Fuel to rise, business to go bust, Government Happy.

Fuel prices to rise government bags all.Trains are overcrowded, late, and cant operate in the rain, snow , hail, wind or at least that is what Northern Rail wants us to believe. With the threat of a leaf on the track derailing a 100 tonne train it is no wonder people are turning to alternative means of transport.

Despite the railways shutting down for hibernation purposes, the daily commuter still needs to get from his snow blocked in house to work to feed himself.

We recently took on a US client, and we were discussing the cost of fuel – they pay on average just £0.80 per l for petrol meanwhile with the UK Government imposing Duty and VAT upon fuel the United Kingdom has the proud reputation as the second most expensive place in the whole of Europe (and perhaps the world) to purchase fuel.

Around 80% Tax (including VAT) means that the government is simply lining their pockets with huge sums of cash. Many business however especially small businesses who rely on vans for their work are facing going out of business as they can no longer compete with competitor companies.

One day, the Government must wake up and realise that by imposing huge taxes across everything we do has a negative impact on the economy. More people start looking at benefits so they can afford to work. Since 2004, there has been a 64% rise in the number of people claiming Working Tax Credits. So peoples wages are low, and getting a top up from the tax man to be doing what their wages should be doing. Then the tax man puts up tax on things we buy, so people need more working tax credits to pay for the tax rise. Circular tax logic can not serve a productive economy.

According to the BBC, Government ministers have been looking at a stabilizer system which would help ease the problem of hikes in the price of oil. However a spokesperson for the government said this might be complicated to implement. Surely however as a government duly elected by the people they have a responsibility (they certainly have the wages to justify it) to take these complicated decisions and do what will help the United Kingdom out of this.

Road map to put “Great” into Britain:
Free Education – Let people Learn skills and capabilities without a cost – get the bright guys in to boost the economy.
Nationalise Public Transport – Look at how other countries do it, Public transport in Sweden operates very well.
Reduce Tax on things – Reducing Tax by 50% will have the same effect as a 50% wage rise to every person in the United Kingdom.

When more money is in peoples wallets instead of the government, people will spend money in shops, shops will start paying huge taxes on  profits instead of fund raising for charity so they can claim tax benefits and reduce what they give to the government. This leads is to a positive incremental economy instead of spiraling down into despair and disaster. The sooner the government comes to realise this the better – there is not an infinite amount of time.
A CNN article had a comment which really shows how bad it is, unfortunately the article itself has gone, so I cannot verify this to be true, although I have a hard time believing otherwise:

I see in a CNN Business list that 4 of the 5 most expensive places in the world for petrol (gas) are in the UK.Nick Keith

Well, thats my 2cents for today I’m off to pay what little money I have to the Council Tax now!

References
BBC News
The Filter
HMRC

eAcademy

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