Connect with us

Business

Phuket business: What does the UK budget mean for British expats?

Legacy Phuket Gazette

Published

 

on

Phuket business: What does the UK budget mean for British expats? | The Thaiger

It’s that time again when George Osborne tries to tighten the purse strings for the UK economy and cut down the huge debt levels the youth of today have inherited from poor decision making and fiscal policies of the past.

Inconsequential it may well be to certain socio-economic brackets with Mr Osborne’s large outstretched arm unable to ruffle their financial feathers. But if we take a closer look at what has been proposed, this may have more affect on us than we think.

On first viewing, if you are in the super wealthy bracket and don the colors of say Manchester United or City, then the chancellor has just done you a huge favour in cutting the top rate of tax from 50p to 45p as from April 2013. Fantastic! Well not really, how many people in the UK are regularly earning £150,000+ per annum? I can tell you the answer, not very many. In fact it is only 1% of the UK population that have the privilege of earning these amounts.

Back to the real world and what does this mean to the rest of us. As we know, many UK expatriates come to Phuket’s paradise shores to enjoy the fruits of their retirement and a tranquil life and it is not only the retired who are flooding into Thailand. More and more people arrive every year to enjoy a slower pace of life or to set up a business with the intention of making this island their permanent home.

So what does the budget mean for them? Well, if you are a pensioner who currently enjoys the UK state pension scheme then you are going to take a hit, the main points for pensioners being; Plans to freeze the age related allowance and an automatic review of the state pension age.

A freeze in the age related allowance sector means essentially is that your UK state pension will be stagnant for the foreseeable future. The big problem with this is inflation, as the cost of living rises and the age related allowance doesn’t, the buying power of your money is going to diminish.

The next is the automatic review of the state pension age. As we are all living longer, it is only natural that this will continue to rise. This is not only happening with the state pension scheme, but also with UK company pension schemes.

Recently Tesco announced that after a review of the pension scheme, calculations on retirement benefits will be increased from aged 65 to 67. You would still be able to retire at 55, however, using the new retirement age of 67 your benefits are going to be greatly reduced. Many companies will go this way and this just shows the importance of reviewing any pension schemes that are based in the UK and having your own provision in place has never been as important.

On the plus side individual income tax allowances are going up from £8105 to £9205 from April next year. Anyone who currently benefits from a UK pension within this bracket will certainly gain.

If you have a UK frozen pension or are still contributing into this then now is the time to have it reviewed by a pension specialist as the noose keeps tightening around the pension neck. As the pension age keeps rising, more and more of us will have to work longer and longer and will have to save more and more to provide ourselves with sufficient funds to sustain us in retirement.

I, for one, don’t really fancy the idea of having to continue working well into my 70’s and would like to put my feet up and enjoy the lifestyle I have become accustomed to.

Not only are pensions on the agenda, stamp duty has increased on properties and to go through each point of the budget would be like writing War and Peace.

However the points of the budget will affect a very many of us, and they need to be addressed on an individual basis. My main advice is to seek advice.

For more information on how the UK budget affects you or UK pension plan reviews please contact Alyman@montpeliergroup.com or you can follow me on twitter @ AnthonyLyman.Anthony Lyman is a Senior Financial Consultant for the Montpelier Group.

— Anthony Lyman

Keep in contact with The Thaiger by following our Facebook page.



Do you need help with your business? Are you searching for a new job? Or an employer looking to hire? Try JobCute today.

Archiving articles from the Phuket Gazette circa 1998 - 2017. View the Phuket Gazette online archive and Digital Gazette PDF Prints.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Thai Airways under pressure to deliver workable business plan

May Taylor

Published

on

Thai Airways under pressure to deliver workable business plan | The Thaiger

Thai Airways is coming under more pressure, after being given 30 days to deliver its new rehabilitation and business plans.

Thaworn Senniam, the Deputy Transport Minister, gave the instruction yesterday while meeting with the executive of the national carrier for an update on its financial status.

He says the business plan must provide clear information on how the fortunes of the airline can be turned around, with a focus on making it profitable once more, while improving customer satisfaction.

The order comes after Thai Airways President, Sumeth Damrongchaitham, denied last week that the airline was experiencing a liquidity crunch, claiming it had sufficient cash flow “for present and future operations”.

Minister Thaworn has previously said he does not believe Thai Airways’ existing rehabilitation plan will help it succeed in a turnaround. He has also ordered a monthly progress report on the carrier’s plans to buy new aircraft.

In September, the directors of Thai Airways asked the Executive Board to review a plan to order 38 additional aircraft, worth a total of 156 billion baht.

According to their second-quarter 2019 filing to the Stock Exchange of Thailand, Thai Airways and its subsidiaries reported a net loss of 6.878 billion baht, compared to a loss of 3.086 billion baht over the same period last year.

