Well, I have slept on it and I am afraid to say I still think the budget is outrageous! Words fail me ...
The headlines focus on the "living wage" which doesn't kick in until 2020 (in full) but benefits are cut next April. If you have children about to go to university, their student debt just went through the roof and if they aren't, they'll not be rushing off as they have had their housing benefits taken away whilst said living wage takes 5 years to catch up!
Public service pay capped at 1% for next 4 years: ummm what about inflation and not forgetting they haven't had a proper pay rise since 2010! Bare in mind public services have been cut to the bone in the last four years, they are now been asked to work with less, achieve more and get paid less than inflation. Private sector took a hard hit between 2008 - 2012 and are only just catching up from massive pay cuts, but public sector been crippled now!
"In raw terms, pay levels are higher in the public sector than in the private
sector. However, after accounting for differences in education, age and where
workers live, the differences are much smaller. Among men, the average
public sector pay differential in 2013 – 14 was close to zero, while among
women it was around 8%." Public Sector Pay in the UK, Institute for Fiscal Studies (Oct 2014)
Oh and don't forget the small businesses where done over like a kipper! This is important as they are the engine room of our economy, creating jobs, tax revenue (including VAT), opportunities and training. As a director I pay myself through PAYE and dividends as this is tax efficient and retains cash in the business, enabling us to grow and create jobs. This is taxed at source through corporation tax at 20% (although Georgie boy will reduce this to 18% over two years) it doesn't balance out against taxes on dividends so it's a double whammie!
Osborne in four-fold attack on contractors
+ In 2013, there were 4.9 million businesses in the UK, over 99% of which were small and medium enterprises.
+ Small and medium enterprises employed 14,424,000 people in the UK in 2013.
+ The European Commission’s SME Performance Review estimates the Gross Value Added of SMEs as €473 billion or 49.8% of the UK economy.
[source Small businesses and the UK economy, Economic Policy and Statistics parliament.uk/briefing-papers/sn06078.pdf]
Osbourne had screwed the public purse down and still can't make the books balance, so is now after small business; large businesses will not be effected as WPC and others will find ways for them not to pay tax. Let's face it, you don't have to look to far to see the likes of Vodafone and Amazon taking the piss and lest me forget the deals they make with HMRC!
I am sure many will tell you this was a good budget, but it wasn't! It hits the poorest, the youngest and the hardest working and all because the banking system collapsed in 2008 through greed; anyone that sells credit swaps for a profit is a complete tosser, but me thinks they done care as they made a pile of cash destroying the our economy and our country and our future! So much for the rhetoric "one purpose, one policy, one nation".
I rarely share my political views, but believe in fairness: this wasn't a fair budget and punishes hard working families!