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The Budget 2008

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Big increases in duty on alcohol and high-polluting cars have been announced by Chancellor Alistair Darling.

 

In his first Budget he put 4p on a pint of beer, 14p on a bottle of wine and 55p on a bottle of spirits. Duty on a packet of cigarettes is up 11p.

 

He announced a one-off £950 tax on the most polluting new cars but put a 2p rise in fuel duty back six months.

 

Mr Darling, who insisted the UK could "weather economic storms", also increased winter fuel payments.

 

But Conservative leader David Cameron dismissed his Budget statement as a "a dire list of reviews and reannouncements".

 

"The cost of living is going up and Labour is making it worse," added Mr Cameron.

 

Liberal Democrat leader Nick Clegg said Mr Darling could have helped "the millions of hard pressed families who are feeling the pinch".

 

But instead he had delivered a "meagre tinkering budget which gives precious little help to the poor but maintains special treatment to the rich".

 

There were no further U-turns on capital gains tax or non-domiciled residents in Mr Darling's Budget statement.

 

But he was forced to cut his forecasts for economic growth for this year by 0.25% - to between 1.75% and 2.25% - and he announced a big increase in government borrowing, which is set to go up by £14bn over the next two years.

 

There will also be an increase in the overall tax burden over the next three years.

 

More help will be targeted at the elderly and poorest in society - although Labour still faces claims it has abandoned its target of halving child poverty by 2010.

 

Child Benefit will rise from April 2009 to £20 week - a year earlier than planned, and there was more help for families using pre-paid electricity meters.

 

The over-60s will get £250 winter fuel payment instead of £200 and the over-80s will get £400 instead of £300. Mr Darling risked the anger of environmental groups by delaying a planned increase in fuel duty for six months - but motorists will face an April 2009 fuel duty rise of 1.84p a litre.

 

Plans to increase first-year road tax by £950 for the most polluting vehicles - and a general reform of Vehicle Excise Duty aimed at encouraging the production of greener cars - are also expected to bring in an extra £730m annually by 2010.

 

Mr Darling said he was setting aside new funding to develop road-pricing schemes.

 

And he announced an increase in the amount airlines will have to pay to become "greener" - an extra 10% on plane duty in the second year of a new per-flight tax regime, replacing Air Passenger Duty (APD) from November 2009.

 

Drinkers will also bear the brunt of Mr Darling's spending plans with alcohol tax to go up by 6% above inflation - and then by 2% above inflation for each of the next four years, potentially boosting Treasury coffers by £635m annually by 2010. The first increases come into effect on Sunday.

 

On the environment, he ordered stores to ban single-use carrier bags by next year or face legislation - and announced a review of carbon targets with aim of reducing emissions by 80% by 2050, up from 60%.

 

Inflation

 

Setting out his Budget in the Commons, Mr Darling said: "This year's Budget is a responsible Budget that will secure stability in these times of global economic uncertainty."

 

In other changes, stamp duty on shared-ownership homes will not be required until buyers own 80% of the equity in their home.

 

The child element of the child tax credit for families on low and middle income would increase by £50 a year above inflation.

 

A working family with one child on the lowest income will gain up to £17 a week, lifting 150,000 children out of poverty, said Mr Darling.

 

Mr Darling said inflation would rise before returning to its 2% target in 2009 and remain on target thereafter.

 

KEY MEASURES

  • Delay 2p rise in fuel duty for six months
  • 6% increase in alcohol tax - with 2% above inflation rise for each of next four years
  • 4p on pint of beer, 3p on cider, 14p on wine, 55p on spirits
  • 11p on packet on 20 cigarettes, 4p on five cigars
  • £950 higher first year rate of road tax for most polluting cars
  • New top band for the most polluting vehicles that emit more than 255g of carbon dioxide per kilometre
  • Air passenger duty scrapped in favour of flight tax
  • Winter fuel payment up to £250 for over-60s and to £400 for over-80s
  • Require supermarkets to charge for plastic bags if they do not scrap them
  • More cash to tackle child poverty
  • Help with rising energy costs for poorer families

 

 

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according to the bbc budget calculator i am £40 a year better off thanks to the budget, but i think that the gradual climb in petrol prices will absorb all of that despite the fuel duty increase being held till april.

