Inflation

[Diadora Van Basten]

16 minutes ago, doctor jambo said:

The question is which spoilt period?

wages have been eroded since 2008.

Constantly eroded for 15 years.

We didn’t mind as much because low interest rates masked that.

Now it’s wage erosion , higher interest rates and Jeremy hunt telling us to suck it up .

And the Bof E deliberately crashing the economy is only going to make things worse .

I have been worse off in real terms every year for the last 15 years.

promotions and working more ( the Tory dream) have covered some to this point, but there has been no spoilt period in 15 years

Jeremy Hunt seems to be very comfortable with Higher Interest rates even though they must be blowing a huge hole in his budgets.

 

I suspect it’s a poker face until after the next election then he will announce that we are in deep financial trouble. 

[Nucky Thompson]

1 hour ago, Joey J J Jr Shabadoo said:

We need more tories like David Ames.

Using a murdered MP to have a dig at ra Toaries 

[doctor jambo]

21 minutes ago, Diadora Van Basten said:

Jeremy Hunt seems to be very comfortable with Higher Interest rates even though they must be blowing a huge hole in his budgets.

 

I suspect it’s a poker face until after the next election then he will announce that we are in deep financial trouble. 

It’s not him that has to pay it.

Its those of us working who cannot hide income, with families and mortgages that will face any consequences for any of this.

tax payers underwrite government debt.

we also repay it.

it’s douche bags like him that are the issue.

 

[Diadora Van Basten]

12 minutes ago, doctor jambo said:

It’s not him that has to pay it.

Its those of us working who cannot hide income, with families and mortgages that will face any consequences for any of this.

tax payers underwrite government debt.

we also repay it.

it’s douche bags like him that are the issue.

 

Agreed 

[Konrad von Carstein]

2 hours ago, Nucky Thompson said:

Using a murdered MP to have a dig at ra Toaries 

Don't be a dick, Ames was, by all accounts a very decent human being unlike and this is what I took their post to mean, the current crop of incompetent, zero empathy grifters.

[Howdy Doody Jambo]

4 hours ago, Diadora Van Basten said:

Jeremy Hunt seems to be very comfortable with Higher Interest rates even though they must be blowing a huge hole in his budgets.

 

I suspect it’s a poker face until after the next election then he will announce that we are in deep financial trouble. 

He probably has a stash of cash in the bank benefiting from higher rates, wouldn't be surprised if they go another +2% he will be even more quids 

[Nucky Thompson]

3 hours ago, Konrad von Carstein said:

Don't be a dick, Ames was, by all accounts a very decent human being unlike and this is what I took their post to mean, the current crop of incompetent, zero empathy grifters.

We all know what he meant with the post. 

Don't pretend othewrise 

[Konrad von Carstein]

11 minutes ago, Nucky Thompson said:

We all know what he meant with the post. 

Don't pretend othewrise 

No. We don't, and if he did mean what you are alluding to then a wee spell in the JKB pokey is required.

[Nucky Thompson]

4 minutes ago, Konrad von Carstein said:

No. We don't, and if he did mean what you are alluding to then a wee spell in the JKB pokey is required.

I'm pretty confident he wasn't being kind to any Tory, dead or alive 

 

 

 

 

[Konrad von Carstein]

23 minutes ago, Nucky Thompson said:

I'm pretty confident he wasn't being kind to any Tory, dead or alive 

 

 

 

 

The current incarnation of the Conservative party is as far removed from even the wicked witch Thatcher' s brand.

She wouldn't have given the likes of Mogg, Dorries and even the custard cannon house room.

[joondalupjambo]

So inflation.  Coop meal deals for four quid absolute bargain if you chose the right mix.  How do they keep it so low given the ingredients in many of the items?  Surely inflation would have pushed them to not offer this.  Or is it a loss leader?

[kila]

11 hours ago, joondalupjambo said:

So inflation.  Coop meal deals for four quid absolute bargain if you chose the right mix.  How do they keep it so low given the ingredients in many of the items?  Surely inflation would have pushed them to not offer this.  Or is it a loss leader?

Probably full of processed shite and tons of salt to hide the poorer flavour. 
 

