The government of Liz Truss

All I can see is lots of money going out but where is the money coming in to pay for it or are they using that magical money tree?

I championed Truss because I knew she would be bad and unelectable at the next general election. However, I never anticipated she would be so disastrously bad that she planned to take the nation down with her.

Well, I'll get a bit extra every month, with the NI changes etc. But I'm not one of those who were desperate for it. I'm not quite sure what exactly she thinks she's doing here.

No, it bloody well isn't!

Oh I know too well! She's dreadful. It's an ERG government.

I daresay I'm pretty typical of working class people who are comfortable financially. I'm nowhere near the 60% marginal tax band, nor the 45% band above that, but I have the means to pay higher taxes if I have to, and given the dire straits we're creating for the next generation, I'd be happy to.

If you give me a tax cut, it doesn't trickle down; it goes on a posher hotel abroad on my next holiday, or into savings.

That is a straw man argument because there is no such thing as trickle down economics and you won't find a single economist who says there is. Truss & Kwarteng haven't justified their policies on that basis. What they have done is implemented a paradigm shift in policy goals - for the past several years Conservative policy has simply followed Labour in being focussed on distribution of the available wealth to reduce income inequality (based on some sort of measure) via "progressive" taxation. Truss has ditched that idea and is focussed now on increasing the *total* wealth for distribution via high GDP growth. Whether she succeeds or not is unknown but on her terms success will be measured by GDP gains, she's simply not interested in "trickle-down" as it doesn't exist. To put is more simply, if she gives the middle classes a tax cut that is aimed purely at the middle classes, it doesn't have to be "progressive" and make things better for the low-paid too - there are separate measures aimed at them. 

Also you imply that if you put your excess money into savings this has no wider benefit as the money is somehow dormant. This looks an appealing argument but in fact you won't find a single economist of any type who agrees with you. It is a well-established economic fact (one of few) that higher savings boost GDP by making more capital available for investment. 

Not on this specific budget, but polling generally shows the lower-paid are not that bothered about what high earners get paid - football players for example - as long as their own pay and benefits and taxation is to their liking. The really massive help the budget is giving the low-paid is the energy price cap, but maybe that won't be obvious because it is not via a direct cash payment or an obvious tax reduction. 

Her GDP goals will not be met by this budget alone - a far more difficult and contentious thing she will have to do is reform planning laws - this will be opposed to a greater or lesser extent by MPs of all parties who are all happy for new housing/factories/offices/retail to be built anywhere other than their own constituencies (because that's what their constituents think too). 

Will we see another interest rise soon, markets seem to think so hence why the pound has stabilised a tiny bit though still at historic lows. Which of course would wipe out any gain from tax cuts and has the potential to cause a housing crash. As people carry more debt and have bigger mortgages relative to earnings these days you don't have to hit 10%+ for things to be unsustainable.

Cost of borrowing still going up so the government are massively increasing the countries debt to fund the energy cap and tax cuts for the wealthy. Growth would have to be very significant for this to pay off and almost no one thinks it will be. Likely will need massive cuts in public services once again. Madness.

Interesting line from the Chief Economist of UBS Global Wealth Management

"Investors seem inclined to regard the UK Conservative Party as a doomsday cult"

It would be very funny if enough letters to oust her came in but I doubt it.

As much as the government are getting a kicking - can you imagine how much worse the howls if Labour put forward a budget this destructive to the market.

The main issue for the inept idiots that form the cabinet is less the exchange rate than the surging yields on the gilts. The changes there are just wild. Truss is toast (perhaps with cheese on) if she carries on down this line. She has perhaps until the Spring. Just in time for the blonde buffoon to stage a comeback after she gets kicked out.

Where is Truss? She tanked the pound and disappeared. Has she popped on holiday (a wise move to convert your pounds to another, less collapsing currency) or should we start checking her predecessor's favourite fridges?

Front page of the Torygraph was trying to blame Remainers today. It can only be a matter of days before Harry and Meghan are deemed culpable for the economic woes.