War is Peace, Redistribution is Wealth Concentration

“War is peace. Freedom is slavery. Ignorance is strength.”

So wrote George Orwell, famously, in 1984.

It seems the modern version by UK Labour is, tax redistribution away from the wealthy is actually shifting money to the wealthy

Some Labour MPs voted in favour of the withdrawal of winter fuel payments to OAPs not on Benefits on the grounds that as the system is now. "Alan Sugar could claim it".  Sounds like a good initiative for redistribution of Govt funds away from the wealthy, doesn't it? But let's look at the economics a bit more closely here.

1) Govts make no money, they simply redistribute it from one agent to another. Even when a Govt prints money, that is redistributive, not creative, because the existing purchasing power of money falls, so money printing takes money from those with it, with savings, and gives to whoever the newly printed cash goes to.

2) So when the Govt withdraws a Benefit from the fairly poor (OAPs not very affluent, but above the Benefit threshold) it is reducing the tax burden - sounds good doesn't it, so far, what's not to like?

3) In a broadly progressive tax system, the wealthy pay more tax, so the main beneficiaries of a reduction in Goct spending will be the fairly affluent, the upper-middles of working age maybe.

4) So this withdrawal of fuel allowance, dressed up as redstributive (it's baing taken from Alan Sugar) is actually regressive, t will lower the tax burden most on the upper middles. Truly, Orwell should have said, redistribution to the poor is benefoits for the wealthy.

5) The same argument applies when councils say, we are cutitng this or that service to keep the council tax burden down = that nice sounding aim will hurt the poor most and benefit most those with big band F, G houses, = the wealthy upper middles.