the London-Birmingham is mentioned last...
Only mentioned tho tunnels, no mention of Euston station itself…. This is really disappointing and shows lack of knowledge of what is needed…. You can’t have the tunnels without upgrading the Station itself which is more costly than the tunnels
I agree, most of the changes are not likely to affect anyone for months and most people will just sigh with relief that their mortgages or petrol has not just gone up by 50% like it did under the Tories. Wait and see will be the public reaction.
@@jordan3400 No, Mortgages went up because Truss almost crashed the bond market. nothing to do with either Ukraine or Russia. They can however blame Russia (or more accurately our response to their invasion by sanctioning Russian fuel exports) for electricity and heating prices.
I kept my expectation low from the beginning, and was not hoping that Reeves' budget going suddenly fix everything. So, I am reasonably ok with this budget. IMO, at this point, everyone in the country is just going to have to take a hit as the ship gets turned. I can appreciate that the budget avoids hitting working people as much as possible. However, I can also sympathy with people who are sceptical of whether this new jab downward is going to turn economy around. Nevertheless, here is a message to Sunak and rest of his party: 'Sit down. It was you people who lead us to where we are right now.'
The economy tanked along with every other economy because of Covid, Russia and Israel. In comparison, the Uk economy recovered pretty quickly, took the charge in ending the pandemic and growth was on the rise. This new budget has lowered forecasted growth, increased forecasted inflation and has borrowed one of the largest amount in history during a time of no economic or global crisis and they fiddled the figures to do it - all while lying about it. What exactly has this budget delivered? 1% increase in public spending?
@@jordan3400 Tell that forecasted growth to the increasing number of people struggling to stay afloat and continuing to struggle, the austerity measures of the Tories combined with the loss of EU subsidies was kneecap to our economy, and while this budget won't fix everything it will at least start the return to normal living. Oh and the NHS might finally get a lifeline.
@@jordan3400nah Britain's growth was shit, LONDONS growth was good, Britain's economy could be so much more if the rest fo the country performed even half as well as London but instead the government just let's it rot. You may not see it straight away but this will help Britain's growth over the next decade.
All the people on the right whining about "wahh labour raised taxes on working people" would also whine if Labour raised taxes on the wealthy, screeching about capital flight. They are disingenuous and should be ignored or better, laughed out of the room. We all know what they'd do because they've done it the entire time they were in power - raise the tax burden on working people in order to skim more off the top for their mates.
@@jordan3400 we had higher growth after covid because we slumped harder. EU Growth: 2020: -5.7% 2021: 6% 2022: 3.5% 2023: 0.5% UK Growth: 2020: -10.4% 2021: 8.7% 2022: 4.3% 2023: 0.1% Source: World Bank
Mate... Corporate taxes are only paid on any profits AFTER staff wages have been paid. Please don't spread misinformation about topics you don't understand.
Honestly I'm happy with this budget, theres nothing that was announced that sent me into a spiral of despair from frustration like the last few have. We all knew taxes were going to increase but I'm very pleased that they've commited to investing in infrastructure and public services.
@@inbb510 well, starmer said that the NHS has to 'reform or die', so I'm assuming they're going to look into it, and they're setting up a 'good value for money' office
While £22 billion to the NHS is nowhere near enough to fix the many, *many* problems it has, it's a step in the right direction, alongside the desperate need for reforms. The £5 billion for affordable housing is pathetic, nowhere near enough for the "1.5 million new homes" we were promised. Better than my expectations, but granted my expectations were already practically on the ground
@@fatboy7276 Don't be obtuse. Starmer has been PM for about 5 minutes. You may recall there was a different government before then, during which the country was not doing any better than now.
Well the people can't be mad at the government if they specifically tax employers just because those employers don't pay it out of their profits but extract even more surplus from your labour. Be mad at your employer, he's still driving the Porsche while telling you there is no money for a raise.
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I think it's a bit bias to be saying that a tax that is levied on employers, which they will pass down to their employees as much as possible is a 'tax on working people'. There are many tax measures which result in businesses lowering the wage rises or reducing staff as a result but to call them all a 'tax on working people' isn't accurate. There is a huge difference between directly increasing someone's income tax which is 100% coming out of their wages, versus increasing taxes businesses face for employing people, which will lead to lower wage growth and employment. I'm not saying the second option is good but it I expect better from TLDR than to say "it's really hard for this to be perceived as anything other than a tax on working people" when businesses will be sharing the tax, versus a measure like increasing employee NI or income tax.
@@danielwebb8402 they raised taxes on the businesses, it is the businesses decision to pass this onto the employee, we shouldn't be outraged at the government for raising taxes on a business that is making obscene profits, we should be outraged at the businesses for choosing to not cut profits and instead pass this to the employee
@@danielwebb8402 You cannot prove that, especially as the minimum wage has been lifted, which result in other wages having to rise. This will more likely squeeze hiring extra staff, which will also be muted by low unemployment and Baby boomer retirement.
@TheReferrer72 Can't prove it in this instance yet, no. Can't prove already it won't either. I do not own a delorean. OBR yesterday said about 75% will be met through lower wages. We'll see what wage rises have been in 5 years time.
👀 shouldn't the tories be embarrassed about the 22BN black hole, which is half of what the budget is trying to recover? Because what's with the "righteous indignation" and "UP UP UP" singalong?
£10bn of that black hole was caused by above inflation level pay rises to their union backers. And the so called black-hole in the budget was written in as £9.5bn.
The tax increases in the budget seem to be fairly well targetted at the rich. The only one people are debating is the Employer National Insurance increase being passed down to the employees. Most economists now disagree with such trickle down economics principles. We saw during the pandemic that large corporates made record levels of profits and didnt pass any of it on to their employees. Similarly, I dont expect this cost to be passed down to their employees in the short or medium term. Its good to see that the growth forecasts have been revised up. The country desperately needs to grow.
the fact that benefits are not passed down, does not mean that costs will not be, particularly if this a group of people who care about their own interests (and so choose not to pass down benefits in the first case). more generally, tax pass-throughs are a very well documented phenomenon in public economics. e.g. if you place a tax on petrol, while some of it is paid by the petrol firms, a chunk of the burden is also levied on consumers, as these firms also choose to raise their prices in response
changing the threshold for ni is literally targetting the very lowest paid! It disproportionatle affects young people who have to work because they don't have rich parents
The businesses who make their employees responsible for all losses, and take all the profits - will do this ... but they are already terrible to work for, and often go bust
" I dont expect this cost to be passed down to their employees in the short or medium term. " well the vast majority of economists disagree with you on that but sure.
I’m all for paying more tax if it’s going to go to repairing the damage the country has suffered for so long. All I ask from Labour is they stop the leak of government funds to private businesses and bring the private oligopolies on basic services to an end. This country is in desperate need of massive nationalisation.
Inheritance taxes are bad because you have to pay them before you get the money if you inherit land or a company. This is why family businesses here in Finland are dying out. Its better to tax inherited income only after its sold. This is why Sweden got rich after repealing inheritance taxes.
@@DS-xg9kf Given that 10% of the country have 90% of the wealth it is realistic to think that 9 out of 10 of us are going to be the "burger flippers" so actually it is you who has the bizarre idea that stamping on other people's faces for money is the only laudable ambition. Perhaps it is you who should devote your life to screwing over other people for cash? Whilst the rest of us work sensibly for the good of society as nurses, doctors, teachers, check out assistants, car mechanics, local planning officers, hairdressers, gardeners, quality managers, bakers, dustmen, insurance claims advisors, librarians, burger flippers and undertakers. It is you that is the weirdo.
Claiming that reeves is freezing the income thresholds till 2028 is incredibly misleading. That was implemented by hunt. While there was massive media speculation reeves was going to extend the freeze she didn’t.
@@aidan-4759 But they did increase the national insurance contributions that employers have to pay, which is likely going to mean lower wages and possibly higher costs passed onto consumers
They had me sold at the potential for the our country to run a budget surplus for the first time in literal decades. Which opens the door to paying down the debt in real terms for the first time in decades.
It’s ironic how the sides are shifted. Conservatives became the party that is overspending irresponsibly and Labour became the fiscaly responsible party. It’s wild.
@@benedekgabor. This budget is not fiscally responsible. Its going to flatline economic growth and cripple the private sector. Its not going to lead to a budget surplus, especially as Reeves is borrowing far, far more than the Tories planned to do.
@@titytitmk2738 Well, she has plans to fund it. The Tories demonstrated they're rather un-fund it. By reducing income. While also borrowing excessively. What's more expensive 50-40, or 20+5? Hint: it's the later, the Tory style proposition.
@@Iltazyara Mate, Labour overspent and then tried to claim the Tories left them with a £22 billion black hole. But then again when idiots like you believe whatever Labour tells you, I can see why they tell these lies in the first place.
This is actually a good budget apart from the national insurance increase for employers. The right wing media is mad about this budget so therefore it is a success from labour
@@moonlit_forest2680 , if that is how you look at politics then that is very sad. Your zero-sum way of looking at politics is very unhealthy at best and at worst very toxic.
Nothing I wrote suggests I think politics is a "zero sum " game. The cut to employee NI contributions introduced in Hunt's last budget was a deliberate attempt to wrong foot Labour when going into the election. Labour could have fallen into the trap and promised to reverse the cut or swerve it by compensating with rises elsewhere. They chose the later course. Politics is a dirty game but one side has more merit than the other.
I think this is the first time in a while the government have done something and the general reaction was “ugh fine I guess so” instead of “this is the worst decision they could have possibly made”
Moving to a higher tax bracket means next to nothing, as it is not the entire earnings that go into a higher tax bracket, just the part that is in the higher bracket.
100% But there is a small thing with going over 100k where you lose (pension support?), meaning that at that one threshold, going over by a small amount is worse for you But agreed 100% for all income tax thresholds
It does matter though. When rents and basics go up by 20% or more how do you deal with this as a worker? Well best case scenarios is you go and get a job that pays 20% more. Then.... Oops well that's not good enough because a decent chunk of the increase is lost as tax.
The Point really is that the higher bands are not moving, once you reach the top bands that is all the tax you will pay ever, meaning if you are a very high earner, you earn 10% more, you are getting 10% more in your pay check, whereas the average person who earns an average salary gets a 10% raise they will only see a 5 or 8% increase as some of that extra cash now falls in a band INTENDED for the wealthy. you need to either add bands onto the high end, or readjust the existing bands, elsewise you just end with everyone on the same tax rate thus completely eliminating the entire point of a progressive tax system.
Small business owner here. This really is not a bad budget. I'm happy to share an increased burden. The NI thing is massively blown up. We have to pay for our employees to have access to healthcare and benefits at the point of need. NI is my contribution to that. Paying a living wage is my contribution to ensuring a minimum standard of living and to staff retention. A happy, healthy, and motivated workforce makes me more money in the long run. To the complainers? Sorry, but suck it up. If your company is not viable while paying for these basics, you should not be operating. Period. Where job losses happen, i'm genuinely sorry for the short term pain but i'm also certain new businesses will pop up to fill the gaps.
@reheyesd8666 yet, counter this, the OBR is downgrading inflation. Profits for big corps go to shareholders and or are fixed in assets, so becomes economically inactive. We need money flowing in the economically active groups (working and middle classes may save a little but spend and borrow to keep money flowing around the economy) ... if you don't like big corpa, vote with your feet. Off topic ... a big issue in the country is the continued existence of natural monopolies being considered valid in a free market model. I think GB Energy is a step in the right direction. I also welcome the capital expenditure. I wish wage drag wasn't lasting to 27/28, but glad there is a plan to index link thereafter.