SOURCE: The Nation

Keep in contact with The Thaiger by following our Facebook page.
Continue Reading

Business

World Economic Forum says lack of critical thinking in Thailand affecting competitiveness

May Taylor

Published

on

World Economic Forum says lack of critical thinking in Thailand affecting competitiveness | The Thaiger

PHOTO: AFP

Thailand’s competitiveness ranking has dropped two places in the Global Competitiveness Index just released by the World Economic Forum (WEC) in Switzerland. The country has dropped from 38 to 40 out of a total of 141 global economies ranked.

The WEC claims that a lack of critical thinking in teaching in Thailand, along with its failure to dominate in any markets, plus its unsafe drinking water, is affecting the country’s competitiveness.

The Nation reports that Singapore has come top in the ranking, overtaking the U.S. and Vietnam has shot up 10 places to 67.

The deputy secretary general to the PM for political affairs, Kobsak Pootrakool, responded to the findings, saying that as other countries improved their rankings, Thailand needed to work harder to ensure their progress didn’t cause it to slip backwards.

“It’s like a running competition – if our pace is slower, others will overtake us, so we have to run faster.”

The dean of the Chulalongkorn Business School, Assistant Professor Wilert Puriwat believes he knows what the country must do to improve competitiveness.

“The survey found that skills among new university graduates have declined, especially in the area of critical thinking. We’ve failed the exam and it can’t be fixed by simply retaking the test – we need to restart learning.”

Assistant Professor Wilert says Thailand needs to change the way students are taught, adding that the country’s score on critical thinking in the classroom was the world’s lowest at 37 out of 100 points. Finland comes first, with 89 points.

Wilert points out that Thai students routinely perform poorly on tests compared to foreign counterparts, which can be blamed on an old-school reliance on rote learning through memorisation.

The WEF is urging Thailand to adapt a model that encourages creative and critical individual thinking in the classroom instead. It also recommends improvements be made in staff training in Thailand, and more fostering of digital skills.

SOURCE: The Nation

Keep in contact with The Thaiger by following our Facebook page.
Continue Reading

Business

Samsung Electronics flags 56% fall in third quarter profits

The Thaiger

Published

on

Samsung Electronics flags 56% fall in third quarter profits | The Thaiger

“Samsung took advantage of the US trade ban against Chinese rival Huawei.”

PHOTO: CNBC

Samsung Electronics says it expects operating profits to drop more than 50% in Q3 amid a continued slump in the global chip market. Operating profits for July to September was expected to reach 7.7 trillion won (US$6.4 billion), down 56.2% from a year earlier – this from the world’s largest maker of smartphones and memory chips.

It marks the fourth consecutive quarter in which the South Korean tech company has recorded a drop in profits in the face of falling semiconductor prices and weakening demand for its mobile devices. Sales for the third quarter were expected to drop 5.3% from the same period last year.

The South Korean tech titan leads the global smartphone market with a 23% share of the sector, trailed by Chinese competitors Huawei and Oppo, with Apple in fourth place, according to sales tracker IHS Markit.

Samsung withholds net profit and sector-by-sector business performance until it releases its final earnings report, which is expected later this month.

The firm is the flagship subsidiary of the giant Samsung Group, by far the biggest of the family-controlled conglomerates that dominate business in the world’s 11th-largest economy, and it is crucial to South Korea’s economic health. Analysts voiced optimism for the coming months, noting that falling inventory levels for semiconductors – which account for more than half of Samsung’s profit – will help stabilise chip prices after double-digit drops this year.

Sujeong Lim, an analyst at Counterpoint Research, said, that in the mobile business, Samsung took advantage of the US trade ban against Chinese rival Huawei, “replacing a strong competitor in crisis” with its mid-to-low tier Galaxy A handsets.

“The new A series has turned out to be an effective weapon to take share from its Android competitors.”

Samsung appealed to high-end users with the launch of its first foldable smartphone last month after faulty screens forced an embarrassing delay in April. The firm also rolled out its flagship Note 10 devices which analysts say have sold far better than its previous models, giving Samsung a much-needed boost in its mobile sales.

The premium smartphone market has grown fiercely competitive and overall sales have cooled as a lack of major innovation has caused people to wait longer before upgrading to new models. Samsung has also been caught up in a trade war between Japan and South Korea stemming from World War II disputes.

The row saw Tokyo impose tough restrictions on exports crucial to South Korean tech giants in July, and Samsung vice chairman Lee Jae-yong – who called the situation a “crisis” – has visited Tokyo to secure materials. Adding to Samsung’s woes, Lee is currently facing retrial over his role in a massive corruption scandal that brought down former president Park Geun-hye.

He was initially jailed for five years in 2017 on multiple convictions including bribery, which was reduced to a suspended sentence on appeal, only for the Supreme Court in August to order a retrial.

SOURCE: Agence France-Presse

Keep in contact with The Thaiger by following our Facebook page.
Continue Reading

The Thaiger Newsletter

Keep up with all the day’s news. Subscribe here.

The latest news and information from Thailand.

