Is it the role of the state to subsidize badly paid jobs and reward unscrupulous landlords?
In Britain, as it happens in the USA, state money aka
taxpayers’ money is used to subsidize badly paid jobs. Tax monies are paid to support
those whose employers are not paying them enough. The matter is that people
will keep those jobs, bad employers will pocket the revenues produced by
subsidized workers and live happily ever after while the rest of society picks
up the bill.
The same happens with housing subsidies. Landlords have been
extorting public money and pushing up renting costs. The natural consequence is
that those at work that get paid decent wages by their employers can no longer afford
to rent decent accommodation. Who is the winner in this affair? Unscrupulous
landlords that in many cases are not even registered as landlords.
It would make sense to stop providing housing subsidies, to
start using tax monies to reshape the housing market by making better use of
space, to implement mandatory registration for all those acting as landlords
and to stop subsidizing bad employers.
Converting family homes into flats has nothing to do with
solving the housing crisis. The Soviet style fragmentation of old housing stock
is a human tragedy. Old properties have been partitioned with chalk walls
and then sold as if they were brand new properties.
We need less subsidies and higher incomes in a
market in which prices are not inflated by state subsidies.
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