@@IAmebAdger I struggle with that oxymoron. Big business and suffer. Their profits MIGHT dip, but the gamble is also that greater expendable cash in working and middle classes improves their willingness to spend and might offset this somewhat.
Im not a labout voter but heres my opinion. I think people are being wusses. The government had to do something to fix the problems of the previous gov. Having read the budget it isnt nearly as bothersome as the news would have you believe. Maybe theyll be hard times ahead but, like I said, they had to do something and thank god its not austerity.
I actually like this budget. This is quite promising from Labour. I dont mind tax rises if it is being used to invest in public services like the NHS No matter how much you dislike this budget We can all agree that this is better than the mini budget in 2022 made by liz truss and kwasi kwarteng
@@SDDT24 I support the Labour party but if I really was unhappy with this budget I would say so. I didn't say it was the best budget just that it is promising and is better than what we got last time
@@LabourMinister10 I would say the budget is less bad than expected and speculated weeks ago but it’s still equalling the highest tax burden ever percentage wise , and could decimate British farmers and middle sized buisness
@@LabourMinister10 the Labour mantra writ large, 'At least we're not as bad as the last government' Now repeat for 5 years and hope no one notices their lives aren't getting any better
And with the uncritical parroting of the highly contested “22 billion black hole” claim, any pretense of impartiality has evaporated. Even the BBC acknowledges the dubiousness of that claim.
A great way to tell who a source is biased towards is whether the source reports a side as doing something or whether they focus on the backlash to that something in the headline.
@@CoolSocialistliterally haven’t voted Tory once lol , I’m just left the labour echo chamber . She has crashed the economy , the guilt market just peaked HIGHER than even liss trust and the pound fell to a 18 month low .
The very idea that increasing taxes on capital gains and inheritance will impact the average worker is laughable. We just raised these in Canada last year. Out of a population of 40m, these increases only impact 50k a year. That's 1 out of every 800. If you own a second home, if you are able to pass down over $500k worth of inheritance, if you sell your small business for over $750k.... you are NOT the average worker. Grow up and realize you are the 1%.
If money is being sucked out of the economy, it affects everyone. It's very basic economics. The government always spends money less efficiently than the private sector. So the Government is taking money out of the economy, reducing its growth - and setting that money on fire.
As a spectator sport, watching what the RW press raise the yearly income definition of "hard up / just getting by" by about £50k per week has been fun. By Friday I look forward to teary tales of how the budget means the lives of multi-millionaires will be ruined!
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the way they're calculating debt is for the best, other countries do it, why are we worse off for doing it incorrectly than negatively affects us all? A mortgage shouldnt be seen as the same kind of debt as paying for a tv on a credit card.
It’s not about the change, it’s more that labour didn’t really run on much. One of the few things they were actually clear on was that they weren’t going to borrow more, or fiddle the figures. They’ve fiddled the figures to borrow more.
@@jordan3400 i mean, its also the case that the tory party kept 20 billion of debt secret from everyone. So all the labour promises before the election were made on the basis that the figures the tories provided to the OBR were accurate. They weren't, there was a lot more debt to deal with than labour had been able to factor into their figures. But yeah, it was silly of labour to tie their own hands so publicly. They didnt need to. They would have won anyway
@ I’m not a fan of lying, I know it’s the game but they shouldn’t have done that. I voted for them and don’t think I’d do it again. Thankfully my local MP is who I would vote for regardless of the party
So she can’t tax poor people because they don’t have enough money. She can’t tax rich people because they can apparently just leave. And she can’t tax businesses because they just pass that onto their workers and customers. So what is the solution exactly?
To tax the rich people anyway because the "they'll just leave" argument is massively overstated by pundits trying to deliberately discourage it knowing it is best for the country, but not for the people who fund those pundits.
We can absolutely tax the rich and most of them are unable to leave - they're the ones owning dozens or thousands of properties in real estate and so on. The stuff they own (that makes them rich, i.e. what we would tax) can't just be put in a suitcase and flown to Macau.
Not give £15b in foreign aid - I wouldn’t mind if it was accounted for but it’s not - and we just keep on giving … hand over fist. Let’s see where it goes and what it does - and that doesn’t mean paying high consultants salaries … let’s get the money where it’s needed - then I’m all for it You basically have to overhaul the tax system - I’m more than willing to give it a go - but I won’t be giving money for free which then can’t be reversed at a later date - need a right wing attitude with left wing diplomacy - not everyone is going to be happy - but it’s what’s needed - lobbying outlawed as well … all political parties get the same budget to make their point - no donors …. That’s how the rich get richer … because all of a sudden there is a lack of legislation and law where it’s needed as money talks and is greasy as f**k to outstretched palms - and there always will be - can you withstand it even if it means you’re life is on the line when threatened by the big corporate companies …. Questions that need to be answered by the right people - it won’t be easy but it is doable
4:49 tbf - this part about tax brackets was put in place by Hunt. So it’s hard to pin this on Reeves, all she did was opt not to reverse a decision made by Hunt. Part of why she kept it. The manifesto promised not to *raise* taxes, it didn’t promise a fresh round of tax cuts or band changes, nor did it promise to reverse decisions made by Tories here.
Yes, Labour consistently said they would keep the brackets frozen even before the election. But, they also said they wouldn't raise working people's taxes, even though fiscal drag results in an enormous real income tax rise for workers. Very, very disingenuous.
@ is it disingenuous? They said they wouldn’t raise taxes on working people - they didn’t. In fact they didn’t even introduce the tax band freeze, the Tories did. All they did was maintain this raised level of tax from back when the Tories raised it. One thing they definitely did *not* promise was to undo any Tory tax increases - you can argue maybe they should have done. But it’s not disingenuous for them to fail to do something they didn’t even have in the manifesto.
Sumak is a joke. Inheritance tax only affects the rich. He doesn't care about workers and the results and mess of the Tories proves it. He only cares about his rich friend, so disingenuous. I don't understand why people think labour can magically fix 14 years of bad government. They have done a very decent budget, not perfect, but a lot better than the headlines claim. And the Tories really shouldn't point fingers over fiddling with numbers. The little fiddling labour did, is actually advised by the imf and others, and done by many other countries. It's hardly fiddling.
What i've learned is that no matter what is done, no matter how many good things there are the media & people online will complain & bash the hell out of labour
The media was overexaggerating how bad the budget would be, but it's actually very decent, people should be madder at the conservatives for leaving such a big budget gap, if it wasn't for them, we wouldn't be in this mess. Goldfish memory is real in today's society.
@tim211292 Original comment says "budget gap". That means deficit. Annual. Which was worse when Tories walked in door in 2010 than was when reeves walked in
Meh after a day since the announcements it’s not looking good , food prices are likely to increase aswell as borrowing becoming more difficult than ever
@@theshadowdirector the threshold is for all company employees - the NI raise is for each employee - so every employer now starts paying NI at a lower amount for each employee - but gets one allowance raise to cover everybody - not only that, the rate has been raised - so you’ll hit the allowance threshold quicker - this helps start up companies - not growing companies that have for past the first 3 year start up bit … not many start ups make it … just through cash flow or making incorrect business decisions - lets help them which could fail anyway due to incompetence - but hit the ones who have made it … the ones who we actually need to support - the ones who will grow at a faster rate and create jobs … getting people out of the benefits system which the tax payer also pays for …. You’re saying it needs attention - it’s a needed gesture considering and to be honest - if it did get a mention and the attention it barely deserves - it will be scrutinised a lot more than I’m doing now … so it’s probably for the best - everyone needs to look past the now and into the future of higher unemployment - more people on the benefits system - higher consumer prices now because of this raise - which meant the cost of living will go up - which after a few complaints - will mean the universal credit needs to be raised - the food banks gain pace here - coming to a town nearer to you than you think … and more of them - give it three years for higher unemployment and five for the disgraceful amount of food banks and then blame the rich again 🤣. Where this decision made by the chancellor enhanced the speed of it all
The reality is - the working class always get the tail end of any changes, good or bad. the promise of it not happening is an illusion and a hollow promise, not out of malice but optimism.
It's extremely depressing seeing everyone fail to understand the bias with whatever media they watch. When it comes to taxes all hate businesses taxes as all mainstream media are businesses it's in there best interest to paint it in a bad light. I was expecting TLDR to at least mention this bias that may occur as it is a conflict of interest, while TLDR is a outstanding source of unbias news it would help to see a disclaimer in these circumstances. But even without that, the fact that you guys said its not that bad as you went though the figures and what its aims were and how the budget plans to achieve that does make sense and allows us to form our own opinion. Which i see both sides, right and left here just seems a bit over the top on what i see is a overall good attempt if there was no number fudging.
So in short, youll be paid less and spend more to buy things you need. If your parents worked hard to buy a nice house to pass onto you youll lose that. But not an attack on the working people
Interest payments are really squeezing the budget. And that's because the UK hadn't have a balanced budget for over 2 decade. When you're on red numbers you have to pay more on interests due to risk. 2 years of balanced budget would easily free up 50 billion pounds every year, but no politician wants to do that
Luckily it seems like Labour finally understand that we need to get towards running a budget surplus. We need to free up capital from servicing our debt to be able to spend on the country. Any surplus freed up should be split half and half, half going into government spending that year. And half going into a lump sum payment on our debts. Gradually reducing our Debt to GDP ratio until we’ve ideally (although this will likely never happen in the modern era) got it down to zero.
@@jacobmoss6830 - You are joking, right? As far as DIP goes, this budget is probably the worst I've seen since the early 1990s. I won't personally be affected by this, as I have the means to uplift and leave the country whenever I wish, but there are many people - particularly those from lower income backgrounds - who do not have such freedoms; they will be lumped with the damage this budget is going to inflict in the years ahead. DIP is currently in excess of £120b a year, and the current borrowing plans are now reinforcing the belief in investors that the UK will one day not be in a position where it can afford to repay its debts - this is why gilts are creeping up because everybody is trying to offload and sell the bonds. Respectfully, I don't get the impression that you're financially fluent in economics (not a personal dig, just an observation from your flawed understanding and reasoning in your comment), but if I were somebody from a low income background, I wouldn't be cheering this budget on... It's going to cause pain in years down the line.
I'd be interested on your take(as well as getting an unbiased view) regarding the inheritance tax on farming. Seems to be a controversial move with points being made on both sides of the argument
😂 Basically; higher wages, but that means worker’s are taxed more (because they earn more). And then other things like investing in the NHS, schools, housing, etc. Other taxes like VAT on private schools. And of course, everyone’s favourite; a penny off a pint! There are of course more, but that’s just the gist.
TLDR speak on behalf of the opposition … so since they started it’s been with a particular view from which the have been portrayed … looking forward to their videos (no doubt through gritted teeth) questioning the guys in power … this is the best left leaning news channel there is … just wanna see if they can keep it up before getting greedy with advertising fees and take the whole step to the left they want to - don’t give in boys - you’ve come far - you’re gonna get tempted to take that apple the bigger you get …. Try not to do it 🤝 and stay as central or opposition as possible just with the facts as you see them - the moment you’re seen to be bending you’ll lose creditability 👍🏻 How you explain stuff to us minions works a treat - apart from this poster by the looks of things - keep up the good work - keep it straight forward and simple 👌🏻
Yes, not enough focus on the gilts and how that's going to cost the country eye watering amount on interest. 22bn in tax isn't going to cover higher interest rates.
