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Originally Posted by TheDaddy
Imo that would be the idea, to get people out of the benefits cycle and if firms are genuinly feeling the pinch because of it let the firm claim back cash from government to subsidise it not the worker.
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That just moves the welfare from individuals to companies, it's not the government's job to prop companies feeling the pinch up if they are being forced to pay higher salaries. If companies feel the pinch they can either reduce costs or raise prices. One is inflationary the other causes increased unemployment. Ideally neither would happen.
It's rather a socialist point of view advocating that companies pay higher wages using government subsidy don't you think? Companies will inevitably look for ways to get at those subsidies.
If we want people off welfare the most viable way would probably be ensuring that working people are always noticeably better off than those on welfare. Tax reductions and graduated welfare withdrawal strike me as better options than corporate subsidy.
Quote:
Originally Posted by TheDaddy
As for housing benefit withdrawal I can see rents coming down anyway, our housing bubble is being kept afloat by migrants buying and housing benefit paying rent, now the migrants aren't so keen to come and the government is no longer as keen to pay buy to let landlords mortgages the only way is down and if all else fails would it really be so bad to reintroduce the fair rent act?
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Yep I'm thinking they'll come down in some areas too, mine not being one of them sadly!