2022 mini-budget discussion

[Greebo]

Serious question, everyone has been moaning and whining about house prices for well over a decade. The ONLY way to resolve it is for prices to come down by a crash. And there's no way to do that without harming people on Mortgages.

So i'd like a real world solution from the left that would do this without harming said people. The only one I can think of is somehow freezing the prices in the housing market for 20years while inflation naturally overtakes.

There's no way to correct the market without people going into negative equity and reposessions.

Well for starters our Govt could have stopped stoking the housing market for the last 10 years which would have slowed up the increases. Even now in the last mini budget they (tried) to stoke it up again with the permanent stamp duty cuts.

But its one thing saying the housing market needs to come down but that should be done slowly, over 10 years not overnight with 8% mortgage rates (likely if BoE gets to 6%) meaning millions of homes repossessed and millions of homeless families.

The solution, which has always been there, is to build the 340,000 new homes every year that the UK needs and since its a simple supply and demand problem, the market would sort itself out and houses would stop going up in value.

But a lot of our economy and Tory economics is based on a never ending house price rise which is unsustainable. We had already got to 35/40 year mortgages with 8 times house price to income and the Govt were looking at bringing in multi generation mortgages so you never actually owned you house in your lifetime.

 

[Greebo]

What a refreshing change to hear someone with reasoned responses. I've always voted Labour but I like Rory Stewart.

He was the best PM we never had.

 

[Quartz]

How does that help Council Tax?

It means that the purchasing company will not pay a surcharge.

 

[Quartz]

I think we overestimate the abilities of all politicians regardless of party

Agreed.

 

[chroniclard]

He was the best PM we never had.

I think I could have voted for Rory, its a shame the whole party lurched way off into the sunset of being mental.

 

[Murphy]

Serious question, everyone has been moaning and whining about house prices for well over a decade. The ONLY way to resolve it is for prices to come down by a crash. And there's no way to do that without harming people on Mortgages.

So i'd like a real world solution from the left that would do this without harming said people. The only one I can think of is somehow freezing the prices in the housing market for 20years while inflation naturally overtakes.

There's no way to correct the market without people going into negative equity and reposessions.

I'd disagree that the ONLY way to resolve it is for prices to come down by a crash, it's perfectly feasible that house prices would fall slowly over *20-30 year or more if we just built more houses. The bonus to building a load of new houses is all the jobs such things create.

*A number i pulled out of thin air for what I'd consider a reasonable time-frame to plan, build, and sell enough houses to effect current house prices on a national level.

Before anyone whines about where we'd get the money for such things we'd get it from the same place Truss got all her money for her tax breaks and it's not like the property market isn't profitable. (Something like this would've obviously been much more productive had we started it more than a decade ago when borrowing was cheap and we should've been increasing the amount of money in the economy and trying to stimulate economic activity).

 

[Destination]

You could simply stop foreign ownership in certain regions or countrywide. Many other nations prevent non dom from buying property.

 

[Freakbro]

You could simply stop foreign ownership in certain regions or countrywide. Many other nations prevent non dom from buying property.

But then how would London be the No.1 money laundering capital of the world?!?

You lefties just don't think things through do you

 

[Destination]

Quite.

 

[Destination]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

 

[StriderX]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

Growth for me not for thee is their motto.

 

[delta0]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

We aren’t going to be getting any growth the world is diving into recession.

 

[dl8860]

Serious question, everyone has been moaning and whining about house prices for well over a decade. The ONLY way to resolve it is for prices to come down by a crash. And there's no way to do that without harming people on Mortgages.

So i'd like a real world solution from the left that would do this without harming said people. The only one I can think of is somehow freezing the prices in the housing market for 20years while inflation naturally overtakes.

There's no way to correct the market without people going into negative equity and reposessions.

Your second sentence has the fallacy. That's very obviously not the only way for prices to come down.

Increasing the supply of houses will have downward pressure.
Reducing population would have downward pressure.
Gently increasing interest rates.
Increasing stamp duty.
Land value tax that applies to housing.
Stopping landlords offsetting mortgage payments against tax.

Btw I'm not the left (never even been close to voting labour, yet!), I'm just able to think, you can do this too. Btw no one on this forum represents 'the left'. Btw please stop trying to hold 'the left' to account for everything.

 

[Freakbro]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

Trickle down is how they expect it to work, incentivise corporations and the wealthy to come to the country to do business and create jobs, which in turn grows the economy (Seems there are studies that show trickle down economics don't actually provide the benefit they are touted to do *colour me surprised*). 18 months before you see the effects of their policies (which is a fair time frame for macro-economic levers)

Some slight problems in that we already have too many jobs and not enough employees, so Truss wants to start importing foreign labour again (lol) since as she said, they are a net benefit to the economy (who would have thought that! <LOL>). Also, with the world heading into a recession (depression?) then there's going to be less demand for our exports anyway.

 

[wildman]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

growth of the offshore accounts their greasy donors have, thats the growth he is talking about.

 

[Chuk_Chuk]

Your second sentence has the fallacy. That's very obviously not the only way for prices to come down.

Increasing the supply of houses will have downward pressure.
Reducing population would have downward pressure.
Gently increasing interest rates.
Increasing stamp duty.
Land value tax that applies to housing.
Stopping landlords offsetting mortgage payments against tax.

Btw I'm not the left (never even been close to voting labour, yet!), I'm just able to think, you can do this too. Btw no one on this forum represents 'the left'. Btw please stop trying to hold 'the left' to account for everything.

I think a law has already been implemented for the bolded section.

 

[413x]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

Its personal gain. Can't explain it any other way. More time goes on more it feels like basic corruption.

How else do you explain every independent or non affiliated group/body/nation saying "this is a terrible plan, wtf are you doing"

 

[mid_gen]

When Kwasi #modo speaks of sticking to the growth plan, what precisely do they consider this growth plan to actually be? How do they think growth will be achieved? In what time frame?

There is no plan, it's just fiction. The same lies the Conservatives have got away with trotting out for years, only this time, the markets have called their bluff, and we're now screwed.

 

[adidan]

What a refreshing change to hear someone with reasoned responses. I've always voted Labour but I like Rory Stewart.

Never voted Conservative (never voted for just one Party though) but I always have had time for Rory.

He's been one of the few politicians I've felt was a decent human who you could actually have a discussion with and, even if you disagreed, you would be able to see where the other was coming from.

Shame his Party went the UKIP route.

 

[englishpremier]

Soon we'll see daily reports of immigrants and asylum seekers on boats.

Except they will be headed in the opposite direction towards the green and pleasant lands of France.