Moving into a high tax bracket means nothing, it’s literally people not understanding how tax works. Saying you earn £49,000 a year and you move up to £52,000 a year, you only pay the new tax rate on that £2000 not the other 50k. It’s literally meaningless unless you’re making huge amounts of money, and at that point? Who cares?
On the margin it makes a big difference. EG let's say you're a working person, your salary is 50k, and your rent is a 1500 a month. You're getting by, but your landlord pushes up your rent to 2000/month, so you have to pay 6000 more per year in rent. If you're in the higher tax bracket, you'll need to get a 12,000/year raise to get back to where you were, if you're on a lower bracket, you'd only need an 8,000 raise. People live on the margin (IE between their salary- their expenses) so marginal tax rates make a big difference, even if as a % of the total salary it seems small.
Op do you live at home and have no rent or bills to pay? These brackets make a HUGE difference, especially when combined with other sources of income like child benefit (£60k trap ) and personal allowance taper (£100k trap). Earning £100k doesn’t mean much in London, when a 2 bed flat can easily top £2000 per month in the suburbs, double that in the city centre.
@@nomadcarpenter8549 After paying out a pension contribution, you’d only take home around £5k a month. For £2k of that to go on a boggo 2 bed, 40% of your income is a lot. If you live more centrally, it’s easy for a 2 bed to cost £4k a month. Not even the £100k earner could afford that by themselves.
@@jasonquigley2633 Are you suggesting that people on the lower income bracket would be realistically hoping for "only" an £8k pay rise in that scenario? They'd be screwed regardless of whatever was in the budget.
Genuine question: Any business owners out there that is not a big corporation disappointed by this budget? I have a small business and the employers allowance of 10,500 means it doesn’t affect my business at all and it means I may be able to hire 1 extra staff next year. Would like to know if there are businesses out there that is negatively affected?
This is the best budget we've had in 14 years, we knew it was going to be tough but sacrifices must be made to get back to where we should be as a country. If we carried on the tories way we would be potless and in the gutter
The argument on raising the employers NI is actually a tax on working people really annoys me. Business's do not have to pass this on, maybe for some it simply is too much (in which case I would question how good of a business it is) but for others they could take the hit. Business should be interested in trying to improve general living standards as it will ultimately lead to more productivity in the long run.
It’s not the government’s fault that businesses became to greedy… and it’s infuriating to say the least. I don’t get why people like to tip toe on this matter like they’re walking on eggshells. Companies should pay their fair share.
To play devils advocate, whilst I do generally agree with you, there's also the factor of growth to consider. Given how far we've fallen behind a country in recent years, the larger outgoings of a company with a reliance on people power will struggle to grow at a rate to compete where AI, automation and foreign outsourcing are prevalent. Among around 40 billion other factors that make it incredibly difficult to see what will work 😂
@@Tom88 - the fact it annoys you is worrying in itself - business do not have to pass this on? So just run at a loss or let people go, (redundancy) to join the benefit claim line - which we the tax payer pays for - and also an increase in living standards does not ultimately lead to more productivity …. the mind boggles with some of these comments on this video - or if they don’t have much of a business in the first place (let’s say coffee shop) then the answer is to close and it be replaced by Starbucks - so the people that hate the big corporates and complain constantly about them, then have no choice but to spend their money there …. I cannot believe some of these answers - my hope is that it’s just bots coming out with this utter tosh as comments … but I know deep down, it’s not all bots - there is no need for this many of them … we have actual “humans” giving the answers - who said being divisive doesn’t work - I’ve just spent the part of a few hours getting stuck into an absolute waste of my time - and then “people” give comments like this a thumbs up … seriously … I’m shaking my head writing this - but without constructive criticism those looking for answers will think this is it - it’s painful …. Maybe every business out there makes millions 🤣🤣🤣
@@benedekgabor. Yes, yes it is. When the government actively encourages that behaviour from companies from decades, the unmitigated greed and destructive short-termism, they are in fact partly responsible. But that means it needs to be prevented, and consequences put in place again, not ignored because 'they'll just pass it on the worker and consumer!'
Is the criticism that she should have known about the black hole or that the black hole is a gimmick or that labor shouldn't have made all the promises without knowing the real state of the budget?
I'm sorry but forcing employers to pay more rather than employees is not a tax on workers simply because employers are too greedy to shoulder the burden. That's just the nature of capitalism. Employers are also full entitled to not pass these cuts down the chain to their workers. Doing so will generate bad PR and might even risk them losing workers. And I personally couldn't give a rat's left testicle if Reeves fiddles the rules, so long as the right people pay the right amount and she gets the country back on its feet. Sounds to me like TLDR is jumping on the right-wing Labour-hating bandwagon
It’s not the government’s fault that businesses became to greedy… and it’s fucking frustrating. This is a phenomenon throught the whole world. Makes me fill with anger.
@@McKamikazeHighlander - there is so much wrong with this comment apart from the rats testicle bit - TLDR jumping on the right wing bandwagon is nothing short of amusing - they have always been a channel of the opposition which tries to understand the decisions that have been made … As for the “bad PR” and “risk them losing workers” quotes really does mean that you have no idea how it all works …. It’s painful to read … downright painful … it’s almost worrying. And one last thing - it’s corporatism that you are against and you should be against it more than capitalism itself … Labour can make new legislation against this - they can start to do it right now … but they won’t meaning they are all as bad as eachother (party wise) - which also means that it makes no difference in replying to any comment, let alone one as bad as yours - absolute waste of time
The government should never raise taxes to "fill a black hole" when a country is already heavily taxed like we are. Its so disgusting that cutting spending is never really considered for filling the supposed black hole.
@@matthewkang6838 government spending is 45% of the UK economy, that is cancerous. The government is completely living off the backs of the other 55% productive parts of the economy.
This is about what I expected. I am angry at the messaging around the election that they would not increase taxes on "working people" which was clearly disingenuous at the time, and is now an outright lie. I wish were given an honest decision to make. Time will tell whether the increased taxes are value for money, but it's not helped by all of the pre-budget messaging of increasing public sector pay without any statement as to how that gets us to where we need to be.
Why are you angry at Labour? I don’t want to make apologies for them, but people should be mad at companies “passing down” the taxes! That is not the government’s fault that your bosses are too greedy!
@@benedekgabor. I am angry at their messaging. Doesn't mean I am not angry at company's as well, but you'd be naive to think this wouldn't happen; CEO's job is to make money for their investors, they only do that if line goes up. If they don't pass on a tax increase, line doesn't go up and they're out of the job. Is that right, no? Is it surprising? Also no.
@@GowthamNatarajanAI Except that it worked in the long term the one time we actually did it, then everything fell apart when we stopped doing it. Funny that. Going back to the tried and true, multi-centennial experient, of 'fuck the poor, feed the rich' tends to lead to instability, regular crisis, and a broken economy. Maybe we should... *stop* doing that? Like we did for the Golden Years the right-wingers try to sell us? That just so happen to have occurred due to left-wing policies?
As nice as the populism slogan is the reality is rich people just leave and take their assets and tax money with them , even if you believe it’s not enough they heavily contribute to tax and making them leave will create a defecit
Thank you for making this simple, factual and unbiased. There’s so much misinformation on this and when I watched the budget itself I couldn’t make heads or tails out of it.
People love to complain about an issue but then themselves will always struggle to fix such a complex problem. What most people don't seem to understand is just how complex government and economics of a country are. The right and left always complain when they are the opposition, even though they know the challenges that government brings and how hard it is to really fix this country, without killing your popularity short term. I still have faith in labour and I do hope they win a second term so hopefully there long term plans can be seen though
@@inbb510 it doesn't matter what his arguments are or where he gets them from; the facts are it is within his interests to listen to his investors interests to make Labour look like hypocrites here despite their being very little reason for the public to do so. The public wants change, and Labour is, carefully and steadily bringing that. Deliberately poisoning the well with anything more than "It is understandable to want to wait for more change" despite clear warnings of a painful but needed budget, is precisely what the Tories and their benefactors want and need. Sunak's retort was not facts and evidence, it was clear ragebaiting. Damien twists the facts to show a potential outcome without being clear that it is only one possible outcome, and additionally, the least likely one.
@@effluxi9587 , you don't have any counter arguments. What you said is all speculation. It's irrelevant if it is within his interests or not. He has justified his claims from independent sources.
Assuming by low earners you mean minimum wage then this is covered by the increase - will effect those on higher wages than minimum the most as I see businesses not increasing all of their wages to match the percentage minimum wage increased
Productivity improvements in industry have come from investing in new technology and changes to supply chains. I assume you think productivity is something to do with how hard people work or what their job titles are, and you are wrong it is not.
Starmer is the Prime minister, Reeves is Chancellor of the Exchequer. I assume you're confused by the fact Reeves seems to be doing all the talking here, that's because this is a budget, which is the responsibility of the Treasury. The Chancellor of the Exchequer is in charge of the Treasury, hence she is responsible for the budget. Hope that helps clear things up for you!
It's not the PM's job to directly do the budgets, as that's the Exchequer's job. That's part of why it was such a big deal that Truss directly admitted she pushed Kwarteng to make the changes that proceeded to make that whole mess - Not that Kwarteng should ever agreed even if his job was on the line.
Bear in mind that with an annual government expenditure of £1200 billion a "black hole" of 22bn or collecting an additional of £40bn is just tinkering at the edges. Labour won't be able to fund ambitious spending plans on this. In particular achieving carbon net zero would require far bigger amounts so hopefully people will realise its unachievable and would yield no measurable results at a worldwide level. We don't have the capacity to fix the world, only wreck UK economy. Budget was less bad than I feared (that's why Starmer said it would be painful). Main fear is that workers may lose their jobs due to increased employer NIC and increase to minimum wages. Giving NHS another £25bn won't fix anything, it needs structural reform but all parties afraid to tackle this.
It's an important first step that will surely be iterated upon. The fact that Sunak's best response was obvious ragebaiting instead of making a genuine argument speaks clearly to it's efficacy. That he and the media cannot come up with an issue other than "well your wage rises may be taxed more" - which still means you're being paid more than you were - In my opinion, is a good sign that steady, careful and much needed change is on it's way.
Good to read some rational criticism. Your points are interesting and I will bear them in mind as we look at how the country progresses. I am sick of the party political bullshit that just screams about Labour lying after the Tories were somewhat kicked out for it or says our tax burden is too high whilst it remains lower than many other countries. I want information and ideas on whether what they have done is going to help the country or not. Your points seem moot though I think that they know that the NHS as the biggest employer in the country will need structural changes to achieve much. Health overall needs to pivot to prevention as well, rather than cure alone if we are doing evidence based politics/economics.
Businesses are already laying people off in hundreds and freezing hiring across manufacturing, hospitality and transport. How exactly is this budget good for working class again?
It’s a terrible budget for farming If a family wants a to pass on a their farm to the next generation it’s now going to be taxed at 20%. For our SMALL farm it’s likely to be a cost of about £300000-£400000. It’s a cost that many farms simply can’t cope with. It will be the death of many family farms
AKA I want to pass my business onto a family member for nothing .... without it being a business asset Just make it a business and make your children directors like every other business
Ok then how would you have solved the issue of farmers being exempt from IHT and land owners being able to pass on wealth that everyone else cannot? Thereason farming families were hit by the budget is because they have been protected so much from taxes previously that everyone else has to pay.
