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2023-01-04 Cost of Living or Lifestyle

The news currently is very much about the cost of living crisis that so many unfortunate people are facing in this country and without doubt its shameful with over 2 million people using food banks, with over 11 million people in relative poverty of which over 3 million are children. 100 thousand homeless etc.

The government has taken measures to try to help but it is clear that many have slipped through the net when you see reports about families choosing between heating and food, People who are ill not being able to afford to power the medical equipment in their home.

We currently see loads of industrial action where people are trying to get their pay adjusted in line with inflation, there are other reasons why people are striking but pay seems to dominate most of the discussions.

We seem to be heading to a perfect storm, where some people are getting inflation plus pay rises, there employers having to pass on those costs, raising their prices, this raises inflation which then further inflames the cost of living crisis. Add into this all of the other external issues of fuel and raw material costs going up then we are in a real bad situation.

It would help to understand the split between those who are in a cost of living crisis and those who are in a cost of lifestyle issue because I suspect many people in the private sector who have had good pay rises are only feeling some impact to there standard of living, people still seem to be able to spend, we are hearing that holiday companies are getting record bookings, the pubs and restaurants around where I live are full so it is clear that not everyone is suffering in this crisis.

In this country there are people who have and there are those that have not. This crisis to me is just extending the gap between the haves and have nots, I am not sure the statistics of how many fall into either camp but I suspect there are lots of people becoming have nots through this crisis.

We all fully understand why people want to earn more money and have a better life, that's just normal, we want the best for our families, but we should all accept the fact that there are some people who are not so lucky and may not have the opportunity to improve their lives, people who say its a land of opportunity and everyone has a chance are very naive and usually they are the ones that have been lucky but in truth if you look at the numbers then it is clear that's not how it works for everyone.

We know many of our public service workers are struggling, not all of them, I am sure many Consultants in the NHS are not feeling the pinch and would never say they were but that many of the nurses are really struggling and we need to recognize this in any pay awards

Those that are doing well may feel that they are covered by having private insurance but that's no good if they have a car accident and require the fire service to get them out, an ambulance to get them to A&E and the medical staff to attend to your injuries. So no matter where you are coming from you would be crazy not to realize that we need to keep these services running well.

So for those people who are successful either by working hard or having a valued skill We have to accept that we are going to have to raise taxes on those that are higher earners to pay for our services. We cannot continue with a low tax economy at the expense of the less well off.

Just how well off do you need to be? if you were a billionaire, can you live that much better a life than a millionaire? Is there a point where being rich is being greedy? I don't know, I do know that most people would not turn down a lottery win.

That's the role of government to balance the economy so that all of its citizens have an acceptable life. I guess that's easier said than done.

We also cannot just make sudden changes to the economy as we already see the impact on the hospitality industry if people stop going out so we need a plan that will ensure we have a balanced economy for our future.

We have to accept that this is our country, we all have a responsibility to ensure that it functions for everyone and we know there are some good people, some bad people, some hard workers some lazy workers, some smart people some stupid people, but they all make up our country and its important that the smart people educate the stupid people, the hard workers encourage the lazy ones. The good people grow and the bad people recede

Consumerism is obviously part of it I do see that demand for items that are scarce makes them more expensive (oil and gas for example) so maybe if we all consumed less and reduced demand that would help. Do we really need the latest phone, wouldn't it be great if particularly the younger generations, kept there phones longer, kept there old cars longer or got rid of them and walked or rode a bike, wore clothes until they wore out rather than became unfashionable, went on memorable working holidays rather than baste themselves on a beach that they will forget within a few months.

In fact it does not matter what I do as I am old, but wouldn't it be great if the young people took the initiative to reject consumerism and start a new way of being responsible for their country and their world.

© Jeremy Smith