* indicates required
หนุ่มแท็กซี่ฉาว ท้าต่อยเจ้าของธุรกิจเต๊นท์ กลางงานสนามหลวง | The Thaiger
ข่าว19 mins ago

หนุ่มแท็กซี่ฉาว ท้าต่อยเจ้าของธุรกิจเต๊นท์ กลางงานสนามหลวง

ไทยแชมป์วอลเลย์บอลอาเซียนกรังด์ปรีซ์สนาม 2 รางวัลรายบุคคล | The Thaiger
วอลเลย์บอล1 week ago

ไทยแชมป์วอลเลย์บอลอาเซียนกรังด์ปรีซ์สนาม 2 รางวัลรายบุคคล

ตรวจหวย1ตุลาคม2562 ผลรางวัลที่ 1 เลขท้าย 2 ตัว 3 ตัว เลขหน้า 3 ตัว และรางวัลอื่น ๆ | The Thaiger
ตรวจหวย2 weeks ago

ตรวจหวย1ตุลาคม2562 ผลรางวัลที่ 1 เลขท้าย 2 ตัว 3 ตัว เลขหน้า 3 ตัว และรางวัลอื่น ๆ

ถ่ายทอดสดหวย 1 ตุลาคม 2562 ลุ้นรางวัลที่ 1 สลากกินแบ่งรัฐบาล | The Thaiger
ตรวจหวย2 weeks ago

ถ่ายทอดสดหวย 1 ตุลาคม 2562 ลุ้นรางวัลที่ 1 สลากกินแบ่งรัฐบาล

สีจิ้นผิงกล่าวสุนทรพจน์ ครบรอบ 70 ปีก่อตั้งสาธารณรัฐประชาชนจีน -ลิงก์ถ่ายทอดสด | The Thaiger
ต่างประเทศ2 weeks ago

สีจิ้นผิงกล่าวสุนทรพจน์ ครบรอบ 70 ปีก่อตั้งสาธารณรัฐประชาชนจีน -ลิงก์ถ่ายทอดสด

คลิปไฮไลท์วอลเลย์บอลเวิลด์คัพ 2019 นัดที่ 5 | The Thaiger
วอลเลย์บอล4 weeks ago

คลิปไฮไลท์วอลเลย์บอลเวิลด์คัพ 2019 นัดที่ 5

คลิปไฮไลท์ วอลเลย์บอลเวิลด์คัพ 2019 นัดที่ 1 | The Thaiger
วอลเลย์บอล1 month ago

คลิปไฮไลท์ วอลเลย์บอลเวิลด์คัพ 2019 นัดที่ 1

Paramount เตรียมรีเมค FACE/OFF หนังบู๊ระดับตำนาน | The Thaiger
หนัง1 month ago

Paramount เตรียมรีเมค FACE/OFF หนังบู๊ระดับตำนาน

ประยุทธ์ โต้ รัฐบาลไหนก็มีตำหนิทั้งนั้น “ถึงเวลาก็อ้างอย่างที่ผมอ้าง” | The Thaiger
ข่าวการเมือง1 month ago

ประยุทธ์ โต้ รัฐบาลไหนก็มีตำหนิทั้งนั้น “ถึงเวลาก็อ้างอย่างที่ผมอ้าง”

อารัมภบท รักฉุดใจนายฉุกเฉิน My ambulance ตอนแรก 6 กันยานี้ | The Thaiger
บันเทิง1 month ago

อารัมภบท รักฉุดใจนายฉุกเฉิน My ambulance ตอนแรก 6 กันยานี้

วอลเลย์บอลหญิงชิงแชมป์ยุโรป 2019 โฉมหน้า 4 ทีมตัดเชือกรอบรอง | The Thaiger
วอลเลย์บอล1 month ago

วอลเลย์บอลหญิงชิงแชมป์ยุโรป 2019 โฉมหน้า 4 ทีมตัดเชือกรอบรอง

บิ๊กไบก์หัวร้อน ตบหัวลุงพิการผัวะ ‘รถกูเป็นอะไร มีปัญญารับผิดชอบไหม’ | The Thaiger
ข่าวไทย1 month ago

บิ๊กไบก์หัวร้อน ตบหัวลุงพิการผัวะ ‘รถกูเป็นอะไร มีปัญญารับผิดชอบไหม’

“มิน พีชญา”ทุ่มสุดตัว นัวผู้ชายเกือบสิบ ป่วยโรคติดเซ็กซ์ ใน”สองนรี” | The Thaiger
บันเทิง1 month ago

“มิน พีชญา”ทุ่มสุดตัว นัวผู้ชายเกือบสิบ ป่วยโรคติดเซ็กซ์ ใน”สองนรี”

ไฮไลท์ผู้เล่นตัวท้อป 8 ทีมสุดท้าย วอลเลย์บอลชิงแชมป์ยุโรป 2019 | The Thaiger
วอลเลย์บอล1 month ago

ไฮไลท์ผู้เล่นตัวท้อป 8 ทีมสุดท้าย วอลเลย์บอลชิงแชมป์ยุโรป 2019

เคาะแล้ว สนามโคราช จัดแข่งวอลเลย์บอลคัดโอลิมปิก | The Thaiger
วอลเลย์บอล1 month ago

เคาะแล้ว สนามโคราช จัดแข่งวอลเลย์บอลคัดโอลิมปิก

Trending