Thought this was a pretty good and fair video. I would maybe have explored a little what the OBR said about the fiscal "black hole " and its actual magnitude . My opinion , this budget only can only balance if there is growth as a result . This approach really hasnt worked well in the past . . My criticism would be that this approach was not flagged prior to the election .
Really disappointed TDLR is regurgitating the notion that rasing NI is a tax on working people. It's getting corporations to Pay Their Fair Share. If they pass the costs onto working class people then that is simply the corporation's taxing us! That's the corporation bleeding us dry. Stop defending them and passing the blame to Labour. Honestly really disappointed to hear that section of this video...
In North Ireland here, this budget is taxation heavy, yes there are increases but almost entirely focused on those most ably to pay, income tax is not increased and major corporations are more than capable of absorbing this without material effect. North Ireland definitely requires a huge investment in public infrastructure with Roads, rail and HSCNI all getting a very "low rent" feel when compared to down the road in ROI, if England outside of London is anywhere near as bad as NI, it needs massive investment also. Its past time the UK invested in itself and as Bidenomics has shown in the US that infrastructural investment increases economic activity.
That amount of budget is needed for the circumstances. And it is not even harming small business or working class. I don't know why British people are mad over it.
I don’t like this idea that we shouldn’t tax the businesses more because they’d pass the cost down if you’re working minimum wage you can’t get any lower
@@benedekgabor.I don’t think I got my point across too well judging from your response. My point is I’m very FOR this move to tax the businesses more what I disagree with is the idea that the businesses will be able to comp this cost by making my life worse in some way; Im on minimum wage The business already runs the bare minimum labour targets The only way for them to pay that tax at this point is out of their own pocket like they’re supposed to.
@ businesses are greedy but that’s just how the market works. if your salary/benefits are cut and you can’t find anywhere else that will do better then perhaps your work isn’t as valuable as you think it is
@@PGATProductions Okay, it’s a race to the bottom then. What do you think, how this issue should be tackled? Because this is a sure way to end up pre-revolutionary Europe, and it’s feudalism.
@@aceman0000099 I keep seeing this argument but it’s so easy to dismiss. Tell me. Do you believe, that our spending on foreign aid, is a net gain? Do you believe we gain over 20billion in profit from them? And even so, I’m not much a fan of using that leverage against people. How about a trade deal where we pay directly instead of using foreign aid.
@purpledevilr7463 nevermind bargaining power, you're most likely to have an increase in immigration if you cut foreign aid. Those who do not learn history are doomed to repeat it.
You could literally cure homelessness within a decade with a £3 Billion a year plan. Estimates to solve homelessness within a decade is around £30 to £40 Billion. Instead it’s going towards a proxy war we have and shouldn’t have any part of. £250 million to tackle homelessness? That’s roughly £750 per homeless person currently in the UK. Embarrassing & disgusting.
Homelessness is a massive issue and one that does deserves more attention. But suggesting the ‘proxy war’ isn’t important is a bit silly. If you let Putin take Ukraine, he will keep going. Ukraine deserves our support and for only £3bn a year we can hurt Putin and his regime.
@@Pilps But what if it's just for some people not to deserve a roof over their heads? Though yes, homeless at a crude level is a simple problem to solve through socialised housing, same with unemployment. It is only that it comes at a very significant opportunity cost, creates perverse incentives and in the manner it is implemented- can lead to certain socioeconomic issues. I guess i've been writing in a most generalised manner which you may not necessarily appreciate, so to help you understand, consider the supply of land being limited- then that with however much you spend, all you'll be doing is reallocating employments of land *not adding to the stock*. You may think of ways around this, or one of ensuring an outcome where society is better off, but think about it a little harder and the preposition, in my opinion, is dubious at best. Hope that helps add nuance you your perspective.
I wished people talked about how inaccurate and misleading the headlines are. No one talking about the measures put in place so that the NI increase doesnt affect SMALL businesses. By increasing the threshold at which they start paying from £5,000 to £10,000. Its so disingenuous. I don't want my country to go down the same path of misinformation as the US
Also, people keep acting like the NI rise for employers is a giant tax increase that will either kill growth or ruin the working class, while seeming to forget that NI has been cut by 4 percent by Hunt. So even if the full NI tax increase of 1.2 % for employers is passed on to employees it doesn't even reverse the unfunded tax cuts from the tories.
True but even Reeves admitted it will strangle pay rises in businesses of all sizes in the private sector
@SDDT24 it's basically the same effect as just increasing NI for everyone. Everyone got an effective pay rise from the reduction in NI before and this is partially reversing it. I'm fine with it since the last NI reduction was more a political move just before the election by an unpopular party rather than something properly costed.
Essentially it's not great it was done but could be worse lol.
The reality of the budget is just that it's measured and boring. Measured and boring is anathema to media companies.
That's a pretty niche section of the employment market you're talking about. You're nit-picking about a narrow tranche representing (wild guess) 2-3% of the market - which doesn't impact on the broad message discussed in this video. And some of the stuff you'd like them to talk about are honest mistakes (and omissions) only or just because content creators can't cover every little detail. If you want to send a message about 'misinformation' - and comparing it to big, crazy stuff in the US - try to stick to the big things not the little nit-picks.
To be fair, if I get to see Sunak being angry, because someone else is doing his job better than he ever did, then I'm all for it.
And taxing him more
@JohnAnders-f6i wow such a level headed and serious take. very credible.
@JohnAnders-f6i ok cupcake. seems your mascara is running.
@@aceman00000997 hour old account, I wouldn't take it seriously
I agree Sunak did a very poor job, and his cabinet has literally no valid argument to some of the arguments he's making, I also don't think it's fair to suggest that Starmer is yet doing such a fantastic job, given that his popularity with the public has dropped so low. I will say, thankfully, that Starmer has plenty of time to improve his popularity.
He has brought in more investment, and hopefully, those investment agreements were already subject to the knowledge of these tax rises so they can't be reneged because of surprise taxes.
In my opinion, he handled the disorder quite well, although he didn't handle his image during it well at all and the tonality that has continued because of the publicised incidents means that all the two-tier comments will continue until they are properly managed with real PR.
Ultimately, he was left with a troubling situation. Stagnant economy, that while it was growing, it was growing for the wrong reasons (increased costs and pricing, little investment) public finances were shit and have been in austerity since 2010. I don't envy his position right now. But I do envy his commitment to do what he believes is the right thing. Whether the public agree come the end of it will be an entirely different conversation.
Atleast they confirmed HS2 would indeed terminate at Euston and not Old Oak. It was mindboggling that it was even considered to not bring HS2 to central london.
Considering the major point of the project was to connect towns in the north, it coming to London is somewhat secondary.
Wierd how that black hole magically disappeared when convenient
@@SaintGerbilUK Considering that the major point of the project was to reduce congestion on the lines leading to central London from the North and vice versa, it was somewhat mandatory to its function.
But hey, don't let reality hit you on your way to the fallacy store. I'm sure you've got another pile of bile to spew.
@@Iltazyara from the still active HS2 website
"HS2 will ensure better journeys for rail users in the West Midlands, London and the Southeast, with more services, faster journeys and fewer delays. It will provide more track, more trains, more seats and faster journeys to improve performance and reliability across the wider rail network, adding thousands of extra seats a day to the West Coast Main Line.
Modern, eco-friendly flagship stations at Curzon Street, Interchange, Old Oak Common and Euston will act as transport hubs, putting hundreds of destinations in easy reach for travellers - and nearly halve the journey times between Birmingham and London."
Weird how the London-Birmingham is mentioned last...
Only mentioned tho tunnels, no mention of Euston station itself…. This is really disappointing and shows lack of knowledge of what is needed…. You can’t have the tunnels without upgrading the Station itself which is more costly than the tunnels
Sunak still exists? He's still around?..
Yeah they're taking their sweet time electing a new leader
Tories are a dead party walking, I don't think anyone really cares who is in charge there so why bother changing him out?
Next week i think the tory leader will be chosen
He's a bit small I don't blame you for not seeing him
He's going out on Saturday
Ed Davey on his phone during Sunaks response was representative of most people in the UK.
I agree, most of the changes are not likely to affect anyone for months and most people will just sigh with relief that their mortgages or petrol has not just gone up by 50% like it did under the Tories. Wait and see will be the public reaction.
this is why ed davey is the goat
@@simontemplar404Mortages went up because of Ukraine and Russia and Covid, it would’ve gone up under labour, Tory’s, reform, Libdem or greens.
@@jordan3400 No, Mortgages went up because Truss almost crashed the bond market. nothing to do with either Ukraine or Russia. They can however blame Russia (or more accurately our response to their invasion by sanctioning Russian fuel exports) for electricity and heating prices.
@@jordan3400 Did you forget the largest jump in rates was right after the "mini-budget" where the bond and pension markets almost collapsed?
I kept my expectation low from the beginning, and was not hoping that Reeves' budget going suddenly fix everything. So, I am reasonably ok with this budget.
IMO, at this point, everyone in the country is just going to have to take a hit as the ship gets turned. I can appreciate that the budget avoids hitting working people as much as possible. However, I can also sympathy with people who are sceptical of whether this new jab downward is going to turn economy around.
Nevertheless, here is a message to Sunak and rest of his party: 'Sit down. It was you people who lead us to where we are right now.'
The economy tanked along with every other economy because of Covid, Russia and Israel. In comparison, the Uk economy recovered pretty quickly, took the charge in ending the pandemic and growth was on the rise.
This new budget has lowered forecasted growth, increased forecasted inflation and has borrowed one of the largest amount in history during a time of no economic or global crisis and they fiddled the figures to do it - all while lying about it. What exactly has this budget delivered? 1% increase in public spending?
@@jordan3400 Tell that forecasted growth to the increasing number of people struggling to stay afloat and continuing to struggle, the austerity measures of the Tories combined with the loss of EU subsidies was kneecap to our economy, and while this budget won't fix everything it will at least start the return to normal living. Oh and the NHS might finally get a lifeline.
@@jordan3400nah Britain's growth was shit, LONDONS growth was good, Britain's economy could be so much more if the rest fo the country performed even half as well as London but instead the government just let's it rot.
You may not see it straight away but this will help Britain's growth over the next decade.
All the people on the right whining about "wahh labour raised taxes on working people" would also whine if Labour raised taxes on the wealthy, screeching about capital flight. They are disingenuous and should be ignored or better, laughed out of the room. We all know what they'd do because they've done it the entire time they were in power - raise the tax burden on working people in order to skim more off the top for their mates.
@@jordan3400 we had higher growth after covid because we slumped harder.
EU Growth:
2020: -5.7%
2021: 6%
2022: 3.5%
2023: 0.5%
UK Growth:
2020: -10.4%
2021: 8.7%
2022: 4.3%
2023: 0.1%
Source: World Bank
Weird that a rise in employer's NI contributions will cause lower wages when corporate tax cuts didn't cause higher wages
It's almost as if corporations are almost solely driven by greed
That's why being in a union is important because corporations will absolutely punish workers for this out of sheer spite
Are you daft? Corporate tax is paid on profits (AFTER WAGES). NI contributions are based before profit calculations and on a payroll basis.
Mate... Corporate taxes are only paid on any profits AFTER staff wages have been paid.
Please don't spread misinformation about topics you don't understand.
@@TheCam920yeah but who has a union…. Except bus drivers
I must admit, I liked how the Tories' response was to do a little call and response singalong.
Haha wasn't it fun? I started singing along
They behave like school bullies in American films
The one thing british parliament can undeniably do well.
great craic altogether
@@Lukas4182 Be a bunch of 5 year olds in suits and ties.
