No nothing to do with brexit - some countries prefer to keep utilities/ services under state control. Others like the USA and us they are privately owned and run.
Last edited:
Mortgage Rate Rises
- Thread starter glenimp617
- Start date
His point is that Brexit has 100% contributed massively to our issues at the moment. Its nothing to do with state ownership of utilities but part of the reason inflation is so high is because everything is costing more...something which was happening well before this inflation spiral kicked in.
Soldato
- Joined
- 4 Aug 2007
- Posts
- 22,234
- Location
- Wilds of suffolk
Energy costs were part of the issue with inflation
Brexit was part, increasing costs of importing
Many other factors have an impact, our low manufacturing base means we see every item picking up inflation due to transport costs etc etc etc
The majority of the inflation impact is falling out of energy prices now anyway. Which is what Sunak was relying on happening when he said he would get inflation down.
Brexit was part, increasing costs of importing
Many other factors have an impact, our low manufacturing base means we see every item picking up inflation due to transport costs etc etc etc
The majority of the inflation impact is falling out of energy prices now anyway. Which is what Sunak was relying on happening when he said he would get inflation down.
Oh i've never seen them. When i had a quick look i only saw 10yrs max on most comparision sites. Unless you need to a broker just because they're not too common?
Caporegime
- Joined
- 22 Oct 2002
- Posts
- 28,643
- Location
- Boston, Lincolnshire
There are plenty of other countries with higher inflation that ours.
Austria, Iceland, Lithuania, Sweden, Poland are all higher than ourselves. Germany and Italy are still in the 6% region. (Germanies has actually risen since last update)
Only Spain, Greece and Denmark have it really under control. Also when Spain and Greece already have no money it is easier to control.
Last edited:
Soldato
- Joined
- 4 Aug 2007
- Posts
- 22,234
- Location
- Wilds of suffolk
The main reason the Eu inflation rate is somewhat sticky right now is that they haven't increased their bankrate anywhere near as much.
So they have accepted a longer flatter curve than we did with our rates to try to head off a higher peak.
But the true ability of bank rates right now to really dampen inflation is as we have discussed somewhat mute.
One of the main reasons the med type countries can see lower inflation is they grow and eat a lot of food thats local. "The med diet"
As such they are far less affected than countries like us that import a lot of food.
Caporegime
- Joined
- 7 Apr 2008
- Posts
- 25,440
- Location
- Lorville - Hurston
So it is do to with Brexit?
I think what is being said is that is a part of it. But probably just as big if not bigger is having a crappy government.
Brexit has contributed fairly significantly to our inflation issues, yes.
According to the London School of Economics, it's directly responsible for about one third of our food inflation:
https://www.bloomberg.com/news/arti...paper-says?in_source=embedded-checkout-banner
Here's the actual paper from the LSE:
But to be honest, as soon as the discussion post referendum switched to the braindead idea of leaving the Single Market & Customs Union, it was glaringly obvious it would drive inflation, so it's not really any surprise.
If you dramatically increase import costs, at some point some of those increased costs to business are going to filter through to consumer prices.
Last edited:
Not according to any of the evidence i've seen, no.
While it's quite possible i've missed one, I've read most of the papers on this and none appear to support that conclusion.
Happy to discuss in greater detail in the Brexit thread if you’d like.
Last edited:
No they're available directly through most banks!
Associate
- Joined
- 1 Sep 2013
- Posts
- 1,490
So come winter inflation will rise again
You sure?
When i'm on the Santander site the most i see as an option is 5yrs, with this article from December saying Virgin are boasting the longest Fix at 15yrs
Virgin offers longest fixed-rate mortgage | Unbiased
Super-long fixed rate mortgage deals continue to make a comeback, as Virgin Money launches the first 15-year fix since 2008.
www.unbiased.co.uk
With a few articles from June discussing longer fixed terms
Why doesn't the UK have longer mortgage terms?
Most UK mortgages are two or five years long, meaning homeowners remortgage often. This makes it easier to find a bargain when mortgage rates are low.
You sure you're not thinking of 25yr Terms rather than 25yr Fixes?
Last edited:
Soldato
- Joined
- 4 Aug 2007
- Posts
- 22,234
- Location
- Wilds of suffolk
Unlikely.
The predictions are a slightly lower cost than last year.
Remember inflation is a year on year comparison.
Depends on storage capacity. If gas companies can buy now and store for the winter this should shield from volatilty.
I beleive centrica have been improving storage but not sure how much......
I need more coffee clearlyYou sure?
When i'm on the Santander site the most i see as an option is 5yrs, with this article from December saying Virgin are boasting the longest Fix at 15yrs
Virgin offers longest fixed-rate mortgage | Unbiased
Super-long fixed rate mortgage deals continue to make a comeback, as Virgin Money launches the first 15-year fix since 2008.www.unbiased.co.uk
With a few articles from June discussing longer fixed terms
Why doesn't the UK have longer mortgage terms?
Most UK mortgages are two or five years long, meaning homeowners remortgage often. This makes it easier to find a bargain when mortgage rates are low.www.thisismoney.co.uk
You sure you're not thinking of 25yr Terms rather than 25yr Fixes?
Sorry mate.
Soldato
- Joined
- 4 Aug 2007
- Posts
- 22,234
- Location
- Wilds of suffolk
Long term mortgages do exist, although personally I would probably not recommend more than a 10/15 year fixed.
In 15 years on a typical 25 year mortgage you have paid around half of the capital off.
If we did move towards much longer fixes we would need to have a really sensible conversation in regards get out clauses etc.
In 15 years on a typical 25 year mortgage you have paid around half of the capital off.
If we did move towards much longer fixes we would need to have a really sensible conversation in regards get out clauses etc.
Soldato
- Joined
- 4 Aug 2007
- Posts
- 22,234
- Location
- Wilds of suffolk
Most consumers don't see the volatility anyway.