I suggest you talk to your friends and ask them what'd they'd do if their salaries suddenly doubled. I think they'd be talking about new cars, houses, buy-to-let investment, long-haul holidays, maybe even private schools; before they got around to offshoring any of their extra money.
I was talking about people further up the wealth scale, there are 850,000 millionaires in the UK, (if you include property assets 3.6 million). I don't dispute your point here, also I think that most of the creaming off of wealth is done by corporations*.
Who do you think keeps luxury brands afloat. Yes the ultra-rich may go that way, but I think only a small proportion of their income would go to tax havens, most of their wealth will be in property and shares. Not that I've any evidence - but then who has, either way?
Again I don't dispute this, but what I want to focus on is where money is taken out of the real economy for a period of time. For example, a lot of money goes into property, which then sits there for a long time, rather than being spent on products and services provided by small businesses, or in the local economy. The high house prices are due to other issues, where insufficient houses have been built for decades. The selling off of council houses without replacing the stock. Such failings in the market and state provision has caused a property price bubble, which brings a whole host of problems with it. Or in my example in my previous post, the wealthy person doesn't spend the money, it sits in a bank account, again it is not being used in the real economy.
Another problem in the real economy is the way in which the government bailed out the banks in 2008 and then spent the next 10years making the poor and disadvantaged in the country pay for it with crippling austerity. Whether austerity was required or not, it starved the real economy of money.
How do you think they got rich? So Labour's attempted wealth-redistribution is not as easy as it seems. The only way to avoid this trickle-up effect is communism..
No, that is not what is being proposed. What is being proposed is a larger Social Democratic State like the Northern European countries.
What I think is important is what I call, the money go round, circulating around the real economy alongside a sensible public provision of essential services.
On a more Brexitey note I see the Brexit Party MEPs are deserting Farage's sinking ship - polling now 2-3%. He explains: " well, they're ex-Tories so it's not surprising." How many of his crew aren't ex-Tories? As I guessed, the Tories are mopping up the Leave vote..
Yes, you were correct, I don't think Farage will withdraw though**, which was my fear. Interestingly the squeeze on the Brexit party seems to have gone as far as it can now. While the Labour squeeze on the Lib Dems does seem to be continuing, or at least, there is some more slack to take up. Not to mention the effect of tactical voting, which is difficult to gauge.
*an interesting development in the NATO summit, was the row between France and the US over clawing taxes off the large internet corporations. France is going to impose 3% and in return the US is threatening 100% tariffs on key French exports. The UK will get mired in this row from a far weaker position when begging for a US trade deal.
** due to the amount of money the Brexit party has spent on electioneering, if they were to reduce their number of candidates beyond a certain point they would fall foul of the rules on the maximum amount that can be spent per constituency. Meaning they could go to jail. Farage would not relish ending up in court again like he did following the 2017 election.