Honestly I'm happy with this budget, theres nothing that was announced that sent me into a spiral of despair from frustration like the last few have.
We all knew taxes were going to increase but I'm very pleased that they've commited to investing in infrastructure and public services.
Likewise!
@@Alexander-yb1zc investment in public services need to come with increased productivity. Otherwise, we might just as well burn money instead.
@@inbb510 well, starmer said that the NHS has to 'reform or die', so I'm assuming they're going to look into it, and they're setting up a 'good value for money' office
Honestly, given the situation in which the public finances were, I think they've done quite well...
@@inbb510 exactly
This budget is actually OK considering the circumstances
The UK needs a Department of Government Efficiency
While £22 billion to the NHS is nowhere near enough to fix the many, *many* problems it has, it's a step in the right direction, alongside the desperate need for reforms. The £5 billion for affordable housing is pathetic, nowhere near enough for the "1.5 million new homes" we were promised.
Better than my expectations, but granted my expectations were already practically on the ground
the curcumstances the Government created in the first place 🤣🤣
we would do better if a Dog was prime minister
Depends if you are a working person or not.
@@fatboy7276 Don't be obtuse. Starmer has been PM for about 5 minutes. You may recall there was a different government before then, during which the country was not doing any better than now.
Well the people can't be mad at the government if they specifically tax employers just because those employers don't pay it out of their profits but extract even more surplus from your labour. Be mad at your employer, he's still driving the Porsche while telling you there is no money for a raise.
Why are you angry at a business owner who spent his money and effort to be where he is now. Keep crying.
The gall that Sunak has to take a tone of righteous indignation is infuriating
In these uncertain times, it's more important than ever to have a solid understanding of how to manage your finances, invest wisely and navigate economic downturns. But my primary concern is how to grow my reserve of $240k which has been sitting duck since forever with zero to no gains, sure I'm all in on the long term game, but with my savings are lying waste to inflation and my portfolio losing gains everyday, I need a remedy.
If you need advice, consider speaking with a financial advisor. Don't get me wrong, you can do it on your own, but financial advisors have a lot more knowledge and expertise in this area.
you are completely right, Advisors have information and paths that are not disclosed to the public.. I profited £560k in 2022 under the tutelage of my Fiduciary-counselor. Am I selling? Absolutely not.. I am going to sit back and observe how this all plays out.
That's impressive! I could really use the expertise of this manager for my dwindling portfolio. Who’s the professional guiding you?
My advisor is 'Sophia Maurine Lanting'. In terms of portfolio diversity, she's a genius. You can glance her name up on the internet and verify her yourself. she has years of financial market experience
I checked Sophia up on google out of curiosity and i must say i am impressed by her Credentials. i emailed her already, waiting on her response.
I think it's a bit bias to be saying that a tax that is levied on employers, which they will pass down to their employees as much as possible is a 'tax on working people'. There are many tax measures which result in businesses lowering the wage rises or reducing staff as a result but to call them all a 'tax on working people' isn't accurate.
There is a huge difference between directly increasing someone's income tax which is 100% coming out of their wages, versus increasing taxes businesses face for employing people, which will lead to lower wage growth and employment. I'm not saying the second option is good but it I expect better from TLDR than to say "it's really hard for this to be perceived as anything other than a tax on working people" when businesses will be sharing the tax, versus a measure like increasing employee NI or income tax.
But the vast majority, 60-80%, will be paid through lower wages.
You want to say "that's not 100%, therefore it is zero" isn't really coherent
@@danielwebb8402 they raised taxes on the businesses, it is the businesses decision to pass this onto the employee, we shouldn't be outraged at the government for raising taxes on a business that is making obscene profits, we should be outraged at the businesses for choosing to not cut profits and instead pass this to the employee
Well, it is absolutely a tax on working people because it will depress wages and lead to lower employment and growth
@@danielwebb8402 You cannot prove that, especially as the minimum wage has been lifted, which result in other wages having to rise.
This will more likely squeeze hiring extra staff, which will also be muted by low unemployment and Baby boomer retirement.
@TheReferrer72
Can't prove it in this instance yet, no. Can't prove already it won't either. I do not own a delorean.
OBR yesterday said about 75% will be met through lower wages. We'll see what wage rises have been in 5 years time.
👀 shouldn't the tories be embarrassed about the 22BN black hole, which is half of what the budget is trying to recover? Because what's with the "righteous indignation" and "UP UP UP" singalong?
all we gained from being under the torie government: missing money UP
Do you know the % that the 22bn makes up of the government budget
What 22BN black hole?... They've yet to provide evidence, so far... it seems to be payrises to the upper middle-class union members...
£10bn of that black hole was caused by above inflation level pay rises to their union backers. And the so called black-hole in the budget was written in as £9.5bn.
100% bang on!
The tax increases in the budget seem to be fairly well targetted at the rich. The only one people are debating is the Employer National Insurance increase being passed down to the employees. Most economists now disagree with such trickle down economics principles.
We saw during the pandemic that large corporates made record levels of profits and didnt pass any of it on to their employees. Similarly, I dont expect this cost to be passed down to their employees in the short or medium term.
Its good to see that the growth forecasts have been revised up. The country desperately needs to grow.
Profits don't, but costs typically do, either to the employee or the customer.
the fact that benefits are not passed down, does not mean that costs will not be, particularly if this a group of people who care about their own interests (and so choose not to pass down benefits in the first case).
more generally, tax pass-throughs are a very well documented phenomenon in public economics. e.g. if you place a tax on petrol, while some of it is paid by the petrol firms, a chunk of the burden is also levied on consumers, as these firms also choose to raise their prices in response
changing the threshold for ni is literally targetting the very lowest paid! It disproportionatle affects young people who have to work because they don't have rich parents
The businesses who make their employees responsible for all losses, and take all the profits - will do this ... but they are already terrible to work for, and often go bust
" I dont expect this cost to be passed down to their employees in the short or medium term. " well the vast majority of economists disagree with you on that but sure.
I’m all for paying more tax if it’s going to go to repairing the damage the country has suffered for so long. All I ask from Labour is they stop the leak of government funds to private businesses and bring the private oligopolies on basic services to an end. This country is in desperate need of massive nationalisation.
“Capital gains and inheritance tax have gone up!”
Oh no! Anyway…
Get on with your burger flipping ambitions in life
Inheritance taxes are bad because you have to pay them before you get the money if you inherit land or a company. This is why family businesses here in Finland are dying out. Its better to tax inherited income only after its sold. This is why Sweden got rich after repealing inheritance taxes.
@DS-xg9kf oh no I have to pay 18% tax on my profit over 3,000 then 24% over 50,000. That's a very low tax rate still
@@DS-xg9kfI mean sounds like you are waiting for mummy and daddy to die instead of earning your own money 😂
@@DS-xg9kf Given that 10% of the country have 90% of the wealth it is realistic to think that 9 out of 10 of us are going to be the "burger flippers" so actually it is you who has the bizarre idea that stamping on other people's faces for money is the only laudable ambition. Perhaps it is you who should devote your life to screwing over other people for cash? Whilst the rest of us work sensibly for the good of society as nurses, doctors, teachers, check out assistants, car mechanics, local planning officers, hairdressers, gardeners, quality managers, bakers, dustmen, insurance claims advisors, librarians, burger flippers and undertakers. It is you that is the weirdo.
Claiming that reeves is freezing the income thresholds till 2028 is incredibly misleading.
That was implemented by hunt.
While there was massive media speculation reeves was going to extend the freeze she didn’t.
True, but they chose to keep it in the budget.
@@AnonyMous-xv4ig With that logic then they lowered national insurance as they didn't reverse the planned cut
@@aidan-4759 But they did increase the national insurance contributions that employers have to pay, which is likely going to mean lower wages and possibly higher costs passed onto consumers
@@AnonyMous-xv4ig But thats also balanced out by lowering the employee national insurance, which by your logic they should get the credit for.
As someone earning minimum wage, this budget certainly helps me.
It makes you poorer, by taxing you more and raising prices.
@@MintButter403”more tax” will always happen if people get pay rises. But as a proportion … a minimum wage worker will be better off
They had me sold at the potential for the our country to run a budget surplus for the first time in literal decades. Which opens the door to paying down the debt in real terms for the first time in decades.
It’s ironic how the sides are shifted. Conservatives became the party that is overspending irresponsibly and Labour became the fiscaly responsible party. It’s wild.
@@benedekgabor. This budget is not fiscally responsible. Its going to flatline economic growth and cripple the private sector.
Its not going to lead to a budget surplus, especially as Reeves is borrowing far, far more than the Tories planned to do.
@@titytitmk2738 Well, she has plans to fund it.
The Tories demonstrated they're rather un-fund it. By reducing income. While also borrowing excessively.
What's more expensive 50-40, or 20+5? Hint: it's the later, the Tory style proposition.
@@Iltazyara Mate, Labour overspent and then tried to claim the Tories left them with a £22 billion black hole.
But then again when idiots like you believe whatever Labour tells you, I can see why they tell these lies in the first place.
@@titytitmk2738was labour in charge for the last 14 years?
This is actually a good budget apart from the national insurance increase for employers. The right wing media is mad about this budget so therefore it is a success from labour
So apart from over half the tax increases
@@danielwebb8402 Yes it would have been better if Labour had simply reversed the Tories unfunded NI cut. Politics is a dirty business.
@@moonlit_forest2680 , if that is how you look at politics then that is very sad. Your zero-sum way of looking at politics is very unhealthy at best and at worst very toxic.
Nothing I wrote suggests I think politics is a "zero sum " game. The cut to employee NI contributions introduced in Hunt's last budget was a deliberate attempt to wrong foot Labour when going into the election.
Labour could have fallen into the trap and promised to reverse the cut or swerve it by compensating with rises elsewhere. They chose the later course. Politics is a dirty game but one side has more merit than the other.
Is this how you are coping with this disastrous labour party?
I think this is the first time in a while the government have done something and the general reaction was “ugh fine I guess so” instead of “this is the worst decision they could have possibly made”
Moving to a higher tax bracket means next to nothing, as it is not the entire earnings that go into a higher tax bracket, just the part that is in the higher bracket.
To an extent, yeah, but over many years those small amounts add up a lot which is why most agree the barriers should be tied to inflation
100%
But there is a small thing with going over 100k where you lose (pension support?), meaning that at that one threshold, going over by a small amount is worse for you
But agreed 100% for all income tax thresholds
It does matter though. When rents and basics go up by 20% or more how do you deal with this as a worker?
Well best case scenarios is you go and get a job that pays 20% more. Then.... Oops well that's not good enough because a decent chunk of the increase is lost as tax.
The Point really is that the higher bands are not moving, once you reach the top bands that is all the tax you will pay ever, meaning if you are a very high earner, you earn 10% more, you are getting 10% more in your pay check, whereas the average person who earns an average salary gets a 10% raise they will only see a 5 or 8% increase as some of that extra cash now falls in a band INTENDED for the wealthy.
you need to either add bands onto the high end, or readjust the existing bands, elsewise you just end with everyone on the same tax rate thus completely eliminating the entire point of a progressive tax system.
Sounds like something someone would say whose is unproductive and in a low tax bracket
Small business owner here. This really is not a bad budget. I'm happy to share an increased burden. The NI thing is massively blown up. We have to pay for our employees to have access to healthcare and benefits at the point of need. NI is my contribution to that. Paying a living wage is my contribution to ensuring a minimum standard of living and to staff retention. A happy, healthy, and motivated workforce makes me more money in the long run. To the complainers? Sorry, but suck it up. If your company is not viable while paying for these basics, you should not be operating. Period. Where job losses happen, i'm genuinely sorry for the short term pain but i'm also certain new businesses will pop up to fill the gaps.
