I1L2T3 Posted June 15, 2012 Share Posted June 15, 2012 I there was me thinking companies that made things in British employed the people that paid the tax and spend their wage in Britain. I like the idea in principle of giving everybody a sum they have to go out and spend in the British economy. Say, £500 of retail vouchers for every adult. If you tripled the savings of some people they would just offshore them, use them to pay down debt, spend them overseas or sit on them. There has to be some element of compulsion to spend the windfall. Link to comment Share on other sites More sharing options...
MrSmith Posted June 15, 2012 Share Posted June 15, 2012 I like the idea in principle of giving everybody a sum they have to go out and spend in the British economy. Say, £500 of retail vouchers for every adult. If you tripled the savings of some people they would just offshore them, use them to pay down debt, spend them overseas or sit on them. There has to be some element of compulsion to spend the windfall. Which is why I posted this. The best way to kick start the economy and get people spending is to use this money to triple everyone’s savings with the condition they spend it on British made goods. Link to comment Share on other sites More sharing options...
alchresearch Posted June 15, 2012 Share Posted June 15, 2012 The best way to kick start the economy and get people spending is to use this money to triple everyone’s savings with the condition they spend it on British made goods. Spending on what though? I'm not going to blow my savings on something I don't need. Gordon Brown tried this a few years ago when he reduced VAT. He thought we could spend our way out of recession. It didn't' work. Link to comment Share on other sites More sharing options...
Moosey Posted June 15, 2012 Share Posted June 15, 2012 I like the idea in principle of giving everybody a sum they have to go out and spend in the British economy. Say, £500 of retail vouchers for every adult. If you tripled the savings of some people they would just offshore them, use them to pay down debt, spend them overseas or sit on them. There has to be some element of compulsion to spend the windfall. That's a slightly better idea to the one mentioned earlier, otherwise you're punishing those without savings (ie the ones who have very little to start with) and just rewarding the rich. Tripling the savings of someone like my boss would I'm sure go down well with him, but would annoy the rest of our workplace, who think he's rich enough already. Not that either would happen of course, and I have no idea as to the impact on the problems of country. Link to comment Share on other sites More sharing options...
Shef_Fitness Posted June 15, 2012 Share Posted June 15, 2012 Try cutting 60p a litre of the price of petrol and thats good start. Petrol costs would be about 70p a litre, meaning the average car costs about £30 to fill up, which leaves Mr Mondeo and extra £70 in his pocket to spend in other businesses, businesses that then pay for tax because they are selling more. That would be a good start Link to comment Share on other sites More sharing options...
poppet2 Posted June 15, 2012 Share Posted June 15, 2012 Despair, this really is going to the wire isn't it. The banking system is broken and they just don't get it, I suppose that's the next round of bonuses for the greedy feckless bankers sorted out for damaging the worlds economy beyond repair. What next for the rest of us? The banks won't lend people THEIR money, mortgages etc, because the interest rates are so low at the moment there's not enough PROFIT in it for them. So, the Government has to step in and loan them £140 Billion of OUR money. Oh, look what a surprise, bank shares have gone up this morning, meaning once again the richest 5% get even richer on the back of the taxpayer's as a result of this loan. Link to comment Share on other sites More sharing options...
saunaman Posted June 15, 2012 Share Posted June 15, 2012 Just ask yourself this : DO WE REALLY NEED THE BANKS ? Local credit unions are registered under the FSA , and , just like "real" (haha) banks , savings of up £85,000 are guaranteed should the "bank" fail . Credit unions are : ETHICAL TRANSPARENT VERY DEMOCRATIC If more people with savings put their money into credit unions , people needing payday loans could go their local credit union rather than to Wonga . If more people invested , credit unions could lend to small businesses to kick-start the economy If more people invested , credit unions could make loans to first-time buyers . If someone gets a mortgage of £100,000 with a standard high street bank they currently pay around £85.000 in interest over the length of the mortgage ! Why not just buy the house outright with a loan from a more ethical credit union ?? I think the word "union" puts people off , maybe it's time for a re-branding exercise ? Link to comment Share on other sites More sharing options...
Mecky Posted June 15, 2012 Share Posted June 15, 2012 I like the idea in principle of giving everybody a sum they have to go out and spend in the British economy. Say, £500 of retail vouchers for every adult. If you tripled the savings of some people they would just offshore them, use them to pay down debt, spend them overseas or sit on them. There has to be some element of compulsion to spend the windfall. Doing something like that would just increase the cost of goods and wouldn't boost the economy much. Most of the money would probably leave the UK. Right now, there are people looking how to take even more money from you. Link to comment Share on other sites More sharing options...
andyofborg Posted June 15, 2012 Share Posted June 15, 2012 Just ask yourself this : DO WE REALLY NEED THE BANKS ? Local credit unions are registered under the FSA , and , just like "real" (haha) banks , savings of up £85,000 are guaranteed should the "bank" fail . Credit unions are : ETHICAL TRANSPARENT VERY DEMOCRATIC If more people with savings put their money into credit unions , people needing payday loans could go their local credit union rather than to Wonga . If more people invested , credit unions could lend to small businesses to kick-start the economy If more people invested , credit unions could make loans to first-time buyers . If someone gets a mortgage of £100,000 with a standard high street bank they currently pay around £85.000 in interest over the length of the mortgage ! Why not just buy the house outright with a loan from a more ethical credit union ?? I think the word "union" puts people off , maybe it's time for a re-branding exercise ? credit unions charge interest on a loan, sheffield credit union charges between 9% and 26.8%, you get the lower rates by being a regular saver over a period of months and years. not all offer mortgages, but from a quick look at those who do then their terms and rates seem little different to other lenders Link to comment Share on other sites More sharing options...
MrSmith Posted June 15, 2012 Share Posted June 15, 2012 Spending on what though? I'm not going to blow my savings on something I don't need. Gordon Brown tried this a few years ago when he reduced VAT. He thought we could spend our way out of recession. It didn't' work. You don't have to blow your savings you just have to blow the extra that the government gives you, it would be our reward for being prudent and then being punished with low interest rates. Link to comment Share on other sites More sharing options...
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