“Old age” becomes a major cost for UK taxpayers

Economic growth


UK tax Mar12.pngTaxes, like death, are inevitable. But very few people have much idea of how their money is spent.

Thus the blog applauds the UK government’s decision this week to send every taxpayer a ‘receipt’ showing the key spending areas (chapter 5, for those who wish to see the detail).

The chart above shows a sample developed by The Guardian :

• It is based on someone with average earnings of £25.2k (€33.4k, $40k)
• It itemises the use made of the £5702.12 tax they will pay in 2011-12

Of course, no one example covers all taxpayers. Nor will the UK position be the same for other countries. But the table is the best guide we have.

It shows that the 2nd largest single area of expenditure is in fact “old age”, mainly state pension payments. Their cost has already risen 35% since 2006/7, according to the government.

The table highlights the core argument of our ‘Boom, Gloom and the New Normal’ ebook. The ageing of the Western BabyBoomers is causing major changes in spending and demand patterns.


Chinese want affordability not luxury


The Financial Times has kindly published the letter below from the blog today. I...

Learn more

Petchems 'sailing towards a storm'


Q1 should have been a strong quarter for global petchem demand: • Buyers had t...

Learn more
More posts
No Deal Brexit still a likely option if opposition parties fail to support a new referendum

Canada’s normally pro-UK ‘Globe and Mail’ summed up the prevailing external view of Brexit las...

UK, EU27 and EEA businesses need to start planning for a No Deal Brexit on 31 October

New UK premier, Boris Johnson, said last week that the UK must leave the EU by 31 October, “do or ...

London house prices edge closer to a tumble

After the excitement of Wimbledon tennis and a cricket World Cup final, Londoners were back to their...

G7 births hit new record low, below Depression level in 1933

If a country doesn’t have any babies, then in time it won’t have an economy. But that...

From subprime to stimulus…and now social division

The blog has now been running for 12 years since the first post was written from Thailand at the end...

Resilience amidst headwinds is key for H2

Resilience is set to become the key issue as we look forward to H2, as I note in a new analysis for ...

Perennials set to defeat Fed’s attempt to maintain the stock market rally as deflation looms

Never let reality get in the way of a good theory. That’s been the policy of western central b...

Europe’s auto sector suffers as Dieselgate and China’s downturn hit sales

Trade wars, Dieselgate and recession risk are having a major impact on the European auto industry, a...


Market Intelligence

ICIS provides market intelligence that help businesses in the energy, petrochemical and fertilizer industries.

Learn more


Across the globe, ICIS consultants provide detailed analysis and forecasting for the petrochemical, energy and fertilizer markets.

Learn more

Specialist Services

Find out more about how our specialist consulting services, events, conferences and training courses can help your teams.

Learn more

ICIS Insight

From our news service to our thought-leadership content, ICIS experts bring you the latest news and insight, when you need it.

Learn more