Bank of England cuts interest rate

Kitchster_uk said:
Quit amusing that the Scots are suffering from devolution. English councils are being covered by the government, the scots are supposed to be covered by by their parliament. This is the first crisis for the devolved scots and guess what? England is being told that it's a uk thing.
Click to expand...

Thats because it is a UK 'thing'.

The devolved parliament is restricted to what it can do fiscally, it was designed that way.

There are many things UK takes precedence over, I wouldn't get so upset by it.
 
Biohazard said:
Thats because it is a UK 'thing'.

The devolved parliament is restricted to what it can do fiscally, it was designed that way.

There are many things UK takes precedence over, I wouldn't get so upset by it.
Click to expand...

It's not getting 'upset', it's a simple matter that we in England really do get a raw deal, have a look how much is spent, per capita, on people in England, SScotland and Wales and see who gets most benefit. The Scottish Parliament was given some fiscal licence as to what happens with their councils and how their councils could raise/invest and spend revenue.

It just sticks slightly in the back of one's throat when all 'advantages' and good ideas are from devolution and any problems become a UK problem.
 
Energize said:
Looks like I was right, CPI inflation has increased to 5.2%, thats a 0.5% increase in one month! RPI has also increased to 5% and RPIX to 5.5% It makes most high street banks savings accounts pointless. Heh the bank of england reduce interest rates by .5% and immediatley afterwards inflation increases by the same amount.
Click to expand...

I'd like to see the econometric model you used to figure that out :rolleyes:.

So if you don't the question becomes did you figure out that it will go up by 0.5% or have you just read it somewhere? Or did you make a complete guess which turned out to be right.
 
Kitchster_uk said:
It's not getting 'upset', it's a simple matter that we in England really do get a raw deal, have a look how much is spent, per capita, on people in England, SScotland and Wales and see who gets most benefit. The Scottish Parliament was given some fiscal licence as to what happens with their councils and how their councils could raise/invest and spend revenue.

It just sticks slightly in the back of one's throat when all 'advantages' and good ideas are from devolution and any problems become a UK problem.
Click to expand...

Give us our own treasury or let us know what exactly is to happen and we might.

http://news.bbc.co.uk/1/hi/scotland/7662665.stm

http://www.sundayherald.com/news/he...9762.0.trouble_brewing_over_iceland_money.php

"The meeting should establish what the Treasury is doing, what the UK government is doing, and what is the responsibility of the Scottish government.

It's not a question of passing the buck - this has been devolved since 1999."

"There is not a scintilla of doubt that it is a reserved issue. It's up to the Treasury to decide what to do in these exceptional circumstances. The idea of them extending help to English councils but not to Scotland is unsustainable. If they did that, I would advise them the prime minister and chancellor not to stand at the next election."
 
Energize said:
Looks like I was right, CPI inflation has increased to 5.2%, thats a 0.5% increase in one month! RPI has also increased to 5% and RPIX to 5.5% It makes most high street banks savings accounts pointless. Heh the bank of england reduce interest rates by .5% and immediatley afterwards inflation increases by the same amount.
Click to expand...

You do realise inflation is based over a 12 month period, and that the rate cut cannot possibly have had an effect on it because it didn't take place until october...

Correlation and causation, two very different things...
 
Very hard to predict, have heard stories ranging from 2.5% - 4%, think it will go below 4% though and 3.5% is what I'd guess, depends though on how the market reacts to rate cuts. I'd be shocked if there aren't any more rate cuts this year though, we could possibly be below 4% this year.

I wouldn't be looking to fix it just yet, with the recent events a tracker is probably the cheapest option and you should wait for better fixed deals to come out because the mortgage market is a bit dry at the moment. It will take time for the recent government intervention to fully filter through. I'd say around 3-6 months at least but I'm no economist and am just guessing :)
 
Sneaky Peaky said:
So what's the common concencus of where interest rates will go over the next 2 years ? Need to change my mortgage and wondering whether to go for a fixed rate deal..
Click to expand...

They are expected to fall by 0.25% next month, some economists predict a fall of 2% by the end of the year. I have seen predictions of a 3% fall for 2009.

Your guess is as good as mine!
 
You must log in or register to reply here.
Back
Top Bottom