Inflation - when is this going to end?

[Bill Walker]

They're quoting energy bills of £6,000 a year by next April. Almost every item of food has risen a minimum of 20p an item and more so far. Meanwhile energy companies are reporting billions of pounds of profit in their half yearly figures.

I sympathize. If they're making billions of profits then the Gov should regulate prices. I entered this thread because I believe the central bank has to control inflation, not aware of how hard Brits are having it. 6K a year is fucking insane and entirely unreasonable.
Thank fuck I emigrated.

 

[Phil1]

I'm working class mate, I did an apprenticeship as a Sheet Metal Worker, grew up in a council house.

You are wealthy now so it’s moot, mate. Don’t misunderstand me, I’m buzzing for anybody who has done well, I’m not going to ever have to worry about bills myself but the people who are suddenly seeing their monthly bills shoot up at a rate they have to decide wherever they can stay warm or eat? I’m not going to offer flimsy advice that doesn’t help a real world situation.

 

[paulchapo]

I sympathize. If they're making billions of profits then the Gov should regulate prices. I entered this thread because I believe the central bank has to control inflation, not aware of how hard Brits are having it. 6K a year is fucking insane and entirely unreasonable.
Thank fuck I emigrated.

It's insane here at the moment.

 

[paulchapo]

You are wealthy now so it’s moot, mate. Don’t misunderstand me, I’m buzzing for anybody who has done well, I’m not going to ever have to worry about bills myself but the people who are suddenly seeing their monthly bills shoot up at a rate they have to decide wherever they can stay warm or eat? I’m not going to offer flimsy advice that doesn’t help a real world situation.

It's mad, some just don't realise. People cannot just magic up another £400+ a month, it's impossible. Every single thing has risen in price. Families are at their wits end.

 

[bluetonium]

Our company were talking internally yesterday about the ability to raise wages with inflation and when to do it, if at all. The 7.5% those Felixstowe dockers are being offered sounds like heaven compared to what we could afford. It's just not possible to keep up, or take the risk of matching inflation, without severely undermining the business as a whole. So wages won't increase, at least not anything like inflation.

I just keep going back to when we moved house last year. A house went round the corner from where we used to live at over half a million after being on the market for one day at above asking price, to a first time buyer.

Estate agent told us that it's an increasingly common trend, fist time buyers jumping the queue on the property ladder and going big for their 'forever home'. Beside the fact that everyone gets itchy feet at some point, those guys are now facing renewing their mortgage at over 10% in 1-3 years time, after getting about 1.5% 18 months ago. I just checked for us and it would be around 5% today. On a mortgage of 400k, assuming they had even as much as 100k deposit, they'd be paying hundreds more per month. Frightening.

Even for us, a family with two working parents and some savings, very cautious and conservative with spending already, are having to pick and choose what we don't have in the future. Our kids don't understand but will adapt quickly but have already said no holiday next year most likely, jumpers instead of heating, investing in electric blankets and cut the weekly shop by 20%. Not sure it'll be enough. We don't want to do it, don't want to contribute to the decline by buying less and going without, but we have to now just to get the basics of home, food and energy paid.

Has anyone in power got the balls to challenge the energy companies on their profits? Why are they so high? What do they forecast for Q4? How much are they reinvesting? Do they realise the impact they are having on people's lives already, the thousands who would have survived this coming winter if they reduce prices?

 

[pride in battle]

Ahaa the old doomsday scenario !

I suppose the B of E could always do absolutely nothing and keep rates at 1% (or whatever they are in the UK) and allow hyper inflation to creep in as people keep spending big on Chinese tech products and foreign holidays, plus continually rising house prices that keep rising, as people/investors can keep borrowing and buying more rental properties, eventually obliterating that ability of young people to get into the market.

It's painful for all of us (it's hurting my kids) but I strongly believe the B of E and our own Central bank here in Oz are doing the right thing to combat huge inflation going forward by increasing rates and dampening the economy, its really the only weapon they have, and it's been proved to work.

Dampening the economy...really ?? Its fucked anyway

 

[Elbow beards]

Dampening the economy...really ?? Its fucked anyway

It's not just damp, it's fucking drowning.

 

[hilts]

Wealthy Ozzies and wealthy Ex pat pilots are probably the last people I’d ask for advice if I’m a working class bloke suddenly seeing my bills go up tenfold.

I’ve cut down on my Lobster consumption and quite like the idea of 5 family hybrids and some solar panels. I refuse to give up the Caribbean though it’s not bloody Victorian times.

 

[hilts]

Dampening the economy...really ?? Its fucked anyway

That post did make me laugh, you need to dampen down the economy. Pmsl.

 

[Blue Maverick]

I’ve cut down on my Lobster consumption and quite like the idea of 5 family hybrids and some solar panels. I refuse to give up the Caribbean though it’s not bloody Victorian times.

Although Rees Mogg would love it to be, just so he can put a 3 year old up his chimney to sweep before winter