The houses are there, they have been built and generally paid for, many by previous generations and some by the present older generation…. so why do we make each young generation pay for them all over again? Why as a nation do we require young people to mortgage their lives up to the hilt merely to buy a house from someone who has departed this life and doesn't need it or want it any more? It seems crazy that we make every generation pay for the housing stock over and over again?
As a nation we need to devise a system whereby the vast majority of each generation receives a house entirely free of charge from the expiring departing generation. Think how the economy would benefit if the money that presently unnecessarily goes into mortgage payments were released into the wider economy. This measure alone could take a country out of recession. This measure would make the UK one of the richest nations in the world with a higher disposable income per capita than almost anywhere else. All at zero overall cost to the Government.
It is Government blind interference, by the imposition of excessive and greedy non-selective inheritance taxation, in the natural right of citizens to pass their property on to their children, that causes so much financial difficulty and unnecessary suffering to the new emerging generation of this country. Intelligent thinking could change all that suffering within a few decades by the implementation of a progressive change in inheritance tax law..
Housing has generally become unaffordable to the majority of young people. With student loan debts at £30,000, few can afford the deposit for a house. Those that do are subsequently crippled for life with debt. We are in danger of creating a generation who will never be able to afford to buy their own home. This simple cost-free measure enables the vast majority of the population to inherit a property entirely free of charge, and to own their own house entirely mortgage-free, and then in turn pass it on to the next generation, again entirely free of charge, thus in perpetuity. It must be an idea worth considering?
Housing cost is the greatest burden laid upon any new future emerging generation. A society that imposes gargantuan costs in aquiring a dwelling house upon new generations is not a sane nor a benevolent society. Something must change. The idea of houses being passed on from one generation to the next entirely free of charge is the very idea that can liberate a society. It is a revolutionary idea, but also a simple and achievable idea. Only a simple change in inheritance taxation is necessary.
If implemented this idea could make our nation famous throughout the world for its intelligent benevolence towards the housing needs of new generations. Britain would astonish the world as the truly Big Society in which one generation passes its houses free of charge on to the next.
A similar idea could be applied to the inheritance of a business. If the business is passed onto a child, a relative or friend who does not presently own a business and has never owned a business before, then a zero rate of inheritance tax, or a zero rate of gift tax, can be applied. If not the case then the full rate of inheritance tax, at 75-80% can be levied, with the proceeds going to support a fund for new entrepreneurs etc.
Although the idea of inheritance tax change will be of most interest to Conservative supporters, I sense the complimentary ideas for social equality will naturally be of interest to Liberal-Democrats. I personally feel both sides of these proposals are necessary, both compliment each other, both work well with each other, to attempt to create a more perfect society in Britain.