Err, have you seen the amount of fat ******** around?
Yea, they should! For ghe sake of themselves and the NHS!
Mortgage Rate Rises
- Thread starter glenimp617
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Err, have you seen the amount of fat ******** around?
Yea, they should! For ghe sake of themselves and the NHS!
Wouldn't raising vat on non essentials do the same? Ie the government could pay off some of its debt, rather than spending on public services?
This is obviously not viable otherwise I'm sure it would happen. But I'm a noob and can't see the problem.
I did mine and i thought about it a lot. I wouldn't say mine was luck. As I paid an erc for the privilege.
But no way did I forsee this.
Caporegime
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Maybe when they make their way to work and have to start stepping over the homeless sleeping on the streets
Yeah I really can't see how they can argue it's working, or going to work, when core inflation is rising and the main measure of inflation didn't drop as forecasted it would. Seems like it's just "It worked before, so it must work" is what's going on, which is dangerous to think how long they could keep trying this measure
Err, have you seen the amount of fat ******** around?
Yea, they should! For ghe sake of themselves and the NHS!
North Korea says hi.
Soldato
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Without checking the stats I think around half of our inflation now. But the target is I think 2% so if inflation is sticky or starts increasing I'd expect further rate rises there too.
The USA isn't such a train wreck as the U.K is these days. I'd be surprised if they have more than one further rate increase or if they have more it might be more spread out (rather than monthly).
U.S didn't raise this month but I think it's being seen as a skip rather than a pause
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Unfortunately in this instance raising interest rates to reduce inflation is just stupid.
The inflation is on things we absolutely need and caused by major external circumstances. To reduce those we all have to eat less, use less electricity, pay less in rent (??), things like that.
For that reason they'll keep raising rates until major things break and people can't eat or pay for anything. This will cause people to break and as always disproportionally.
Raising rates to combat inflation only works when the economy has been greedy and spending on luxuries and excess....I'm sure there's people still doing that but in general I don't think the UK population is living it large right now.
The inflation is on things we absolutely need and caused by major external circumstances. To reduce those we all have to eat less, use less electricity, pay less in rent (??), things like that.
For that reason they'll keep raising rates until major things break and people can't eat or pay for anything. This will cause people to break and as always disproportionally.
Raising rates to combat inflation only works when the economy has been greedy and spending on luxuries and excess....I'm sure there's people still doing that but in general I don't think the UK population is living it large right now.
Raising any taxes would do the same but like with most of these sorts of things some people will be effected more than others. TBH I'm not sure if there's scope in the VAT system or how complex having two tiers of VAT would be.
Personally I'd be in favour of rasing taxes on unearned income, a wealth tax, non-doms, and/or basically anything that raises taxes on the richest 0.01% but some people argue that if you did that they'd up-sticks and leave.
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Caporegime
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What's the alternative to fixing the inflation without increasing the interest?
US was already at 5% though. Given the lag before we see the effects these rate rises risk a deep recession and little else.
I guess it's the trajectory that matters. If the us is at 5pc and it's coming down, now need to raise.
Aren't Americans more into life time mortgages too? So it's not so individually crippling?
Soldato
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It's partly dumb luck on timing when your mortgage deal expires. Those who are coming to the end of fixes must be worried.
This is what makes it feel so unfair for some people. They "got on the ladder", following all advice, and now someone's sawing it in half, below them.
Pensions are set according to the triple lock system- another gift from the cretin David Cameron. The annual rate increases by the rpi inflation in September (I think). Pensioners will likely see a significant rise this year, if it is applied.
People receiving state pension see it as their due as they "paid in". No party can afford to take it away- ever
I see how it will work in some situations, but this started with a supply side problem (energy, then food), not an excess of demand for non essentials. We then create this divide between those whose pay has increased to compensate and those who have not. The BoE decide to screw over the have nots and those more exposed to high high interest rates from historical decisions.
You'd need something to make the UK inaccessible unless you pay tax here. But yes I see the risk in high value individuals leaving. But not sure if that's much of a loss.
Taxing mega corps or denying them access to the UK would probably work. Especially if other countries got on the bandwagon.
I still see vat as a better leveller. Alongside more modest rate rises.
If vat jumped on your new kitchen you'd probably wait. Or if you really wanted it you'd be helping pay down national debt and have less to spend on the next thing. Seems sensible to me.
I guess I can kiss goodbye to having a second child and moving house now
Housing market is crashing, we have only had one house viewing since our house went up for sale 6 weeks ago
Even if my house does sell I won't be able to afford a bigger mortgage on a larger house at this rate..........
Housing market is crashing, we have only had one house viewing since our house went up for sale 6 weeks ago
Even if my house does sell I won't be able to afford a bigger mortgage on a larger house at this rate..........
State pension will have to go eventually. We are gaining more debt year on year and still things are deteriorating. Can't keep on kicking the can down the road. But the method is to keep raising state pension age as life expectancy falls. So removing it by stealth.
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I expect birth rates to take another hammering. It's a huge money saver if you're not already committed.
Really, it's going to be about keeping your job soon.
Probably got their renewal coming up