[Dawnrazor]

12 hours ago, joondalupjambo said:

So inflation.  Coop meal deals for four quid absolute bargain if you chose the right mix.  How do they keep it so low given the ingredients in many of the items?  Surely inflation would have pushed them to not offer this.  Or is it a loss leader?

I bet you could make the same meal from scratch cheaper and healthier if you bought the ingredients.

[WorldChampions1902]

2 minutes ago, kila said:

Probably full of processed shite and tons of salt to hide the poorer flavour. 
 

Which is precisely what this Junta wants. Premature deaths due to s**t diets equals lower demands on social bills in terms of State pensions, NHS, Social Services etc. Simples.

 

Survival of the fittest. Or should that be the richest?

[Jambof3tornado]

On 16/06/2023 at 12:27, Diadora Van Basten said:

Agreed about a month ago you could get a fixed rate mortgage at about 4.5% now it’s closer to 6%.

10 year fix at 2.19% for us. Overpaying so will clear it in 6.5 years. Call me mystic meg.

 

Junior on the other hand has 2.19 rate until march.......poor ******* moved out and in to his own place just as ukraine conflict kicked off and the price of everything shot up!!

So glad he didnt overstretch when planning on moving out.

[Jambof3tornado]

13 hours ago, joondalupjambo said:

So inflation.  Coop meal deals for four quid absolute bargain if you chose the right mix.  How do they keep it so low given the ingredients in many of the items?  Surely inflation would have pushed them to not offer this.  Or is it a loss leader?

Loss leader.....you go in for the meal deal and buy x y and z as well.

 

You get owt for nowt in this life!!!

[Diadora Van Basten]

37 minutes ago, Jambof3tornado said:

10 year fix at 2.19% for us. Overpaying so will clear it in 6.5 years. Call me mystic meg.

 

Junior on the other hand has 2.19 rate until march.......poor ******* moved out and in to his own place just as ukraine conflict kicked off and the price of everything shot up!!

So glad he didnt overstretch when planning on moving out.

I think a lot of us are kicking ourselves now.

 

To be honest I never thought the Bank of England base rate would go above 2.5% as it would bankrupt half the country.

 

I hadn’t realised that only about a million people were not on fixed rates.

[joondalupjambo]

10 hours ago, kila said:

Probably full of processed shite and tons of salt to hide the poorer flavour. 
 

Agree but I did say if you chose the right mix. And defo not advocating that these are purchased regularly.  I use them when going on long walks.  Part of the meal deal is fruit remember. And water albeit long walks do require a bit of sugar😄

Edited June 18, 2023 by joondalupjambo

[The Mighty Thor]

Gove on Kuenssberg trotting out the Putin's Illegal war being the root cause of our troubles.

 

Not the tens of billions wasted on covid contracts.

 

Not the £40+ billion the Truss mini budget cost (not including wrecking everyone's pension) 

 

Not the 4% drop in GDP heaped onto an already failing economy with their Brexit vanity project.

 

Aye nae bother mate 😂

[The Real Maroonblood]

12 minutes ago, The Mighty Thor said:

Gove on Kuenssberg trotting out the Putin's Illegal war being the root cause of our troubles.

 

Not the tens of billions wasted on covid contracts.

 

Not the £40+ billion the Truss mini budget cost (not including wrecking everyone's pension) 

 

Not the 4% drop in GDP heaped onto an already failing economy with their Brexit vanity project.

 

Aye nae bother mate 😂

[Jambof3tornado]

2 hours ago, The Mighty Thor said:

Gove on Kuenssberg trotting out the Putin's Illegal war being the root cause of our troubles.

 

Not the tens of billions wasted on covid contracts.

 

Not the £40+ billion the Truss mini budget cost (not including wrecking everyone's pension) 

 

Not the 4% drop in GDP heaped onto an already failing economy with their Brexit vanity project.

 

Aye nae bother mate 😂

They will continue to blame everything and everyone.

 

I've always voted tory.......never ever again.

[Greedy Jambo]

[tian447]

I am absolutely ****ing kicking myself at not taking a 5 year fixed deal instead of a 2 year one when we bought this house.  We're on about 2.1%, but the 5 year was either 2.2% or 2.3%.  It would have been about a £20 a month payment difference, but our mortgage advisor suggested the 2 year deal as things might change and it might go down in 2 years time.  Things did indeed change 3 months later when the Russians came knocking, and all sorts of other nonsense broke loose.

