[neilwilson]

"There will be a bill to pay for lockdowns"

Why will there be a bill? The cost has already been paid by definition in lost output.

And when those that have saved more and borrowed less change their position taxes will automatically rise because tax is a ratio, not a fixed amount. The more activity there is, the more tax arises.

Savings are a store of taxation as well as value.

[tonyedgecombe]

Lost jobs and businesses means less tax revenue and a higher benefits bill.

More borrowing means more debt that needs servicing.

[neilwilson]

Neither of those are the case.

Work it through. Government spends $100. My spending is your income less tax. Your spending is my income less tax. The tax rate is 1%.

Run out the maths, and see what tax you get. As you can see it doesn't mean less tax revenue. It means it moves to a different transaction.

Then work out how it gets delayed.