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“As bad as things are at the moment, it seems a mite premature to write off policies in the 1980s as an abject failure. We have not lost 30 years of wealth, and living standards have increased for billions of people since the 1980s. Income inequality has increased, and that can be undesirable, but the welfare of many low-income people has dramatically improved.”
The Economist.
The 1980s were only an “abject failure” in the eyes of those whose political ideas never developed beyond a sort of bastardised Marxism. They were not a failure for those who enjoyed, say, the ability to get a phoneline installed in 24 hours rather than six months, or not be forced to join a trade union, or no longer pay cripplingly high taxes, or be banned from taking more than a paltry sum of money abroad on holiday. The 1980s were a good decade in my view across a number of fronts with two main, glaring exceptions here in Britain: the-then Thatcher government did not truly uproot the Welfare State and the “enemy class” that ran it, and she did preside over what was later to become a relentless assault on the checks and balances of the English Common Law. But generally speaking, that decade goes down in my book as a good one.
Talking of Mrs T, it is now 30 years since she came to power.
Michael Caine, one of the UK’s best-known actors, is thinking of emigrating due to the UK government’s recent decision to impose a new, top-rate income tax of 50 per cent, which once other changes are taken into account, will be nearer 65 per cent. Iain Martin, writing in the Daily Telegraph story that I linked to, points out how Caine is just one of the more recognisable examples of the sort of person looking to hit the exits. It is often useful, if one’s constitution is strong enough, to read the Daily Telegraph comments sections these days, which are sometimes even worse than those of the Guardian. Several people moan about Iain Martin’s article that the 76-year-old actor has made his fortune so he should shut up and be grateful, etc. How lovely. The fact is that Caine, while he may not employ philosophical abstractions to denounce the looting intent of such a tax rise, is at root repelled not by the economic stupidity of such a tax hike, but its essential injustice. What a top-rate tax like this says, in effect, is that no-one should be allowed to rise above a certain level of wealth because it might make others envious. It makes a mockery of all that progressive-leftist talk about removing “glass ceilings” to advancement, etc.
Funnily enough, it was Caine, along with his UK film star buddy and working-class-boy-made-good pal, Sean Connery, who first legged it out of the UK back in the 1970s when the-then governments of Harold Wilson and James Callaghan introduced tax rates of more than 80 per cent on the “super rich”. He’s done it before, and he is quite prepared to leave again. Arsene Wenger, manager of Arsenal FC, has warned that many foreign footballers will think twice about playing in the English Premier League. No doubt football fans of a nationalistic bent may applaud this trend if it gives local players more of a chance to play for their clubs, but it arguably will roll back one of the benefits to domestic sport in having talented overseas players strut their stuff here in the UK.
It will be interesting to see whether the acting profession’s traditional love affair with the Left shows the strain. I remember reading that Ray Winstone, another English East End boy to have cracked Hollywood, is running out of patience with the tax situation in the UK. And a few years ago, I watched a chat show when David McCallum, who used to star in the 1960s Man From Uncle TV series, vowed that he would only return to the UK when it spurned socialism. And for whatever reason Peter Sellers or Richard Burton chose to live in the Switzerland, it was not for the cuckoo clocks.
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– This is what you get as soon as you click on the second of the above links, fill in your details, and then confirm it all by clicking on the link in the email they immediately send you. I was impressed by the ease and speed of it all.
As I have already confessed, I have incurred the sympathetic derision of commenters here with my various and variously expressed hopes-stroke-predictions that Gordon Brown will, within a matter of days, or weeks, or just soon, no longer be our Prime Minister. But just when I had resigned myself to Mr Brown’s non-resignation, that is to say to him not being ejected from Downing Street with whatever would be the necessary degree of force by a delegation of Labour Party heavies appalled by the damage that Mr Brown is doing to the Labour Party (even as they remain stubbornly indifferent to the damage he might also be doing to the mere country), and thus resigned also to the consequent hell of Mr Brown remaining our Prime Minister for another fourteen months, this happens. This being a petition to the Prime Minister, begging him to resign.
Even if it fails in its ultimate purpose, this petition may surely do some good. It may, for instance, show the Labour Party rank-and-file something of the odd mixture of fear and contempt now felt towards Mr Brown and his hangers-on (hanging on being all that they now seem able to think about) by almost all British non-tax-guzzlers, and many others besides. This in its turn may cause Labour supporters to join in by adding their own names to the electronic heep, if only to earn a few shreds of national gratitude for their now apparently supine and utterly corrupted Party.