 

Comes to an end on December 31st.  **** knows what it's going to be like by then.  At current rates, it looks like well be paying nearly £400 a month more.

 

 

[Dazo]

16 minutes ago, tian447 said:

I am absolutely ****ing kicking myself at not taking a 5 year fixed deal instead of a 2 year one when we bought this house.  We're on about 2.1%, but the 5 year was either 2.2% or 2.3%.  It would have been about a £20 a month payment difference, but our mortgage advisor suggested the 2 year deal as things might change and it might go down in 2 years time.  Things did indeed change 3 months later when the Russians came knocking, and all sorts of other nonsense broke loose.

 

Comes to an end on December 31st.  **** knows what it's going to be like by then.  At current rates, it looks like well be paying nearly £400 a month more.

 

 

A mortgage advisor told you it might go down ? From 0.25% ? I’m not sure what’s worse, the advice or the fact you didn’t walk out. 

[Unknown user]

2 minutes ago, Dazo said:

A mortgage advisor told you it might go down ? From 0.25% ? I’m not sure what’s worse, the advice or the fact you didn’t walk out. 

 

In not sure what's worse either...

[hughesie27]

Just checked mines today as was discussing it yesterday. We fortunately opted for the 5 year deal last year which was a fiver more a month than the 2 year deal. But it really just meant that we co tinued to pay the same amount per month as we had been for two years.

1.63% we have till March 2027. Surely it will be settled down by then. Surely?

Edited June 19, 2023 by hughesie27

[Unknown user]

7 minutes ago, hughesie27 said:

Just checked mines today as was discussing it yesterday. We fortunately opted for the 5 year deal last year which was a fiver more a month than the 2 year deal. But it really just meant that we co tinued to pay the same amount per month as we had been for two years.

1.63% we have till March 2027. Surely it will be settled down by then. Surely?

 

Who knows, it's a really long time - 4 years ago we'd never heard the words COVID 19

[kila]

9 minutes ago, hughesie27 said:

Just checked mines today as was discussing it yesterday. We fortunately opted for the 5 year deal last year which was a fiver more a month than the 2 year deal. But it really just meant that we co tinued to pay the same amount per month as we had been for two years.

1.63% we have till March 2027. Surely it will be settled down by then. Surely?

 

We'll be dealing with the Chinese invasion of Taiwan from 2025 onwards

 

[Gizmo]

On 18/06/2023 at 07:57, joondalupjambo said:

Agree but I did say if you chose the right mix. And defo not advocating that these are purchased regularly.  I use them when going on long walks.  Part of the meal deal is fruit remember. And water albeit long walks do require a bit of sugar😄

I often view the fruit, yoghurt and "healthy" drinks, but tbh it's always in the co-op gonna be the coke & caramel shortbread. In tesco, the blue machine smoothy thing and the massive extra long twirl bar 

[Unknown user]

16 minutes ago, Gizmo said:

I often view the fruit, yoghurt and "healthy" drinks, but tbh it's always in the co-op gonna be the coke & caramel shortbread. In tesco, the blue machine smoothy thing and the massive extra long twirl bar 

In Asda it's buy 3 marked things and the cheapest is free, my mate just buys red bulls

[tian447]

55 minutes ago, Dazo said:

A mortgage advisor told you it might go down ? From 0.25% ? I’m not sure what’s worse, the advice or the fact you didn’t walk out. 

 

First time buyer, everything quite overwhelming, but 2.1% was a good deal. Ultimately we did the application ourselves, so can't even really blame him. 

[tian447]

Looking back, the margins weren't quite as tight. It was 2.1% 2 year, 2.5% 5 year. 

[Diadora Van Basten]

I was watching an YouTube expert and he was saying that a base rate now of 3% is equivalent to the 15% base rate of the 1970s. He also said it takes about 18 months for interest rate rises to affect the rate of inflation.

[Dazo]

10 hours ago, tian447 said:

 

First time buyer, everything quite overwhelming, but 2.1% was a good deal. Ultimately we did the application ourselves, so can't even really blame him. 

I think you can blame him especially a first time buyer. That’s his job and without hindsight I’m not saying going for the 2 year was wrong but for him to say it would go down is a shocker imo. 

