Jump to content

Cost of Living


whelk
 Share

Recommended Posts

1 hour ago, Lord Duckhunter said:

“Rushi” 

 

“dumb and dumber” 

 

#irony 

The irony is on all of the turkeys who voted for Christmas. All those Labour voters who were suckered by Johnson and are now witnessing the Tory Party sticking two fingers up to them (I wonder how well the Red Wall voters sleep now) whilst looking after their rich buddies. This country just sinks lower and lower.

  • Like 2
Link to comment
Share on other sites

2 hours ago, egg said:

I doubt that very much. Inflation ain't going down after that budget today. Unless she takes rate control back from the BOE, they'll push rates up until they see inflation where they want it to be. I'd hazard a guess we'll see 5% + before spring. In reality, that's still a low rate. 

Inflation only stays high if you get repeated prices rises year after year. A lot of current inflation was a spike imo  - oil (price already dropped by over 30% from its peak), the war (grain crisis mostly over) and the lack of production hanggover from covid causing price hikes in manufactured goods like cars. It could fall really quickly as rises pass out of the system    

Edited by buctootim
Link to comment
Share on other sites

2 minutes ago, buctootim said:

Inflation only stays high if you get repeated prices rises year after year. A lot of current inflation was a pike imo  - oil (price already dropped by over 30% from its peak), the war (grain crisis mostly over) and the lack of production hanggover from covid causing price hikes in manufactured goods like cars.    

A weakening pound, particularly against the dollar, means we're  importing inflation. That situation doesn't look like it'll be remedied. 

  • Like 1
Link to comment
Share on other sites

19 minutes ago, badgerx16 said:

So, we have tax cuts left right and centre, all of which reduce the amount of money going into Government coffers, yet they will significantly increase borrowing to address the fuel "crisis".

Something doesn't add up.

I do understand what you mean, but it has been seen in the past the less you tax the more incentive for people to work and so they produce more profits to give in taxes.

I don't like the bankers bonusses, but it seems that in theory the big earners will stay/come to UK as we have had so much slipping away to Europe and especially USA.

Its all-knee jerk to the headlines, there is plenty of time for it all to be taken back again once the economy picks up.

The biggest concern for me is the £slipping more against the $ as we buy most ofour imports in USD, that will mean goods costing more, adding more to our inflation.  

Link to comment
Share on other sites

4 minutes ago, egg said:

A weakening pound, particularly against the dollar, means we're  importing inflation. That situation doesn't look like it'll be remedied. 

That is true - but its flight to safety reaction to the war. The dollar always rises during turbulence. Again likely short term imo    

Edited by buctootim
Link to comment
Share on other sites

2 minutes ago, buctootim said:

That is true - but its flight to safety reaction to the war. The dollar always rises during turbulence. Again likely short term imo    

Hope you're right, but I think it's a lot to do with what's a safe haven currency. It ain't ours!!

Link to comment
Share on other sites

3 minutes ago, egg said:

Hope you're right, but I think it's a lot to do with what's a safe haven currency. It ain't ours!!

Im off to cash in my unused holiday dollars. I only bought them in mid August and already made 12%!   Shame its only $153 :) 

Edited by buctootim
  • Haha 1
Link to comment
Share on other sites

39 minutes ago, sadoldgit said:

The irony is on all of the turkeys who voted for Christmas. All those Labour voters who were suckered by Johnson and are now witnessing the Tory Party sticking two fingers up to them (I wonder how well the Red Wall voters sleep now) whilst looking after their rich buddies. This country just sinks lower and lower.

I don't think that is the case, tory turkeys may have wanted Johnson out but so did the right of the party. This is moving towards the tory government Steve Baker and his crew wanted.

Edit I've just reread your post - the turkeys are the red wall tory voters, not the anti Johnson tory MPs. Get it now.

Edited by Fan The Flames
  • Like 1
Link to comment
Share on other sites

Just now, Fan The Flames said:

I don't think that is the case, tory turkeys may have wanted Johnson out but so did the right of the party. This is moving towards the tory government Steve Baker and his crew wanted.

They will all be pinkoes to Duckie. 😁😁😁

 

  • Haha 1
Link to comment
Share on other sites

I find economics insanely boring so don’t pretend to have a decent understanding but it looks to me like the government are borrowing billions for tax cuts to make us want to buy more shit, whilst the bank of England is raising interest rates to stop us wanting to buy more shit.

So the extra few quid in our pay packet will just go straight to the banks to pay our bigger mortgage, and we are saddled with billions more debt?

  • Like 3
Link to comment
Share on other sites

1 minute ago, aintforever said:

So the extra few quid in our pay packet will just go straight to the banks to pay our bigger mortgage, and we are saddled with billions more debt?

Yep, got it. But don't forget it lovely Liz helping them out from the unfair demands of bastard despicable banks  

Link to comment
Share on other sites

1 hour ago, badgerx16 said:

So, we have tax cuts left right and centre, all of which reduce the amount of money going into Government coffers, yet they will significantly increase borrowing to address the fuel "crisis".

 

They’re increasing borrowing to try and stimulate growth, exactly what the Labour Party would be doing if they were in office. The difference is what they’re using the additional borrowing for. They’re hoping tax cuts & deregulation will boost growth, basically Reaganomics, whereas Labour would be “investing” in public services & targeted giveaways, hoping that’ll boost growth. Personally, I’m more Thatcherite and think we should be tightening fiscal policy at the moment, but at least we’re now being given a clear choice. One thing for sure the Pinko blob haven’t produced much growth the past few years. 
 

