"Hollowing out"

[Bri w]

The choice of Coronation St or a good book/magazine. I chose a decent book/mag every time. The current article I've been reading is about how middle Britain is being "hollowed out."

Basically, its about how changes in the economic climate have meant that succesive govts, and chancellors, have attacked the 'wealth' of middle Britain in the last 7 years. Using specific trends, e.g. car use and ownership, the article highlights a significant drop in the standard of living since 2004. The change in car use and ownership has also had a knock on effect in who lives where and has found to be damaging to the housing market.

Whether its via green taxes, council taxes or whatever, many of the changes have been drip fed into the system and it is only recently that many have really started to feel the squeeze. Equally, many have actually started to question the validity of some of the spending by govts on things that bring little benefit to society, and in some cases actually harms that society.

Although taxation has meant some areas of govt have had their spending largely protected, this increased demand on middle Britain has actually meant the spending by the population has diminished and this has caused more harm to a greater spread of industries and services.

The article questions whether the current level of taxation is the answer to society's woes? Does it hinder growth? Is it the cause of the double dip recession? Has it led to a significant drop in the standard of living of the majority of people who actually contribute the most (financially) to society?

Do you think you are worse off than 7 years ago?

Originally Posted by Bri w

Do you think you are worse off than 7 years ago?

Most definitely, but I was worse off before this current government came into power so I can't blame it on them. I lay the blame squarely at the door of the previous government who sent this country on a downward spiral that no-one will be able to stop and turn around in short order and without making drastic changes.

No-one likes the spending cuts, but if you need to blame anyone, there's a certain Mr Blair and his bum-chum, that one-eyed jock waste of space, Brown who are number one on my list

Originally Posted by Bri w

Do you think you are worse off than 7 years ago?

Without doubt. and I too lay the blame squarely with the two terrorists mentioned above.

Good post!

C

[Winder]

I'm definately worse of now than 7 years ago but that is because I moved from Northern Ireland to Surrey! But the state the country is in is due to the previous lot in number 10.
I struggle every month to pay the bills but I do go out and work, I have almost imploded with rage a number of times when my nieghbour complains about not getting enough benifits. I wonder how many cans of Carlsberg I have indirectly bought her over the years.

[timwilky]

I too am significantly worse off. My ability to save has diminished to the point where I am now living off my income and having to also support grown up kids who cannot live off theirs.

I despair at todays society where some seem to be given money by the state yet others who have spent their lives fending for themselves and now desperate for help have no entitlement. Why pay a mortgage and buy a house when you could either P it away or put the money under the bed and the state will subsequently house and care for you in your retirement and dotage.

[andrewsmith]

Yep!

I can be on more on benefits* (if i got a O/H pregnant) than I can earn working 40 hours a week, and working a second job.
You can blame the previous govt, for the mess were in, but you can't blame them for the cuts. As the cuts (sorry deficit reduction) is this lot using the lowest govt debt (in the Western world) as a smokescreen for their normal routine.
Putting the debt into context, we can sell all the bank shares clear what thats cost plus most of the govt debt.

*I wouldn't go back on benefits as it was the worst 3 months of my life last year

[dizzyblonde]

For the current moment in time, I don't think I am any better or worse off than seven years ago. I was a single parent then, with my own home, and working enough to get by.
Whilst in the first year of Peg being here, we were reasonably bouyant, we were hit very hard when Oli was around 6 months due to my wages being reduced to nil for the latter part of my maternity. One wage that wasn't particularly spectacular to live on was horrendous. We didn't qualify for any benefits such as council tax reduction, but we got a relief with a bit of tax credits.
Having got new employment and getting wages to the tune of triple of what he earnt in those months we have got to a turning point and are square again.
Not sure how long that will go on for, but its got us back on track. However if it fell, we wouldn't get an increase in tax credits due to having got an upsurge in wage taking us well over the qualfiying threshold in the early part of the year.
The worry we have is needing to upscale in the house department, as we're overcrowded here, going up could squeeze us to the limit, as we're not necessarily looking at this area to stay in. Moving abroad has come into play again(it usually does for us both) It may be expensive where we'd like to head, but the standard of living you get is a much more preferable life to us, than the rat race here.

[Viney]

I am thats for sure. Im not aligned to any party and vote for whom i see fit at the time. That said, i dont think that the last labour government has really helped the situation, and sadly the ConDems are having to mop up the debris so everyone looks like bad guys.

This all said, am i worse off. Yes. Based on my income/outgoing ratio on all the things that i do in my owrk/personal life, i am financially worse off now than i was 7 years ago. Some of these things though are also down to the world economy, not just our own home groan (sic) economy. One thing for example are tyres. They have increased considerably over the last 7 years thans for sure.

The basics like food, fuel, travel etc, combined with 5 year pay freezes dont help matters. The job market slump doesnt assist with the seeking of something more gainful.

My main grip is home ownership. I am now 40, and i dont ever see myself being a home owner. These shared ownership schemes are all smoke and mirrors and frankly a waste of time as you essentialy pay the same as if you bought the place outright, but you can not get a mortgage for that value and you need 10-15% minimum deposit something, as Tim says, you dont have the money now to save for.

Still, i get up, go to work, do what i have to and moan...its the british way i tell thee.

I disagree with you, I am 24 married and live in rented accommodation with my wife and 4 children, I work 37.5 hours a week and get a decent salary (>20k). But i am still entitled to housing & council tax benefit, also we get child tax credits but no working tax credits.

Anyway I was paying more myself under the old Labour govt and since the coalition came into power my Housing & Council tax benefit have increased as has our child tax credits.

I myself hate having to rely on govt/local council for help as people seem to tar everyone ion benefits with the same brush (which is quite unfair in some cases) and would much rather buy my own home hence the reason i work and save etc. I could afford to live in my house without these benefits each month but would not be able to feed myself or my children, I could even afford a mortgage but the banks will simply not lend enough for me to buy a house despite me having a sizeable deposit. The help is there so I use it.

[Bri w]

I've not really quantified what we don't do or how much worse off we are now than 7 years back. I do know there isn't much going into the savings account, we've not had the holidays and weekends away we were having, we're not eating out anything like as much and there's a whole raft of things with the family that don't happen anymore. I guess that's the insidious aspect of it creeping up on us without realising. Its only when it actually impacts on the day to day living that it really starts to hurt.

I'd rather not turn it into a political rant, or have a 'go' at the benefit culture but there are two things that were in the news lately that really got my blood boiling.
1) A Somalian family were moved from a Council house to a 4 bed detached house in Hampstead because they needed to be near other Somalians that spoke the language. And the rent paid by the local council is £2,000 per week.
2) 80% of Somalians that have entered the UK are not working. And if you'd lived in a mud hut and move to another country where they'd give you the equivalent of a palace and feed and clothe you would you just ask for a "fishing rod to be able to feed your family for life."

It winds me up severely that someone can get a house like that under those circumstances when there's no way on earth I could ever get anywhere near affording the same unless I had a lottery win. Its a lifestyle choice for economic migrants... they think they've died and gone to heaven.