Welcome to spring and longer days (with all the clocks springing forward too). It’s always lovely to see new life bursting forth, oblivious to everything else happening in the world and ever was it thus. In this we have something to appreciate, regardless of all the geopolitical traumas or indeed personal afflictions which may be blighting our own lives.
It does us all the power of good to remember this from time to time and to be grateful, especially remembering those less fortunate than ourselves and to stop looking just inwards and at ourselves constantly, encouraged by the advent of social media and its addiction to the ‘better life’ (usually linked to some purchase) which is streamed constantly, regardless of its sheer artificiality.
Do have a lovely Easter break, one this year which connects the tax-year end as well so if you haven’t done your financial tidying, then rush that through, from pension contributions to ISA subscriptions, Capital Gains allowances optimised and gifts for Inheritance Tax reasons or whatever. Once the clock strikes 12, it’s too late and this year that means 2 April for cleared funds for investments as well. Don’t be a pumpkin. And why delay next year’s too? Market uncertainty makes a great time for the methodical financial planner to exploit opportunities, so subscribe to your market ISA and pensions early after this weekend.
Economics
High oil and gas prices remind the world of our dependence on fossil fuels, regardless of the strident gains in renewables but they will remain part of the transitioning mix for decades yet – we need them and for fuel security. Outside of our control (apart from restarting enjoying all our North Sea oil and gas reserves before the Norwegians exploit them first, eh?) but the uptick in fuel prices will have a negative impact on our already frail economy.
It could easily be a case that the Chancellor has to sacrifice public spending and benefits big time simply to put the economy back on an even keel again, though history seems to have shown that what happens is that the mess created by an inept government (often Labour, like in 2009) is left to the next parliamentary victims to resolve.
Economically, really we need a ‘Margaret Thatcher’ as we had in 1979 – how things have changed; all those coal miners’ strikes and yet today we mine nothing – nor care one iota about all those jobs lost linked to oil, gas, chemicals and so on – where are the unions protesting? China still secures over 60% of its energy from coal, believe it or not.
Sadly, the independent projections of the economic hit do reflect the atrocious decisions the Chancellor has made already and the inexperience the whole government has about business and the economy. Not one of the Cabinet has been in business, most of the Government’s MPs come from the public sector, unions or charities and at the end of the day, private commerce has to create enough wealth to afford all the public services and welfare provided.
Yes, of course the public sector and spending add to that but as a giant Ponzi scheme it can only continue, unfunded (otherwise by private enterprise, entrepreneurial innovation, benevolent capitalism and risk-taking), for so long before the whole socialist pack of cards comes tumbling-down. Then we all suffer and the poorest the most, burnt on the pyres of naïve political idylls promulgated by populist left wing zealots, it seems. There are far better ways and having confidence in those in charge and their competence counts for an awful amount too – and we don’t have that much at all at the moment unfortunately. Ms Bridget Phillipson on Sunday morning was simply telling us to carry-on as normal with our gas, oil and electricity use and booking our overseas’ holidays (where’s her support for desperate UK hospitality I thought, with the latest report showing how many fear they will close-down this year too!). There was little in the way of ‘understanding’ shown at all.
Anyway, this is a swift and brief one today. I hadn’t even waited to digest the market’s reaction to the car finance compensation situation either but it seems the victim banks should be net gainers from here and rightly so.
Living with dementia
Did you know that if you live with someone diagnosed with dementia that there can be help with Council Tax and also Attendance Allowance? It is worth enquiring to see if you qualify. These two sites are very useful:-
Council tax and dementia | Alzheimer’s Society
What is Attendance Allowance? | Age UK
My best wishes
Philip J Milton DipFS CFPCM Chartered MCSI FPFS FCIB
Chartered Wealth Manager
Fellow Of The Personal Finance Society, Fellow Of The Chartered Institute Of Bankers
