manxie44 Posted December 12, 2014 Share Posted December 12, 2014 Increasing tax here would have the opposite effect. Our competitive advantage would be totally destroyed and business and jobs would start to disappear. Fair enough Eddie Link to comment Share on other sites More sharing options...
GD4ELI Posted December 12, 2014 Share Posted December 12, 2014 manxie44, I hate to say this but I agree with ET. The Manx economy is based on low tax, so increase taxation and all you'll get is more unemployment as people and companies leave. If you don't mind paying for visits to your GP & hospital then you'll be fine. It'll take a generation to resolve. Link to comment Share on other sites More sharing options...
Kopek Posted December 12, 2014 Share Posted December 12, 2014 No doubt tax increases would affect resident persons and businesses but at what rate of increase? There has to be a point at which losses outweigh revenue gains but we are only told the negative aspect not the point at which it would become negative. Link to comment Share on other sites More sharing options...
Kopek Posted December 12, 2014 Share Posted December 12, 2014 GeeCee. Last I saw the losses on social housing were 6-7 mil. Your figure would be about 16 mil. Mistake? The LAs do not keep their rental income, it is handed to the Govt and they get a certain amount back. If the Govt want to put pressure on an LA for not increasing its rents as the Govt would wish, the Govt can hold a threat over that La to conform or find itself short on the hand back. If you believe the Govt should be in control of LA rents, increasing them at will so as to put another 'Stealth Tax' onto the People, thus reducing the Treasury spend, then you might agree with the above. However, if you think that we elect Local Govts to look after our Local interest, including LA rents being kept reasonable, then you might not agree with Govt control in this area. Don't forget, that if LA rents are increased, the private market will increase their rents to maintain the differential. Then, if rents go up towards mortgage levels, house prices will go up because, ''If you can afford those rents, you can bloody well pay more for my house'' and so on and so on. Who wins? No one. Link to comment Share on other sites More sharing options...
Non-Believer Posted December 13, 2014 Share Posted December 13, 2014 Us council house tenants do pay rates as well it is included in our rent and as far as I am aware it is not a reduced rate - private ratepayers getting hammered ? The typical rates contribution contained within a PS rent is about £11 a week, that's for a 3 bed. £11 x 52 weeks is £572 per year. Try and get those sort of rates for a private 3 bed in any town on the island. Mine are £1000, I'm sure the good people in Douglas pay a lot more to keep the Corpy funded. The Local Authorities have to make up the difference payable to Central Government. SOMEBODY has to make up the PS loss...and it's the private ratepayer who, one way or another, will be doing it. A 5% PS rise will be roughly a £5 a week, often less to most tenants, what's that, half a packet of fags or a pint? For a property that has no maintenance charges and can even be furnished on occasions, still sounds like a bargain to me, anyway.... Link to comment Share on other sites More sharing options...
Gee Cee Posted December 13, 2014 Share Posted December 13, 2014 As you say Non-Believer it is the private ratepayer who makes up these losses. Along with the poor old taxpayer. The government wanted to introduce means testing, but were not able to do so. However, the government does seem able to increase rents. The solution to the problem is simply ... put up the rents to the current market value. Those people who need help would then apply for means tested benefits. The only people who would complain are those who are currently having a laugh, and would not be eligible for benefits. The question of affordable housing also needs a good looking at. There are far to many people taking advantage of those as well. Link to comment Share on other sites More sharing options...
paswt Posted December 13, 2014 Share Posted December 13, 2014 It had to happen some day ( law of averages ) , CG but you have a point . just going for a lie down ( bit cold for a lap of the course on a vintage bike! ) Link to comment Share on other sites More sharing options...
Gee Cee Posted December 13, 2014 Share Posted December 13, 2014 paswt ... Merry Christmas Link to comment Share on other sites More sharing options...
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