[The Mighty Thor]

Food inflation drops to a mighty 16.5% 

 

2 year fixes over 6%

 

Wee Rashid's plans aren't working are they?

 

 

[BlueRiver]

11 hours ago, Diadora Van Basten said:

I was watching an YouTube expert and he was saying that a base rate now of 3% is equivalent to the 15% base rate of the 1970s. He also said it takes about 18 months for interest rate rises to affect the rate of inflation.

 

How's that? Not doubting him or anything just curious. 

[The Mighty Thor]

22 minutes ago, BlueRiver said:

 

How's that? Not doubting him or anything just curious. 

probably cost of house in 1970's vs 2020's in real terms and the mortgage payment as % of disposable income?

[periodictabledancer]

1 hour ago, BlueRiver said:

 

How's that? Not doubting him or anything just curious. 

When I bought my house in 1986 it cost 3.5 times my salary (try saying that these days) .

Lending was  strictly limited in relation to earnings.  

People are effectively now buying houses on multiples of 6 or 7 times their income - so, the slightest increase in interest rates means a significant increase in monthly payments. And also - mortgages were typically repaid over a term or 25 years (soemtimes 30) but 40 year mortgages are common now and lenders will allow terms up to age 70 because it's the only way they are affordable for many. 

 

 

[BlueRiver]

3 minutes ago, periodictabledancer said:

When I bought my house in 1986 it cost 3.5 times my salary (try saying that these days) .

Lending was  strictly limited in relation to earnings.  

People are effectively now buying houses on multiples of 6 or 7 times their income - so, the slightest increase in interest rates means a significant increase in monthly payments. And also - mortgages were typically repaid over a term or 25 years (soemtimes 30) but 40 year mortgages are common now and lenders will allow terms up to age 70 because it's the only way they are affordable for many. 

 

 

 

1 hour ago, The Mighty Thor said:

probably cost of house in 1970's vs 2020's in real terms and the mortgage payment as % of disposable income?

 

 

Ahhh gotcha. Cheers both. 

[periodictabledancer]

1 hour ago, The Mighty Thor said:

Food inflation drops to a mighty 16.5% 

 

2 year fixes over 6%

 

Wee Rashid's plans aren't working are they?

 

 

At the risk of sounding like an old fart, this country is Donald Ducked.

Interest rates will be at this level for the next two years (easily), rampant food inflation (gonna get worse for even longer after Russia again screwed up Ukraines farming industry with the dam ).

Still no energy security policy from the soon-to-be-ejected tories either.

Twenty years of stagnating incomes, rocketing rents/house prices to be followed by plummeting living standards.

[That thing you do]

25 minutes ago, periodictabledancer said:

At the risk of sounding like an old fart, this country is Donald Ducked.

Interest rates will be at this level for the next two years (easily), rampant food inflation (gonna get worse for even longer after Russia again screwed up Ukraines farming industry with the dam ).

Still no energy security policy from the soon-to-be-ejected tories either.

Twenty years of stagnating incomes, rocketing rents/house prices to be followed by plummeting living standards.

Yep. Im glad I got out.

 

Mexico is predicted to be a superpower by 2050, we dont have it nearly as bad as the UK but Ive retained UK income which goes 60% further.

 

Add to that a positive outlook and its a no brainer to be here

 

 

 

[Lone Striker]

2 hours ago, periodictabledancer said:

When I bought my house in 1986 it cost 3.5 times my salary (try saying that these days) .

Lending was  strictly limited in relation to earnings.  

People are effectively now buying houses on multiples of 6 or 7 times their income - so, the slightest increase in interest rates means a significant increase in monthly payments. And also - mortgages were typically repaid over a term or 25 years (soemtimes 30) but 40 year mortgages are common now and lenders will allow terms up to age 70 because it's the only way they are affordable for many. 

 

 

Yep.  Them were the days.  Slightly sexist too ........   3 x the man's salary plus 1 x the woman's salary gave the  maximum mortgage I could take out with any provider.    

 

The current parameters are ridiculous, the only justification is that the value of the house will rocket and you'll make loads of money when you sell it - i.e. the whole thing is founded on in-built house inflation - except you've still to find another house which will also have rocketed in price. 