It doesn't hit small businesses as much, mind, due to the increased allowance. Big business will suffer the most.
Except big corps don't think like this and will instantly raise prices on their products.
@reheyesd8666 yet, counter this, the OBR is downgrading inflation. Profits for big corps go to shareholders and or are fixed in assets, so becomes economically inactive. We need money flowing in the economically active groups (working and middle classes may save a little but spend and borrow to keep money flowing around the economy) ... if you don't like big corpa, vote with your feet.
Off topic ... a big issue in the country is the continued existence of natural monopolies being considered valid in a free market model. I think GB Energy is a step in the right direction.
I also welcome the capital expenditure.
I wish wage drag wasn't lasting to 27/28, but glad there is a plan to index link thereafter.
@@IAmebAdger I struggle with that oxymoron. Big business and suffer. Their profits MIGHT dip, but the gamble is also that greater expendable cash in working and middle classes improves their willingness to spend and might offset this somewhat.
I can't even see a doctor so how is that helping me
Im not a labout voter but heres my opinion. I think people are being wusses. The government had to do something to fix the problems of the previous gov. Having read the budget it isnt nearly as bothersome as the news would have you believe. Maybe theyll be hard times ahead but, like I said, they had to do something and thank god its not austerity.
Sunak shat the bed and is angry that somebody came along to clean it
I actually like this budget. This is quite promising from Labour.
I dont mind tax rises if it is being used to invest in public services like the NHS
No matter how much you dislike this budget
We can all agree that this is better than the mini budget in 2022 made by liz truss and kwasi kwarteng
Haha course you do 😂 I wonder why judging from the profile
@@SDDT24 I support the Labour party but if I really was unhappy with this budget I would say so.
I didn't say it was the best budget just that it is promising and is better than what we got last time
i wonder why he thinks this like i geuinely cant see a single thing related to labour on his profile or anything like that. hmmmmmmmmmmmmm i wonder
@@LabourMinister10 I would say the budget is less bad than expected and speculated weeks ago but it’s still equalling the highest tax burden ever percentage wise , and could decimate British farmers and middle sized buisness
@@LabourMinister10 the Labour mantra writ large, 'At least we're not as bad as the last government'
Now repeat for 5 years and hope no one notices their lives aren't getting any better
Im sorry, saying "THEY HAVE FIDDLED THE FIGURES" makes me giggle
And with the uncritical parroting of the highly contested “22 billion black hole” claim, any pretense of impartiality has evaporated. Even the BBC acknowledges the dubiousness of that claim.
This channel and it's audience is quite the opposite of impartiality. They aren't even hiding it anymore.
@@noorlancer It does unfortunately seem to have drifted that way, despite my hopes.
A great way to tell who a source is biased towards is whether the source reports a side as doing something or whether they focus on the backlash to that something in the headline.
*A better budget than all of Jeremy Hunts woeful ones.*
Nothing cool about being a socialist
@SDDT24 Better than being a neoliberal moron with no grasp of economics or effects of privatisation.
@SDDT24 Cope Tory 🤣
@@SDDT24 What's not cool is being a capitalist monster out to starve children.
But that's what you support, so... eh.
You're not one to talk.
@@CoolSocialistliterally haven’t voted Tory once lol , I’m just left the labour echo chamber . She has crashed the economy , the guilt market just peaked HIGHER than even liss trust and the pound fell to a 18 month low .
The very idea that increasing taxes on capital gains and inheritance will impact the average worker is laughable.
We just raised these in Canada last year. Out of a population of 40m, these increases only impact 50k a year. That's 1 out of every 800.
If you own a second home, if you are able to pass down over $500k worth of inheritance, if you sell your small business for over $750k.... you are NOT the average worker. Grow up and realize you are the 1%.
If money is being sucked out of the economy, it affects everyone. It's very basic economics. The government always spends money less efficiently than the private sector. So the Government is taking money out of the economy, reducing its growth - and setting that money on fire.
As a spectator sport, watching what the RW press raise the yearly income definition of "hard up / just getting by" by about £50k per week has been fun. By Friday I look forward to teary tales of how the budget means the lives of multi-millionaires will be ruined!
"Im gonna have to sell my second private jet😢😢"
How I suppose to live after that?
Like how millionaire pensioners need their £300 otherwise they'll freeze
Millionaries won't be ruined but people in the middle and lower class will lose their jobs.
We've heard of trickle down economics, now we're trying out drag down economics.
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How can i reach this Abby Joseph Cohen, if you don't mind me asking? I've known her by her reputation at Goldman Sachs
@@AlexanderDeMuleWell her name is 'ABBY JOSEPH COHEN SERVICES'. Just research the name. You'd find necessary details to set up an appointment.
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The very first time we tried, we invested $7000 and after a week, we received $9500. That really helped us a lot to pay up our bills.
Great share! Out of curiosity, I searched Abby Joseph Cohen Services online, found her consulting page ranked at the top, and scheduled a call session. I've read many reviews about advisors, but none seem as impressive as hers.
the way they're calculating debt is for the best, other countries do it, why are we worse off for doing it incorrectly than negatively affects us all? A mortgage shouldnt be seen as the same kind of debt as paying for a tv on a credit card.
It’s not about the change, it’s more that labour didn’t really run on much. One of the few things they were actually clear on was that they weren’t going to borrow more, or fiddle the figures. They’ve fiddled the figures to borrow more.
@@jordan3400 i mean, its also the case that the tory party kept 20 billion of debt secret from everyone. So all the labour promises before the election were made on the basis that the figures the tories provided to the OBR were accurate. They weren't, there was a lot more debt to deal with than labour had been able to factor into their figures. But yeah, it was silly of labour to tie their own hands so publicly. They didnt need to. They would have won anyway
@ I’m not a fan of lying, I know it’s the game but they shouldn’t have done that. I voted for them and don’t think I’d do it again. Thankfully my local MP is who I would vote for regardless of the party
So she can’t tax poor people because they don’t have enough money. She can’t tax rich people because they can apparently just leave. And she can’t tax businesses because they just pass that onto their workers and customers. So what is the solution exactly?
To tax the rich people anyway because the "they'll just leave" argument is massively overstated by pundits trying to deliberately discourage it knowing it is best for the country, but not for the people who fund those pundits.
We can absolutely tax the rich and most of them are unable to leave - they're the ones owning dozens or thousands of properties in real estate and so on. The stuff they own (that makes them rich, i.e. what we would tax) can't just be put in a suitcase and flown to Macau.
@aceman0000099 the issue is their accounts have already left abroad. Good luck getting money out of a cayman bank account
Not give £15b in foreign aid - I wouldn’t mind if it was accounted for but it’s not - and we just keep on giving … hand over fist.
Let’s see where it goes and what it does - and that doesn’t mean paying high consultants salaries … let’s get the money where it’s needed - then I’m all for it
You basically have to overhaul the tax system - I’m more than willing to give it a go - but I won’t be giving money for free which then can’t be reversed at a later date - need a right wing attitude with left wing diplomacy - not everyone is going to be happy - but it’s what’s needed - lobbying outlawed as well … all political parties get the same budget to make their point - no donors …. That’s how the rich get richer … because all of a sudden there is a lack of legislation and law where it’s needed as money talks and is greasy as f**k to outstretched palms - and there always will be - can you withstand it even if it means you’re life is on the line when threatened by the big corporate companies …. Questions that need to be answered by the right people - it won’t be easy but it is doable
4:49 tbf - this part about tax brackets was put in place by Hunt. So it’s hard to pin this on Reeves, all she did was opt not to reverse a decision made by Hunt.
Part of why she kept it. The manifesto promised not to *raise* taxes, it didn’t promise a fresh round of tax cuts or band changes, nor did it promise to reverse decisions made by Tories here.
Yes, Labour consistently said they would keep the brackets frozen even before the election. But, they also said they wouldn't raise working people's taxes, even though fiscal drag results in an enormous real income tax rise for workers. Very, very disingenuous.
@ is it disingenuous?
They said they wouldn’t raise taxes on working people - they didn’t. In fact they didn’t even introduce the tax band freeze, the Tories did. All they did was maintain this raised level of tax from back when the Tories raised it.
One thing they definitely did *not* promise was to undo any Tory tax increases - you can argue maybe they should have done. But it’s not disingenuous for them to fail to do something they didn’t even have in the manifesto.
If I was a employer it would not exactly encourage me to hire more people
Sumak is a joke. Inheritance tax only affects the rich. He doesn't care about workers and the results and mess of the Tories proves it. He only cares about his rich friend, so disingenuous.
I don't understand why people think labour can magically fix 14 years of bad government.
They have done a very decent budget, not perfect, but a lot better than the headlines claim.
And the Tories really shouldn't point fingers over fiddling with numbers. The little fiddling labour did, is actually advised by the imf and others, and done by many other countries. It's hardly fiddling.
What i've learned is that no matter what is done, no matter how many good things there are the media & people online will complain & bash the hell out of labour
The media was overexaggerating how bad the budget would be, but it's actually very decent, people should be madder at the conservatives for leaving such a big budget gap, if it wasn't for them, we wouldn't be in this mess. Goldfish memory is real in today's society.
Deficit they left is lower % gdp than they inherited in 2010.
@@danielwebb8402 a deficit is a year on year negative balance. Debt is not the same thing.
@tim211292
Original comment says "budget gap".
That means deficit. Annual.
Which was worse when Tories walked in door in 2010 than was when reeves walked in
@tim211292
Yes debt is 3rd lowest to gdp in G7 now.
Was a worse comparative position in 2010
Meh after a day since the announcements it’s not looking good , food prices are likely to increase aswell as borrowing becoming more difficult than ever
The threshold for small businesses to pay NI has actually been raised. That point really needs more attention.
@@theshadowdirector the threshold is for all company employees - the NI raise is for each employee - so every employer now starts paying NI at a lower amount for each employee - but gets one allowance raise to cover everybody - not only that, the rate has been raised - so you’ll hit the allowance threshold quicker - this helps start up companies - not growing companies that have for past the first 3 year start up bit … not many start ups make it … just through cash flow or making incorrect business decisions - lets help them which could fail anyway due to incompetence - but hit the ones who have made it … the ones who we actually need to support - the ones who will grow at a faster rate and create jobs … getting people out of the benefits system which the tax payer also pays for …. You’re saying it needs attention - it’s a needed gesture considering and to be honest - if it did get a mention and the attention it barely deserves - it will be scrutinised a lot more than I’m doing now … so it’s probably for the best - everyone needs to look past the now and into the future of higher unemployment - more people on the benefits system - higher consumer prices now because of this raise - which meant the cost of living will go up - which after a few complaints - will mean the universal credit needs to be raised - the food banks gain pace here - coming to a town nearer to you than you think … and more of them - give it three years for higher unemployment and five for the disgraceful amount of food banks and then blame the rich again 🤣. Where this decision made by the chancellor enhanced the speed of it all
Rishi is raging because his wife has to pay tax after all these years lol
The reality is - the working class always get the tail end of any changes, good or bad. the promise of it not happening is an illusion and a hollow promise, not out of malice but optimism.
Altough it’s better to get at least something from it isn’t it?
It's extremely depressing seeing everyone fail to understand the bias with whatever media they watch.
