Labour

It is time to cut VAT.

/ Minimalist Christian / Leave a comment

VAT is a tax on what we spend.  Everybody has to pay VAT at the same rate, rich and poor alike.  The following chart shows which parties have changed the basic rate of VAT since its introduction by the Conservative government on 1973.

VAT rate changes

Increasing VAT puts a bigger burden on the poor than the rich, as shown by the following analysis of the most recent VAT risk from 17.5% to 20%:

Reducing the rate of VAT will ease life for the less well off, increase sales, increase business activity and lead to higher employment.  That will increase income and corporation tax revenues and reduce the cost benefit payments as there will be less people out of work.

It is time to cut VAT, not to consider increasing it.

Why public ownership makes sense

/ Minimalist Christian / 2 Comments

If I need some basic repairs carrying out on my car or my house, I know that the cheapest way to get the repairs done is to do it myself.  It is faster and easier and cheaper.

Why should it be any different for the nation?  If we want cost-effective roads, railways and other essential infrastructure, it is common sense for us to own and maintain them ourselves.  It’s faster and easier and because we are not paying someone else’s profits it is far cheaper.  Public ownership simply makes sense.

Other nations make a success of it. They are even running our rail services and taking the profits for their governments.

Keolis is 70% owned by the French government’s national rail service SNCF. It owns 35% of Govia, which runs the Govia Thameslink, Southern, Southeastern and London Midland franchises.

Arriva UK Trains, which operates a string of services including Chiltern, CrossCountry, Grand Central, Northern, Arriva Rail London and Arriva Trains Wales, is owned by Deutsche Bahn – whose sole shareholder is the Federal Republic of Germany.

Abellio is the international arm of the state-owned Dutch national rail operator Nederlandse Spoorwegen.

If you really want to upset yourself about this, watch the video: https://www.youtube.com/watch?v=gvagsSOlAy4

Do we think so little of ourselves that we can’t do the same?  Isn’t it time to bring essential public services back into public ownership?

Why we need more council houses

/ Minimalist Christian / 1 Comment

The chart below shows the income distribution in the UK (latest figures available from government statistics) and the corresponding amount that you can borrow if you have a 10% deposit (using the Halifax building society mortgage calculator).

Two thirds of the working population would be earning too little to buy a house for £150,000 by themselves. If you do not have the ‘bank of Mum and Dad’ then you have no chance.

Your only option is to rent, from the private sector, at a cost that is higher than your mortgage repayments would be if you were able to get a loan.

That is why we NEED more council houses.

That is why I’m voting for a Labour government. (see Pledge 2)