Osborne’s U-turn comes as UK celebrates tax freedom day May 28, 2012 CONGRATULATIONS: you’ve just started to work for yourself. Today is tax freedom day, the day when Britons stop working for the chancellor and start working for themselves. The Adam Smith Institute has calculated that for the first 149 days of the year, every penny earned by the average UK resident will be taken by the [...]
Eurozone crisis could unleash an epidemic of protectionism May 27, 2012 WHEN Lehman Brothers went bankrupt in 2008, precipitating a global recession and the unwinding of a massive credit bubble, many feared a terrified world would succumb to the siren songs of protectionism. History usually repeats itself because younger generations forget the past or believe that they are better than their forebears; and one of the [...]
Eurozone crisis moves ever closer as Greek left gains ground May 24, 2012 AN ideas factory: that was the best way to describe City A.M.’s extraordinarily well-attended investment conference, held yesterday. The Eurozone was at the top of everybody’s agenda. Even before the news last night that the Greek far-left party Syriza had hit 30 per cent in the opinion polls, most of the speakers were only divided [...]
UK must lead by example and abolish stamp duty on shares May 23, 2012 WHEN in doubt, blame traders. After all, it’s easier to attack “anglo-saxon” speculators than to actually try and sort out massive government over-spending, a corporatist and uncompetitive economy, an imploding welfare state and a dodgy currency. So it should have come as no surprise that the latest assault on the City was led by Anni [...]
Free money for governments is a grave threat to investors May 22, 2012 IF you want proof that the global economy’s woes are increasing, as a result of extreme imbalances, look no further than some countries’ borrowing costs. Germany has set a zero per cent coupon on its 2-year government bonds (or Schatz) due to be sold today – in other words, borrowers will not be paid for [...]
Research that shows why lower taxes are good for growth May 21, 2012 IT is often wrongly asserted that there is no evidence that high levels of tax and public spending have a negative effect on economic growth. Whether the state spends and taxes 30 per cent of GDP or 50 per cent is irrelevant, it is argued, and should merely be seen as a question of taste. [...]
Britain must embrace 30pc tax revolution to boost growth May 20, 2012 IT is time for Britain to make a vital choice. Our economy is stagnant, with unemployment at horrendous levels, crippled by excessive public spending and a punitive tax system. There are two options. We can either tweak the status quo – try to keep a lid on spending, reform bits of the public sector and [...]
Facebook’s bubble inflates while the Eurozone’s deflates May 17, 2012 IT is truly astonishing that one of the greatest company flotations in history is taking place in the middle of one of the greatest financial crises in history. Facebook is going to market, raising $16bn and valuing the firm at a ridiculously optimistic $104bn in the biggest technology initial public offering (IPO) in history; meanwhile, [...]
Eurozone break-up will be traumatic but is now inevitable May 16, 2012 IT is good to see Sir Mervyn King and David Cameron both being a little more open about the possibility of a Greek default. We need realism, not delusion, from our central bankers and politicians; and it is looking more likely by the day that Greece will elect a rabidly anti-austerity government next month, default [...]
Eurozone break-up will be traumatic but is now inevitable May 16, 2012 IT is good to see Sir Mervyn King and David Cameron both being a little more open about the possibility of a Greek default. We need realism, not delusion, from our central bankers and politicians; and it is looking more likely by the day that Greece will elect a rabidly anti-austerity government next month, default [...]