There seems to be a collective case of hysteria going on right now when what is needed are calm, knowledgeable heads.
The government’s mini-budget set the cat among the pigeons, with rising interest and mortgage rates and a fear of falling house prices.
But to his credit, the chancellor has backed down and done a U-turn on plans to scrap the 45p tax rate, as it was drowning out the rest of their rescue package.
We have been here before – and we can ride the storm.
What is essential to remember is that when many of us first started out, interest rates were in double figures and for far too long now the Bank of England has allowed interest rates to remain artificially low.
Even now, while interest rates have risen, they are still at comparatively low levels.
We have an economy which has near full employment but we lack people and we don’t have the new skills required for emerging economies.
Whatever your politics, there are a number of initiatives within the mini-budget which should be viewed through an objective lens.
The government’s strategy on investment zones will bring opportunities for businesses to flourish and grow.
We have a cut in Stamp Duty, a reduction in National Insurance, and long overdue reform of our planning laws.
Markets reacted to what are being described as unfunded tax cuts but this package is an economic shot in the arm we have not seen for many years. It is bold, it is courageous and it is just what the UK economy needs.
Having got Brexit done, Britain now has the full independence to take its rightful role again as a leading, independent world economy. Although we are still suffering the global effects of a Covid pandemic and the evil war being waged by Putin against Ukraine goes on, we have the stability and knowledge to ensure our economy grows.
Let us not forget, the recent cap on energy prices. Something that only a few weeks ago people were getting alarmed about has now been slowed and, although not stopped in its tracks, will ease, for many millions of families, the burden of extremely high prices.
Our industry needs to stop criticising and get behind these proposals to promote a home owning democracy, which will stabilise the market.
Comments (5)
“to his credit, the chancellor has backed down and done a U-turn”
To his credit…? To his credit…?
I’m utterly speechless!
Within 3 weeks of being chosen by the party faithful, our new PM and Chancellor have managed to force this country into an even worse state than we were already.
It was already acknowledged that our financial recovery after the pandemic was slower than most other first world countries (I think that might be all other, but I’m not sure).
Their cure to this? An unashamedly ideological Robinhood “growth package” designed to redistribute wealth from the poor to the rich.
The energy price cap is a lie, told and retold.
Trickle Down Economics has been proved again and again over decades to be a complete lie.
For goodness sakes, viewing the world from your ivory tower and writing opinion pieces is dangerous in the extreme.
Energy prices have doubled. Mortgage interest payments have doubled. The cost of food has increased significantly. The cost of a tank of petrol is still stupidly high.
Under no circumstances should the current government be roundly congratulated for anything they achieve in the short term. If you look at the performance of the UK since the end of the Credit Crunch, the only thing that has been positive is the value of property.
But, and here’s the clincher, property prices going up is actually bad for people in general. It looks good and we all pat ourselves on the back but all it means is that we have to pay a higher percentage of our take home pay to the banks.
If you think about it, the more extra cash that every household has, the more we could spend it on other stuff, things like:
* Good quality home furnishings – made by proper companies here in the UK rather than cheap tut bought from China
* Entertainment – going out, meeting people, eating & drinking, having a vibrant café culture
* Home upgrades – solar panels, insulation, that kind of thing
* Good quality organic food – done right that would be better for UK farmers
* Time off – not just holidays, but not working 2 jobs to make ends meet
* Education – being properly educated is not a privilege, it’s a right, and people should have the opportunity to improve themselves
* Fitness – if you don’t have to slave over 2 jobs then more free time can be donated to your health & wellbeing.
We are slaves to the value of our homes.
But it is a zero sum game.
So, I want to move home. Yay! The value of my property has doubled in 10 years! Fantastic!! Oh no, the value of the property I want to buy has also doubled. What before was (perhaps) a manageable jump of £50k is now an eye-watering £100k. My salary will have had to increase by £25k a year to afford that jump in property values. Did I just win? No, but the banks did.
This has to stop. And the only way to do so is to change the political landscape.
Please do not congratulate somebody who has gone out of their way to conspire to remove billions of pounds from the pockets of the normal working person in this country.
And NO!, Brexit is not done. Unless you call the disastrous state of our finances, our international relations and the fractured state of the Union “Done!”.
Brexit is the most acute self harm that our country could have done to itself. The negative effects will be felt for a generation.
So far I have yet to see one positive outcome. Not one.
Thanks for the party political broadcast!
‘and long overdue reform of our planning laws.’
Really? Exactly what are these reforms please?
Otherwise my I thank the Right Honourable Gentleman for his contribution 😉
Coming to a campaign poster near you soon no doubt.
Well said