Original Broadcast: This is Money
While the average household pays £16,700 in direct tax on income, our audit shows this is just the tip of the iceberg. We all pay a multitude of other taxes, from air passenger duty to environmental levies on our energy bills. Lee Boyce, Simon Lambert and Georgie Frost discuss what the total sum is - and that our tax rate is more like 57%. And tax rises don't always bring in more cash for the Treasury coffers. As the Government weighs up introducing yet another tax — this time a wealth tax — we explore why despite the allowance being slashed the capital gains tax take is down and what it means for the Chancellor's plans. How much you need to feel wealthy in different areas of Britain? Does £1 million still cut it? The six burning questions everyone is asking financial advisers right now… and their expert answers. And we answer a reader query: 'Could I give £250 gifts to 400 people who then pay them to my daughters to beat inheritance tax on £100,000?'
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Original Broadcast: This is Money
Georgie Frost, Simon Lambert and Lee Boyce consider how your money has been impacted by the first 12 months of the Labour Government: the good, the bad and the ugly. It's now looking almost inevitable that the limits on Cash ISA investment will be cut, and the team look ahead to the prospect of more tax rises on the way. Meanwhile, the IFS plans to sort out the state pension, and they discuss a key question for those looking to move home: what's putting people off buying your house?
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Original Broadcast: This is Money
What would you do with a £50,000 windfall? Exclusive research shows that many people would be too nervous to invest it. Georgie Frost, Simon Lambert and Lee Boyce discuss this, and they draw your attention to the pension inheritance tax trap. They also consider the leaked plot to raise taxes still further and the winter fuel payment u-turn. Simon speaks with the CEO of regulator OFGEM, and finally — Mastercard are to pay out £100m to their customers. Could this include you?
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Inflation's spell below the Bank of England's 2% target has been brief and the latest CPI figure came in at a higher than expected 2.3%. Meanwhile, Bank of England boss Andrew Bailey has joined the Office of Budget Responsibility in stating that the recent Autumn Budget is likely to lift inflation, as employers face higher costs from national insurance and the rising minimum wage. On the other side of the Atlantic, President-elect Donald Trump is seen as bringing his own inflationary pressure, which could spread from the US to the rest of the world. So what does this mean for interest rates? Are cuts about to stall — and what happens next for borrowers and savers? Georgie Frost, Helen Crane and Simon Lambert, talk inflation, rates, mortgages and savings. The team also look at whether those needing to get a mortgage now should fix for two or five years. Plus, why the row over inheritance tax and farmers is symptomatic of Britain's bad tax system — and Simon's plan for a trade-off on IHT-free land. Crane goes on the case of money refunded for a faulty coffee machine much later to an empty gift voucher that had understandably gone in the bin. And finally, the listener question of the week is up and running, and it's one on sticking it to the man and having enough money to quit work for good.
Guests: Helen Crane
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Original Broadcast: This is Money
Are private sector retirement plans being put at risk in order to help strengthen public-sector gold-plated pensions? Georgie Frost discusses this and other topics with Simon Lambert and Lee Boyce, including a couple of irritating taxes, where interest rates will be next year and whether you should get a LISA if you already own a home. Plus, they identify some key property hotspots.
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UK Education Secretary Bridget Phillipson describes our current system for financing higher education as 'the worst of all worlds', and she's right. The combination of loan funding and universality has generated chronic problems for both students and universities. We need to apply inter-generational logic to address both this problem and the challenges faced by other disadvantaged young people from low-income backgrounds. The Times placed this story on its front page last Saturday, and re-introduction of maintenance grants for these young people will be part of the solution: this issue will clearly get some focus in the UK Budget on 30th October. Hopefully it will also include those other areas where focused help is needed for disadvantaged young people, including starter capital accounts and incentivised learning, with funding to be drawn from IHT receipts. Background music: 'Generations Away' by Unicorn Heads
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Original Broadcast: This is Money
Inheritance tax punches above it s weight. It is paid by only a small minority of estates, yet manages to be Britain's most hated tax and its most controversial. Some believe it's immoral double taxation and should be axed altogether, others say crank it up - and somewhere in the middle there are many people who feel that taking 40% is just too much. But it's also a tax that even those with an expensive home and plenty of savings can generally avoid if they choose, by spending more and giving more away in their lifetime. The problem is that they need to survive seven years or they may get caught by some very outdated gifting allowances. Yet, there is a little-known loophole that allows people to give away considerably more without worrying about the seven-year rule. Georgie Frost, Lee Boyce and Simon Lambert look at inheritance tax and the surplus income rule. They discuss this trick to beat death duties and the catches it comes with and all the other rules surrounding IHT. Also — noisy heat pumps, the British ISA meets its maker and our failure to support the high streets that we moan about dying.
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Original Broadcast: This is Money
A bad news Budget looks to be on the cards after Labour continued to pour cold water on optimism following its election victory. Prime Minister Keir Starmer delivered a gloomy speech saying the Budget was going to be painful, hot on the heels of Chancellor Rachel Reeves' own gloom-mongering. But having made a promise not to raise the rates of income tax, national insurance, VAT and corporation tax, where will the Government try to raise cash? Starmer said tax rises would target those with the 'broadest shoulders' but who are they — and are there really enough of the very wealthy to target or will the burden be more likely to fall once again on those in the rich middle? We look at what taxes could rise and what a capital gains tax, pension, inheritance or other raid could mean for people. Plus, Britain's biggest mortgage lender Halifax is upping what it will lend first-time buyers, Crane goes on the case of an Evri bungle and asks: shouldn't you be within your rights to expect a parcel to arrive? And finally, with the Oasis ticket scramble in full effect and ticket prices sky high, can you protect against a potential Gallagher brother blow up or anything else that would stop you going? (If, that is, you can get tickets in the first place, of course!).
Guests: Helen Crane
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Original Broadcast: This is Money
You can wait a long time for a FTSE 100 record high but for peak-starved British investors this week delivered a bonanza. Four record highs were racked up by the FTSE 100, with only Wednesday's slight dip spoiling what would have been a perfect run over a week. The return to new highs on Thursday came as a mega-mining merger bid arrive from BHP for Anglo American - and that was followed swiftly by one of the UK's few tech stars Darktrace announcing it had accepted a bid on Friday. Are these the catalysts that fund manager Nick Train was talking about when he said it could take a big takeover to shake UK stocks out of their slumber and get the world investing in Footsie companies again? Georgie Frost, Tanya Jefferies and Simon Lambert look and what's moving the UK market, why it is judged to be cheap and whether you should invest. Plus, the top investment trusts for retirement investing and the latest twist in the state pension top-ups saga. Should we cut inheritance tax - or at least sort out the mess - as the take soars? And finally, are you a backseat driver? See if you can pass the test.
Guests: Tanya Jefferies
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Original Broadcast: This is Money
Is it time to admit that 'free banking' doesn't really exist, and to start paying for our accounts? Georgie Frost, Simon Lambert and Helen Crane discuss this, plus: the plans which wise parents are making to deal with the prospect of VAT on private school fees, if Labour wins the next election, and how to find a trustworthy adviser. Also — Helen Crane investigates a car sold with a significant fault.
Guests: Helen Crane
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