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I like the bit about the car pollution. But this just shows how conservative Labour really are. I hope that people will finally wake up and realise that the big two are not the way to go.

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I already posted something like this in the politics thread...

The budget, IMO, seems quite fair, but I have to agree with Cameron on this one. Britain's economy is falling. House prices keep dropping, mortgages are rising, banks are not getting enough customers and ultimately, people are spending less and less; and adding on taxes like Darling did certainly isn't helping.

 

It's not exactly an easy problem to get around. I just think the government should really get there areses into gear and have a big think about this.

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All this shit goes up in price but the wages aren't going up a fraction of the amount!

 

I like how they want to charge smokers for a "licence" AND put up the cost of fags. Nice. >_<

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They can throw the price of fags and wine up for all I care, but leave beer alone >(

 

Seriously though the main problem I have with our budgeting, and the economy as a whole, is the ridiculous cost of fuel, they need to really start slashing the shit out of fuel duty, which will never happen - but it sure as fuck should, because it would help the rest of the economy - prices of everyday shit would drop slightly, it has a knock on effect for everything.

 

We sure aren't earning any more

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Delay in 2p rise in fuel til autumn...how about the lot they just added recently.

It's more like, 'we've delayed the 2p we were going to add on top of the 2p rise we already just put on.'

Not sure about everywhere else but where i live the stations sell petrol at 108.9...ridiculous.

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They can throw the price of fags and wine up for all I care, but leave beer alone >(

 

Seriously though the main problem I have with our budgeting, and the economy as a whole, is the ridiculous cost of fuel, they need to really start slashing the shit out of fuel duty, which will never happen - but it sure as fuck should, because it would help the rest of the economy - prices of everyday shit would drop slightly, it has a knock on effect for everything.

 

We sure aren't earning any more

 

I think that putting up fuel prices are ok. But they've got to offer more realistic, more accesible alternatives.

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I think that putting up fuel prices are ok. But they've got to offer more realistic, more accesible alternatives.

 

Maybe you don't get it, it puts up the cost of everything, because there are no alternatives to freight trucks, commercial vehicles, etc.

 

How is the British Gas guy going to bring his tools to your house? On a bus?

 

Are they going to cart cattle around on a crowded train cart now, and wander them through town? I just don't see where you're going with this.

 

It's not the common guy, getting to his friends house that's my concern..

 

Delay in 2p rise in fuel til autumn...how about the lot they just added recently.

It's more like, 'we've delayed the 2p we were going to add on top of the 2p rise we already just put on.'

Not sure about everywhere else but where i live the stations sell petrol at 108.9...ridiculous.

 

108.9 is fairly expensive for petrol but that's the cheap side for diesel, a friend filled up my van at 112.9 a litre the other day

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Maybe you don't get it, it puts up the cost of everything, because there are no alternatives to freight trucks, commercial vehicles, etc.

 

How is the British Gas guy going to bring his tools to your house? On a bus?

 

Are they going to cart cattle around on a crowded train cart now, and wander them through town? I just don't see where you're going with this.

 

It's not the common guy, getting to his friends house that's my concern..

 

Oh yeah I didn't see this side of it.

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The Govt.:

 

"BINGE DRINKING IS BAD

 

so let's punish EVERYONE, but ourselves!!!"

 

 

"Give me MORE wages for doing NOTHING!!!"

 

 

"Punish EVERYONE but criminals"

 

 

"MOAR MONEY!!!"

 

 

"No-other countries have drink problems like the UK, and drink's already 1/3 the price there, but let's up the price, that must be the problem"

 

 

Why this coutry hasn't gone to riots yet is insane. The Govt.'s stealing from us all.

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Urg. That budget is not nice. My pint isn't going to rise three or four pence, it's going to go up 10p. Sure, I can understand the thinking, and I'm glad other taxes haven't risen - but there are no cuts. And the children's benefit is just a joke, anyway - £20 a week to raise a child is just silliness.

 

Yeah this budget reeks of a recession on the rise, to be honest. Government borrowings on the rise to 14bn, was it? Just all sounds a little iffy for me.

 

No word on sorting out the disgrace that is inheritance tax either... Bah. To be honest, are we ever going to see a budget we like? :/

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Seriously...

