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DimPrawn
6th June 2006, 10:10
http://www.thisismoney.co.uk/news/article.html?in_article_id=406269&in_page_id=2

It revealed that the UK's tax burden, paid largely by hardworking families, will this year be bigger than Germany's for the first time in a generation.

Germany has long been seen as a high taxation economy, funding heavy public spending and massive bureaucracy.

Since Margaret Thatcher's Conservative administration Britain has prided itself on keeping taxes low while freeing businesses of regulation.

But after their 1997 victory New Labour launched a programme of public investment, part-funded by stealth taxes. The report is an analysis by Bank of America of figures published recently by the Organisation for Economic Cooperation and Development.

It predicts Britain's taxes will hit 42.4% of gross domestic product (GDP) this year - higher than Germany for the first time in recent history. The figure for Germany, a huge economy but one which has struggled with high unemployment, will be 42.1%.

In 1999 German taxes came to 46.4% of GDP, compared to 40.4% in the UK.

Holger Schmieding, chief European economist at Bank of America, said: 'Anybody who believes Germany is high tax, big government and that Britain is lean and low tax, may want to look at these figures.

'As Britain squanders some of its post-Thatcherite advantage and the Continent embraces some reforms, the two sides of the Channel are becoming much more similar again.'

Last week the Chancellor was criticised by the European Commission for breaking targets on borrowing. Britain's deficit has been 3.2% of national income for two years - higher than the EC's 3%limit.

A Treasury spokesman said yesterday: 'If you look at the average family in the UK, or the average business, what you find is that they are starting from a better position than their German counterparts. And they're being taxed less.'

The Treasury claims their calculations show the tax burden to be lower than the Bank of America's figures. But last night they were unable to reveal their figures.

The report coincides with the publication of The Bumper Book Of Government Waste: The Scandal Of The Squandered Billions.

Authors Matthew Elliott and Lee Rotherham accused Mr Brown of 'presiding over the greatest waste of taxpayers' money in British history'.

Amen. :music:

NoddY
6th June 2006, 10:20
Squandered.

Collect Taxes > Create Public Sector non-jobs > Spend on Chinese imports > Spend on usuary to banks > Repeat until bust.


What you see on the ground:
1. No infrastructure improvement (roads anyone?)
2. Infrastructure what does exist is on the PFI (money wasted non-jobs remember)
3. Multicultural mayhem
4. House price bubble

maximus
6th June 2006, 10:22
So to summerise:

We're doomed?

NoddY
6th June 2006, 10:23
So to summerise:

We're doomed?

Naturally.

AlfredJPruffock
6th June 2006, 10:26
No wonder the UK hard working tax payers have to cough up so much tax, never mind the Iraq War youve got to keep Lord Blair in the style that he is accustomed to..

For the fifth time since 1998, the Blair family slipped away from a stunning Tuscan retreat this weekend. As usual, their stay at the Cusona Estate brought nothing but negative headlines. And as usual, it was highlighted that the owner of their Tuscan retreat is a right-wing Italian aristocrat. The question was asked again: why do the Blairs associate with such a man?

lORD lUCAN
6th June 2006, 10:29
Failed Under Continual Testing

F U C T , to be precise !!

NoddY
6th June 2006, 10:32
Oh yes I forgot about Iraq:

Collect taxes > Finance war > Seize Iraqi assets > give them American funny money in exchange for their assets > Spend funny money on other American companies 'improving' Iraqi infrastructure > Bugger off.

On the ground:
Country in ruins
Death
Shabby infrastructure (Once upon a time Iraq's healthcare system was the envy...)

Who's "up"
Bush and the cabal, now proud owners Iraqi assets and funny money via Haliburton etc.

Who's "down"
Iraq
UK Taxpayer.

Lucifer Box
6th June 2006, 10:34
Bollox.

We're all living in a socialist utopia. Benn0 said so.

lORD lUCAN
6th June 2006, 10:41
Bollox.

We're all living in a socialist utopia. Benn0 said so.

New Labour Spin..............Everythings OK, don't panic, its really a socialist utopia. Now bend over, you'll only feel a slight pric :rollin:

Dundeegeorge
6th June 2006, 10:50
I might go and 'invest' in a few beers tonight. Can I declare that as an expense or does it have go off-accounts?

hyperD
6th June 2006, 10:53
The reason why Gordon Brown (the best chancellor the UK has ever had © Tony Bliar) says we invest in public sector is so we can get £20b worth of PFI debt off the balance books.

Mailman
6th June 2006, 11:00
Quite obviously the only answer is a flat tax regime! :D

Mailman

xoggoth
6th June 2006, 11:40
I always think this increasing standard of living stuff we are peddled is misleading. Higher household incomes are a lot to do with the fact that far more women have to work than used to be the case.

NoddY
6th June 2006, 11:42
I always think this increasing standard of living stuff we are peddled is misleading. Higher household incomes are a lot to do with the fact that far more women have to work than used to be the case.

Spot-on.

It now requires more labour hours to finance a family home than the post-War generation ever had to do. The days of 1x average income financing an average house are long gone.

Fleetwood
6th June 2006, 11:50
I has this conversation with my Dad.
The first house he bought was a four-bed semi-detached in nice area of Manchester*. It was 1963 and the house cost £500, which was less than his yearly salary.

(* not a contradiction in terms)

stackpole
6th June 2006, 13:26
"Record investment... "

Public services in the UK are the only things I know who's performance is measured by how much they cost.

Very strange.

Fleetwood
6th June 2006, 13:57
True.
("whose", btw)

expat
6th June 2006, 14:10
I always think this increasing standard of living stuff we are peddled is misleading. Higher household incomes are a lot to do with the fact that far more women have to work than used to be the case.


It now requires more labour hours to finance a family home than the post-War generation ever had to do. The days of 1x average income financing an average house are long gone.


I has this conversation with my Dad.
The first house he bought was a four-bed semi-detached in nice area of Manchester*. It was 1963 and the house cost £500, which was less than his yearly salary.

All spot-on. When the function of a market is to distribute limited resources among too many people who want them, then no amount of universal extra work and higher earnings can move everybody up, not when there are no more resources to go round.

If everybody earns more, the price will just go up accordingly.

(Incidentally something similar applies to pensions savings: you will be short, not because you haven't saved, but because there will be too many other wrinklies also wanting retirement homes, cleaners, medical and other care, and the only way to get those in a tight market is to be better off than the other guys. Everybody saving will not fix it).

DimPrawn
6th June 2006, 14:46
Moral of the story.

Don't worry about how everybody else is doing just make sure you are head and shoulders above everyone else.

HTH

Mailman
6th June 2006, 14:53
If everybody earns more, the price will just go up accordingly.


No, what we really need is a model like Singapores (except without all them nashty government taxes on everything) where you can earn heaps and heaps and heaps BUT still pay next to nothing for anything important (like beer and food).

So, obviously, apart from a flat tax regime, WE really do need a massive body of poorly paid poor people to keep costs down...while us ex contractors can live in the nicer parts of town, drive our nice cars and get hammered for next to nothing :D

Mailman

Hart-floot
6th June 2006, 16:19
No, what we really need is a model like Singapores (except without all them nashty government taxes on everything) where you can earn heaps and heaps and heaps BUT still pay next to nothing for anything important (like beer and food).

Mailman

What Singapore that enlightened one party state (PAP sums it up really)where you cant do anything enjoyable. Fine for this a fine for that etc etc.

vista
6th June 2006, 16:36
Failed Under Continual Testing

F U C T , to be precise !!



I like it.