Pyramid Comment

This journal takes an alternative view on current affairs and other subjects. The approach is likely to be contentious and is arguably speculative. The content of any article is also a reminder of the status of those affairs at that date. All comments have been disabled. Any and all unsolicited or unauthorised links are absolutely disavowed.

Sunday, August 19, 2007

Tories Show True Colours

George Osborne has made it clear that he wants (he's said this sort of thing before: becoming an Osborne catch phrase) to "ease" the effect of inheritance tax and income tax on ordinary families and reduce costs for business. Presumably, Osborne needs to be careful when he talks about inheritance. Inheriting a baronetcy:

  • “It is a meaningless thing. It is just there, in my family life.”
He certainly ought to be careful when it comes to "ordinary people" like himself and "call me Dave". Remember this: the numbers of "ordinary" homeowners now having an estate that is well over the tax threshold for inheritance tax continues to rise rapidly as property value increases. The threshold for inheritance tax does not increase at any rate near this pace. It never will. It's too lucrative and ends up in government coffers. Or perhaps elsewhere? What exactly does "ease" mean in this context? Easy money, perhaps? Clearly ordinary families are very much unlike his own background or that of his boss, David Cameron and it's easier to state reduce costs when in the context of business as that's fairly safe ground. Business, after all, has always received preferential treatment when it comes to making money. Jack Squat for "ordinary" people servicing loans and paying increased income and council taxes, increased everything. Not much in the way of increased salary/wages though. According to low inflation we have never been so well off. Not a particularly well-received message by the "well-off" getting the latest news about another interest rate hike. Necessary, of course, to keep interest rates low and discourage borrowing. Probably this will have the reversed effect as people will need to increase their borrowing to pay off increasing debts. A typical advert for borrowing suggests making the repayment of various loans easier by combining all the loans into one "reduced" payment over an extended period. For instance, borrow £25,000 over 25 years at around £240/month. Sounds like a good idea until the total repayment will amount is declared to be some £43,000. And 25 years is a long, long time. That £25,000 will have long, long gone. But it is still very much owed.

Not such a good idea after all!

Back to George. The new 'green' taxes reveal themselves for what they are. A cynical and dreadful lie. All this climate change being placed at the door of carbon dioxide. Warming is happening, but are humans really to blame? George and all the other politicians and a raft of "scientists" would have you believe it. But decide for yourself. Don't just accept what is thrust at you. Examine and challenge.