Ex Footy Legs
Well-known member
You'll be fine with 3 years to go.....i reckon by then interest rates will be around 3 % but will never return to the 1-1.5% again...or i'll be shocked if they do...
Inflation down to 4.6%
- Thread starter MolteniArcore
- Start date
Ex Footy Legs
Well-known member
Hilarious....not one iota to do with the government and all to do with energy prices coming down globally and oil prices coming down because of a chinese slowdown....it bugs the life out of me that the media let these ministers get away with citing a restraint on public sector pay is the reason for lower inflation when there is no connection at all. No evidence to support that theory.
Redwurzel
Well-known member
The NHS charges a standard prescription charge no matter what the drug is. Its in effect a contribution charge for using the NHS. A lot of prescriptions are given out free. If someone needs a regular prescriptions its cheaper to buy a season ticket. Some drugs cost the NHS tens of thousands of pounds for just one patient, but the patient only pays the normal prescription charge or less.
ThatFragranceGuy
Well-known member
I got a cut on my head in malia and it cost me about £500
MolteniArcore
Well-known member
The BoE base rate is 5.25% and you can get mortgages for under 5% after these most recent inflation figures. I presume that as long as inflation drops the mortgage rate will also despite the BoE holding strong.
Andy_W
Well-known member
Anyway, not all good news - food inflation still 10.1%
The driver, according to the news, is the Energy Price Cap dropping. So nothing that Sunak has done. Strangely because the Government was paying us £66 a month this time last year we’ll actually be paying more for energy this winter!
Another thing that I find odd is that high interest rates are designed to slow the economy so it’s no surprise that we have a stagnant enonomy that didn’t budge at 0.0 yet Sunak is telling us all he’s gonna grow it
And we need DEFLATION to reduce prices and that ain’t happening anytime soon so we’ll all still be worse off.
Yeah, the figures are misleading, and are not a cause for celebration, not with the OOH **** storm which is coming (people dropping off 1-2% mortgages onto 5-7% mortgages, for the next 3-5 years or whatever, then ~4% after that at best), and food being 30% more than 2 years ago, and not coming down in price.
Andy_W
Well-known member
I really, really, really wish that every month when the yearly (last 12 month) inflation figures are posted by the press, that they also posted the month which these figures were replacing, or an explanation. As well as showing the 3,6 and 9 month trends, and real prices of key things over 0.5,1,2,5,10 years, and compared those to wages. I bet so many people get confused by these rates and actually think we're in a for a 5% price drop in everything.
The words "drop in inflation" should not be allowed to be posted by the press, without them also writing "prices are just going up slightly less, over the higher prices you're already paying, you're going to be more skint if wages have not gone up".
The info is in the link below, but it's only really useful if you spend a lot of time reading it, and then read it every month, which most won;t of course.
CPIH and CPI going down (or going up, but not as fast, in reality, but there won't be much more legs left in this)
Bad trend for OOH, recently driven by increases to mortgages etc.
Take energy out and this is what you end up with, which is the start of a **** storm.
The words "drop in inflation" should not be allowed to be posted by the press, without them also writing "prices are just going up slightly less, over the higher prices you're already paying, you're going to be more skint if wages have not gone up".
The info is in the link below, but it's only really useful if you spend a lot of time reading it, and then read it every month, which most won;t of course.
Consumer price inflation, UK - Office for National Statistics
Price indices, percentage changes and weights for the different measures of consumer price inflation.
www.ons.gov.uk
CPIH and CPI going down (or going up, but not as fast, in reality, but there won't be much more legs left in this)
Bad trend for OOH, recently driven by increases to mortgages etc.
Take energy out and this is what you end up with, which is the start of a **** storm.
Andy_W
Well-known member
You're not going to get much of a drop there, loads of the metrics which make up inflation are still going up (or not coming down), and the things which can come down and have dropped easy have now gone out of the system/ 12 month calculation, there's not really anywhere for those to really drop any further to, not soon. Then things like OOH are accelerating (as they're fuelled by 1-2% mortgages being replaced by 5-7% mortgages, and that's not going to stop until every 1-2% mortgage currently in operation disappears, which is at least 3 years away).
It might come down 0.25% to 0.5% in 2024, but nobody seems to be expecting <4.5% base rate for 25 and 26, so that means most people who have been on 2% mortgages are going to 5% or more, at some point over the next few years. Best we can maybe hope for is 4% mortgages in ~4-5 years, rough.
Ingleby_Flash
Well-known member
As I’ve just said on the other inflation thread I don’t understand why people equate inflation falling to prices falling. As I say the current rises are on top of all of the previous rises and yet people, think that means they’re falling. Does no one understand the concept of compound interest.
hewielewie
Well-known member
Also this time last year households were getting the extra cash to help with energy bills.
NorthumberlandBoro
Well-known member
I fully understand all of the above.
Inflation rates on a downward trend is better than inflation rates on an upward trend.
Inflation rates on a downward trend is better than inflation rates on an upward trend.
Corcaigh_the_Cat
Well-known member
Great news, particularly if you don't eat or live in a house 
Uwefuchs
Well-known member
* from twitter
Oct 2023 inflation rate (RPI) 6.1%. Oct 2022 rate, 14.2%.
Are you better off?
Item priced £100 in Oct 2021, cost £114.20 in Oct 2022; up 6.1% since and cost £121.17 in Oct 2023.
Is your net income up by 21.17% since Oct 2021?
If not, govt policies have cut your real income.
Oct 2023 inflation rate (RPI) 6.1%. Oct 2022 rate, 14.2%.
Are you better off?
Item priced £100 in Oct 2021, cost £114.20 in Oct 2022; up 6.1% since and cost £121.17 in Oct 2023.
Is your net income up by 21.17% since Oct 2021?
If not, govt policies have cut your real income.
Andy_W
Well-known member
This all needs to be taught at school, as well as many other things, relating to rates and finance etc.
I'm starting to think it's intentional to not teach things like this, to keep the system imbalanced,
Corcaigh_the_Cat
Well-known member
That's why percentages are used rather than monetary units when looking at change. It's hidden to protect the wealthy.
Many think that if we're all subject to a 5% pay rise we're all in the same boat, we're far from it
ThePrisoner
Well-known member
Because it's the narrative fed to them by the government and their client media.
RedAsABeetroot
Well-known member
But not surprising. I was talking to someone a few weeks ago who was a supplier who openly told us he charged his local council double what he charged other customers as they never questioned it.