When it comes to taxes all hate businesses taxes as all mainstream media are businesses it's in there best interest to paint it in a bad light. I was expecting TLDR to at least mention this bias that may occur as it is a conflict of interest, while TLDR is a outstanding source of unbias news it would help to see a disclaimer in these circumstances.
But even without that, the fact that you guys said its not that bad as you went though the figures and what its aims were and how the budget plans to achieve that does make sense and allows us to form our own opinion. Which i see both sides, right and left here just seems a bit over the top on what i see is a overall good attempt if there was no number fudging.
So in short, youll be paid less and spend more to buy things you need. If your parents worked hard to buy a nice house to pass onto you youll lose that. But not an attack on the working people
Listening to the back benchers all trying to say up in unison was the highlight of this budget.
This sounds an awful lot like the talking points from the Tory media.
It aint her fault that the employer will pass it on somewhere else, get pissed off at the employer
That bloody segway into the ad read. Perfection
Interest payments are really squeezing the budget. And that's because the UK hadn't have a balanced budget for over 2 decade.
When you're on red numbers you have to pay more on interests due to risk.
2 years of balanced budget would easily free up 50 billion pounds every year, but no politician wants to do that
yeah, but deficit spending can cause economic growth and inflation, both of which reduce the real amount due in interest payments
Cut illegal immigrants payment s problem solved.
Luckily it seems like Labour finally understand that we need to get towards running a budget surplus. We need to free up capital from servicing our debt to be able to spend on the country. Any surplus freed up should be split half and half, half going into government spending that year. And half going into a lump sum payment on our debts. Gradually reducing our Debt to GDP ratio until we’ve ideally (although this will likely never happen in the modern era) got it down to zero.
@@jacobmoss6830 - You are joking, right? As far as DIP goes, this budget is probably the worst I've seen since the early 1990s.
I won't personally be affected by this, as I have the means to uplift and leave the country whenever I wish, but there are many people - particularly those from lower income backgrounds - who do not have such freedoms; they will be lumped with the damage this budget is going to inflict in the years ahead.
DIP is currently in excess of £120b a year, and the current borrowing plans are now reinforcing the belief in investors that the UK will one day not be in a position where it can afford to repay its debts - this is why gilts are creeping up because everybody is trying to offload and sell the bonds.
Respectfully, I don't get the impression that you're financially fluent in economics (not a personal dig, just an observation from your flawed understanding and reasoning in your comment), but if I were somebody from a low income background, I wouldn't be cheering this budget on... It's going to cause pain in years down the line.
I'd be interested on your take(as well as getting an unbiased view) regarding the inheritance tax on farming. Seems to be a controversial move with points being made on both sides of the argument
I appreciate all the TLDR team do....but I still don't understand this
😂
Basically; higher wages, but that means worker’s are taxed more (because they earn more).
And then other things like investing in the NHS, schools, housing, etc.
Other taxes like VAT on private schools.
And of course, everyone’s favourite; a penny off a pint!
There are of course more, but that’s just the gist.
What part don't you understand.
TLDR speak on behalf of the opposition … so since they started it’s been with a particular view from which the have been portrayed … looking forward to their videos (no doubt through gritted teeth) questioning the guys in power … this is the best left leaning news channel there is … just wanna see if they can keep it up before getting greedy with advertising fees and take the whole step to the left they want to - don’t give in boys - you’ve come far - you’re gonna get tempted to take that apple the bigger you get …. Try not to do it 🤝 and stay as central or opposition as possible just with the facts as you see them - the moment you’re seen to be bending you’ll lose creditability 👍🏻
How you explain stuff to us minions works a treat - apart from this poster by the looks of things - keep up the good work - keep it straight forward and simple 👌🏻
Update - the Pound sinked to a 18 Month Low , and the gilt market spiked at 4.47% which is 1.0 higher than under Truss’s failed budget
Yes, not enough focus on the gilts and how that's going to cost the country eye watering amount on interest. 22bn in tax isn't going to cover higher interest rates.
Labours budget is even worse
Moving into a high tax bracket means nothing, it’s literally people not understanding how tax works. Saying you earn £49,000 a year and you move up to £52,000 a year, you only pay the new tax rate on that £2000 not the other 50k.
It’s literally meaningless unless you’re making huge amounts of money, and at that point? Who cares?
On the margin it makes a big difference.
EG let's say you're a working person, your salary is 50k, and your rent is a 1500 a month. You're getting by, but your landlord pushes up your rent to 2000/month, so you have to pay 6000 more per year in rent. If you're in the higher tax bracket, you'll need to get a 12,000/year raise to get back to where you were, if you're on a lower bracket, you'd only need an 8,000 raise.
People live on the margin (IE between their salary- their expenses) so marginal tax rates make a big difference, even if as a % of the total salary it seems small.
Op do you live at home and have no rent or bills to pay? These brackets make a HUGE difference, especially when combined with other sources of income like child benefit (£60k trap ) and personal allowance taper (£100k trap). Earning £100k doesn’t mean much in London, when a 2 bed flat can easily top £2000 per month in the suburbs, double that in the city centre.
Aww, the poor people paying 2k in rent in London on 100k 😢😂
@@nomadcarpenter8549 After paying out a pension contribution, you’d only take home around £5k a month. For £2k of that to go on a boggo 2 bed, 40% of your income is a lot. If you live more centrally, it’s easy for a 2 bed to cost £4k a month. Not even the £100k earner could afford that by themselves.
@@jasonquigley2633 Are you suggesting that people on the lower income bracket would be realistically hoping for "only" an £8k pay rise in that scenario? They'd be screwed regardless of whatever was in the budget.
Genuine question: Any business owners out there that is not a big corporation disappointed by this budget? I have a small business and the employers allowance of 10,500 means it doesn’t affect my business at all and it means I may be able to hire 1 extra staff next year. Would like to know if there are businesses out there that is negatively affected?
State aid for your uncompetitive business. Seems a bit odd, doesn't it?
This is the best budget we've had in 14 years, we knew it was going to be tough but sacrifices must be made to get back to where we should be as a country. If we carried on the tories way we would be potless and in the gutter
Brilliant budget. Great start.
The argument on raising the employers NI is actually a tax on working people really annoys me. Business's do not have to pass this on, maybe for some it simply is too much (in which case I would question how good of a business it is) but for others they could take the hit. Business should be interested in trying to improve general living standards as it will ultimately lead to more productivity in the long run.
It’s not the government’s fault that businesses became to greedy… and it’s infuriating to say the least. I don’t get why people like to tip toe on this matter like they’re walking on eggshells. Companies should pay their fair share.
Hopefully, with the threshold rise, the labour market will be competitive (for employees) enough to alleviate any massive pass on
To play devils advocate, whilst I do generally agree with you, there's also the factor of growth to consider. Given how far we've fallen behind a country in recent years, the larger outgoings of a company with a reliance on people power will struggle to grow at a rate to compete where AI, automation and foreign outsourcing are prevalent. Among around 40 billion other factors that make it incredibly difficult to see what will work 😂
@@Tom88 - the fact it annoys you is worrying in itself - business do not have to pass this on? So just run at a loss or let people go, (redundancy) to join the benefit claim line - which we the tax payer pays for - and also an increase in living standards does not ultimately lead to more productivity …. the mind boggles with some of these comments on this video - or if they don’t have much of a business in the first place (let’s say coffee shop) then the answer is to close and it be replaced by Starbucks - so the people that hate the big corporates and complain constantly about them, then have no choice but to spend their money there …. I cannot believe some of these answers - my hope is that it’s just bots coming out with this utter tosh as comments … but I know deep down, it’s not all bots - there is no need for this many of them … we have actual “humans” giving the answers - who said being divisive doesn’t work - I’ve just spent the part of a few hours getting stuck into an absolute waste of my time - and then “people” give comments like this a thumbs up … seriously … I’m shaking my head writing this - but without constructive criticism those looking for answers will think this is it - it’s painful …. Maybe every business out there makes millions 🤣🤣🤣
@@benedekgabor. Yes, yes it is.
When the government actively encourages that behaviour from companies from decades, the unmitigated greed and destructive short-termism, they are in fact partly responsible. But that means it needs to be prevented, and consequences put in place again, not ignored because 'they'll just pass it on the worker and consumer!'
Is the criticism that she should have known about the black hole or that the black hole is a gimmick or that labor shouldn't have made all the promises without knowing the real state of the budget?
Inheritance tax UP!
oh nooooo how horrible
You must not have kids
@@oxonomy2372having kids does not automatically mean you have something for them to inherit
@@lachlanchester8142 yep
Yeah because that won’t decimate farmers and lead to higher food prices
Love the pun you slipped into the razor advert. Aerospace machine "sharp"
I'm sorry but forcing employers to pay more rather than employees is not a tax on workers simply because employers are too greedy to shoulder the burden. That's just the nature of capitalism. Employers are also full entitled to not pass these cuts down the chain to their workers. Doing so will generate bad PR and might even risk them losing workers. And I personally couldn't give a rat's left testicle if Reeves fiddles the rules, so long as the right people pay the right amount and she gets the country back on its feet. Sounds to me like TLDR is jumping on the right-wing Labour-hating bandwagon
It’s not the government’s fault that businesses became to greedy… and it’s fucking frustrating. This is a phenomenon throught the whole world. Makes me fill with anger.
@@McKamikazeHighlander - there is so much wrong with this comment apart from the rats testicle bit - TLDR jumping on the right wing bandwagon is nothing short of amusing - they have always been a channel of the opposition which tries to understand the decisions that have been made … As for the “bad PR” and “risk them losing workers” quotes really does mean that you have no idea how it all works …. It’s painful to read … downright painful … it’s almost worrying. And one last thing - it’s corporatism that you are against and you should be against it more than capitalism itself … Labour can make new legislation against this - they can start to do it right now … but they won’t meaning they are all as bad as eachother (party wise) - which also means that it makes no difference in replying to any comment, let alone one as bad as yours - absolute waste of time
The government should never raise taxes to "fill a black hole" when a country is already heavily taxed like we are. Its so disgusting that cutting spending is never really considered for filling the supposed black hole.
I think most people are fed up with austerity
@@matthewkang6838 government spending is 45% of the UK economy, that is cancerous. The government is completely living off the backs of the other 55% productive parts of the economy.
Misread this as Michael Reeves
michael reeves for prime minister
This is about what I expected. I am angry at the messaging around the election that they would not increase taxes on "working people" which was clearly disingenuous at the time, and is now an outright lie. I wish were given an honest decision to make.
Time will tell whether the increased taxes are value for money, but it's not helped by all of the pre-budget messaging of increasing public sector pay without any statement as to how that gets us to where we need to be.
Why are you angry at Labour? I don’t want to make apologies for them, but people should be mad at companies “passing down” the taxes! That is not the government’s fault that your bosses are too greedy!
@@benedekgabor. I am angry at their messaging.
Doesn't mean I am not angry at company's as well, but you'd be naive to think this wouldn't happen; CEO's job is to make money for their investors, they only do that if line goes up. If they don't pass on a tax increase, line doesn't go up and they're out of the job.
Is that right, no? Is it surprising? Also no.
Love the guy with the beard telling us about how great a razor is. 😂
It's not a long one though- think about it
We do have to invest though.
Tax the rich and spend on the people. It's only difficult for the right to understand that.
This never works in the long term
@@GowthamNatarajanAI Except that it worked in the long term the one time we actually did it, then everything fell apart when we stopped doing it.
Funny that.
