UK News

Insights from the UK and beyond

from The Great Debate UK:

VAT rise – is it really that bad?

Photo

BRITAIN-BUDGET/

Rachel Mason is public relations manager at Fair Investment Company. The opinions expressed are her own.-

So the new coalition government is putting VAT up from 17.5 percent to 20 percent on January 4 2011 and the country is up in arms, but is it really that bad?

Okay, in an ideal world, taxes would be low and public services would be top quality, but sadly, the world we live in is not like that. The Institute of Economic Affairs (IEA) says Britain’s real debt is already 4.8 trillion percent – six times higher than the official figure of 772 billion pounds – and the simple fact is we need to pay it back, and to do that, the government needs to raise tax and cut spending.

A rise on income tax would have been a very unpopular move, so the government really only has one option left – VAT.

from The Great Debate UK:

Roger Bootle analyses the potential impact of the budget

Photo

BRITAIN-BUDGET/

London-based Roger Bootle, director of Capital Economics and an advisor to business accountancy firm Deloitte, shares his thoughts on what Chancellor George Osborne's budget may hold and its long-term effects on the economy.

Bootle suggests the coalition government must narrow the deficit for this year and give confidence to the markets that something will be done longer term to restore the economy to health.

from The Great Debate UK:

Key tests for the emergency budget

Photo

BRITAIN-OSBORNE/

-Thomas Story is tax director at BDO LLP. The opinions expressed are his own.  Join Reuters for a live discussion with guests as UK Chancellor George Osborne makes  an emergency budget statement at 12:30 p.m. British time on Tuesday, June 22, 2010.-

Ten key tests by which Chancellor George Osborne will be judged when he delivers the emergency budget on Tuesday:

from The Great Debate UK:

A budget of woes? Where has our imagination gone?

Photo

BRITAIN-BUDGET

-Ruth Porter is communications manager at the Institute of Economic Affairs. The opinions expressed are her own. Join Reuters for a live discussion with guests as Chancellor George Osborne makes  an emergency budget statement at 12:30 p.m. British time on Tuesday, June 22, 2010.-

George Osborne has the chance to do something really radical on Tuesday in his budget statement.

from The Great Debate UK:

Budget boost for savers

Photo

fay

--Fay Goddard is chief executive of the Personal Finance Society. The opinions expressed are her own.--

As predicted, Budget 2009 was heavy on figures and forecasts and hard on the highest earners. Unsurprisingly it is the latter that the press has picked up on. We all knew that there would be a new top rate of income tax – though some were taken by surprise at the rate of 50 percent and the speed at which it will be introduced.

Will Aldi and Lidl open up in posh areas now?

Photo

A report published today by Verdict Research predicts a surge in discount grocers in Britain.  Verdict Research says discounters like privately owned German groups Aldi and Lidl should raise as much finance as possible to aggressively expand in markets where they are under-represented.

This could be good news for the thrifty, middle class shopper – no more need to venture outside one’s turf to areas one would not normally set foot into but which have become a weekly destination because they have a Lidl or Aldi.

from Global Investing:

To spend, or not to spend?

Photo

A day after Britain unveiled a multi-billion-pound fiscal stimulus package to spend its way out of recession, market analysts have been busy figuring out what it all means, in the context of a sharply slowing economy.

Nick Parsons, head of market strategy at nabCapital, has come to this conclusion:

  •