‘Robin Hood Budget’ my arse!
Earlier today the 23 millionaires in the cabinet issued a post budget statement reminding people that we are all still in this together. (Twitter: @RenegadeEcon)
Billed as a ‘Robin Hood Budget’ by the Liberal Democrats, apparently, the measures announced today create an average tax cut for the people on the top rate of income tax of £10,000, and increase the minimum wage by just 11p. (Twitter: @PhilWilsonMP)
For someone on the minimum wage to earn an additional £10,000 through the value of the increase alone, they would need to be working 90,909 hours per year, or – at an average working week of 40 hours, somehow cramming 2,272 weeks of work (43 years) into a single year.
What this means in practice is millionaires get an extra £42,000+ more a year. Poorest working families get £33 a year more. (Twitter: @natachakennedy)
Worth saying again. A banker on £5m will be £240,000 a year better off as result of Osborne’s budget. (Twitter: @TheRightArticle)
Meanwhile “If people working for 16 hrs on the minimum wage don’t work more hours they will lose nearly £4,000 in tax credits #budget2012″ (Twitter: @SOASLabour)
Before the budget, the Joseph Rowntree foundation examined likely proposals and their impact on ‘poor places and people’ here: http://www.jrf.org.uk/sites/files/jrf/budget-2012.pdf
How do you think today’s announcements fare against their predictions?
According to ITV News “at the heart of the Budget a shocking hit for pensioners”. This ship is now taking on water.” (Twitter: “@oflynnexpress) and the front pages of the Thursday 22 March papers report this as ‘pensioners fund tax cut’ (Guardian) and ‘”Granny tax” hits 5m pensioners’ (Telegraph). It’s quite some achievement to play badly across the political spectrum in that way.
If you don’t know how the budget will affect you, there’s this advice: CALCULATE whether the new #budget2012 is good for you by looking at your watch. If it’s worth more than £5k, you’re ok. (Twitter: @willrolls)
Basically, the very wealthiest will take a hit it seems, but one they won’t feel as their overall wealth insulates them. The real damage will be done to the poorest. “As a % age of income, the group hit hardest by today’s budget after the most well off is the very poorest at minus 1.5% #budget2012” (Twitter: @scott_young)
As for the shoe-dwellers, we’ll be about £475 worse off, which I won’t complain about as we’re better off than many. (But no one here wears a £5k watch.)