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The Summer Budget

(294 Posts)
Gracesgran Wed 01-Jul-15 08:21:35

The "Summer Budget" is a week today. The Conservatives told us they would cut the benefits budget by £12 billion a year – where do you think that will be? These are some ideas that have been floated.
(1) Reduce the benefit cap
(2) Reduce benefits for migrants although that could prove more difficult and could also affect British subjects working in the rest of the EU
(3) They could also cut Child Benefit. They have said they won't cut it but they could keep the rate the same and limit the number of children who get it.
(4) They have targeted the under 25s in the past and may do more of this. One suggestion is that they will change Job Seekers allowance to a Youth allowance for this age group and that is could only be claimed by those in an apprenticeship, a traineeship, or doing daily community work.
(5) The Tories have also looked into extending the bedroom tax. If they were going to do it they would need to do it as early as possible in the parliament as it has been very unpopular with nowhere for people to move to.
(6) Comes from talk about maternity pay. Will they expect employers to contribute? It has been suggested. That could be a tough one for the Tories re business.
(7) Tax credits seem quite a sure bet though as DC has said that he wants to stop the "pay benefits/get tax" merry-go-round. Where and how is the question on this one in my mind.
(8) Regional benefit caps have also been floated with more benefits for London and less for the regions. With the government pushing out "spending powers" to the regions this would end up with a "not me gov" excuse so could look tempting to GO.
(9) Contributory employment support allowances have been in the government’s view finder. If these went those with savings and/or another household income would get no Job Seekers if they lost their job as this would be totally means-tested
(10) The disabled and carers could be hit by the taxing of disability living allowance, personal independence payments and attendance allowance – the last of which is paid to over-65s who receive personal care.

Eloethan Wed 08-Jul-15 23:22:18

Is it reasonable that the poorest students are to be denied a £3,000+ maintenance grant?

Is it reasonable that there is to be a £4.5 billion cut in tax credits which top up the wages of low paid workers?

Is it reasonable that nothing has been done to address the massive cuts in the social care budget which has reportedly left a million elderly, frail and disabled people to fend for themselves without even their basic needs being met, or the equally massive cuts in children's and mental health services?

Is it reasonable that public sector workers, whose earnings have been held down for several years already and who continue to bear the brunt of reductions in staff numbers, will be limited to a 1% pay increase over the next four years?

At the same time as making cuts to vital support services and making poor people even more impoverished, it was deemed reasonable to increase the inheritance tax threshold for couples to £1 million. (Something that will benefit only a very small percentage of people in this country - in fact only approximately 5% of estates are liable for inheritance tax).

I don't think there's much about this budget that is reasonable.

durhamjen Wed 08-Jul-15 23:16:28

Why do you say it's a reasonable budget when at the same time you say it will hit families hard?

Anya Wed 08-Jul-15 22:40:29

This is a very reasonable budget. It's about time all companies paid a legally enforceable decent wage rather than being subsidised by the tax payer.

I'm saddened by the tax credits as some families will find it hard.

durhamjen Wed 08-Jul-15 22:33:08

I believe I'm not the only one, Jane10. Do you really expect socialists to go along with Osborne's manoeuvres? A "one nation" budget that penalises the poorest?

However, I agree with this as well, which is an attack on Labour.

www.politics.co.uk/blogs/2015/07/08/miliband-s-meekness-allows-osborne-to-savage-the-working-poo

I do not imagine you will read it, though.

Jane10 Wed 08-Jul-15 20:07:30

I can hardly believe my eyes Durhamjen finding something to complain about in the budget! Who'd a thought it! confused! (I'd have added an irony emoticon if there had been one)

durhamjen Wed 08-Jul-15 19:15:09

www.politics.co.uk/blogs/2015/07/08/george-osborne-s-living-wage-is-not-enough-to-actually-live

rosesarered Wed 08-Jul-15 19:01:10

Good point, they are really public sector workers. however the body that sets the salaries for MP's told them that they should be earning more. A lot of MP's did not agree to that in the present economic climate.I know that people knock MP's all the time now, but if they didn't earn a reasonable salary they would leave and go into the business sector where they could all earn a fortune . this would leave only the really wealthy ones to stay in politics, like it used to be a long time ago, when it became a sort of hobby.So we need the ones that are not wealthy( inherited wealth) to stay in politics.It would be nice for all MP's however not to take the salary increase this time.That goes for MP's from all the parties.

