Low pay· Labour market· Pay Low paid Britain is set for a parliament of pay rises – let’s make them a success 27 March 2016 by Daniel Tomlinson Budgets are always full of surprises and last year’s Summer Budget contained one of the biggest ever: the announcement of a National Living Wage (NLW). The NLW is the new compulsory wage floor for workers aged 25 and over, it will be introduced at £7.20 an hour this April and is projected to reach £9 … Continued READ MORE
Living standards· Housing· Political parties and elections One Nation or two? 21 March 2016 by Torsten Bell Iain Duncan Smith says the government’s claim to be a One Nation government is at risk and that it is “in danger of drifting in a direction that divides society rather than unites it”. Government spokespeople, including the Climate Change Secretary, Amber Rudd, have been clear they think he is wrong – indeed the Prime … Continued READ MORE
Pensions & savings· Wealth & assets Own a LISA? First impressions of the Lifetime ISA 18 March 2016 by Adam Corlett In the build-up to the Budget, the Chancellor backed away from significant changes to the pension tax system for now, despite the strong case for some reform. This was a relief for some and a disappointment for others. But given that he had aimed to save money, it’s a surprise that he’s nonetheless introduced a … Continued READ MORE
Budgets & fiscal events· Public spending· Economy and public finances Is the Chancellor planning a £32bn pre-election take-away? I wouldn’t bet on it 17 March 2016 by Torsten Bell If you’re the kind of person that finds money down the back of your sofa, the chances are you’re the kind of person that also loses it down there in the first place. That’s the lesson the Chancellor was taught by his Budget yesterday. At the centre of all the Commons rhetoric, stats and pun-strewn … Continued READ MORE
Budgets & fiscal events· Public spending· Economy and public finances Budget response: the sofa can go from being a cashpoint to a pickpocket overnight 16 March 2016 by Torsten Bell TREASURY CHOOSES TO ACCEPT £38bn EXTRA BORROWING IN FACE OF ECONOMIC HEADWINDS OBR gives the Chancellor a £55bn fiscal black hole, double the £27bn windfall from the Autumn Statement The weaker outlook for productivity and pay has led the OBR to give George Osborne a £55bn fiscal hole, reversing twice over the £27bn fiscal windfall … Continued READ MORE
Pensions & savings Help to Save: an idea whose time has come (again) 14 March 2016 by Daniel Tomlinson ‘Support for savers’ was meant to be one of the key Budget themes. Until recently it seemed likely that the Chancellor would be announcing a radical shake-up of pension saving. But in the face of fierce of opposition from industry, the media and many backbench MPs, the Treasury has now ruled out any changes to … Continued READ MORE
Labour market Zero-hours contracts: casual contracts are becoming a permanent feature of the UK economy 9 March 2016 by Daniel Tomlinson There is much to celebrate about the UK’s labour market performance. The employment rate is at a record high of 74.1% and every region of the UK has seen employment growth over the last two years. After a long squeeze, wages are now growing faster than prices (thanks in large part to ultra-low inflation). The … Continued READ MORE
Budgets & fiscal events· Pensions & savings· Tax Nice try, but no cigar: the Chancellor and pension tax relief 5 March 2016 by Torsten Bell We’ve known for some time that George Osborne wants to make radical changes to how the UK’s tax system encourages people to save for their pension. Yet we’ve now learnt that his preferred change is not going to happen. Here’s why he was right to agitate for reform (even if not for the particular change he … Continued READ MORE
Living standards· Intergenerational Centre Life is unfair for young people – but there are ways we can fix that 1 March 2016 by David Willetts After seven years, living standards have finally returned to levels last seen before the financial crisis hit in 2008. But the effects of the downturn and the gains from recovery have not been evenly shared. While the gap between rich and poor has fallen slightly, we’ve witnessed the deepening of a new divergence, between young … Continued READ MORE
