1 thought on “Chancellor continues his ‘Edward Scissorhands’ approach to cuts”

  1. Posted 01/10/2014 at 14:18 | Permalink

    HB is a State subsidy to landlords. Not only does this raise rents, but by increasing the margins for landlords, it allows them to out compete first time buyers in the housing market.

    Like all State subsidies HB should be scrapped. Do we really need to be giving landlords tens of billions in free cash?

    Of course HB is small fry to the biggest subsidy to landlords and landowners, capitalised land rent. £200bn per year worth of free lunch. Get rid of that huge distortion, the “housing crisis” sorts itself out, without adding to our oversupplied and inefficient property market. Or the need for Greenbelt restrictions to contain the urban sprawl capitalised rent causes.

    Free market capitalism works better than protected State privileges and subsidies. Odd how the IEA keep espousing the latter.

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