Going back to the tried and true, multi-centennial experient, of 'fuck the poor, feed the rich' tends to lead to instability, regular crisis, and a broken economy. Maybe we should... *stop* doing that? Like we did for the Golden Years the right-wingers try to sell us? That just so happen to have occurred due to left-wing policies?
As nice as the populism slogan is the reality is rich people just leave and take their assets and tax money with them , even if you believe it’s not enough they heavily contribute to tax and making them leave will create a defecit
Thank you for making this simple, factual and unbiased. There’s so much misinformation on this and when I watched the budget itself I couldn’t make heads or tails out of it.
People love to complain about an issue but then themselves will always struggle to fix such a complex problem. What most people don't seem to understand is just how complex government and economics of a country are. The right and left always complain when they are the opposition, even though they know the challenges that government brings and how hard it is to really fix this country, without killing your popularity short term. I still have faith in labour and I do hope they win a second term so hopefully there long term plans can be seen though
The NERVE of that clown Sunak to still be there and complain like he ever did care about normal people ‘s interests
None of those tax rises affect working people. Sunak up to his typical BS
You should watch the analysis done by Damien Talks Money. It really does affect working people.
@@inbb510notable unbiased source given how much he gets paid into by oil companies, huh.
@@effluxi9587 , he literally references papers from the red book and the OBR to back up his arguments.
Give me one thing he said wrong in that video.
@@inbb510 it doesn't matter what his arguments are or where he gets them from; the facts are it is within his interests to listen to his investors interests to make Labour look like hypocrites here despite their being very little reason for the public to do so. The public wants change, and Labour is, carefully and steadily bringing that.
Deliberately poisoning the well with anything more than "It is understandable to want to wait for more change" despite clear warnings of a painful but needed budget, is precisely what the Tories and their benefactors want and need. Sunak's retort was not facts and evidence, it was clear ragebaiting.
Damien twists the facts to show a potential outcome without being clear that it is only one possible outcome, and additionally, the least likely one.
@@effluxi9587 , you don't have any counter arguments. What you said is all speculation.
It's irrelevant if it is within his interests or not. He has justified his claims from independent sources.
Increasing cap on bus fares mixed with frozen fuel duty is slap in the face of the low earners
Assuming by low earners you mean minimum wage then this is covered by the increase - will effect those on higher wages than minimum the most as I see businesses not increasing all of their wages to match the percentage minimum wage increased
The biggest issue with NHS is productivity.
business consultants and corruption
It really isnt, I know people who work in the NHS and they say the NHS is desperate for money
@@Tiredmum cope.
Productivity improvements in industry have come from investing in new technology and changes to supply chains. I assume you think productivity is something to do with how hard people work or what their job titles are, and you are wrong it is not.
I'm glad inheritance tax is up. Surprised that the tories are so mad since they claim to hate 'something for nothing' 🧐
who's the PM, Reeves or Starmer?
Starmers the pm, reeves is the chancellor
Starmer is the Prime minister, Reeves is Chancellor of the Exchequer. I assume you're confused by the fact Reeves seems to be doing all the talking here, that's because this is a budget, which is the responsibility of the Treasury. The Chancellor of the Exchequer is in charge of the Treasury, hence she is responsible for the budget. Hope that helps clear things up for you!
@ yeah, but who seems to hold the power?
@@wayn649 I was more in the ironical side
It's not the PM's job to directly do the budgets, as that's the Exchequer's job. That's part of why it was such a big deal that Truss directly admitted she pushed Kwarteng to make the changes that proceeded to make that whole mess - Not that Kwarteng should ever agreed even if his job was on the line.
Thanks for the breakdown
Bear in mind that with an annual government expenditure of £1200 billion a "black hole" of 22bn or collecting an additional of £40bn is just tinkering at the edges. Labour won't be able to fund ambitious spending plans on this. In particular achieving carbon net zero would require far bigger amounts so hopefully people will realise its unachievable and would yield no measurable results at a worldwide level. We don't have the capacity to fix the world, only wreck UK economy. Budget was less bad than I feared (that's why Starmer said it would be painful). Main fear is that workers may lose their jobs due to increased employer NIC and increase to minimum wages. Giving NHS another £25bn won't fix anything, it needs structural reform but all parties afraid to tackle this.
It's an important first step that will surely be iterated upon. The fact that Sunak's best response was obvious ragebaiting instead of making a genuine argument speaks clearly to it's efficacy. That he and the media cannot come up with an issue other than "well your wage rises may be taxed more" - which still means you're being paid more than you were - In my opinion, is a good sign that steady, careful and much needed change is on it's way.
Good to read some rational criticism. Your points are interesting and I will bear them in mind as we look at how the country progresses. I am sick of the party political bullshit that just screams about Labour lying after the Tories were somewhat kicked out for it or says our tax burden is too high whilst it remains lower than many other countries. I want information and ideas on whether what they have done is going to help the country or not. Your points seem moot though I think that they know that the NHS as the biggest employer in the country will need structural changes to achieve much. Health overall needs to pivot to prevention as well, rather than cure alone if we are doing evidence based politics/economics.
No more austerity! More investments! Close tax loopholes! Invest more in the NHS and school! Yes please 🎉
Oh yes, the classic accounting rule: counting assets as liabilities. Why hadn't I thought of that?
what are you referring to here?
Yeah what?
Retired at Age 2030 Age 60. Awesome Brilliant summary.
Businesses are already laying people off in hundreds and freezing hiring across manufacturing, hospitality and transport.
How exactly is this budget good for working class again?
Because working class people typically earn minimum wage.
@aceman0000099 so having no small businesses setting on and the people who have jobs, being laid off is somehow going to help minimum wage workers?
@@aceman0000099use your brain working class people will be losing their jobs so what does having a minimum wage increase matter to them......
Great promo on the Henson razors. I nearly bought one until I saw the postage was £24...
It’s a terrible budget for farming If a family wants a to pass on a their farm to the next generation it’s now going to be taxed at 20%. For our SMALL farm it’s likely to be a cost of about £300000-£400000. It’s a cost that many farms simply can’t cope with. It will be the death of many family farms
Why should I care about 2% of the population ?
AKA I want to pass my business onto a family member for nothing .... without it being a business asset
Just make it a business and make your children directors like every other business
@ business is taxed at the same rate…
Ok then how would you have solved the issue of farmers being exempt from IHT and land owners being able to pass on wealth that everyone else cannot? Thereason farming families were hit by the budget is because they have been protected so much from taxes previously that everyone else has to pay.
many most farmers shouldnt have voted for boris and brexit and caused this mess then?
Thought this was a pretty good and fair video. I would maybe have explored a little what the OBR said about the fiscal "black hole " and its actual magnitude . My opinion , this budget only can only balance if there is growth as a result . This approach really hasnt worked well in the past . . My criticism would be that this approach was not flagged prior to the election .
Really disappointed TDLR is regurgitating the notion that rasing NI is a tax on working people. It's getting corporations to Pay Their Fair Share. If they pass the costs onto working class people then that is simply the corporation's taxing us! That's the corporation bleeding us dry. Stop defending them and passing the blame to Labour. Honestly really disappointed to hear that section of this video...
In North Ireland here, this budget is taxation heavy, yes there are increases but almost entirely focused on those most ably to pay, income tax is not increased and major corporations are more than capable of absorbing this without material effect. North Ireland definitely requires a huge investment in public infrastructure with Roads, rail and HSCNI all getting a very "low rent" feel when compared to down the road in ROI, if England outside of London is anywhere near as bad as NI, it needs massive investment also. Its past time the UK invested in itself and as Bidenomics has shown in the US that infrastructural investment increases economic activity.
where the windffall tax for enegy companies
it was in the budget if you listened or read any of the coverage.
Already at 78% which is crazy
That amount of budget is needed for the circumstances. And it is not even harming small business or working class. I don't know why British people are mad over it.
The tiries shouting UP is so embarrassing
...do you claim to be impartial, TD;DR? because I think your bias is showing.
you mean he didnt rim the tories?
Just listing facts and that’s partial?
I don’t like this idea that we shouldn’t tax the businesses more because they’d pass the cost down if you’re working minimum wage you can’t get any lower
Be mad at these companies and not your government. It’s not their fault that businesses are too greedy
@@benedekgabor. Everyone is greedy. Including you.
@ Agreed, to a certain extent, we can strike a balance between being comfortable and gluttonous.
@@benedekgabor.I don’t think I got my point across too well judging from your response. My point is I’m very FOR this move to tax the businesses more what I disagree with is the idea that the businesses will be able to comp this cost by making my life worse in some way;
Im on minimum wage
The business already runs the bare minimum labour targets
The only way for them to pay that tax at this point is out of their own pocket like they’re supposed to.
All taxes are ultimately taxes on the people.
no
It’s not the government’s fault that businesses became to greedy…
@ businesses are greedy but that’s just how the market works. if your salary/benefits are cut and you can’t find anywhere else that will do better then perhaps your work isn’t as valuable as you think it is
@@PGATProductions Okay, it’s a race to the bottom then. What do you think, how this issue should be tackled? Because this is a sure way to end up pre-revolutionary Europe, and it’s feudalism.
It’s a good budget and I’m a reformer
We could make 100billion instantly.
Cut foreign aid and default on debt.
and kill our credit score? derp
If we cut foreign aid we would lose a lot of bargaining power that helps us in trade deals. Food, drink and petrol would jump in cost for example.
@@aceman0000099 This country sends foreign aid to countries that are both larger economically and authoritarian. Fuck em.
@@aceman0000099 I keep seeing this argument but it’s so easy to dismiss.
Tell me. Do you believe, that our spending on foreign aid, is a net gain? Do you believe we gain over 20billion in profit from them?
And even so, I’m not much a fan of using that leverage against people. How about a trade deal where we pay directly instead of using foreign aid.
@purpledevilr7463 nevermind bargaining power, you're most likely to have an increase in immigration if you cut foreign aid. Those who do not learn history are doomed to repeat it.
The Office for Value for Money is something that must have come out of a Yes Minister skit.
You could literally cure homelessness within a decade with a £3 Billion a year plan.
Estimates to solve homelessness within a decade is around £30 to £40 Billion.
Instead it’s going towards a proxy war we have and shouldn’t have any part of.
£250 million to tackle homelessness? That’s roughly £750 per homeless person currently in the UK.
Embarrassing & disgusting.
Homelessness is a massive issue and one that does deserves more attention. But suggesting the ‘proxy war’ isn’t important is a bit silly. If you let Putin take Ukraine, he will keep going. Ukraine deserves our support and for only £3bn a year we can hurt Putin and his regime.
We absolutely should be involved in the proxy war, its defence spending
You are absolutely mentail if you think the gov cares enough about homelessness go invest any money into it.
@@petergoodwin7038 Hurt his regime? My guy, Russia's economy is better than our owns right now, what?
@@Pilps But what if it's just for some people not to deserve a roof over their heads? Though yes, homeless at a crude level is a simple problem to solve through socialised housing, same with unemployment. It is only that it comes at a very significant opportunity cost, creates perverse incentives and in the manner it is implemented- can lead to certain socioeconomic issues. I guess i've been writing in a most generalised manner which you may not necessarily appreciate, so to help you understand, consider the supply of land being limited- then that with however much you spend, all you'll be doing is reallocating employments of land *not adding to the stock*. You may think of ways around this, or one of ensuring an outcome where society is better off, but think about it a little harder and the preposition, in my opinion, is dubious at best. Hope that helps add nuance you your perspective.
They don't want to “sustain” the media backlash 0:49 rather withstand it.