by Elgrande » Sat Mar 02, 2013 12:34 am
Blair and Brown encouraged the "want it now" society as much as Thatcher. Sold the gold, emptied the pension pot and created the FSA who allowed mortgages to get out of control so everyone was re-mortgaging, buying the 4 bed David Wilson detached when what they could really afford was a three bed terrace in Strood! A society was created where nearly everyone earning under £30,000 pa was entitled to some sort of benefit. Pensioners who had saved for their retirement were rewarded by seeing those who hadn't bothered get top ups galore. Perfect example; one person pays into a pension as does her husband. She paid full stamp all her working life, but on retirement had to rent somewhere. She pays tax on some of her pension income and ends up with about £14,000 p.a.
Another woman the same age worked for a total of two years, no contributions, no savings so she get minimum pension guarantee, rent paid, Council tax paid, free glasses dentistry etc. Add all that lot together and it works out about the same as the first person. So people think; why bother to save for my retirement
Left or right people need to be looking at the real problems. Affordable (not just social) housing, benefits returning to their original design, a safety net, not a way of life. Those who are on benefits or in social housing having to make the same decisions on where they can afford to live as those renting in the private sector or buying. Stop making kids think they are entitled, but teach them they have to earn it. Make people feel comfortable doing "menial", physical, non degree type jobs. Behave like other European countries and employ UK citizens first. Our tribal politics is destroying this country. Labour know they screwed up, they allowed the UK to have 70% of all unsecured debt in the EU; more manufacturing closed under Nu Labour than under Thatcher, they opened the flood gates to the Poles (250,000) who can claim certain benefits and are willing to work for minimum wage. They tried to convince 50% of school leavers that the only answer is University, but ignored vocational and technical colleges and left the less academic swinging in the wind. They spent everything and then borrowed more and then more and at the same time turned a blind eye to the malpractices at the banks because it was the City that was keeping the country afloat.
Now 85% of the people who work in the South East (not London) can't afford to buy a property in their area, rents are out of control because buy - to - let landlords were given carte blanche by the FSA. We have high yout unemployment because in many cases they have not been sufficiently prepared for the work market and in others have expectations beyond their abilities. Health authorities are being crippled by PFI agreements, local authorities have Housing Benefits bills that are too high to be affordable.
I agree our Tax system is skew wiff, but taxing the top earners too highly is, and always has been counter productive (ask Harold Wilson)
Anyway I could go on, but I can't solve it, don't want live with it anymore so I will stop rant now!