Ana Wed 08-Jul-15 18:51:07

Yes, I'd certainly agree with that!

durhamjen Wed 08-Jul-15 18:51:01

I agree with that, Lucky. Are they going to have a 1% pay rise like the rest of the public workers? Are they .......

Luckygirl Wed 08-Jul-15 18:48:08

Maybe MPs should also be regarded as public sector workers.

rosesarered Wed 08-Jul-15 18:45:37

Easy to say anything, in opposition.

rosesarered Wed 08-Jul-15 18:45:00

grin

Ana Wed 08-Jul-15 18:43:53

Jeremy Corbyn can say whatever he wants, can't he? Andy Burnham will probably say he wants £12 an hour any minute now...grin

durhamjen Wed 08-Jul-15 18:40:43

Osborne said it's a national living wage, making no distinction between London and the rest of the UK.

See my earlier post, Ana, where I said it was £7.85.
So how does making it £7.20 next April make it a living wage? Of course some people will be taken in by his rhetoric, but they always are.

By the way, Jeremy Corbyn wants £10 an hour. He could be the next Labour leader.

rosesarered Wed 08-Jul-15 18:38:41

' country as a whole' I am going to throw this iPad out of the window.

rosesarered Wed 08-Jul-15 18:37:44

The money has to be found GG, I doubt there are better ways to find it. the NHS is going to do well, amongst others.There will always be some people who grumble , public sector workers will I expect with only 1% a year pay rise .If the country as a who,e does well in the next few years then salaries will start to go up as well.

Ana Wed 08-Jul-15 18:35:32

The UK Living Wage for outside of London is currently £7.85 per hour.

Obviously costs in London are higher, but you can't expect any government to apply London criteria to the rest of the UK.

durhamjen Wed 08-Jul-15 18:31:37

A real living wage?

An official living wage?

A calculated living wage?

durhamjen Wed 08-Jul-15 18:30:06

I think you'll find there are a lot more people than those on here who agree that it's not a living wage.

www.livingwage.org.uk/calculation

Gracesgran Wed 08-Jul-15 18:29:34

As I say I shall wait to see the analysis. This is nothing to do with it being a Conservative budget rosesarered, I would say the same whichever party had produced a budget as the devil is always in the detail. I don't think it is a question of picking holes but of proper analysis. As for nothing to alarm anyone - as the tax and spending savings amount to £17bn tax someone is going to notice shock.

I suppose they will have to find a new name for what has been estimated to really be a living wage Jen.

durhamjen Wed 08-Jul-15 18:27:34

It's actually £7.85 at the moment and more than £9 in London, so how he thinks £7.20 is going to be a living wage next April is beyond a joke.

www.theguardian.com/society/reality-check/2015/jul/08/george-osborne-budget-national-living-wage

Ana Wed 08-Jul-15 18:21:45

And not just Labour voters. There are those who are anti-Conservative seemingly just for the sake of it.

rosesarered Wed 08-Jul-15 18:18:48

GG, ah, if only I was easily pleased with things! I am guessing that Labour voters will pick holes in the budget, whatever it was, but I saw nothing in it to alarm anyone and a lot of good sense ideas.

durhamjen Wed 08-Jul-15 18:14:14

Agree with you, GracesGran. Just because he has called it a living wage doesn't mean it is one. At the moment I think the living wage is £7.65 as paid by all those companies that pay it. All he will be doing is increasing the minimum wage.

Gracesgran Wed 08-Jul-15 17:23:34

It may be Ana but neither Labour or the Conservatives actually pay it so neither party "offer" it they just make business pay for it. Not that this is necessarily a bad thing but it is a bit like the Conservatives saying - and they do - that they have created x number of jobs - inaccurate.

It will be tomorrow when you start to get real reaction grannyonce. That will be when the papers show examples of the winners and losers. At this point it is too complicated to work out. I am glad that you and rosesarered are so easily pleased. I shall wait for the unravelling. Some changes sound, in my view of sensible, sensible but I will want to know if and who, if anyone, will be really affected by the changes.