Better yet, this petition, if it takes off as I think it might, may put a rocket up David Cameron’s rear end, to tell him to stop merely waiting for the country to fall into his lap like a rotten apple (while carefully refraining from telling us what he would then do with it other than allow the rot to continue), and get him instead to start saying that the rot should stop, and saying how. (Basically: which government activities should be closed down, now.) In due course, and I realise that it goes against the grain around here to be saying such a thing, Mr Cameron might even become the kind of Prime Minister who might actually stop some of that rot.
Guido Fawkes and Iain Dale have already linked to and given their support to this petition. Both have insisted that they don’t usually ‘do’ government petitions, but both of them sense that this one could be something else again. No doubt other bloggers have already added their voices to what I trust is now a chorus, saying similar things, and if they have, I think that all of them – Guido, Dale and all – are right. This could get very big, very fast.
One of the few financial journalists who rumbled Gordon Brown years ago, Allister Heath, gives his verdict on yesterday’s UK budget. Devastating detail all the way through.
Allister is also pretty scathing about UK Liberal-Democrat economics spokesman, Vincent Cable, who tends to be deferred to as the “politician who talks sense on the economy”.
The title of this article written some months ago by noted US economist, Arthur Laffer, has never been more apt after I finished reading through the UK government’s latest outrage, its annual budget statement.
A new, top rate of income tax of 50 per cent comes in from next year, applying to annual incomes of £150,000 and above. The government, which probably knows it is doomed anyway, has made the base calculation that the Tories won’t dare to repeal it. I actually am not too sure about that: while £150,000 a year is a lot of money, for many self-employed folk with lumpy income streams, such a new tax band will hit them very hard in marginal terms, encourage further emigration from the UK, deter anyone with any entrepreneurial brio from entering the UK, and probably reduce, not raise, revenues. It is also a boon to the tax-planning and accountancy profession, since anyone who can restructure their affairs to convert income into a capital gain – CGT is just 18 per cent in the UK – will do so.
Update: I share Guido’s reaction. No wonder, by the way, that the G20 nations – hypocritically – chose to attack “tax havens” and create a global tax cartel. If you are someone like Gordon Brown or The Community Organiser, the last thing you need is for your high earners to escape abroad. But I’d be willing to bet that there will be quite a rush now of people out of this country. Expect to read lots of stories about how “Mr X, who runs a small business in the Midlands, said he was heading off to Australia/Canada/wherever to get away from high-tax, high-crime Britain”. Expect there to be a relentless, drip-drip of such stories in the months ahead. (Mr Jennings snorts about my mention of Australia: yes but at least there are other benefits to moving there).
Update: Madsen Pirie of the Adam Smith Institute and some top wealth management folk give the budget a thorough hammering over at CNBC. The guy from Denton Wilde Sapte is particularly good.
This afternoon, outside Waterloo Station, I photographed a couple of Members of Parliament. One was attending to his constituency paperwork, while the other was rolling a joint.
I wish. Whenever they introduce a new scheme the idea of which is to make things cheaper, they invariably end up making things more expensive. The only sure way to cut government spending is to shut things down. The idea that things can be made cheaper by being streamlined but perpetuated is folly.
The Evening Standard is jumping to all sorts of conclusions with its headline. Its actual story includes things like this:
Both Labour and Tory MPs could rebel over the plans, as many would stand to lose substantial sums currently used to pay their mortgages.
Plans. Nothing has changed yet.
However, some critics claimed that there would be big winners as well as big losers under the new scheme. Those who have paid off their mortgage on a London flat or man and wife couples could gain by claiming the maximum daily rate.
What’s the betting that there will be big winners, and little winners?
The present system means MPs have to produce receipts, which they hate. The new system that Gordon Brown is proposing sounds like it will simply do away with the receipts and, by the time the dust has settled in a few weeks or months time, double their salaries. They will get a salary on account of being an MP. And they will get another salary for turning up.
The idea that this will put a stop to muckraking by the likes of Guido Fawkes, by cleaning away all the muck, is very fanciful.
Coffee House links to the latest example of a government minister/official leaving potentially sensitive information on the train. As usual, one expects such stories to undermine yet further the credibility of government-created ID systems and databases. But I think it was our own Brian Micklethwait who wrote, a few months back (cannot find the link, sorry) that there is a chance that such “cockups” are deliberate.
What if such papers are being left lying around to create a false trail? Fanciful? Maybe. But it may just be that such officials are not quite as moronic as these stories suggest, or at least that another intepretation is worth thinking about.
Oh scratch that: they are all morons!
The account of Gordon Brown’s vile political career will not remotely surprise Samizdata regulars but this summary of the man who is now, hopefully, in the final phases of his career before reaching oblivion is a great read. Tom Bower’s article reads like a judge’s sentencing comments about a particularly nasty gangster.