Why is it that single, white, working males get nothing from this government? Each month, a week of my wages goes in taxation and i get nothing from it.

 

If i was a teenage girl, with several children, none of them with fathers i'd be fucking rolling in it.

 

At the end of the month, i barely have any money. Food prices are going up at a stupid speed. I'm easily spending a few pounds here and there more each week now than i did when i first moved up here.

 

*sigh*

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What do single, nonwhite, working males get over white working single males?

I don't like the budget, and for the shallow reason of how it's gonna push up drink prices by 10-20p a pint, and probably similar on a measure, and fuel prices as well! Jesus christ, do we not have expensive enough fuel as it is!? I might not even bother getting a car at this rate. It's all very well putting all this stuff up, but it's no good if nobody's income is going up with it dammit.

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On the good side:

Tax bands move up, so you pay less from the same wage.

Child benefit goes up.

Child tax credits go up.

Introduction of 20% tax rate (announced last budget) instead of the 22%, but at a lower band. Makes me a little better off.

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Delay in 2p rise in fuel til autumn...how about the lot they just added recently.

It's more like, 'we've delayed the 2p we were going to add on top of the 2p rise we already just put on.'

Not sure about everywhere else but where i live the stations sell petrol at 108.9...ridiculous.

 

tbf it was the petrol companys not the government who put the price up last time. (Shell announcing record profits a couple of months later, well played you *****)

 

According to the BBC website I am £12 a year worse off since the budget.

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I don't see the problem with falling house prices, seeing as they're artificially and ludicrously high already. If it stings the people who are buying 20 houses each and either leave them empty watching their value rise or rent them to people who can't afford a house because dickheads are buying 20 each and not living in them then I'm hardly going to shed a tear. Anyone who buys property thinking they are going to rise and rise in value up to infinity deserves a harsh financial lesson anyway.

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Not to take anyone's side Jordan, and I know that just-been-taxed feeling well, but that means that if you have a heart attack and require extensive surgery it will cost you nothing.

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Yet a friend at a mortgage centre said they had a Polish woman ring up and her mortgage is ?180 every week the government pay ?150 and she only pays ?30 a week.

 

WTF!

 

I CAN'T AFFORD A HOUSE, BUT I COULD IF THE GOVERNMENT WERE AS NICE WITH ME AS THEY WERE WITH BLOODY IMMIGRANTS. FUCK ME, SPECIAL TREATMENT OR WHAT

 

//Fex would like to apologise for his big bold font.

________

Vapor info

Edited by fex

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I always find it stupid how we're one of the richest countries in the world but get taxed at every turn like we're somehow short of money. What needs sorting is the ridiculous spending and funding that really is wasted. I work in a large government building and I know of already a couple of examples that are shocking; £60,000 was spent on a medium piece of carpet by the meeting rooms and they're spending £6,000 to move 4 computer servers up one flight of stairs.

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£6000... to move 4 computers.

What?! Just do it yourselves, it'll be free that way!

 

Yet a friend at a mortgage centre said they had a Polish woman ring up and her mortgage is £180 every week the government pay £150 and she only pays £30 a week.

 

WTF!

 

I CAN'T AFFORD A HOUSE, BUT I COULD IF THE GOVERNMENT WERE AS NICE WITH ME AS THEY WERE WITH BLOODY IMMIGRANTS. FUCK ME, SPECIAL TREATMENT OR WHAT

 

//Fex would like to apologise for his big bold font.

 

 

Thats a disgrace. I pay £120 a week for my rent... Urgh. Maybe i should get a nationality change and come back. I'd get free shit then!

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That is mega annoying to the max! My rent at the moment is £1530 a month split with my flatmate, we'd need a good deal more than that to get anywhere near buying. Fat chance of them ever helping me out, not fair at all!

 

The best bit of the budget was Cameron's response to it - brilliant stuff, I think with him leading they're going to have a good chance of finally getting in come next election.

 

The budget doesn't affect me too much though, the £300 or so I'm better off due to the new tax brackets will be eaten up by the increases in other areas.

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Seriously...

Why is it that single, white, working males get nothing from this government? Each month, a week of my wages goes in taxation and i get nothing from it.

 

Single white, working, (non child bearing) females also have this problem..

 

Excepting my medical...issues.... I gain very little from the taxman.

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