Exactly my view on the matter. We could stomach up to a 35% drop without being in negative equity so would be an ideal time for us to move up the ladder. If they could just hold off for a couple of year though that would be great
House prices..
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Exactly my view on the matter. We could stomach up to a 35% drop without being in negative equity so would be an ideal time for us to move up the ladder. If they could just hold off for a couple of year though that would be great
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I bet Mervyn King will be out of a job within a few weeks. Brown & Darling really wanted a cut and didn't get one.
Because inflation isn't that much of a problem?
Your kidding right?!
I paid 1.17 for a litre of petrol this morning, food is up nearly 20% in the year, Electricity up double digits ....
.... The government and the BOE know inflation is way higher than they tell us
A hold this month despite all the doom and gloom stories is quite telling really.
I paid 1.17 for a litre of petrol this morning, food is up nearly 20% in the year, Electricity up double digits ....
.... The government and the BOE know inflation is way higher than they tell us
A hold this month despite all the doom and gloom stories is quite telling really.
Your kidding right?!
I paid 1.17 for a litre of petrol this morning, food is up nearly 20% in the year, Electricity up double digits ....
.... The government and the BOE know inflation is way higher than they tell us
A hold this month despite all the doom and gloom stories is quite telling really.
The BOE's responsibility is in keeping the CPI around 2%. The CPI is currently 2.1%. You were the one who stated the Banks' primary remit is to control inflation, when you mention that, you have to remember the exact nature of it.
The BOE is also to ensure that economic growth is protected, hence why there almost certainly will be a rate cut next month unless something dramatic happens to the figures they use.
Soldato
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Yes lets further fuel the ever descreasing circle further. Make borrowing cheaper, send house prices up, people borrow more against their equity and spend more than they earn.
Sounds like well managed economic growth to me. It will end in tears.
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LOL you must be playing devils advocate with this one. Inflation is rampant at the moment and I doubt anyone could have missed it
Its all about bringing a the feel good factor to the masses.
Let the succeeding Government/PM/Chancellor deal with the future consequences, whenever that may be.
Inflation is definitely NOT a problem, uncontrolled inflation is a problem. I'd much rather have an economy with inflation than with deflation.
Lucky to get 10%? I got 12% for a 1 year term from Alliance and Leicester in 2006, and looking on their site they still seem to offer this for customers signing up to their current account. Don't forget it's only high earners that get hit at 40% tax rate too (which I'm not).
I know some people may find it strange, but there are actually arguments for not paying off your mortgage asap at the expense of saving. I'm on a 4.79% fixed rate mortgage and it would have been foolish to ignore the potential gains from regular saving even after tax. OK so it's somewhat limited at only £3k a year, but every little helps. People who know about 'proper' investments could have course do even better, but even the average homeowner should be able to understand regular savings bonds etc.
Borrow low and invest high and you are basically beating the banks at their own game!
Actually I was addressing the poster who said that the BOE's responsibility is to meet the inflation target. I simply pointed out that inflation (by the target the bank is required tp measure against) is within target at the moment, and as such, by the target they use, there is scope for a rate cut, especially with the downward economic pressures.
It's important to remember that it's the BOE's objective to be at the target, not to be under or over the target. This requires an eye on the overall economy.
http://www.bankofengland.co.uk/monetarypolicy/framework.htm
I'm sure you know far more than the economists with regards to what's best for the economy...
your faith in these so-called expert economists will be your financial undoing dolph.
I doubt it, I'd be fairly willing to bet I'm in a better financial situation than most people who wish for a crash, should an economic downturn occur...
Your faith in your own wishes being somehow more likely than anything else is likely to restrict your choices in life, just as it has those who have been saying they won't buy a house because "the crash is coming soon" for the last five or more years have been.
It's also worth noting that I don't necessarily put my faith in economists. I just put more faith in them than I do random people on an internet forum who have beliefs, vested interests and not a lot else...
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Soldato
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I thought it was common sense? With the official national savings rate in minus figures do you really believe the economy can survive in the long term with people spending more than they earn?
No, but there are ways to correct this without wishing for a financial collapse.