 

Link to comment
Share on other sites

46 minutes ago, Lord Duckhunter said:

They’re increasing borrowing to try and stimulate growth, exactly what the Labour Party would be doing if they were in office. The difference is what they’re using the additional borrowing for. They’re hoping tax cuts & deregulation will boost growth, basically Reaganomics, whereas Labour would be “investing” in public services & targeted giveaways, hoping that’ll boost growth. Personally, I’m more Thatcherite and think we should be tightening fiscal policy at the moment, but at least we’re now being given a clear choice. One thing for sure the Pinko blob haven’t produced much growth the past few years. 
 

 

It has a Reagan feel to it, but he was staunchly against inflation though, calling it a mugger etc. I can't see how this government will tackle that. I'm with you on tightening fiscal policy, logic says to me that was the way to go. 

Link to comment
Share on other sites

18 minutes ago, egg said:

It has a Reagan feel to it, but he was staunchly against inflation though, calling it a mugger etc. I can't see how this government will tackle that. I'm with you on tightening fiscal policy, logic says to me that was the way to go. 

The tories have repeatedly said inflation is for the independent BoE, they are already getting their blame game sorted.

Link to comment
Share on other sites

1 hour ago, aintforever said:

I find economics insanely boring so don’t pretend to have a decent understanding but it looks to me like the government are borrowing billions for tax cuts to make us want to buy more shit, whilst the bank of England is raising interest rates to stop us wanting to buy more shit.

So the extra few quid in our pay packet will just go straight to the banks to pay our bigger mortgage, and we are saddled with billions more debt?

Yes, but it helps the wealthy and the money movers, so the money skimming industries will do alright, and these are the professions of the true tories, the people the tories only really care about.

Link to comment
Share on other sites

5 minutes ago, Fan The Flames said:

The tories have repeatedly said inflation is for the independent BoE, they are already getting their blame game sorted.

Yep, but the BoE ain't got a chance with a plunging pound pushing up inflation quicker than they bring it down. 

Link to comment
Share on other sites

The UK Government is charged more than 1.3% more for it's borrowing than Germany, and just under 1% more than France. The increased borrowing that has been  suggested in the last couple of weeks is expected to further raise the interest rate the Government is charged.

 

Link to comment
Share on other sites

2 minutes ago, Fan The Flames said:

Totally agree, it should be a partnership, but the Tories are continually distancing themselves from their role in it.

Wait for the Daily Mail hit piece on the B of E governor. 
after the inevitable nauseating drooling tomorrow. 

Link to comment
Share on other sites

On 22/09/2022 at 16:38, LGTL said:

Hiking interest rates when inflation is caused by non-discretionary spending is just bonkers IMO. I don’t know of anyone who isn’t cutting back and we’re all middle earners, what exactly do the BoE think we’re spending all this non-existent extra money on?

They feel compelled because of the Fed and are trying to save the pound. 

I fear you’ll feel worse next month when interest rates go up again to counter the giveaway today

Link to comment
Share on other sites

1 hour ago, whelk said:

I fear you’ll feel worse next month when interest rates go up again to counter the giveaway today

Any over-leveraged mortgage holders are in for a fun few years that’s for sure. I just fear for a lot of people. 

I saw a stat yesterday that the average of 14% in the 1980’s is equivalent to 3% today as incomes use to be much higher relative to repayments. I hope it doesn’t get messy for everyone’s sake. 

Link to comment
Share on other sites

Funny that nobody is mentioning Brexit as part of our inflation. Every import now has massive add ons that gets fed into our pricing. 

The Ukraine war is part of the problem as well as the food, commodity, and fuel prices are being pushed up. 

I wonder if the powers that be will eventually put pressure on both sides (im sure Putin would like to find a way out) to end the war, then inflationary pressures can be eased.

The West may well get Zelensky onboard by slowing the number of weapons down, so that he has to come to the table. Politics is dirty and you only have to read about how the Americans left the South Vietnamese and Afghans to their own devices to see how this could play out.

Link to comment
Share on other sites

On 23/09/2022 at 16:10, aintforever said:

I find economics insanely boring so don’t pretend to have a decent understanding but it looks to me like the government are borrowing billions for tax cuts to make us want to buy more shit, whilst the bank of England is raising interest rates to stop us wanting to buy more shit.

So the extra few quid in our pay packet will just go straight to the banks to pay our bigger mortgage, and we are saddled with billions more debt?

….

Edited by Turkish
Link to comment
Share on other sites

11 minutes ago, whelk said:

Doing wonders for inflation. Remember these cunts know what they are doing?

like captain Rum - opinion is divided as to whether you need to navigate.

 

Yep. It's in free fall. The more you look at that budget, the more insane it was. Kwarteng promising more of the same over the weekend too. Slightly less tax, but loads more inflation and interest rates is a special kind of mental. The BoE may well act this week. 

  • Like 2
Link to comment
Share on other sites

28 minutes ago, egg said:

Yep. It's in free fall. The more you look at that budget, the more insane it was. Kwarteng promising more of the same over the weekend too. Slightly less tax, but loads more inflation and interest rates is a special kind of mental. The BoE may well act this week. 

 

  • Like 1
Link to comment
Share on other sites

Low taxes & high interest rates will bring investment cash into the uk in the medium term. A weak pound will make those trying to sell uk based services more competitive. 
Don’t get me wrong, all of the above will no doubt be disastrous for the majority of workers over the short to medium term, but he’s certainly made a play; the objective being to put us in a advantageous position in the 3-5 yr horizon. Banking on a shallow recession I assume. Horrible short term prospects generally, although I see a lot of happy contractors celebrating the demise of IR35.

Edited by Plastic
Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...