So rumour has it interest rates to go up again by .5%,how can they reduce inflation by hitting the public to cut spending yet energy etc constantly going up.They now want food prices down to help but does that mean they expect industry etc to run at a loss .I just can’t get my head round the mess of all this.We now have or rather it looks like a new PM who had every chance to sort the mess but all he did and will continue to put tax up.How can anyone with vast wealth understand the everyday lives of hard working folk.If I was younger it would be goodbye UK
Bank of England
- Thread starter nelly55
- Start date
SilliamWhale
Member
They probably realise energy may have peaked for the time being
gone up the hill
Member
- Location
- Devon
Food prices are going to rocket upwards and unless the Gov encourages farmers to increase production by way of subs and which is very clear they will not do then prices cannot/will not drop.
As an aside Janet from Defra posted an example of a 100 ha ( 250 acre farm ) on the SFI thread where under the new SFI scheme once you have taken out all the new costs you will be lucky to get £2000 a year net in total whilst currently that farm last year would have had a BPS payment would have been over £22000.. you can see what is going to happen to UK food production unless farmgate prices rise dramatically!
Sunack has already said that if he is the new PM he will increase the green taxes on fuel/elec etc and for fuel he said he will tax it so hard so that people will not want to use it.
They live in cloud cuckoo land !
gone up the hill
Member
- Location
- Devon
Energy bills will increase a lot more in Oct, average house will be paying £3500 for gas/elec combined.
Keeping it ridiculously low for the last 12 years has done f**k all. ( Apart from dwindling peoples savings ).
Time to try something else maybe ?
Time to try something else maybe ?
SilliamWhale
Member
True, forgot about that
My feeling regarding gas is this is a lull, gas prices will hike again come cold weather.
Oil may well settle with less demand.
- Location
- East Sussex
The country is really in a LOT of trouble but nobody is feeling it yet.
I don’t think any other place in the world is any better either.
I don’t think any other place in the world is any better either.
TelesnaAg
Member
- Location
- Portland, Victoria - Australia
Inflation at present caused by supply chain issues, interest rates will do f all, but its now or never for banks to get out of zero intrests rates, hence the rise, and as luck will have it supply chains will come good after higher rates and they will claim it worked.
Most volumes of goods are down.
The usual central bank conn.
Ant...
Most volumes of goods are down.
The usual central bank conn.
Ant...
- Location
- East Sussex
Supply chain issues…… not too sure that’s as much a problem, good excuse though.
- Location
- Lincolnshire
They know this. Stagflation. Zero productivity growth. External price shocks. Massive money printing.
The govt won't up taxes, but it really needs to. And tax houses.
TelesnaAg
Member
- Location
- Portland, Victoria - Australia
It causes prices to rise, most manufacturers have stated restricted supplies meant higher prices and they are not in a bargaining position any more, have to pay to secure goods.
Ant...
Tubbylew
Member
- Location
- Herefordshire
Think I remember a thread on here saying that since they got rid of the gold standard the only way to slow inflation was to use tax.
- Location
- Lincolnshire
Increase money supply by 25 percent to stop folk loosing their jobs - wtf did they expect? There's no money in business to pay higher wages. Sadly, doing nothing where nothing can be done is not a government option!
All that money flowed into house prices.
Solution - tax houses. That's where all the money is.
All that money flowed into house prices.
Solution - tax houses. That's where all the money is.
Govs stuck between a rock and hard place. covid emptied the bank and backed up the supply chain while the war has sent food and oil/gas through the roof. Nobody seems to want to stop spending even when they have no money so the bank needs to do something. They have threatened interest rises hoping it would worry people into spending less on credit but it hasnt worked. Its a sh#t storm that cannot be laid fully on the governments door, boe should of raised rates higher sooner. I think we all need to accept the pain and get on with it for now. Rich are going to get richer regardless.
lloyd
Member
- Location
- Herefordshire
What do you mean by tax houses?
You could just as easily say tax land that is
farmed by contract farming arrangements .
They have been a con to the exchequer for a
considerable length of time.
- Location
- Perthshire (It's a big place!)
THIS!!!!
- Location
- Perthshire (It's a big place!)
Easy way to do it to tax all sales of assets, tenanted land, in hand land, houses, whatever, it all needs to be done.
lloyd
Member
- Location
- Herefordshire
Well you'd have to revisit taxing private and public pensions
otherwise it wouldnt be fair would it.
- Location
- Lincolnshire
I mean that during COVID the average UK house price has gone up over 15 percent. For no work or effort.
Govt can target support for fuel poverty etc using council tax bands. There's no reason, bar politics, why the same cant be used for taking some off the rich to pass to the poor.
Why should we tax cfa's? I think the notion of taxing food producers during a cost of living crisis is a bit silly. I don't than farmers are going to be falling over the bags of gold.
Those facing fuel or food poverty are quite easy to identify using existing govt markers.
Can't feel sad for those getting small pay rises when their house has added £30k in two years for zero effort.
Don't they say nothing cures high prices like high prices?