 

The only way I can see to break this cycle of lunacy is for the law to be changed so that the new owner can agree to return x %  of the selling price  back to the lender when his mortgage ends (or the owner sells or dies after the mortgage is redeemed) in exchange for a lower rate.   A sort of deferred repayment back to the lender many decades  down the line.    Time to put some of the pain back on to the banks, imo - they're raking it in just now.   The living costs of having a mortgage are unsustainable for millions of house owners right now

 

Also, stop house builders building 4 and 5 bedroom houses instead of 2 and 3  bedroom houses.   They  seem to be getting away with aiming for the more affluent end of the market, while first-time couples aren't seeing an increase in supply for that they can afford.

 

imo, Mrs T's worst legacy is now being exposed for all to see, even if many folk  are doing very well out it. profiting rather nicely.

 

 

 

 

[BlueRiver]

2 hours ago, That thing you do said:

Yep. Im glad I got out.

 

Mexico is predicted to be a superpower by 2050, we dont have it nearly as bad as the UK but Ive retained UK income which goes 60% further.

 

Add to that a positive outlook and its a no brainer to be here

 

 

 

 

If Mexico is a superpower by 2050 I'll streak naked through Mexico City.

[joondalupjambo]

5 hours ago, The Mighty Thor said:

Food inflation drops to a mighty 16.5% 

 

2 year fixes over 6%

 

Wee Rashid's plans aren't working are they?

 

 

Yes they are for the rich.

Bonuses, big share dividends, high interest on savings etc.  

 

[periodictabledancer]

1 hour ago, Lone Striker said:

 

 

Also, stop house builders building 4 and 5 bedroom houses instead of 2 and 3  bedroom houses.   They  seem to be getting away with aiming for the more affluent end of the market, while first-time couples aren't seeing an increase in supply for that they can afford.

 

imo, Mrs T's worst legacy is now being exposed for all to see, even if many folk  are doing very well out it. profiting rather nicely.

 

 

 

 

A big bone of contention where I live. Currently in the middle of a massive housebuilding spree in my wee town which will increase the population by 60% - but not a single thing being done for local people (wages are relatively poor and property prices intypically high for this area). Any two beds/terraced houses being built are snapped up by the horrific buy-to-let industry and then filled with  benefit claimants. In the meantime, the locals are forced out. There is a chronic lack of anything to suit young singles or couples , not a single apartment block has been built in the 30+ years I've lived here. 

[Diadora Van Basten]

United Airlines flight 173 crashed when the pilot became so preoccupied with a landing gear issue that he didn’t notice the plane ran out of fuel.

 

https://simpleflying.com/united-airlines-flight-173-crash-anniversary/

 

I think the Government and Bank of England are so preoccupied with Inflation that they have not noticed the million or so people who are coming off fixed rates just now and are likely to go bankrupt as they can’t afford the rate increases.

 

The Nicky Campbell show had lots of people phoning in about this issue and one guy worked out that as a higher rate taxpayer  he would need to earn £31k more a year just to maintain his current standard of living.

[gjcc]

6 months until we need to worry about the part of the mortgage we ported over (1.4%). Might have to sell some shares to clear it if rates don’t improve. 

Luckily got another 4 years at sub 2.4% on the majority of the mortgage. 

[That thing you do]

5 hours ago, windsor1874 said:

Not like you to miss an opportunity to shoe-horn into any discussion how well off you are! You do it all the time. Nobody likes a show-off. Away and brag somewhere else.

Youre right I probably have said it too much. Noted. Shall stop.

[Morgan]

9 hours ago, That thing you do said:

Yep. Im glad I got out.

 

Mexico is predicted to be a superpower by 2050, we dont have it nearly as bad as the UK but Ive retained UK income which goes 60% further.

 

Add to that a positive outlook and its a no brainer to be here

 

 

 

And, you’ve got a wee swimming pool.  Whoopy doo!!!

 

It’s not exclusive to you, by the way.

 

 

 

 

[Konrad von Carstein]

I can't be the only one that saw nothing wrong with what @That thing you do said?

Jings, as it stands if I were to relocate to Polska I'd be a fair bit better off when drawing down my pension...and I'd be saying so too...

 

Edited June 20, 2023 by Konrad von Carstein