Interesting what you can find in the House of Commons library (Click on the logo). The paper “Economic Indicators” includes the chart below on historic inflation from 1992 to 1Q 2008.
It’s easy to see why Gordon Brown as both Chancellor and PM NEVER quotes inflation as other than the CPI (Consumer Price Index).
Real household inflation as measured by RPI (Retail Price Index) is up around 4%, with CPI around half of the RPI. Since 1997, CPI has always been the lowest figure. Funny that, how Gordon chooses the lowest number!
Categories: Economy · Gordon Brown · Spin
Tagged: CPI, Inflation, RPI
The National Audit Office(NAO) regularly publishes “Value for Money” reports on selected Government activities. Last week it was the turn of HM Revenue & Customs (HMRC) and an assessment by the NAO of the HMRC’s efforts in surfacing the “Hidden Economy”, so it can be taxed. HMRC defines the hidden economy as:
- Businesses that should be registered to pay tax, such as VAT, but are not.
- People who work in the hidden economy and pay no tax at all on their earnings (ghosts).
- People who pay tax on some earnings but fail to declare other additional sources of income (moonlighters).
- Employers who may facilitate ghosts and moonlighters, and also evade employers’ National Insurance contributions.
HMRC excludes the Department’s work in relation to under declarations of income by registered taxpayers as these risks are dealt with by the Department’s mainstream compliance teams.
The National Audit Ofice conclusion?
In the absence of robust estimates of the size of the hidden economy, it is difficult to assess the overall effect of the Department’s activities on reducing the amount of tax being lost…….Doh!
Gordon has been steadily increasing all sorts of taxes over the last decade but, he doesn’t seem to understand the the enduring law of nature:
When taxes increase so does the Black Economy ((& exponentially while illegal immigration & sham marriages have been at record levels).
The remaining NAO conclusions & recommendations are an assortment of generalisations & platitudes.
Should we conclude that HMRC just don’t want us to know what they are doing in relation to the “Hidden Economy” or, that they really don’t know……what they don’t know?
You can download the Executive summary or, the full report from this NAO page.
Categories: Economy · Financial · Gordon Brown · Government · Tax · Work
Tagged: Black Economy, Economy, HMRC, Man, Moonlighting, NAO, National Audit Office, Tax, Taxes, Undeclared, Undeclared Income
The City has had 15 years of uninterrupted good fortune. But, times are a changing. Billions are being wiped off financial shares and the layoffs are just starting.
No longer Masters of the Universe, is this what 2009 has in store for them?
Categories: Financial · Northern Rock
Tagged: Crash, City, Universe, Unemployment, Dole, Bear, Stern, Goldman, Sachs, Allianze, Group, Chaseew tag, Masters