I know that people like me are supposed to write newspaper columns because we have a certain command of the English tongue. However, there are times when even the most experienced of us is forced to struggle. How, after all, can one describe Jacqui Smith, our Home Secretary? The adjectives come thick and fast, but all seem insufficient to describe this ambulant catastrophe. Preposterous, corrupt, dim, incompetent, sleazy, incapable: none of them is quite the job.
– Simon Heffer
I remember the newspaper parliamentary sketchwriter, Edward Pearce (no relation) once remarking, apropos the late Tory grandee William Whitelaw, that no-one would be Home Secretary if they could get a job refereeing sumo wrestling.
Guido’s commenters are becoming like a collective character in their own right – scurrilous, sweary, obscene, libelous, sexist, gay-innuendonic, very eighteenth century. I particularly like comment 14 on this, a classic in the modified cliché genre:
Something in the air?…yes, and it stinks: there was shit hitting the fan last week but we could soon see a pile of shit with a fan beneath struggling to cope.
I have been making a bit of a prat of myself here lately, predicting that Brown will go any day now, any week now, within a month, etc. The trouble with predicting a Tipping Point is that you never know exactly when it will happen. You only know that it will. It’s like knowing that there will be a stock market crash, but not knowing exactly when to switch all your bets. Yes, indeed, there will be a crash, but when? Only if you know that do you make your killing.
I think this story, about an old-school Labour ex-MP from T’North saying I quit is rather significant. There is no talk from this woman of the scurrilous Tory media or of what a tragedy Brown is enduring – this is as close to F*** Off You Mad Bastard as it gets. This is important because it goes to the matter of Labour’s core vote. Things for Labour could just go on getting worse and worse. There is no price, to put it in stock market terms, beneath which Labour now cannot fall.
I am now waiting for the next clutch of opinion polls. They could be the Tipping Point, because these may include evidence that even hitherto incorrigibly Labour voters, utterly devoted to the nincompoop idea of the government controlling everything and subsidising everything and hence ruining everything, are now going to sit on their hands for as long as Brown continues. There is a feedback loop at work here. Some core Labour voters are already disgusted about the smearing, and more will be as they learn more. But others will be (are?) disgusted that the smearing may be causing the core Labour vote to collapse, and will decide that they also need to join the chorus to get rid of Brown, even though they personally do not dislike him that much and quite like it now that it is Tories who are being smeared. This is the essence of these landslide things. At a certain point they feed on themselves. But … when???
I quite take the point made by Thaddeus yesterday, that a government falling for merely being horrid to other politicians is not nearly as good as a government falling for being an insanely bad government, of us. I would not be making half so much fuss about this Smeargate thing here if the charge against the Brown regime was not being lead by a hardcore libertarian. I’m now digging out my small collection of Guido photos, to exhibit here.
Guido even linked today to that wonderful Libertarian Alliance piece he did in 1991 about acid house parties. (See also this piece about The Benefits of Speculation, which now makes very interesting reading.) The LA is getting richer now, what with all us Gold Subscribers stumping up a hundred quid a year, year after year, but it will be many decades before it will be able to buy publicity like that.
One of my hobbies in recent years has been photoing tourists in London as they indulge in photography. And, given the harassment I am starting to get from uniformed persons as I wander about London snapping whatever I feel like snapping, I have for quite a while now been wondering how long it would be before I ran into a news story about the police harassing foreign tourists for taking photos and hence undermining London’s reputation as a nice place to visit.
The wait is over:
In a telephone interview from his home in Vienna, Matka said: “I’ve never had these experiences anywhere, never in the world, not even in Communist countries.”
He described his horror as he and his 15-year-old son were forced to delete all transport-related pictures on their cameras, including images of Vauxhall underground station.
“Google Street View is allowed to show any details of our cities on the world wide web,” he said. “But a father and his son are not allowed to take pictures of famous London landmarks.”
He said he would not return to London again after the incident, …
You know how really shitty governments don’t care what their own citizens say about them, but can sometimes be slightly shamed by what the foreigners say? Well, I tried googling “Klaus Matka”, and got to a number of foreign versions of the same story, so this harassment is already being somewhat noticed elsewhere. The forbidding of photos of London’s famed double decker buses (“bus rossi a due piani”) is being particularly talked about. I hope this story goes right round the world, carrying with it the message of just what ghastly people now rule us.
I wonder what London Mayor Boris Johnson thinks about this.
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We are also a varied group made up of social individualists, classical liberals, whigs, libertarians, extropians, futurists, ‘Porcupines’, Karl Popper fetishists, recovering neo-conservatives, crazed Ayn Rand worshipers, over-caffeinated Virginia Postrel devotees, witty Frédéric Bastiat wannabes, cypherpunks, minarchists, kritarchists and wild-eyed anarcho-capitalists from Britain, North America, Australia and Europe.
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